KUALA LUMPUR (Jan 9): KEB Bhd has filed its prospectus with Bursa Malaysia for a proposed initial public offering (IPO) on the ACE Market, as the property developer seeks to raise funds to finance further land acquisitions to replenish its development pipeline.
According to the draft prospectus exposure, the IPO will involve a public issue of 138.54 million new shares representing 15.7% of the company’s enlarged share capital, with an offer for sale of 88.24 million existing shares (10%) by its promoters.
On completion of the listing, KEB will have an enlarged issued share capital of 882.39 million shares. The IPO price and the indicative market capitalisation upon listing have yet to be determined.
KEB is mainly involved in property development, covering residential, industrial, commercial and mixed-use projects. Its projects are primarily located in the Klang Valley, Negeri Sembilan and Melaka. The group also undertakes construction works in-house through its wholly-owned KEB Utama Sdn Bhd, which holds a Grade 7 certification from the Construction Industry Development Board.
Led by its managing director Datuk Lim Kim Chong, KEB has completed 14 projects with a combined gross development value (GDV) of about RM1.35 billion. It currently has two ongoing developments worth an estimated RM773.3 million. It plans to launch four more projects between 2026 and 2028, with a total estimated GDV of about RM940.7 million. It has a landbank of about 29.77 acres now, spread across Cheras, Kajang, Semenyih and Melaka.
The group made a profit after tax of RM24.88 million for the financial period ended 2025 (FYE2025), up from RM20.17 million in FPE2024, as revenue jumped to RM153.34 million from RM91.43 million. Its profit after tax margin, however, dropped from 22.1% to 16.2%.
KEB plans to use gross proceeds from the public issue for the acquisition of additional landbanks, as well as for working capital and listing expenses.
The promoters and selling shareholders, Kim Chong and his son, executive director Vinson Lim, will see their combined shareholding diluted to 67.6% after the IPO, from 92.0% previously.
Both will remain substantial shareholders, with Kim Chong’s stake falling to 52.2% from 66.6% and Vinson’s to 15.4% from 25.4%, after listing.
M&A Securities Sdn Bhd is the principal adviser, sponsor, underwriter and placement agent for the proposed listing.
