Malaysian bioinformatics services contractor Malaysian Genomics Resource Centre Bhd (MGRC) will go public with a listing on Bursa Malaysia’s technology-centric ACE Market, hoping to raise RM18.47 million (US$5.9 million) from an initial offering of 17.1 million new shares.
The company plans to use 37.4% of the proceeds on capital expenditure and new next-gen sequencing machines, as well as 24.7% on working capital, 10.8% on marketing and around 8% on research and development.
MGRC provides a range of gene sequencing and analysis services to life science researchers around the world with an emphasis on fast and accurate results, using its proprietary technology to mine DNA databases and find patterns and relationships between sequences. Its information can be used in medical and other research where speed and data volume requirements usually make costs prohibitive for in-house operations. Thanks to the exponential-growth nature of the required technology, sheer amounts of data and gene science itself, providing services with the latest hardware and techniques is vital to maintaining an edge. An injection of funds from a successful IPO will also allow MGRC to expand its client base worldwide.
MGRC has been in business since 2005, in conjunction with the Malaysian Biotechnology Corporation (BiotechCorp), an agency under the Ministry of Science, Technology and Innovation. Its global headquarters are in Kuala Lumpur.
The IPO’s 17.1 million new shares will be sold at 10 sen (3 cents) each. Two million are for retail investors, 14.5 million for private placement and 0.6 million are reserved for company directors. Also available are 2 million existing shares at RM1.08 each.
article: Business Times