Teamstar signs underwriting deal with TA Securities for ACE Market IPO

KUALA LUMPUR (Jan 12): Teamstar Bhd has signed an underwriting agreement with TA Securities to underwrite 40 million issue shares and 16 million offer shares in conjunction with its upcoming initial public offering (IPO) on the ACE Market of Bursa Malaysia.

In a statement on Monday, Teamstar said it is targeting a listing by the first quarter of 2026, with its entire enlarged issued share capital of 800 million ordinary shares to be listed.

The IPO involves the public offering of 204 million ordinary shares, comprising 132 million issue shares and 72 million offer shares, representing 25.5 per cent of the enlarged share capital.

Of the issue shares, 40 million will be allocated to the Malaysian public, while the remaining 92 million will be placed with Bumiputera investors approved by the Ministry of Investment, Trade and Industry (MITI).

Meanwhile, the offer shares include 16 million shares set aside for eligible directors, employees and contributors to the Teamstar Group, 48 million shares for placement to selected investors, and eight million shares for placement to identified Bumiputera investors approved by MITI.

Teamstar is an investment holding company with subsidiaries involved in the retail sale and trading of furniture fittings, general hardware, kitchen and home appliances, as well as value-added services such as edge banding slitting and the mixing and sale of coatings and solvents.

Executive vice chairman and group chief executive officer Tan Lee Kueng said part of the IPO proceeds will be used to fund the establishment of 10 new retail outlets nationwide to strengthen brand visibility and expand the customer base.

“As at May 31, 2025, we manage and operate 28 retail outlets across Peninsular Malaysia. We intend to further expand our presence, particularly in Johor, Kedah and Pulau Pinang, as well as Sabah and Sarawak, marking our entry into East Malaysia,” he said.

Tan added that the remaining proceeds will be used to purchase or renovate new warehouses, provide working capital for day-to-day operations, including inventory purchases, workforce expansion and promotional activities, partially repay bank borrowings, and defray listing-related expenses.

Since opening its first retail outlet in 2008, the group has built a wide retail network. As at May 31, 2025, Teamstar operates 27 “Teamstar” outlets and one “Benova” outlet nationwide. Its operations are also supported by two factories and six warehouses in Peninsular Malaysia.

As at the same date, the group managed approximately 22,700 stock keeping units across its retail, trading and value-added segments.

Teamstar also markets products under 11 in-house brands, all of which are registered trademarks with the Intellectual Property Corporation of Malaysia.

TA Securities is the principal adviser, sponsor, sole underwriter and sole placement agent for Teamstar’s IPO.