HE Group Bhd’s initial public offering (IPO) on the ACE Market of Bursa Malaysia has been oversubscribed by 63.35 times.

The 22 million IPO shares made available received an impressive 12,201 applications, totaling a staggering 1.42 billion IPO shares valued at RM396.37 million.

Notably, the Bumiputera and public categories have oversubscription rates of 71.90 times and 54.79 times, respectively, indicating robust investor interest. 

The company aims to raise approximately RM24.33 million from the IPO for purposes such as working capital, business expansion, listing expenses, and capital expenditure. 

The focus is on Hexatech Engineering Sdn Bhd, a subsidiary specialising in power distribution systems. 

HE Group’s success underscores market confidence, with Alliance Islamic Bank Bhd confirming full subscription of 44 million IPO shares through private placement. – TMR