Swift Energy Inks Underwriting Agreement For ACE Market IPO

KUALA LUMPUR, Nov 18 (Bernama) -- Swift Energy Technology Bhd has signed an underwriting agreement with M&A Securities Sdn Bhd for the company’s initial public offering (IPO) on the ACE Market of Bursa Malaysia Securities Bhd.

In a statement today, the industrial automation and power systems provider said the IPO entails a public issue of 250.20 million new ordinary shares alongside an offer for sale of 50.04 million existing ordinary shares.

“Of the total 250.20 million shares, 50.04 million shares will be available to the Malaysian public via balloting and another 50.04 million shares will be allocated to eligible directors and employees of Swift Energy Group under the pink form allocations.

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“Meanwhile, 125.10 million shares are designated for private placement to selected Bumiputera investors approved by the Ministry of Investment, Trade, and Industry (MITI), while the remaining 25.02 million shares will be reserved for private placement to selected investors,” Swift Energy said.

M&A Securities will underwrite a total of 100.08 million shares, being the portion which will be made available for application by the Malaysian public via balloting and for application by eligible directors and employees of Swift Energy Group under the pink form allocations.

Swift Energy plans to utilise the IPO proceeds for the expansion of its fabrication facility, storage, office and new research and development centre by adding a mezzanine level and constructing a new three-storey building, which will nearly double its operational space, accommodating increased production and project capacity.

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“Additionally, Swift Energy will also invest in machinery, equipment and software to enhance the group’s capacity, efficiency and productivity as well as expand its business in Indonesia by setting up a subsidiary with an office in Jakarta to better serve its local customers, strengthen its market presence, and streamline project permits and technical support for existing installations,” it said.

-- BERNAMA