Prolintas Infra Business Trust saw its share move upward at mid-day after starting at 95 sen on its first day of trading.
Based on Prolintas Infra BT’s total issued units of 1.1 billion and the initial public offering (IPO) price of 95 sen per unit, the stock was listed with a market capitalisation of approximately RM 1.05 billion. The trading stock of Prolintas Infra BT was up 4.2% and achieved a mid-intraday high of 99 sen, with more than 34.8 million units traded during the first half of the trading session.
Dato’ Ikmal Hijaz Hashim, the Chairman of Prolintas Managers Sdn Bhd, expressed his pride in the company’s achievement through the IPO journey of Prolintas Infra BT. “After years of steadfast dedication, resolute perseverance and relentless commitment, we have reached this crucial and remarkable occasion to chart a historic milestone in the highway infrastructure industry.”
Prolintas Infra BT encompasses four matured and highly resilient highways, including Ampang-Kuala Lumpur Elevated Highway (AKLEH), Guthrie Corridor Expressway (GCE), Lebuhraya Kemuning-Shah Alam (LKSA), and Sistem Lingkaran Lebuhraya Kajang (SILK), which generate significant cashflows (i.e. toll revenue) with an average remaining concession period of approximately 32 years. These highways are strategically situated across Klang Valley and play a crucial role by providing an alternative route to the highly congested public roads and enhancing the connectivity of urbanised townships.
These highways serve almost half a million road users every day, reflecting their importance in promoting the country’s economic and social development. In 2022, the combined traffic volume for the highways under Prolintas Infra BT was approximately 158.2 million, up 44.8% from 109.3 million in 2021. This attributes to a 15.7% market share by total traffic volume in 2021 for the urban highways in the Klang Valley (excluding the Setiawangsa-Pantai Expressway and the New Klang Valley Expressway).
According to the Trust’s distribution policy, the Trustee-Manager aims to pay out at least 90% of the Trust’s distributable income to its unitholders on an annual basis. Specifically, it is targeting to distribute a total of RM70 million for the financial year ending December 31, 2024.
“We’re confident that the IPO will enable PROLINTAS to embark on future strategic infrastructure initiatives. We look forward to continuing our journey to create a safe, convenient and enriching user experience among all stakeholders,” Dato’ Ikmal concluded.
