Kuala Lumpur: The public portion of Sarawak-based telecommunications company Reach Ten Holdings Bhd’s initial public offering (IPO) has been oversubscribed by 1.85 times, ahead of its scheduled listing on the Main Market of Bursa Malaysia on May 2, 2025.
According to BERNAMA News Agency, Reach Ten Holdings Bhd announced that it received a total of 2,706 applications for 142.65 million new shares, surpassing the 50 million shares allocated for public subscription. The company’s statement highlighted the interest from both bumiputera and non-bumiputera investors. Specifically, the bumiputera portion of shares was oversubscribed by 1.11 times, with 945 applications for 52.79 million shares. In contrast, the non-bumiputera portion received 1,761 applications for 89.86 million shares, marking an oversubscription rate of 2.59 times.
The telecommunications company further reported that the 25 million new shares set aside for eligible directors, employees, and contributors to its success under the pink form allocations have been fully subscribed. Additionally, Reach Ten confirmed that its placement agent successfully placed out 225 million shares available for private placement to bumiputera investors, approved by the Ministry of Investment Trade and Industry (MITI), and selected investors.
Managing Director Leo Chin expressed optimism about the company’s future growth plans. He stated that the funds raised from the IPO would enable Reach Ten to expand its telecommunications infrastructure in Sarawak. The company plans to accelerate its expansion of the fibre optic network infrastructure and intends to construct an additional 100 4G and/or 5G telecommunication towers in Sarawak. These efforts aim to support the state government’s initiative to enhance internet coverage and connectivity in rural regions.
Under its listing exercise, Reach Ten aims to raise RM104 million from the public issue of 200 million new shares, priced at RM0.52 per share. MandA Securities Sdn Bhd is acting as the principal adviser, underwriter, and placement agent for the IPO exercise.