Christopher & Lee Ong and Lee Choon Wan & Co have advised on the IPO of Penang-headquartered artificial intelligence (AI) chip designer SkyeChip on the Bursa Malaysia, raising MYR352 million (USD88 million) and increasing the company’s market capitalisation by MYR4.7 billion (USD1.1 billion).
Christopher & Lee Ong, a member firm of Rajah & Tann, counselled the underwriters Maybank Investment Bank and CIMB Investment Bank. Kuala Lumpur-based partner and deputy head of capital markets Justin Chua led the team, with the support of senior associate Zien Han Tay and associate Sara Gui.
“Our team is proud to have supported the successful listing of a homegrown Malaysian company at the forefront of Malaysia’s semiconductor and AI ecosystem, a milestone that we believe will further catalyse Malaysia’s continued growth as a leading semiconductor hub in Asia,” Chua told Asia Business Law Journal.
Lee Choon Wan & Co acted as issuer’s counsel to SkyeChip and advised on pre-IPO shareholding and investment arrangements, as well as employee incentive arrangements. The firm also drafted the prospectus and relevant submissions to the regulatory authorities, while also providing end-to-end legal support throughout the listing process.
“This included advising on compliance with the Capital Markets and Services Act 2007, the Main Market Listing Requirements of Bursa Malaysia Securities, Securities Commission Malaysia guidelines and other applicable regulatory requirements, as well as managing the legal aspects of the IPO execution process to facilitate a successful listing,” managing partner Lily Tan told ABLJ.
Tan led the Lee Choon Wan & Co team with partners Cassandra Hogg, Hannah Tay and Foong Leng Fong. Tan said negotiating the cornerstone placement agreements with multiple investors was one of the highlights of the transaction.
“LCWCo negotiated and finalised placement agreements with all 22 cornerstone investors, representing one of the largest cornerstone placement exercises for a Malaysian IPO since 2012,” she said.
SkyeChip’s market capitalisation surged following a strong market debut, with its opening price rising nearly fourfold from the IPO price. The offering also saw robust investor demand, with the retail tranche oversubscribed by 95 times, marking the highest retail subscription rate since 2010.
Established in 2019, SkyeChip focuses on semiconductor IP and custom chip design. The company serves customers across the Asia-Pacific and North America.