KUALA LUMPUR, April 29 — Eco-Shop Marketing Sdn Bhd, a Malaysian discount retail chain, plans to raise RM419 million in what will be the country’s largest IPO in eight months.

The company will offer 347 million shares at RM1.21 each, valuing Eco-Shop at RM7 billion, while also seeking an additional RM623 million through a private placement to institutional investors, Bloomberg reported today,.

Maybank Investment Bank Bhd, a subsidiary of Malaysia’s largest lender, is the sole underwriter of the IPO, with trading expected to begin on 23 May.

Eco-Shop, which mainly sells items at RM2.60, plans to double its store count by opening 70 new outlets annually over the next five years using the funds raised.

Chief executive officer Jessica Ng said the business model is especially relevant in the current cost-of-living environment, during the prospectus launch in Selangor.

Founded in 2003 by Lee Kar Whatt, Eco-Shop currently operates 350 outlets across Malaysia and holds a dominant 68 per cent market share in the local discount retail sector.

The IPO is the latest indicator of resilience in the Malaysian consumer sector, which also saw last year’s largest listing in 99 Speed Mart Retail Holdings Bhd’s US$530 million debut.