Mega Fortune Company Limited Announces Closing of $15 Million Initial Public Offering

Rhea-AI Summary

Mega Fortune Company Limited (NASDAQ:MGRT), a Hong Kong-based IoT solution provider, has successfully completed its Initial Public Offering (IPO) on the Nasdaq Capital Market. The company offered 3,750,000 ordinary shares at $4.00 per share, raising aggregate gross proceeds of $15 million before deducting underwriting costs and related expenses.

The shares began trading on July 16, 2025, under the ticker symbol "MGRT". The underwriter, D. Boral Capital LLC, has a 45-day option to purchase up to 562,500 additional ordinary shares at the public offering price. The IPO was conducted on a firm commitment basis, with legal representation from FisherBroyles, LLP and Jun He Law Offices LLC.

Positive

• Successfully raised $15 million through IPO on Nasdaq Capital Market
• Achieved listing on major U.S. exchange, increasing visibility and access to capital markets
• IPO conducted on firm commitment basis, demonstrating underwriter confidence

Negative

• Potential shareholder dilution from additional 562,500 shares if underwriter exercises option
• IPO proceeds subject to reduction from underwriting discounts and related expenses

Insights

IPO Financial Analyst

Hong Kong IoT provider Mega Fortune successfully raised $15M in IPO at $4/share, now trading on Nasdaq as MGRT.

Mega Fortune Company Limited (MGRT), a Hong Kong-based Internet of Things solution provider, has successfully completed its initial public offering, raising $15 million in gross proceeds through the issuance of 3,750,000 ordinary shares at $4.00 per share. The IPO represents a significant milestone for this emerging tech company as it transitions to public markets.

The deal structure includes a standard 45-day option granted to the underwriter to purchase up to an additional 562,500 shares (representing 15% of the base offering), which could potentially increase the total capital raised. D. Boral Capital served as the sole book-runner for this relatively modest offering.

MGRT began trading on the Nasdaq Capital Market on July 16, 2025, marking its entry into one of the world's premier exchanges for growth-stage technology companies. The Nasdaq Capital Market typically hosts smaller companies with lower market capitalizations compared to those listed on the Nasdaq Global Market.

This IPO reflects continued market appetite for technology companies with exposure to the IoT sector, despite the relatively small offering size. For context, the $15 million raise positions this as a micro-cap offering, which typically faces higher volatility and liquidity challenges compared to larger IPOs. The $4.00 share price also positions this as a lower-priced offering, which sometimes attracts different investor profiles.

While specific details about MGRT's IoT solutions portfolio are not outlined in this announcement, the company's decision to list on a U.S. exchange rather than Asian markets suggests a strategy to access deeper capital markets and potentially expand its investor base beyond regional boundaries.

Hong Kong, July 17, 2025 (GLOBE NEWSWIRE) -- Mega Fortune Company Limited (the “Company” or “MGRT”), an Internet of Things (“IoT”) solution provider in Hong Kong, today announced the closing of its initial public offering (the “Offering”) of 3,750,000 ordinary shares at a price of $4.00 per share. The Company has granted the underwriter a 45-day option to purchase up to an additional 562,500 ordinary shares at the public offering price, less the underwriting discounts.

The aggregate gross proceeds from the Offering were $15 million, before deducting underwriting discounts and other related expenses. The ordinary shares began trading on The Nasdaq Capital Market on July 16, 2025 under the ticker symbol “MGRT.”

The Offering was conducted on a firm commitment basis. D. Boral Capital LLC acted as the sole book-running manager for the Offering. FisherBroyles, LLP acted as U.S. securities counsel to the Company, and Jun He Law Offices LLC acted as U.S. counsel to D. Boral Capital LLC in connection with the Offering.

A registration statement on Form F-1, as amended, relating to the Offering has been filed with the U.S. Securities and Exchange Commission (“SEC”) (File Number: 333-282977) and was declared effective by the SEC on June 30, 2025. The Offering was made only by means of a final prospectus. A final prospectus relating to the Offering was filed with the SEC on July 16, 2025, which may be obtained from D. Boral Capital LLC, 590 Madison Avenue, 39th Floor, New York, NY 10022 by email to dbccapitalmarkets@dboralcapital.com, or by calling +1 (212) 970 5150. In addition, a copy of the final prospectus relating to the Offering may be obtained via the SEC’s website at http://www.sec.gov.

This press release does not constitute an offer to sell, or the solicitation of an offer to buy any of the Company’s securities, nor shall there be any offer, solicitation or sale of any of the Company’s securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such state or jurisdiction.

About Mega Fortune Company Limited

Mega Fortune Company Limited (the “Company”) is an Internet of Things (“IoT”) solution provider in Hong Kong. Through its operating subsidiary QBS System Limited (“QBS System”), the Company has specialized in delivering comprehensive IoT solutions and services across various industries. QBS System’s business service portfolio includes the provision of IoT Integration Solution Services, IoT Maintenance and Support services, Business Process Outsourcing (“BPO”) services and trading sales. Through its IoT platform, tools and services, QBS system helps enterprises through their digital transformation, launch IoT initiatives, upscale an existing IoT application or integrate any IoT solution with a legacy system to help them become more innovative, effective and productive. The Company’s vision is to become the preferred choice for IoT solutions for enterprises and projects in the Asia-Pacific region.

Forward-Looking Statements

Certain statements in this announcement are forward-looking statements. These forward-looking statements involve known and unknown risks and uncertainties and are based on the Company’s current expectations and projections about future events that the Company believes may affect its financial condition, results of operations, business strategy and financial needs, including the expectation that the Offering will be successfully completed. Investors can identify these forward-looking statements by words or phrases such as “may,” “will,” “expect,” “anticipate,” “aim,” “estimate,” “intend,” “plan,” “believe,” “is/are likely to,” “potential,” “continue” or other similar expressions. The Company undertakes no obligation to update or revise publicly any forward-looking statements to reflect subsequent occurring events or circumstances, or changes in its expectations, except as may be required by law. Although the Company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that such expectations will turn out to be correct, and the Company cautions investors that actual results may differ materially from the anticipated results and encourages investors to review other factors that may affect its future results in the Company's registration statement and other filings with the SEC, which are available for review at www.sec.gov.

For more information, please contact:

Mega Fortune Company Limited
Phone: +852 5627 5338
Email:  priscilla.cheng@megafortune-group.com

FAQ

How much did Mega Fortune Company (MGRT) raise in its IPO?

Mega Fortune Company raised $15 million in gross proceeds through its IPO by offering 3,750,000 ordinary shares at $4.00 per share.

When did MGRT stock begin trading on Nasdaq?

MGRT shares began trading on the Nasdaq Capital Market on July 16, 2025.

Who was the underwriter for Mega Fortune's IPO?

D. Boral Capital LLC acted as the sole book-running manager for the IPO.

What is Mega Fortune Company's business focus?

Mega Fortune Company (MGRT) is an Internet of Things (IoT) solution provider based in Hong Kong.

What additional options were granted to the IPO underwriter?

The underwriter received a 45-day option to purchase up to 562,500 additional ordinary shares at the public offering price, less underwriting discounts.