The Launching of Prospectus by RICHTECH Digital Berhad

 RichTech Digital Berhad (“RichTech” or the “Company”), a company engaged in the distribution of electronic top-ups and the provision of bill payment services in Malaysia, announces the successful launch of its prospectus for its Initial Public Offering (“IPO”) in conjunction with its listing on the ACE Market of Bursa Malaysia Securities Berhad (“Bursa Securities”). This achievement underscores RichTech's dedication to further improves its position in the dynamic electronic value-added and bill payment services industry.

Mr. Lee Teik Keong 李德强先生, Managing Director, RichTech Digital Berhad; En. Ahmad Fazlee bin Aziz , Co-Head / Director, Corporate finance, KAF Investment Bank Berhad

From Left: Mr. Yau Ming Teck 姚茗德先, Substantial Shareholder, RichTech Digital Berhad; Ms. Agnes Wong Eei Nien 黄于宁女, Executive Director, RichTech Digital Berhad; Mr. Lee Teik Keong 李德强先生, Managing Director, RichTech Digital Berhad; En. Ahmad Fazlee bin Aziz , Co-Head / Director, Corporate finance, KAF Investment Bank Berhad; Mr. Wong Koon Wai 黃義棋先生 Independent Non-Executive Chairman, RichTech Digital Berhad; Mr. Yap Chin Fatt 叶进发先生, Director, Corporate Finance of KAF Investment Bank Berhad

This IPO is expected to accumulate RM13.67 million through the issuance of 54.66 million new ordinary shares at an IPO price of RM0.25. Funds raised will be strategically allocated to drive digital innovation and market expansion:

 

• RM4.50 million for marketing, promotion and collaboration activities to expand the end-user user base for the SRS App and SRS Portal.

• RM3.00 million for the acquisition of a new office, consolidating RichTech's headquarters and branch offices under one roof for corporate profiling and administrative facilities.

• RM3.00 million for working capital to support the growing number of digital transactions and platform scaling.

• RM3.17 million for estimated listing expenses.

Mr Lee Teik Keong, Managing Director of RichTech, said, "As Malaysia accelerates towards a fully digital economy, RichTech is positioned and ready to take part in this transformation. 

Our IPO represents more than just a capital raising effort – it reflects our dedication to improve the convenience and accessibility of services electronic top-up and bill payment for various users Through our enhanced SRS platform, we enable businesses and consumers to adopt a seamless digital solution for electronic top-up and bill payment, in line with national and global digitalization trends."

Mr Lee Teik Keong, Managing Director of RichTech

Mr. Ahmad Fazlee bin Aziz, Joint Head / Director, Corporate Finance of KAF, said, “RichTech's IPO reflects the Company's strong foundation and huge growth potential in Malaysia's growing electronic top-up and bill payment services industry. We are proud to support RichTech in achieving its vision to become one of the leading forces in the sector, leveraging its innovative platform and strong market presence.”

Mr. Ahmad Fazlee bin Aziz, Joint Head / Director, Corporate Finance of KAF

According to the Independent Market Research Report (“IMR”), the top-up and electronic bill payment services industry in Malaysia has experienced significant growth, with commissions and/or incentives generated from these services growing at a compound annual growth rate (“CAGR”) of 12.9% between 2019 and 2023. The sector is expected to maintain strong momentum with a CAGR of 11.5% from 2024 to 2026. RichTech, with its robust SRS platform and extensive user network, is positioned to good to take advantage of this opportunity. Notably, RichTech's proven track record is evident in its impressive gross profit margin growth from 97.09% in FY 2021 to 98.17% in FY 2023, demonstrating its ability to scale efficiently while maintaining service quality.

Applications for the IPO is open from 21 January 2025 and will close on 31 January 2025. 

The listing on the ACE Bursa Securities Market positions RichTech play an important role in shaping Malaysia's digital economic landscape and supporting the nation's digital economic aspirations.

  

KAF Investment Bank Berhad is the Lead Adviser, Sponsor, Underwriter and Placement Agent.