Manforce inks underwriting deal ahead of ACE Market listing

KUALA LUMPUR (March 18): Manforce Group Bhd has signed an underwriting agreement with M&A Securities Sdn Bhd in preparation for its upcoming initial public offering (IPO) on the ACE Market of Bursa Malaysia.

Established in 2005, Manforce provides integrated foreign worker management services, including human resources administration, immigration and regulatory compliance, accommodation and transportation, payroll, as well as medical and insurance coordination.

The group serves clients across manufacturing, services and construction sectors, with key exposure to F&B, retail, consumer goods, healthcare, property and automotive industries, supported by operations throughout Peninsular Malaysia.

According to its draft prospectus on Bursa Securities’ website, the IPO involves a public issue of 99.98 million new ordinary shares and an offer for sale of 19.99 million existing shares.

This represents 25 per cent of its enlarged share capital of 399.98 million shares.

Of the public issue, 19.99 million shares will be allocated to Malaysian public, 10 million share for eligible persons, 19.99 million shares for private placement to selected investors, and 29.99 million shares for private placement to Bumiputera investors approved by the Ministry of Investment, Trade and Industry (MITI).

Separately, the 19.99 million existing shares will be offered via private placement to Bumiputera investors approved by MITI.

Under the agreement, M&A Securities will underwrite 29.99 million shares allocated to the Malaysian public and eligible persons. The remaining shares will be placed out to Bumiputera and selected investors.

Managing director Datuk Wong Boon Ming said Manforce has built a resilient business foundation centred on compliance, efficiency, and digital transformation.

“With the IPO proceeds, we intend to expand our worker management capacity, enhance IT and automation systems, and strengthen our service ecosystem to meet Malaysia’s growing workforce demands.

“This listing will allow us to further scale our operations and reinforce our position as a trusted and responsible workforce management partner,” he said in a statement.

Proceeds from the IPO will be used for business expansion, including new worker recruitment quotas, improvements to IT and operational systems, working capital and listing expenses.

The group expects these investments to support operational efficiency, scalability and service innovation.

M&A Securities is the principal adviser, sponsor, underwriter and placement agent for the exercise, while Eco Asia Capital Advisory Sdn Bhd is the financial adviser.