CBL International announces IPO pricing of US$13.3 mln

KUALA LUMPUR, March 24 (Bernama) – A marine fuel logistics company, CBL International Limited (CBL International or the Company), together with its wholly owned subsidiaries announced the pricing of its initial public offering (IPO) of 3,325,000 ordinary shares (Shares) at a price to public of US$4 per Share. (US$1=RM4.42)

The price is for the total offering size of approximately US$13.3 million, assuming the underwriters do not exercise their over-allotment option to purchase additional Shares.

According to a statement, the Shares will begin trading on March 23, on the Nasdaq Capital Market under the symbol BANL, and the offering is expected to close on March 24, subject to customary closing conditions.

CBL International has granted the underwriters a 45-day option to purchase up to an aggregate of 498,750 additional Shares to cover over-allotments at the IPO price, less underwriting discounts.

If the underwriters exercise their option to purchase the additional Shares in full, the total proceeds from the offering are expected to be approximately US$15.3 million.

The Company intends to use the net proceeds from the offering for enlarging the number of local suppliers to enhance its competitiveness as well as to increase the service options available in the Singapore and South Korea markets.

The proceeds will further increase the Company’s business market shares in existing markets; for cash collateral to conduct trade financing activities with financial institutions, thus creating transaction records for further acquisition of bank financing to facilitate its business growth.

It also will be used for procuring and developing a centralised management information system in order to enhance its daily management control and treasury management; and other working capital and general corporate purposes.

Pacific Century Securities, LLC is acting as lead book running manager of this offering, Loeb & Loeb LLP as counsel to the Company, and The Crone Law Group, P.C. as counsel to Pacific Century Securities, LLC.

-- BERNAMA