CLIQ Energy Berhad IPO, Second SPAC in Bursa Malaysia

CLIQ EnergyCLIQ Energy Bhd, the second Special Purpose Acquisition Company (SPAC) after Hibiscus Petroleum is scheduled to be listed in Main Market on 10th April 2013. CLIQ Energy will be involved in Exploration and Production activities in Oil & Gas.

SPAC, is a company which has no operations or income generating business at the point of IPO but undertakes an IPO with the intention of acquiring operating companies/businesses with the proceeds raised from the IPO.

The Initial Public Offering (IPO) consists of 200 to 667 million ordinary shares at an IPO price of RM0.75 per share at RM0.01 par value. It comes with 1 free detachable warrant for each share. The warrants will be listed and tradable from the date of listing, with an exercise price of RM0.50.

The IPO comprises of 10 million shares with 10 million free warrants made available for application by the Malaysian public via balloting

The IPO will raise in between RM150 to RM500 million. The proceed will be used buy as many as three oil and gas (O&G) assets including small to medium gas field within the Asia-Oceanea region by 2016.

More information regarding the company can be found in CLIQ Energy webpage.

Main features of this IPO?

  1. 90% of the IPO proceeds will be placed in a trust account managed by an independent custodian which is a trust company, a licensed bank or merchant bank. In this case  Deutsche Trustees. The remaining 10% will be used for operating expenses.
  2. The downside risk may be further mitigated by the trading of warrants from the date of listing as this IPO comes with a sweeter of 1 free detachable warrant for each share.
  3. The warrants are tradable on listing date. Exercise price is 50 sens with the expiry date of 3 years after listing.
  4. The completion of the Qualifying Acquisition (QA) is within 3 years from the date of listing. If it fails to complete a QA within this time frame, the company will be liquidated and the amount held in trust account will be distributed to shareholders.
  5. CLIQ Energy management team have extensive experience and relevant skills, who comes from Sime Darby, Shell, Petronas Carigali, Esso, SAAG, Perisai and Santos

Hong Leong Investment Bank and Maybank Investment Bank is the Placement Agent and Underwriter of the IPO.

For those who are interested in CLIQ Energy IPO, you may subscribed at ATM machines or via Internet Banking. The subscription period is opened until 29th March 2013 at 5pm. Tentative balloting date is on 2nd April while allotment date is on 8th April 2013.

CLIQ Energy Berhad stock name in Bursa Malaysia is “CLIQ”.

View CLIQ Energy prospectus in Bursa Malaysia webpage.

What do you think about CLIQ Energy IPO? Are you going to subscribe?

10 comments… add one
  • Million blog , will you go for it ?

    • Hi Bryan,

      I think I may go for it but only for a small quantity. Plan to collect when listed if it drops below IPO price. This is based upon my observation on Hibiscus Petroleum. Hope it will perform the same.

      How about you?

  • I guess you can view your blog statistics today, sure a lot people visit. 😛

    • Yes, I notice that the traffic suddenly surge and most visitors come from Facebook. I guess you share my blog. TQVM 🙂

  • Hi, based the experience in the first SPAC, do you think this IPO has the potential to grow?

  • this counter definitely is for long term..if based on hibiscus petroleum past trend, it will take sometime for it to reach our IPO price as in the first day, the price will drop below 0.75. since 2013 is O&G year, so i think it is a good bet.

    • Tian Woei, same thought here^^

    • Yes, I agree. The most important thing about SPAC is they manage to acquire good assets, then it will fly.

  • This Cliq spac is worth buying ! Simply is that your risk is limited to 1. abt 5percent of the share price….2. Only 1.5 percent of the shares allocated for retail thus most are via private placement who buys it in large quantity and hold it long term..any retailers sell, these private placement investors will definitely buy it so price mother share and warrant combined will be around 75 sen…3. Good for medium to longterm players, short term players may not be suitable for this….4. If dont get on public balloting, can still buy open market when listing where mothershare shld be around 63 sens or so and warrang around 13 sen or so (my prediction based on no ongoing business)….so lets start buying this gem…

  • pls, can tell me, what is SPAC?


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