3REN Bhd, an automation solutions and engineering services provider, has unveiled its prospectus for its initial public offering (IPO) for its upcoming listing on the ACE Market of Bursa Malaysia Securities Berhad, which is slated for Nov 6, 2024.

3REN's IPO exercise will raise RM30.8 million through a public issue of 110 million new ordinary shares at an issue price of 28 sen per share.

"Some 62.3% of the IPO proceeds are allocated for its business expansions and operational requirements. Out of which, 23.4% will be utilised to set up new delivery centres in Penang which are designed to undertake specific product engineering services related to the design and development of semiconductor chips.

"Another 16.6% will be for research and development expenditure, 9.7% for the establishment of a sales office in Singapore to boost its geographical presence, 12.7% will be for working capital and the remaining will be utilised for repayment of borrowings and listing-related expenses," 3REN Executive Director and Chief Executive Officer Koh Dim Kuan said.

The public issue portion of the IPO is now available for subscription until 5pm on Wednesday, Oct 23, 2024.

KAF Investment Bank Bhd is the principal advisor, sponsor, sole underwriter and sole placement agent for this IPO exercise.