30 June 2012

IHH Healthcare IPO Update: IHH Healthcare Bhd IPO to offer 2.23 billion shares and set to be listed on 25 July under a dual listing on Bursa Malaysia and Singapore Stock Exchange

Khazanah Nasional Bhd’s IHH Healthcare Bhd is offering 2.23 billion shares under its dual listing on Bursa Malaysia and Singapore Exchange.

IHH is set to be listed on July 25 and will fix the prices for institutional and retail investors on July 12, according to its draft prospectus posted on the Securities Commission’s website
yesterday.

IHH’s initial public offering (IPO) will be Malaysia’s second largest this year after the planned US$3.1 billion (RM9.8 billion) listing of Felda Global Ventures Holdings Bhd and among the top three in Singapore.

Malaysia has become Asia’s top listing destination this year, bucking the IPO trend in other countries.

Singapore, for example, saw motor racing firm Formula One and Manchester United football club either postpone or cancel their multibillion dollar offering due to volatile markets.

IHH will be one of the largest listed private healthcare providers in the world based on market capitalisation upon listing, the draft prospectus noted.

The IPO entails a 1.8 billion public issue by IHH and an offer for sale of 434.65 million shares by major shareholder Khazanah.

Of the combined 2.23 billion shares, 1.39 billion are set aside for cornerstone investors and 498.01 million for local and foreign institutional investors including those approved by the Ministry of International Trade and Industry (Miti).

Under the 498.01 million portion, 360 million shares are meant for Miti investors, while the balance 138.01 million units are for global institutions.

A total of 208.51 million shares are allocated to retail investors and people who have contributed to the IHH group, including company staff and directors and business associates.

Rounding up the 2.23 billion shares, IHH and Khazanah are offering up to 140.64 million shares to retail investors in Singapore.

Khazanah owns 62.1 per cent of IHH.

Other shareholders are Japan's Mitsui & Co Ltd with a 26.6 per cent stake, Dubai-based Abraaj Capital (7.1 per cent) and Acibadem chief Mehmet Ali Aydinlar (4.2 per cent).

Blackrock Inc, Capital Group, Kuwait Investment Authority and Och-Ziff Capital Management Group are among cornerstone investors in IHH, according to the draft prospectus. Others include sovereign wealth fund Government of Singapore Investment Corp, Fullerton Fund Management, AIA Group and Hwang Investment Management.

The cornerstone investors among local funds include the Employees Provident Fund (EPF), Permodalan Nasional Bhd, Lembaga Tabung Haji, Tan Sri Chua Ma Yu's CMY Capital Markets Sdn Bhd, Eastspring Investments Bhd and CIMB-Principal Asset Management Bhd.

The institutional price will be determined by a book-building process that will start on July 4 and end on July 12.

The retail price will be determined after the institutional price is fixed.

IIH said its historical combined net asset (NA) per share before adjusting for the IPO as at March 31 2012 was RM11.54 billion, or RM1.86 per share.

The hospital company also noted that proceeds from the IPO will be partially used to pare down its debts. It did not disclose how much loans will be repaid but said that the move would save some RM120 million in interest payment.

For the year ended December 31 2011 and the three months ended 31 March 2012, IHH had combined revenues of RM3.33 billion and RM1.28 billion respectively.

Its assets include Turkish hospital group Acibadem AS, Singapore's Parkway Holdings, India's Apollo Hospitals Enterprise Ltd, Pantai Hospitals and International Medical University.

Source: www.btimes.com.my

0 comments:

Post a Comment