First the news said one of the related company licence got suspended, the IPO postpone or delay. Then I thought I saw reinstate, maybe saw wrongly. Now is withdraw.
KUALA LUMPUR (July 26): Ranhill Energy and Resources Bhd announced that it has decided to withdraw its initial public offer (IPO) application and not to proceed with the exercise in light of recent negative developments.
It said all monies of investors/applicants who have subscribed to the IPO would be refunded, without interest.
In a late press release, the oil and gas player said: “Given recent events and after consulting the Principal Adviser…, the board of directors of the company has decided to withdraw the application for the IPO which was submitted to the Securities Commission Malaysia (SC) on Jan 14, 2013, and not to proceed with the IPO.”
It added that the SC has required Ranhill and Maybank Investment Bank to ensure all application/placement monies received from the applicants/investors are duly refunded in a timely and orderly manner.
In its IPO, Ranhill had offered for sale of up to 407,000,000 ordinary shares of RM1.00 each in the company and had planned to list its entire 961,700,000 shares of RM1.00 each on the Main Market of Bursa Malaysia Securities on July 31.
But unfortunately, a news broke this week on the suspension of the licence issued by Petroliam Nasional Berhad (PETRONAS) to Perunding Ranhill Worley Sdn Bhd (PRW), an affiliate of Ranhill.
This development had derailed its entire listing plan after launching its IPO.
And although yesterday, the company received a letter from PETRONAS stating that PETRONAS had agreed to uplift the suspension of PRW in upstream activities, the suspension for downstream activities stays.
With all these developments, no one would dare to guarantee the share performance of Ranhill on July 31 if it goes ahead with its listing debut.
Source: The Edge.
More info on RANHILL, here.
More info on IPO, here.
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