KUALA LUMPUR (Oct 13): Independent professional cybersecurity services provider LGMS Bhd is seeking a listing on the ACE Market of Bursa Malaysia to raise funds for its business expansion and working capital.
Through its subsidiaries and an associate company, LGMS is involved in cybersecurity assessment, penetration testing, cyber risk management and compliance, and the provision of digital forensic and incident response services.
According to its draft initial public offering prospectus posted on the Securities Commission Malaysia’s website, 91.39 million new shares will be issued under the public issue.
Of this, 22.8 million new shares will be available for application by the Malaysian public and another 12.5 million shares by eligible directors and employees, as well as persons who have contributed to the success of the group.
The remaining shares will be offered via private placement, comprising 11.4 million shares for Ministry of International Trade and Industry (MITI)-approved Bumiputera investors and 44.69 million shares for selected investors.
The IPO also comprises an offer for sale of 45.6 million existing shares by way of private placement to identified Bumiputera investors approved by MITI.
For the financial year ended 2020 (FY20), LGMS posted a higher revenue of RM20.65 million compared with RM20.56 million in FY19. The group recorded a revenue of RM17.39 million in FY18.
The group’s revenue is mainly supported by contributions from the local market, in addition to Singapore, other ASEAN countries (Cambodia, Indonesia, Thailand and Vietnam), Asian countries (India, Taiwan, Japan and Hong Kong SAR), as well as Canada, Netherlands, Maldives, Australia, Saudi Arabia, France and USA.
LGMS said its business expansion comprises purchase of office, expansion of workforce, capital expenditure on equipment and tools, as well as strategic business expansion.
UOB Kay Hian Securities (M) Sdn Bhd is the principal adviser for the IPO.