Winstar Capital Bhd's journey towards ACE Market listing is off to a good start as it received an overwhelming response for its IPO shares.
In a statement on Dec 6, Winstar said it received 19,881 applications for 14.5 million IPO shares made available for application by the Malaysian public, representing an oversubscription rate of 80.17 times.
The company added that the IPO shares made available for Bumiputera investors were also oversubscribed by 68.3 times.
Winstar's IPO entails the public offering of 73.95 million ordinary shares comprising a public issue of 56.55 million new shares and an offer for sale of 17.4 million existing shares, representing 25.5% of the group's enlarged issued share capital of 290 million ordinary shares.
It was previously reported that the company intends to use part of the IPO proceeds to acquire four additional aluminium extrusion lines with a combined capacity of 8,580 tonnes per annum.
These new lines, to be installed at its factory in Ijok, Selangor, are expected to increase the company's total manufacturing capacity from 6,705 tonnes to 15,285 tonnes per annum.
Winstar is scheduled to be listed on the ACE Market on Dec 19.
