BURSA Malaysia’s LEAP Market-bound Steel Hawk Bhd has launched the information memorandum for its eventual listing on the LEAP Market of Bursa Malaysia.
The listing exercise involves placing out 16 million ordinary shares which are equivalent to 10% of its enlarged issue share capital to selected sophisticated investors at 20 sen/share.
This will raise RM3.2 mil of which the proceeds are intended to provide additional financial flexibility to support Steel Hawk’s growth strategy by, among others, setting up two fire-rated door assembly lines and construction of a mud cooler system.
Apart from the 16 million new shares to sophisticated investors, the remaining 144 million shares are held by the promoters. Post-listing, Steel Hawk expects to implement a dividend policy entailing a minimum 30% return of its earnings to shareholders.
Steel Hawk started off with its initial business of engineering, procurement, construction and commissioning (EPCC) services for chemical injection skids at offshore exploration and production platforms in October 2012 via its subsidiary Steel Hawk Engineering Sdn Bhd.
Following its business expansion, the group is now primarily involved in the oil and gas (O&G) support services which include EPCC and facilities improvement or maintenance plus installation, maintenance and supply of oilfield equipment through Steel Hawk Engineering.
“As a new entrant to the capital market, we will use this platform to accelerate our growth and realise our plan in optimising project outcome while delivering desirable results to our clients,” commented Steel Hawk’s group executive director and CEO Datuk Sharman Kristy Michael.
Additionally, Steel Hawk plans to expand its footprint in the overseas market, primarily into Brunei and Indonesia, in the medium-term by appointing distributors and suppliers to leverage its networks to supply its products to the O&G industry. – Sept 10, 2021
