KUALA LUMPUR, Oct 2 (Reuters) - Malaysian home-improvement
retailer Mr DIY has secured more than a dozen cornerstone
investors, including BlackRock Inc, AIA Group Ltd and J.P.
Morgan Asset Management for a market debut that could raise 1.5
billion ringgit ($360.75 million), sources said.
The initial public offering (IPO) would be the largest in
Malaysia for more than three years. Lotte Chemical Titan
raised 3.77 billion ringgit in July 2017.
Other cornerstone investors include Fidelity Investments and
Aberdeen Standard Investments, one of four sources with
knowledge of the deal said.
The company has set the offering at an indicative IPO price
of 1.60 ringgit with the aim of raising around 1.5 billion
ringgit, said sources, who declined to be named as the process
One said some of the foreign funds are returning as IPO
cornerstone investors in the Malaysian market after a few years
of hiatus, keen on the Mr DIY's business that sells household,
hardware and electrical products at affordable prices in over
"They like the company and there is lots of interest in this
sector which has done very well," the source said. The business
has performed during the COVID-19 pandemic as people spend more
time at home and carry out improvements.
AIA declined to comment. Mr DIY, BlackRock, JP
Morgan Asset Management, Fidelity Investments and Aberdeen
Standard Investments did not immediately reply to a request for
Mr DIY, backed by private equity firm Creador, in January
listed a draft prospectus but in March decided to delay its
listing before Malaysia went into a movement control order to
curb the spread of the novel coronavirus.
It restarted its IPO process in July as business picked up
after movement restrictions were eased from May.
The company will launch its prospectus next week.
($1 = 4.1580 ringgit)
(Reporting by Liz Lee; editing by Barbara Lewis)