Pestech plans to list subsidiary on CSX
Pestech plans to list subsidiary on CSX
Malaysian power infrastructure provider Pestech International has announced plans to list one of its indirect wholly owned Cambodian subsidiaries on the local stock exchange.
The company said in a filing to the Bursa Malaysia late last week that it is planning an initial public offering (IPO) for Pestech (Cambodia) Ltd (PCL), which constructs electrical substations and transmission lines, on the Cambodian Securities Exchange (CSX).
The listing will “facilitate the better segregation of business responsibilities”, allowing the company and its subsidiary to “better focus on growing their businesses in their respective operating regions”, it said.
“The proposed listing will also enable PCL to gain access to the Cambodian capital market for fund raising to pursue future growth opportunities,” it added.
Pestech, which could not be reached over the weekend, said further details on the IPO would be revealed following an application to the Cambodian securities regulator, tentatively targeted by the second quarter of 2016.
PCL was incorporated in Cambodia in February 2010 and is one of four subsidiaries that Pestech uses on its turnkey electrical transmission projects in the Kingdom.
Pestech completed its first Cambodian transmission line project in June 2013. The company strengthened its presence in the Kingdom the following year with a contract to design, manufacture and install a 198-kilometre transmission line connecting Phnom Penh and Sihanoukville. Last year, it clinched a $92 million contract to develop a 230-kilovolt transmission line between Kratie and Kampong Cham on a BOT basis.
