SNS Network has signed an Underwriting Agreement with M&A Securities for its initial public offering (IPO) exercise to be listed on the ACE Market of Bursa Malaysia, announced in a public statement. The IPO involves underwriting 129 million new shares of a Public Issue of 362.9 million new shares, representing 22.5% of SNS' enlarged share capital.
Besides that, the deal also comes with an offer for sale of 48.4 million existing shares to selected investors by way of the private placement. From the 362.9 million new shares, 80.6 million will be made available to the Malaysian public via balloting; 48.4 million for its eligible Directors, employees and persons who have contributed to the success of SNS Group under the Pink Form Allocations; 201.6 million are reserved for private placement to Bumiputera investors approved by the Ministry of International Trade and Industry, Malaysia. Meanwhile, the remaining 32.3 million new shares will be given to selected investors.
"The listing is timely for our Group as it will enable us to tap into the equity capital market to raise funds to accelerate the growth of our core business activities. The outbreak of the COVID-19 pandemic in 2020 and 2021 had led to the imposition of movement restrictions by the Government to curb the spread of the virus. This has boosted the demand for ICT products and services due to working from home arrangements and online classes for students," said Ko Yun Hung, Managing Director of SNS.
If you're not familiar with what SNS Network does, it basically sells ICT products comprising hardware, devices, and related peripherals for third party brands and JOI via its physical stores and online and commercial channels. It also provides device repair and related services for Apple with sale of broadband services for Telekom Malaysia, Celcom and Maxis.
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