MR.DIY TO CONTINUE EXPANSION
Managing director, however, does not say how firm will raise funds for growth
MR.DIY Group (M) Sdn Bhd, Malaysia’s largest home improvement retailer, is planning to open a few hundred more stores locally in an aggressive expansion strategy.
However, the company is keeping mum on how it plans to fund the growth.
Managing director Adrian Ong said the company, which had opened 100 stores annually in the past three years, would continue
with the growth pace.
“We plan to open 100 stores every year. We feel that we should continue with this pace,” he said at the opening of its 500th and largest flagship concept store in 1 Utama Shopping Centre, here, yesterday.
Ong, however, declined to answer questions pertaining to the firm’s initial public offering (IPO) or fundraising plans.
MR.DIY was reportedly looking at the equity market for capital in a deal that could turn it into one of the country’s biggest firms by market capitalisation.
A report revealed that MR.DIY was planning to launch an IPO in Malaysia or Hong Kong in the fourth quarter to support domestic growth.
It aims to raise RM1.5 billion and seek a market value of about RM10 billion.
The potential listing of MR.DIY could mark the return of mega IPOs to Bursa Malaysia since Lotte Chemical Titan Holding Bhd and Eco World International Bhd’s share-sales in 2017.
However, with the local bourse stuttering and fund outflows, the likelihood of the IPO happening soon may be slim.
There were only two listings on Main Market of Bursa Malaysia last year — Mi Equipment Holdings Bhd and Techbond Group Bhd — which raised a total RM231 million.
Ong said MR.DIY planned to open 10 more stores next month, with one in Hartamas Shopping Centre.
The 1 Utama store sells a wide variety of products in a spacious site.
MR.DIY is a homegrown enterprise with more than 750 stores throughout Asia Pacific and over 8,000 employees.
The company has operations in Thailand, Brunei, Indonesia, the Philippines and Singapore.