KUALA LUMPUR: EvoAir Holdings Inc has set a target to raise up to RM170 million (US$40 million) from its uplisting to Nasdaq, scheduled by the fourth quarter (Q4) of next year.
Group managing director and co-founder Kevin Chan said the proposed Nasdaq uplisting is one part of EvoAir's multi-faceted strategy to broaden its capital base and build the company into an international player in the heating, ventilation, and air conditioning (HVAC) and environmental, social, and governance (ESG) space.
"Out of the proceeds, we will allocate 30 per cent for research and development (R&D), 30 per cent for marketing and 30 per cent for operating expenses.
"The company will utilise the rest for the uplisting exercise," he told reporters after today's signing ceremonies between the company and Network 1 Financial Securities Inc and Mercurius Digital Sdn Bhd.
The company, previously known as Unex Holdings Inc, had recently filed a certificate of amendment with the Nevada Secretary of State to change its name from Unex Holdings Inc to EvoAir Holdings Inc.
Unex, a company incorporated in Nevada and listed on the US OTC Markets, filed its Form 8K with the US Securities and Exchange Commission (SEC) on December 21, 2021, announcing the closing of a series of transactions for the acquisition of the HVAC business undertaken by EvoAir International Ltd and its subsidiaries.
Evo Air Marketing (M) Sdn Bhd, the marketing arm of soon-to-be EvoAir Group and Mercurius Digital Sdn Bhd, has entered into a strategic partnership agreement.
The partnership aims to formulate and implement value-creation strategies for the EvoAir Group and Mercurius, including business and marketing channel development and expansion into new market segments.
"We are honoured to be in partnership with Mercurius, and we believe that by leveraging their expertise and working alongside new brand owners in electrical and digital products, we will be better placed to expand our business," Chan added.
Meanwhile, EvoAir has engaged Network 1 Financial Securities Inc as the lead managing underwriter and book runner for its offering in conjunction with its application for uplisting on Nasdaq.
The company will work with Network 1 on the terms of the offer, including valuation, offer size, and offer price, details of which will be announced in due course.
"We are excited to work with the team at Network 1, leveraging their deep knowledge and expertise as well as an extensive network in securing necessary growth capital and successful capital market solutions," said Chan.
The company's core product, evoair, is an eco-friendly air-conditioner with patented or patent-pending heat emission control system (HECS) technology, which turns waste heat released by a conventional air-conditioner condenser into a supplementary cooling unit.