Malaysia's Maxis debuts at 9.2 percent above IPO

AP News
Posted: Nov 19, 2009 12:47 AM

Shares of Malaysia's top mobile phone company Maxis Berhad jumped 9.2 percent on their return to the bourse Thursday following the biggest share sale ever in Southeast Asia.

Maxis, owned by Malaysian billionaire Ananda Krishnan, opened with a 46 sen (14 cents) gain above its initial public offering price of 5 ringgit ($1.48).

It marked the trading return of Maxis two years after it was taken private by tycoon Ananda _ the world's 62nd richest individual, according to Forbes. Its relisting followed a request by Prime Minister Najib Razak, who is seeking to bolster Malaysia's capital markets.

The debut was at the higher end of analysts' forecast of between 5 percent and 10 percent above the IPO price.

Maxis said earlier this month it raised 11.2 billion ringgit ($3.3 billion) in the sale of 2.25 billion shares, representing 30 percent of its total equity, in the largest such sale in the region.

The company is listing only its domestic operations _ a move some analysts say made the IPO less attractive as it excluded its fast growing businesses in India and Indonesia.

Maxis enjoys a 40 percent share in Malaysia's domestic mobile market.