MSB Global Group Bhd Seeks RM26.6 Million from IPO to Expand Business Portfolio
Kuala Lumpur – MSB Global Group Bhd, a leading reseller of aftermarket automotive parts and components, is set to raise RM26.6 million through its upcoming initial public offering (IPO) as part of its strategy to expand its business operations.
The company, which is preparing for a listing on the ACE Market of Bursa Malaysia, plans to issue 133 million new ordinary shares at a retail price of 20 sen per share.
As the exclusive distributor of GSP-branded automotive parts in Malaysia, MSB Global offers a wide range of high-quality aftermarket products, including driveshafts, wheel hub assemblies, suspension parts, and steering racks. These components are designed for durability and reliability, catering to the needs of vehicle owners across the country.
In addition to its automotive parts distribution, MSB Global has expanded its presence in the automotive lubricants and fluids market with its in-house brands, FK FUKUOKA and ZR.ZURIC.
During the launch of its IPO prospectus, the company outlined its plans for the allocation of the funds raised. A significant portion, RM4.97 million, will be used for the construction of a new factory and warehouse to support the production of lubricants and fluids. Furthermore, RM6 million will be allocated for the purchase of machinery, equipment, and raw materials needed to establish blending and fill-and-finish production lines. The company also plans to invest RM840,000 in the launch and distribution of its in-house electric vehicle (EV) chargers.
The remaining funds from the IPO will be used for various purposes, including RM5.5 million to repay bank borrowings, RM4.79 million for general working capital, and RM4.5 million to cover listing expenses.
“This IPO is a crucial step in solidifying our position in the automotive aftermarket industry while also enabling us to diversify and expand our product portfolio. With funds dedicated to lubricant production and EV chargers, we are confident that this move will allow us to continue delivering innovative and high-quality solutions to our customers,” said MSB Global Managing Director Datuk Ow Kee Foo.
“We remain committed to creating long-term value for our shareholders and contributing to the continued growth of Malaysia’s automotive sector.”
M & A Securities Sdn Bhd is the principal adviser, sponsor, underwriter, and placement agent for the IPO.
