UNIQUE Fire Holdings Bhd, an investment holding company involved in the assembly, distribution and manufacture of active fire protection systems, equipment and accessories for the built environment, has rolled out its prospectus for the initial public offering (IPO) in conjunction with its listing on the ACE Market of Bursa Malaysia in early August.
The IPO exercise entails a public issue of 83.75 million new Unique Fire shares and an offer for sale of 30 million existing shares at an issue/offer price of 26 sen per share. The 83.75 million new shares will be apportioned in the following manner:
- 20 million shares to be made available to the Malaysian public;
- 8 million shares will be made available to its eligible directors, employees and persons who have contributed to Unique Fire’s success;
- 5.75 million shares to selected investors by way of private placement; and
- 50 million shares to Bumiputera investors approved by the Ministry of International Trade and Industry by way of private placement.
Unique Fire’s IPO will raise about RM21.78 mil of which RM2.50 mil has been earmarked for expansion of the company’s manufacturing facilities and RM6 mil for expansion of geographical coverage.
Another RM5.3 mil and RM4.58 mil will be set aside for expansion of operational capabilities and working capital respectively. The remaining RM3.40 mil will be utilised to fund the listing expenses.
Based on its enlarged issued share capital of 400 million shares and issue/offer price of 26 sen/share, Unique Fire’s market capitalisation is arrived at RM104 mil upon its listing on the ACE Market (tentatively on Aug 5).
“This listing exercise will help to elevate the group’s profile, enhance its credibility as well as visibility among the public, and to fund future plans for the business,” commented Unique Fire’s managing director Liew Sen Hoi.
“Our existing cylinder manufacturing line has been experiencing high utilisation rates and nonetheless we continue to strategise and strive to cater for the unrelenting demand for fire protection systems which are critical mandatory products that are required in built environment.”
Based on the research conducted by Vital Factor Consulting, the number of calls received by the Malaysian Fire Department (Bomba) grew at a compound annual growth rate (CAGR) of 7.8% between 2016 and 2020.
“To meet this demand dependency, we will be expanding our manufacturing facilities by installing two new hand portable dry chemical fire extinguisher cylinder manufacturing lines,” noted Liew. “Upon completion, this will boost our current production capacity of 210,000 units by over 220%.”
On top of that, Unique Fire is also expanding its operational capabilities by increasing its storage capacity, implementing a warehouse management system, a digital fire extinguisher identification data system as well as enhancing its IT system to increase the overall efficiency of the company’s operations.
”These plans are expected to be implemented within 3 years from our listing,” added Liew. Alliance Islamic Bank Bhd is Unique Fire’s principal adviser, sponsor, sole underwriter and placement agent. – June 29, 2022
