Malaysia IPO shares are the shares of companies newly listed on Bursa Malaysia, the Malaysia stock exchange. These shares are issued by companies through an initial public offering (IPO) to raise funds for business expansion and development.
While an IPO can provide investors with opportunities for high-growth investment, it also involves risk and uncertainty. It is important for investors to evaluate independently and carefully determine whether investing in newly listed securities meets their investment goals, risk tolerance, and financial position before making any investing decisions.
Moomoo MY now offers Malaysia IPO subscription services. To participate in a Malaysia IPO subscription in the moomoo app, follow the steps below:
1. Go to the Accounts tab > CDS Account-IPO > More > IPO
Or go to the Markets tab > MY > IPO
2. On the Available tab, tap the Subscribe button on the selected IPO.
A CDS Account-IPO is required to participate in Malaysia IPO subscriptions. To open a CDS Account-IPO, you must have a Universal Account with Moomoo MY first. Here are the differences between the two types of accounts:
A）CDS Account-IPO:
● Can only be used for subscribing to Malaysian IPOs and cannot be used for trading stocks.
● Does not support funds-related activities, such as deposits, withdrawals, and currency exchange.
● Allotted IPO shares will be credited to the CDS Account-IPO on the allotment date and then automatically transferred, subject to your authorization, to the Universal Account before the listing date for trading.
● For information on how to open a CDS Account-IPO, refer to How to open a CDS Account-IPO.
B）Universal Account:
● Can be used for securities trading and cannot be used for Malaysia IPO subscriptions.
● Supports funds-related activities, such as deposits, withdrawals, and currency exchange.
● Subscription funds will be deducted from the Universal Account, and allotted IPO shares will be transferred to the Universal Account before the listing date for trading.
● For information on how to open a Universal Account, refer to Open an account with Moomoo MY.
Only Malaysia citizens are eligible to participate in online Malaysia IPO subscriptions.
During the promotion period, there are no handling fees for participating in Malaysia IPO subscriptions.
Please note that subscription funds will be deducted from your account based on the timeline displayed on the subscription page. If margin is used, interest may accrue. For details, please click here.
*The promotion period starts on June 12, 2024, and will continue for a limited time.
The timeline of a Malaysia IPO subscription can vary by IPO. For specific information, please refer to the company's prospectus or check the subscription page in the moomoo app.
However, the timeline of a Malaysia IPO subscription typically includes the following times and dates:
● Opening time: the time when investors can start submitting subscription applications.
● Closing time: the subscription deadline when subscription applications are no longer accepted.
● Balloting date:
I. After the subscription deadline, the issuing house and the company will jointly discuss and conduct a ballot to determine which investors can receive an allotment of shares. The balloting date is usually two to three business days after the subscription deadline and depends on the issuing house's processing time. For the final balloting date, please refer to the prospectus.
II. An IPO may run two ballots. Moomoo MY will process your subscription funds based on the results of each ballot. If you receive an allotment, Moomoo MY will deduct the subscription funds on hold from your account. If you fail to receive an allotment, your funds will be released. For details, please refer to the subscription page and in-app push notifications.
● Allotment date: If you receive an allotment, the allotted IPO shares will be credited to your CDS Account-IPO on the allotment date and then automatically transferred to your Universal Account before the listing date for trading.
● Listing date: The date when IPO shares are listed and available for trading on the stock market. In an IPO, the company usually announces the final issue price and number of shares to be issued before the listing date to help investors make decisions about whether to buy or hold the shares. Please note that the announcement time may vary by IPO.
In a Malaysia IPO, the issuing house may allot investors IPO shares based on the number of public offering shares and number of placing shares, the total number of shares to be issued, the balloting mechanism, preferential allotment in placement, and the principle of fairness. The allotment rules may vary by IPO, and the balloting results shall prevail. It is important that investors carefully read and understand the provisions in the prospectus before investing.
Investors who submit Malaysia IPO subscription applications via Moomoo MY are not guaranteed any allotment, nor will they be guaranteed automatic confirmation of a successful application. For the specific allotment rules, please refer to the company's prospectus.
Please note that if IPO shares are oversubscribed, you may only be allotted some shares or no shares at all. Otherwise, you may be allotted all the shares you applied for.
● Minimum number: The minimum number of shares investors can apply for may vary by IPO and is usually 100 or 50 shares. For specific information, please refer to the company's prospectus or check the subscription page in the moomoo app.
● Maximum number: There is usually no maximum number of shares investors can apply for in an IPO. However, some IPOs may have particular requirements. For specific information, please refer to the company's prospectus or check the subscription page in the moomoo app.
When you apply for an IPO subscription, the system will automatically calculate the maximum buying power of your Universal Account available for a subscription. For details, please refer to the buying power shown on the subscription page.
To cancel an IPO subscription application in the moomoo app, follow the steps below:
1. Go to the Accounts tab > CDS Account-IPO > More > IPO > Subscription Record
Or go to the Markets tab > MY > IPO > Subscription Record
2. Select the subscription application you want to cancel
3. Tap the Cancel button
Notes:
● Cancellation of IPO subscription applications is possible before the closing time (subscription deadline) and free of charge. Make sure to cancel your application before the subscription deadline listed on the subscription page.
● Once cancellation is successful, the subscription funds on hold in your account will be immediately released.
● If you need to change the number of subscribed shares, please cancel the existing application first and then submit a new one.
Once the balloting is complete, the issuing house will inform Moomoo MY of the results. If your allotment amount is less than your subscription amount, the subscription amount corresponding to the allotted shares will be deducted from your Universal Account, and the part corresponding to the unallotted shares will be released after the balloting.
You can check your account balance and fund details on the Accounts tab in the moomoo app.
When you can trade the allotted shares depends on when the issuing house completes the final confirmation. There may be a delay in trading them after the IPO shares are listed.
The allotted IPO shares will be credited to your CDS Account-IPO on the allotment date and then automatically transferred, subject to your authorization, to your Universal Account before the listing date for trading. To check and trade your IPO shares, go to the Accounts tab in the moomoo app.