IPO - Matrix Concepts Holdings Berhad (MATRIX)

Listing Detail:
Listing Sought: Main Market (Properties)
Issue Price: RM 2.20
Par Value: RM 1.00

Dates:
Offer Period Open: 8/5/2013
Offer Period Close: 15/5/2013
Tentative listing date: 28/5/2013

Number of shares:
Public Issue: 62,500,000
Offer for Sale: 37,500,000
Private Placement: 48,692,000 (selected investors), 32,500,000 (approved Bumiputera investors)

Stock Code: MATRIX


Official Announcement


PUBLIC ISSUE OF 62,500,000 NEW ORDINARY SHARES OF RM1.00 EACH IN OUR COMPANY COMPRISING:

• 10,000,000 NEW ORDINARY SHARES OF RM1.00 EACH AVAILABLE FOR APPLICATION BY THE MALAYSIAN PUBLIC;

• 8,808,000 NEW ORDINARY SHARES OF RM1.00 EACH AVAILABLE FOR
APPLICATION BY THE ELIGIBLE DIRECTORS AND EMPLOYEES OF OUR COMPANY AND
SUBSIDIARIES (“GROUP”) AND PERSONS WHO HAVE CONTRIBUTED TO THE SUCCESS
OF OUR GROUP; AND

• 43,692,000 NEW ORDINARY SHARES OF RM1.00 EACH AVAILABLE FOR PRIVATE PLACEMENT TO SELECTED INVESTORS

OFFER FOR SALE OF 37,500,000 ORDINARY SHARES OF RM1.00 EACH IN OUR COMPANY COMPRISING:

• 32,500,000 ORDINARY SHARES OF RM1.00 EACH AVAILABLE FOR PRIVATE
PLACEMENT TO BUMIPUTERA INVESTORS APPROVED BY THE MINISTRY OF
INTERNATIONAL TRADE AND INDUSTRY; AND

• 5,000,000 ORDINARY SHARES OF RM1.00 EACH AVAILABLE FOR PRIVATE PLACEMENT TO SELECTED INVESTORS

AT AN ISSUE/OFFER PRICE OF RM2.20 PER ORDINARY SHARE OF RM1.00 EACH
PAYABLE IN FULL UPON APPLICATION IN CONJUNCTION WITH THE LISTING OF
MATRIX CONCEPTS HOLDINGS BERHAD ON THE MAIN MARKET OF BURSA MALAYSIA
SECURITIES BERHAD




News - Matrix Concepts to raise RM137m in IPO


KUALA LUMPUR: Matrix Concepts Holdings Bhd, which intends to raise
RM137.5mil in initial public offering (IPO) proceeds, is targeting
RM770mil in gross development value (GDV) for its project Sendayan
TechValley over the next five years.

Sendayan TechValley is a 1,000-acre industrial component within the
group's 5,233-acre flagship township development Bandar Sri Sendayan in
Seremban that also includes residential and commercial properties.

The IPO will entail a public issue of 62.5 million new ordinary shares
and an offer-for-sale of 37.5 million vendor shares at an offer price
of RM2.20 per ordinary share.

Of the 62.5 million new ordinary shares, 10 million will be allotted
for public balloting; 8.8 million for eligible directors, employees and
business associates of the group and the remaining 43.7 million shares
for private placement.

As for the 37.5 million vendor shares, 87% will be allocated for
bumiputra investors approved by the Ministry of International Trade and
Industry, while 5 million shares will be set aside for private
placement.

The on-going development in Bandar Sri Sendayan stands at RM1.2bil, a
fifth of its total GDV of RM5bil, and future projects will have a GDV
of RM3.2bil.

At the IPO prospectus launch yesterday, Matrix Concepts chairman Datuk
Mohammad Haslah Mohammad Amin said the project would ride on the
state's rising prominence as a foreign direct investment (FDI)
destination.

He pointed out that the economic development in Negri Sembilan
catalysed rising affluence for families and the Greater Klang Valley
Conurbation where citizens establish their home base in Seremban and
commute to Kuala Lumpur to work. It also attracted investments from
global industries.

Mohammad Haslah pointed out that the Negri Sembilan Investment Guide
showed that FDIs in the state rose from RM300mil in 2008 to RM4.3bil in
2011.

Commenting on the overall property outlook for the year, he predicted
that the property market over the next few years would be robust with
demand exceeding supply. Besides the township's accessibility to
international airports and both the Nilai Inland Ports and Port Klang,
Mohammad Haslah said that Sendayan TechValley had installed ready
facilities such as a 15km gas pipeline, which was Matrix Concepts'
initiative with the cooperation of Gas Malaysia Bhd.

Global players in the automotive and aviation-related industries such
as Nippon Kayaku, Hino Motor and Akashi-Kikai Industry of Japan, Keen
Point Ltd of Hong Kong, and TMR Metal of Taiwan, as well as
Messier-Buggati-Dowty of France had pledged RM2.1bil in total capital
investment to set up their manufacturing facilities in the vicinity.

“We are selective about inviting only high-impact industries to join us
because we want skilled workers. We are in talks with a company from
the United States, another from Japan and several others from Europe,”
Mohammad Haslah said.

He forecast that the expected value from these potential FDIs would exceed RM1bil.

From the RM137.5mil proceeds raised in the IPO, RM55mil will be
allocated for construction of infrastructure and common facilities at
Bandar Sri Sendayan, another RM55mil for working capital, followed by
RM10mil for the construction of the 1Sendayan Clubhouse at Bandar Sri
Sendayan.

Another RM11mil and the remaining RM6.5mil will go into repayment of bank borrowings and listing expenses, respectively.

Matrix Concepts is slated for listing on Bursa Malaysia on May 28.

The IPO exercise has Hong Leong Investment Bank as the principal
advisor, managing underwriter, co-underwriter and co-placement agent,
while Kenanga Investment Bank is the co-underwriter and co-placement
agent.

Star