Steel Hawk plans to raise RM3.2mil from LEAP Market listing

KUALA LUMPUR: Oil and gas support services provider Steel Hawk Bhd aims to raise RM3.2mil from a listing on the LEAP Market of Bursa Malaysia to fund its expansion plans.

In a statement issued in conjunction with the launch of its information memorandum, the group said the listing exercise involves the placement of 16 million shares or 10% of its enlarged issued share capital to selected sophisticated investors at 20 sen per share.

The proceeds of the listing will go towards its growth strategy, among which includes the setting up of two fire-rated door assembly line and the construction of a mud cooler system.

Apart from the share placement, the remaining 144 million shares in the compay are held by the promoters.

Post-listing, the company will implement a dividend policy to return a minimum of 30% of its earnings to shareholders.

Steel Hawk, via its subsidiary Steel Hawk Engineering Sdn Bhd, began in October 2012 as a provider of engineering, procurement, construction and commissioning services for chemical injection skids at offshore exploration and production platforms.

Following an expansion, the group is now primarily involved in oil and gas support services, which include EPCC services, facilities improvement and maintenance and the maintenance and supply of oilfield equipment.

According to Steel Hawk’s group executive director and CEO Datuk Sharman Kristy Michael, the group aims to expand its footprint in overseas markets, primarily Brunei and Indonesia.

Over the medium term, it plans to appoint distributors and suppliers in these countries and leverage their networks to supply products to the oil and gas industry.

“On behalf of Steel Hawk’s board of directors, I would like to express my profound commitment to our clients, advisors, various stakeholders and our talented team to take Steel Hawk to the next level.

“As a new entrant to the capital market, we will use this platform to accelerate our growth to realize our plan in optimising project outcome and deliver desirable results to our clients,” said Sharman Kristy.