Malaysia’s OMS puts US$300 million IPO on hold: sources

MALAYSIAN telecommunications infrastructure group OMS has put its plan to list on hold due to unfavourable market conditions, two sources with knowledge of the matter said.

The initial public offering (IPO), which could raise US$300 million, would have been the biggest in Malaysia since 2020 when home improvement retailer Mr DIY Group went public, raising RM1.5 billion (S$434 million).

OMS will revisit the plan if and when the broader IPO market improves, said the sources, who declined to be named as the matter was private.

The sources said OMS had planned the IPO on Bursa Malaysia this year and had worked with banks including CIMB.

OMS did not respond to requests for comment. CIMB said it does not disclose or comment on specific names or clients.

Malaysia’s IPO market raised US$621.3 million in the first nine months of 2023, down 15 per cent from the same period a year ago, according to LSEG data. The global market has been broadly weaker, with IPO proceeds raised so far this year down 25.4 per cent to US$87.3 billion, compared with the same period a year ago, LSEG data shows.

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OMS offers services including sub-sea telecommunications installation and maintenance, as well as digital infrastructure engineering, procurement, maintenance and construction. Its clients include tech companies, telecommunication companies and telecommunications equipment suppliers.

At the end of 2021, OMS raised US$32 million by selling a 10 per cent stake to investors including AIA and MIDF Amanah Ventures in its first external equity fundraising since it began operations more than two decades ago. REUTERS