[SINGAPORE] The initial public offering of semiconductor advanced packaging materials manufacturer Mi Material has been 2.1 times subscribed, ahead of the Singapore-headquartered firm’s debut on the mainboard of the local bourse on Wednesday (Oct 28).
All told, the offering and a separate cornerstone placement represent an aggregate transaction value of about S$215 million.
In a Tuesday evening bourse filing, the company described it as Singapore’s largest semiconductor listing since that of ST Assembly Test Services in 2000.
The company offered roughly 77.5 million shares at S$1.80 apiece, comprising some 6.2 million shares under the Singapore public offer and the remaining near-71.3 million shares under its international offer.
The Singapore public offer was around 1.3 times subscribed, with application monies amounting to some S$14.3 million; its international offer was about 2.2 times subscribed.
Overall, the offering received subscriptions and indications of interest amounting to around S$294 million, said Mi Material.
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A separate placement of more than 41.9 million new shares went to seven cornerstone investors: abrdn Asia, abrdn Malaysia, Amova Asset Management Asia, Areca Capital, Barings Singapore, Fullerton Fund Management, and Manulife Investment Management (Singapore).
The company added that its international offer attracted participation from investors such as AR Capital, and that Amova Asset Management Asia and Fullerton Fund Management participated in a subsequent round of the placement.
OCBC is the issue manager. It is also a joint global coordinator, bookrunner and underwriter for the offering, together with CGS International Securities Singapore.
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Mi Material is expected to have a market capitalisation of around S$891 million upon listing.
Kevin Tan, its CEO and executive director, said: “As semiconductor packaging requirements continue to evolve, our focus remains on strengthening our manufacturing and R&D capabilities, deepening customer relationships and executing our growth strategy to deliver sustainable long-term growth.”
The group intends to use the gross proceeds chiefly to support its expansion plans and strengthen its R&D capabilities.
These include setting up an R&D and demonstration centre in the US and an R&D laboratory in Singapore; expanding its manufacturing capacity in Malaysia; and refurbishing and upgrading its existing production facilities in Taiwan.
The company has nearly three decades of operating experience in the electronics and semiconductor industry.
It is principally engaged in the design, development, manufacturing and commercialisation of precision solder spheres that serve as critical interconnect components in advanced semiconductor packaging.