KUALA LUMPUR, July 11 — Ahead of the country’s largest stock market listing since 2012 today, we take a look at some of the biggest initial public offerings (IPOs) in recent years.
Some of the amounts raised dwarfed today’s listing of South-Korea-owned Lotte Chemical Titan Holding Bhd (LCT), a leading petrochemical producer locally that is expected to raise RM3.77 billion from its IPO.
1. Felda Global Ventures Holdings Bhd
June 28, 2012 — RM10.4 billion
Prior to its listing on Bursa Malaysia as the world’s third largest oil palm plantation firm in terms of land bank, Felda Global Ventures Holdings Bhd (FGV) was the commercial arm of the government agency, Federal Land Development Authority (Felda).
FGV shot to global fame as the world’s second largest IPO of the year after Facebook Inc’s US$16 billion listing, and as the biggest listing in Asia for the same year. It was the biggest IPO in Malaysia since 2010’s listing of Petronas Chemicals Group Bhd
Raising RM10.4 billion through its IPO with shares offered at RM4.55 per piece, FGV debuted on Malaysia’s stock exchange on June 28, 2012, with trading going as high as RM5.46 per share before closing at RM5.30 per share.
Shortly before its listing, the prime minister had on May 8, 2012, reportedly announced that RM1.689 billion will be used as a windfall payment from FGV’s IPO proceeds to give out RM15,000 each to 112,635 Felda families.
FGV’s share prices hit an all-time low in August 2015 at a range of RM1.15 to RM1.19 per share, based on different news reports. Yesterday, it opened for trading at RM1.68 and closed at RM1.65 per share.
2. IHH Healthcare Bhd
July 25, 2012 — RM6.3 billion
IHH was the healthcare unit of the federal government’s investment arm, Khazanah Nasional, prior to its dual concurrent listing in Singapore and Malaysia.
IHH, which was reported to be the third largest IPO globally for 2012, also became the world’s second largest listed hospital operator in terms of market capitalisation.
IHH was one of the three local mega IPOs in 2012 (including FGV and Astro Malaysia Holdings Bhd) that together raised RM20.9 billion in funds, boosting Malaysia to be the fourth largest IPO destination country for that year.
Figures vary, but a report puts the funds raised by the healthcare provider through the IPO at RM6.3 billion.
3. Petronas Chemicals Group Bhd
November 26, 2010 — RM12.8 billion
Petronas Chemicals Group Bhd (PCG), Malaysia’s leading integrated chemicals producer and a subsidiary of national oil giant Petronas, was said to be the biggest IPO then in South-east Asia.
PCG raised RM12.8 billion with share prices offered at RM5.04 for retail investors and at RM5.20 per share for institutional investors.
It reportedly hit a high of RM5.72 per share before closing at RM5.31 per share on its first day of trading on November 26, 2010.
4. Malakoff Corporation Bhd
May 15, 2015 — RM2.74 billion
Malakoff, the largest independent electricity producer in both Malaysia and South-east Asia, raised RM2.74 billion through its listing.
Its IPO was the largest in Malaysia since 2012, surpassing the 2013 listings of UMW Oil & Gas Corporation Berhad (RM2.36 billion), Westports Holdings Berhad (RM2.2 billion), AirAsia X Berhad (RM987.7 million), as well as 2014’s largest local listing with IOI Properties Group Bhd at RM1.9 billion.
5. Eco World International Bhd
April 3, 2017 — RM2.58 billion
Eco World International Berhad (EWI), which carries out property development projects abroad, is a subsidiary of listed property developer Eco World Development Group Berhad.
Comparatively smaller than the other IPOs mentioned here, EWI is still significant as the RM2.58 billion raised through its listing is so far the highest in Malaysia this year since June 2015.
EWI’s shares were sold through the IPO at RM1.20 per share. On its first day of trading on Bursa Malaysia on April 3, it opened at RM1.31 per share and closed at RM1.28 per share.
Others
Notable IPOs are business tycoon Tan Sri Ananda Krishnan’s relistings of Astro Malaysia Holdings Berhad (2012) and Maxis Berhad (2009) at about RM4.6 billion and RM11.2 billion respectively.
Astro was reportedly Malaysia’s third largest IPO and the world’s sixth largest listing in 2012, while Maxis was reportedly the biggest IPO in South-east Asia in 2009.
According to Bursa Malaysia’s own annual reports and news reports, RM600 million was raised from 11 IPOs in Malaysia in 2016, RM4.14 billion from 11 IPOs in 2015, RM5.9 billion from 14 IPOs in 2014, RM8.2 billion from 18 IPOs in 2013, and almost RM23 billion from 17 IPOs in 2012.
The reports also show that RM6.7 billion was raised from 28 IPOs in 2011, RM19.87 billion from 29 IPOs in 2010 and RM12.04 billion from 14 IPOs in 2009.
