(From left) BWYS Group Bhd executive director Kang Yi Ki, as well as ED and managing director Kang Beng Hai, with M&A Securities Sdn Bhd MD Datuk Bill Tan and deputy head of corporate finance Danny Wong, at the signing of the underwriting agreement on Friday for BWYS’ initial public offering on the ACE Market of Bursa Malaysia.

KUALA LUMPUR (May 17): BWYS Group Bhd has signed an agreement with M&A Securities Sdn Bhd to underwrite the sheet metal products manufacturer and scaffoldings supplier’s upcoming initial public offering (IPO) on the ACE Market of Bursa Malaysia.

In a statement on Friday, BWYS said the IPO exercise comprises a public issuance of 256.3 million new ordinary shares, representing 25% of its enlarged share capital, as well as an offer for sale of 100 million existing shares, or 9.8% of its enlarged share capital, by way of private placement to selected investors.

Out of the 256.3 million issue shares, 51.3 million will be offered to the Malaysian public through a balloting process, 61.5 million to eligible directors, employees, and contributors of the company via pink form allocations, 128.2 million to Bumiputera investors via private placement, and 15.4 million to selected investors via private placement.

M&A Securities will underwrite 112.8 million of the shares available to the Malaysian public and pink form allocations.

BWYS said it is scheduled to be listed on the ACE Market by July.

“We plan to expand our operational facilities, and increase our production capacity by constructing a new factory, and acquiring new machinery and equipment to cater for business expansion. Additionally, we are broadening our roofing product range by venturing into the manufacture of polyurethane foam sandwich panels, which offer insulation properties against heat and noise,” said BWYS executive director and managing director Kang Beng Hai.

Kang added that the company aims to extend its reach to foreign markets, pursuing growth opportunities in Southeast Asia, the Middle East, and South America.

BWYS, via its subsidiaries, is principally involved in the manufacturing of sheet metal products comprising roofing sheets and trusses, industrial racking systems and welded pipes. Additionally, the company also engages in the supply of scaffoldings, as well as the trading of steel materials and steel related products.

Serving over 1,600 customers, it caters to the construction and warehousing industries, and exports to the US, Singapore, Indonesia, Australia, and other countries.

In addition to its head office, warehouse and manufacturing facility in Penang, BWYS operates other operational facilities across Penang, Selangor, Johor, Kelantan, Sarawak and Sabah.

M&A Securities is also the principal adviser, sponsor, underwriter and placement agent for the IPO exercise.