Panda Eco System IPO sees record oversubscription rates

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Panda Eco System Bhd, a provider of retail management solutions, has witnessed a remarkable market response to its initial public offering (IPO) on Bursa Malaysia’s Ace Market. The company’s IPO, set for November 27, 2023, saw an overwhelming oversubscription rate from the Malaysian public, signaling strong investor confidence in the firm’s future.

The IPO was oversubscribed by a staggering 153.47 times with the Malaysian public showing immense interest. A total of 20,021 applications were submitted for over 5 billion shares, despite only 33.56 million shares being allocated to the public out of the 109.27 million new shares issued. This high demand reflects the market’s appetite for new and promising tech ventures.

The breakdown of the subscription rates reveals that the Bumiputera portion of the offering was oversubscribed by 142.85 times, while the general public portion exceeded expectations with an oversubscription rate of 164.08 times. The remaining shares were distributed among company insiders and selected private investors.

Panda Eco System intends to raise RM17.5 million (USD1 = MYR4.6800) through this IPO. The funds are earmarked for several strategic initiatives including:

  • Business expansion both domestically and regionally.
  • Development of new solutions to enhance their offerings.
  • Recruitment of additional engineers to bolster customer technical service.
  • Expansion of their new headquarters to support growth.

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