KUALA LUMPUR: Enterprise IT services provider, TechStore Berhad (“TechStore” or the “Group”), has today entered into an underwriting agreement with M & A Securities Sdn Bhd (“M&A Securities”), a wholly-owned subsidiary of M & A Equity Holdings Berhad, in conjunction with its upcoming initial public offering (“IPO”) on the ACE Market of Bursa Malaysia Securities Berhad (“Bursa Securities”).
TechStore’s IPO exercise encompasses:
- A public issuance of 125.0 million new ordinary shares, representing 25.0% of its enlarged share capital.
- An offer for sale of 25.0 million existing shares, representing 5.0% of its enlarged share capital.
Out of the 125.0 million new shares:
- 25.0 million shares will be made available to the Malaysian Public via balloting.
- 25.0 million shares will be allocated to eligible directors, employees, and contributors to TechStore’s success (“Pink Form Allocations”).
- 62.5 million shares will be offered by private placement to Bumiputera investors approved by the Ministry of Investment, Trade, and Industry (“MITI”).
- 12.5 million shares will be offered by private placement to selected investors.
M&A Securities has agreed to underwrite 50.0 million new shares available to the Malaysian Public and under the Pink Form Allocations. The balance of 75.0 million new shares and the offer for sale of 25.0 million existing shares will not be underwritten.
With a history dating back to 2011, TechStore is an enterprise IT services provider specializing in IT security and automation solutions, driving significant advancements in the transportation sector. The Group delivers tailored solutions, including design, development, customization, implementation, testing, and integration of IT security and automation solutions, along with maintenance and support services.
TechStore has delivered solutions for two LRT lines (Kelana Jaya and Ampang lines) and the MRT Kajang line, with notable projects such as:
- Telecommunications system for the MRT Kajang line.
- Operation control centre upgrades for the LRT Kelana Jaya line.
- Integrated infotainment system for the LRT Ampang line.
- Comprehensive bus system for Rapid Bus Penang.
- Currently, TechStore is undertaking a RM116.0 million Automatic Fare Collection (“AFC”) system project for the LRT3 line.
Mr. Tan Hock Lim (陈玞霖), Managing Director of TechStore, stated, “The signing of this Underwriting Agreement with M&A Securities brings us closer to our listing on the ACE Market of Bursa Securities, a milestone we have worked hard towards. Going public can unlock new opportunities, providing resources and flexibility to accelerate our growth and expansion efforts.”
In 2023, Malaysia recorded RM329.5 billion in approved investments, with the services sector leading at RM168.4 billion, or 51.1% of the total, reflecting the increasing demand for enterprise IT services. As emerging technologies such as 5G, AI, and robotics drive digital transformation, TechStore remains committed to providing innovative solutions for businesses.
TechStore is scheduled to be listed on the ACE Market of Bursa Securities by February 2025, with M&A Securities as the Principal Adviser, Sponsor, Sole Underwriter, and Placement Agent for the IPO exercise.
