Big Caring IPO to raise RM2.45bil
Pharmacy retail chain operator expects to launch its share sale by end-October.
Malaysia's largest pharmacy chain, Big Caring Group Bhd, plans to raise up to RM2.45 billion (US$600 million) through its upcoming share sale slated for the last week of October. The private equity-backed group aims to list on the Main Market by mid-November, according to sources cited by the Wall Street Journal. The IPO is projected to value the company at over RM6 billion.
Big Caring Group operates two major pharmacy chains, Big Pharmacy and Caring Pharmacy, with approximately 670 stores across Malaysia. The IPO will involve the issuance of a maximum of 1.9 billion shares, representing 25.5% of the company's expanded share capital. Of these, 590.5 million new shares will be offered to the public, while 1.3 billion existing shares will be sold.
The IPO includes an institutional tranche of up to 1.6 billion shares, with 267.6 million shares earmarked for retail investors. The Wall Street Journal reported that the IPO is taking place amidst global market instability due to persistent geopolitical tensions, which have raised concerns about potential interest rate hikes aimed at tackling high inflation. Despite this, the company has already secured commitments from numerous prominent investors to participate in the offering.
Big Caring Group was founded by Lee Meng Chuan and his wife Lim Sin Yin in 2006, with their first outlet opening in Damansara Uptown, Selangor. Since then, the company has expanded rapidly through organic growth and strategic acquisitions, including the mergers with RedCap Pharmacy in 2018 and My Pharmacy in 2019, as well as the acquisition of Caring Pharmacy from 7-Eleven Malaysia Holdings Bhd in 2023.
The group's draft prospectus outlines plans to utilize the IPO proceeds to significantly reduce debt from recent high-profile acquisitions and to fund a new automated distribution center. As of January 31, 2026, Big Caring Group's total borrowings amounted to RM1.3 billion, primarily consisting of a RM831.3 million term loan used for its RM888.3 million acquisition of Caring Pharmacy Group Sdn Bhd.
Additionally, the company invested RM249.4 million to acquire an 89.3% stake in Medispec (M) Sdn Bhd, a pharmaceutical distributor. Last week, Big Caring Group signed a retail underwriting agreement with Maybank Investment Bank Bhd, RHB Investment Bank Bhd, and AmInvestment Bank Bhd. These firms serve as the joint principal advisers, global coordinators, bookrunners, managing underwriters, and underwriters for the IPO.
Written by urgent.news from Free Malaysia Today's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
