EVERGREEN Fibreboard Bhd has received the Securities Commission's (SC) approval for listing on the main board of Bursa Malaysia Bhd.

Evergreen, an integrated producer of engineered wood-based panel products focusing on Medium Density Fibreboard (MDF), will offer 93.66 million new shares of RM0.25 each in its public issue pursuant to its listing exercise.

The public issue would comprise 24 million new shares. Some six million new shares will be made available for eligible directors and employees of the group while 10.66 million shares would be privately placed. The remaining 53 million new shares for placement are for approved Bumiputera investors.

As part of the listing exercise, the company will also make a restricted offer for sale of 113.0 million shares, comprising 41.5 million shares by way of private placement and 71.5 million shares for placement to approved Bumiputera investors.

The SC's approval will enable Evergreen Fibreboard to list and quote its entire issued and paid-up share capital after the public issue of 120 million shares on the main board of Bursa Malaysia.

Commenting on the approval, Evergreen Fibreboard chairman Mohd Alkaf bin Mohd Kahar said the RM106.772 million raised from the public issue would primarily be for repayment of borrowings and additional working capital, which would facilitate the group's business expansion.

“We are already the leading exporter of MDF and, moving forward, we want to position our company strategically to meet the growing overseas demand for our products,” he said.

With 27 years of experience built around its MDF products, Evergreen Fibreboard also has complementary manufacturing activities in particleboard and furniture.