Question
KUALA LUMPUR: Farm Fresh Bhd has today signed an underwriting agreement with a group of banks in conjunction with its listing on Bursa Malaysia's Main
KUALA LUMPUR: Farm Fresh Bhd has today signed an underwriting agreement with a group of banks in conjunction with its listing on Bursa Malaysia's Main Market. The vertically integrated dairy group said it expected to be listed in the first quarter of this year. Farm Fresh today signed the underwriting agreement with CIMB Investment Bank Bhd, Maybank Investment Bank Bhd, Affin Hwang Investment Bank Bhd, AmInvestment Bank Bhd, Hong Leong Investment Bank Bhd and RHB Investment Bank Bhd.
The company's initial public offering (IPO) entails up to 743.2 million shares, comprising an offer for sale of up to 520.2 million existing shares and a public issue of 223.0 million new shares. Farm Fresh said of the 743.2 million, institutional investors would be offered of up to 687.4 million shares, representing about 37 per cent of its enlarged issued share capital. It is offering 167.2 million shares and up to 65.0 million offer shares to Bumiputera investors approved by the International Trade and Industry Ministry.
Ayisy Yusof (2022, February, 15). Farm Fresh to be listed by March, offering 743.2mil new & existing shares. Retrieved February 21, 2022, https://www.nst.com.my/business/2022/02/771634/farm-fresh-be-listed-march- offering-7432mil-new-existing-shares "Disclaimer: For educational purpose only"
Questions
(a)Behind every successful company, there are few helping hands such as the investor and financial institutions. Imagine you are one of the investors that want to add value to Farm Fresh Bhd. Explain ONE (1) way that you could obtain your goal. Provide suitable example. (5 marks)
(b)Briefly explain FOUR (4) reasons that encourage Farm Fresh Bhd to be listed in Bursa. Provide suitable examples. (20 marks)
Step by Step Solution
There are 3 Steps involved in it
Step: 1
a Adding Value to Farm Fresh Bhd as an Investor To add value to Farm Fresh Bhd as an investor one effective way is through strategic financial guidanc...Get Instant Access to Expert-Tailored Solutions
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Step: 2
Step: 3
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