KUALA LUMPUR: Building construction services provider SLGC Bhd has signed an underwriting agreement with M&A Securities Sdn Bhd for its upcoming initial public offering (IPO) on the ACE Market of Bursa Malaysia.
The IPO exercise involves a public issue of 105.0 million shares, representing 18.75% of its enlarged share capital, and an offer for sale of 63.0 million existing shares, representing 11.25% of its enlarged share capital.
Of the 105.0 million shares issued, 28.0 million will be made available to the Malaysian public via balloting, while 2.0 million will be allocated to eligible directors and employees of the group (pink form allocation).
A further 70.0 million issue shares will be offered by way of private placement to selected Bumiputera investors approved by the Ministry of Investment, Trade and Industry (Miti), while the remaining 5.0 million issue shares will be offered by way of private placement to selected investors.
Similarly, the 63.0 million shares will be made available through a private placement to selected investors.
Pursuant to the underwriting agreement, M&A Securities will underwrite a total of 30.0 million shares made available to the Malaysian public and eligible directors and employees under the pink form allocation.
M&A Securities will place the 70.0 million issue shares reserved for private placement to Bumiputera investors approved by Miti, the 5.0 million issue shares reserved for selected investors, and the 63.0 million offer shares in its capacity as the placement agent.
SLGC managing director Yong Zhen Lin said that the signing of this underwriting agreement with M&A Securities marks a significant milestone in its journey towards listing on the ACE Market of Bursa Malaysia.
“Since our establishment in 2009, we have steadily expanded our capabilities and geographical presence, progressing from a subcontractor in Johor to a main contractor undertaking a diverse range of building construction projects across the Klang Valley.
“The IPO will provide us with additional resources to strengthen our construction capabilities and support the group’s next phase of growth. Proceeds from the public issue will be deployed to support our strategic initiatives, including the purchase of construction machinery and equipment, the upgrade of our construction management software, the repayment of bank borrowings and general working capital.
“These plans are aimed at enhancing our operational efficiency, reducing reliance on rented equipment, and strengthening our competitiveness in securing and executing higher-value projects,” he said.
SLGC, through its subsidiaries, SLG Construction Sdn Bhd and Allpace Engineering Sdn Bhd, is involved in building construction, including design-and-build services.
The group undertakes projects primarily as a main contractor, specialising in non-residential buildings, including commercial and industrial buildings, as well as landed and high-rise residential buildings.
In addition, the group also undertakes external and ancillary works related to building construction.
Established in 2009, SLGC has built a track record spanning approximately 17 years.
It began as a subcontractor in Johor and has since expanded its geographical presence, undertaking projects across Melaka, Negeri Sembilan, Selangor and Kuala Lumpur.
Its portfolio comprises commercial and industrial buildings such as factories, warehouses, and schools, as well as landed and high-rise residential developments, reflecting its capability to deliver construction projects across diverse building categories.
SLG Construction is registered with the Construction Industry Development Board as a Grade G7 contractor under the B04, CE21 and M15 specialisations, allowing it to undertake projects of any size and unlimited tender value within Malaysia.
Complementing its contractor credentials, the group has implemented management systems certified to ISO 9001:2015 and ISO 45001:2018 standards and has incorporated the industrialised building system (IBS) in its projects, including the use of aluminium formwork, to improve construction consistency, productivity, and finishing quality.
Based on its prospectus, SLGC recorded revenue of RM229.6 million and profit after tax (PAT) of RM16.0 million for the financial year ended Dec 31, 2024 (FY24), translating into a PAT margin of approximately 7.0%.
The group’s financial performance is further supported by an outstanding order book of RM1.29 billion as of October 2025.
This positions the group well for future growth, with earnings visibility extending through to FY30.
SLGC is expected to be listed on the ACE Market in October 2026.
M&A Securities serves as the principal adviser, sponsor, underwriter, and placement agent for the IPO.
