IHH IPO set for dual listing, record number of cornerstone investors
KUALA LUMPUR, July 3 — The upcoming IHH Healthcare Berhad IPO — the third largest in the world this year — will set a number of regional precedents including the largest dual listing between two ASEAN stock exchanges and the first simultaneous dual listing between Singapore and Malaysia.
It will also set a regional record in terms of number of cornerstone investors with 22, a combination of sovereign wealth funds, global fund managers, corporate interests and insurance companies.
The RM6.4 billion IPO is likely to also give Malaysia bragging rights as the top IPO centre in Asia this year, surpassing traditional financial hub Hong Kong.
Prime Minister Datuk Seri Najib Razak said at the launch of the IHH prospectus here today that the listing represented a major step toward greater cooperation amongst ASEAN bourses.
“I urge companies with significant presence in different ASEAN markets to explore opportunities to tap the domestic and retail investor bases in all their countries of operation,” he said.
IHH’s indicative offer price is RM2.85, which would mean that it could raise up to RM6.4 billion, the third highest amount from an IPO this year behind last week’s Felda Global Ventures Holdings and Facebook in the US.
It is offering 2.235 billion shares of which 62 per cent has been allotted to cornerstone investors and 16 per cent to bumiputera investors nominated by the Ministry of International Trade and Industry.
Of the remaining 22 per cent, 208 million shares will be offered in Malaysia and 141 million in Singapore to retail investors.
Another 138 million will be sold to international and local institutions.
When listed, IHH is expected to have a market capitalization of RM23 billion or S$9.5 billion, the second largest in the world for a private healthcare provider behind HCA Holdings, which is listed in New York.
IHH operates the Parkway Pantai chain of 16 hospitals, which has over 3,000 beds and 60 medical centres, clinics and ancillary healthcare businesses.
It also has a majority stake in Acibadem, which operates a network of 14 hospitals in Turkey.
By Lee Wei Lian
The Malaysian Insider
03 July 2012