How to Invest in Oriental Kopi IPO
Oriental Kopi Holdings Bhd, a prominent Malaysian café chain operator, is set to make its debut on the ACE Market of Bursa Malaysia in the first quarter of 2025. The company has recently signed an underwriting agreement with Alliance Islamic Bank Bhd, which will serve as the principal adviser, sponsor, sole underwriter, and placement agent for the Initial Public Offering (IPO). It has caught significant attention with outstanding performance growth, achieving RM 277M in revenue with a 55 fold increase in just 3 years.
Who is Oriental Kopi?
*(Source from Oriental Kopi Website)
Oriental Kopi Holdings Bhd is a Malaysian café chain renowned for offering traditional Malaysian food and beverages. The brand seeks to rejuvenate the classic "kopitiam" (traditional coffee shop) experience by blending nostalgic charm with contemporary dining standards, all while preserving the authenticity of Malaysian flavors. Catering to both local and international customers, Oriental Kopi positions itself as a modernized kopitiam, competing with both local and global coffee chains by providing affordable, high-quality meals in a casual dining atmosphere.
Since its establishment in December 2020, Oriental Kopi has rapidly gained prominence in Malaysia's F&B industry. The company operates 20 outlets across Malaysia, strategically located in shopping malls, shop lots, and airports, with an additional outlet in Singapore.
The company and its subsidiaries are primarily involved in two main business areas:
Café Chain Operations
Oriental Kopi operates a network of 20 cafés across Malaysia, strategically located in shopping malls, shop lots, and airports, with one outlet in Singapore. The brand offers a modernized kopitiam experience, serving traditional Malaysian food and beverages in a contemporary setting that appeals to both local and international customers.
Distribution and Retail
Beyond its cafés, Oriental Kopi has ventured into retail by offering consumer-branded packaged foods. These products are available at all stores and are part of its strategy to diversify revenue streams and extend its brand presence into households.
Utilization of IPO Investment Proceeds
According to the company's public exposure of the prospectus on Bursa Malaysia, Oriental Kopi plans to channel the funds raised from the IPO into several strategic initiatives:
Establishment of a new head office, central kitchen, and warehouse to enhance operational efficiency.
Expansion of its café network across various Malaysian states to increase market presence.
Growth of its consumer-branded packaged foods segment to diversify revenue streams.
Marketing activities in international markets to elevate Malaysia’s culinary identity and explore new opportunities.
Oriental Kopi: Company Financial Performance
In the financial year ending September 30, 2024, Oriental Kopi's net profit surged 115% to RM43.13 million from RM20.02 million in the previous year. Revenue surged to RM277 million from RM133 million a year earlier, reflecting the company's robust growth trajectory. Gross margins maintain around 30% from 2022 and net margins around 15% from 2022 which is a strong performance in the sector.
Dividend Policy
Oriental Kopi intends to recommend and distribute a dividend of 30% of the profit attributable to the founders of the company after the listing. Prior to the listing, the company plans to declare a dividend of up to 50% of the profit attributable to the founders for the financial year 2024.
Why Consider IPO Investment with Moomoo Malaysia?
Using Moomoo can be a convenient option when investing in Oriental Kopi IPO in Malaysia. The following are the advantages of using Moomoo Malaysia for IPO Investment:
1. Zero Subscription Fee: There is no subscription fee required for IPOs through Moomoo Malaysia. This means investors can save money during the process of applying for new shares of Oriental Kopi, making the investment more cost-effective.
2. Exclusive Financing Support: Moomoo Malaysia offers exclusive financing support. This unique feature enables investors to increase their purchasing power.
3. One-stop Solution for Investment Processes: Moomoo Malaysia provides a one-stop solution for handling all the IPO investment processes.
Oriental Kopi IPO Price
The share price of Oriental Kopi is RM 0.44 per share. Oriental Kopi's Share IPO stock code is KOPI 0338.
IPO Share Allocation
A total of 418,101,000 IPO Shares will be made available. The allocation is divided as follows:
60,000,000 shares for the Malaysian public through balloting.
20,000,000 shares for eligible directors, employees, and those who have contributed to the company's success.
88,101,000 shares via private placement to selected investors.
250,000,000 shares through private placement to selected Bumiputera investors approved by the MITI.
After the IPO, the company's enlarged issued share capital will be 2,000,000,000 Shares.
How to Apply for Oriental Kopi IPO
Oriental Kopi is offering its shares to the public through an Initial Public Offering (IPO). If you're interested in investing in an IPO investment, here is a step-by-step guide on how to apply for an Oriental Kopi IPO.
Pre-application Preparation
Determine Eligibility: Malaysian public (including citizens aged 18 and above, certain corporations/institutions, specific funds), eligible persons (such as directors, employees, and contributors), Bumiputera investors approved by MITI, and selected investors can apply if they meet their respective conditions. All applicants must have a CDS account and a correspondence address in Malaysia. Only one application form per category is allowed per applicant, and the application must be for 100 shares or multiples of 100.
Know the Application Time: The application opens at 10.00 A.M. on 6.1.2025 and closes at 5.00 P.M. On 10.1.2025. Any changes will be announced in newspapers and on the Bursa Securities website.
Apply via Moomoo Malaysia
Here are the steps for applying for an IPO account through Moomoo Malaysia:
Step 1: Sign up and open a CDS account
Step 2: Access IPO portal on moomoo
Step 3: Submit & wait for allocation
Unsuccessful/Partially Successful Applicants:
For application forms, refunds will be made through the provided envelope (for fully unsuccessful) or credited to the bank account (if provided) or via banker’s draft (for partially successful) within 10 Market Days.
Successful Applicants:
Shares will be credited to the CDS account. A notice of allotment will be sent before listing. Shares will be deposited with the Bursa Depository, and dealings will be by book entries.
Enquiries
*(Source from Bursa Malaysia Website)
Form Application: Call the Issuing House Enquiry Services at telephone number +603 2783 9299.
Electronic Share Application: Inquire with the Participating Financial Institution.
Internet Share Application:
Inquire about the Internet Participating Financial Institution and the Authorised Financial Institution. The results of the IPO share ballot allocation will be announced on the Issuing House website one trading day after the ballot date.
Applicants can also check the application status on this website five trading days after the ballot date or call the respective Authorised Depository Agent (ADA) during office hours at the telephone number listed in Section 12 of the "Detailed Procedures for Application and Acceptance" accompanying the electronic copy of the Prospectus.
*The information mentioned in the text is sourced from the public prospectus of Oriental Kopi.
Subscribe IPO Investment with Moomoo Malaysia
Oriental Kopi is offering its shares to the public through an Initial Public Offering (IPO). If you're interested in investing in an IPO investment, here is a step-by-step guide on how to apply for an Oriental Kopi share IPO. For detailed information about IPO investment, you can visit How to Buy IPO Stocks in Malaysia. Investing in IPOs through Moomoo Malaysia offers a seamless and potentially rewarding experience for investors.
How to Participate in IPOs through Moomoo Malaysia
To participate in IPOs via Moomoo MY, you need to open both a Moomoo Malaysia universal account and a Direct CDS - IPO account. Once these accounts are opened, you can conveniently apply for Bursa IPOs online through the Moomoo application. For detailed information about IPO investment, you can visit How to Buy IPO Stocks in Malaysia.
Before participating in an IPO, you must have a Moomoo MY general account and use its purchasing power to apply. The process of opening a Moomoo MY general account involves only 3 steps:
The Moomoo CDS - IPO account is specifically used for applying for Malaysian IPOs. The steps to open it within the Moomoo application are shown in the following:
Go to Accounts > More > CDS Account-IPO > Profile information > ID information > Select a bank account > Customer Declaration > Submit
Please note that according to the regulations of Bursa Malaysia, investors can open CDS accounts with multiple brokers or banks, but only one CDS account is approved for each IPO application. Since the moomoo CDS - IPO account does not handle funds (i.e., you cannot deposit, withdraw, or trade with it), the funds for IPO applications will be either frozen or deducted from your Moomoo MY universal account. If the application is successful, the shares will be transferred to the universal account.
To access the IPO Portal, simply follow these steps:
Navigate to "Account"> "IPO". By doing so, you will be able to view the IPO companies that are categorized as "Available", "To be Listed", and "Listed". This provides you with a convenient way to keep track of and access relevant IPO information.
The Process of Applying for IPO with Moomoo Malaysia
The process of applying for IPO with Moomoo Malaysia is described as follows:
Subscription Phase
Investors can subscribe for new shares. The subscription funds will be frozen from their Moomoo MY accounts for about a week. Before the deadline, investors can cancel subscriptions to unfreeze the funds.
Allocation Phase
2-3 days after the subscription deadline, the listed and issuing companies determine share allocation through a lottery. If an investor doesn't get shares, their frozen funds are released. If they do, the relevant amount is deducted. On the allocation day, shares are deposited into the CDS - IPO account and then transferred to the general account for trading.
Listing Phase
After the new shares are listed, investors who receive shares can sell them, and all investors can trade the newly-listed shares.
IPO with Moomoo
Are you considering investing in Oriental Kopi's IPO? If you want to become a shareholder in Oriental Kopi through their Initial Public Offering, here's a comprehensive guide to help you navigate the application process.
Moo Live: Exclusive IPO Investor Briefing With Oriental Kopi Holdings Berhad
Want to learn more about Oriental Kopi's IPO? Join us live on January 9th, 8:00 PM MYT as Managing Director Dato' Calvin Chan shares exclusive insights about the company's journey and growth plans. Whether you're exploring your first IPO or seeking fresh investment opportunities, tune in via Moomoo Malaysia for valuable market insights – plus a chance to win exclusive merchandise and Moomoo points.
Disclaimer: This article is carefully compiled based on the public exposure of the prospectus. It aims to provide readers with an overview of the basic information of the company solely for the purpose of seeking comments from the public. This article is for informational purposes only and does not constitute a recommendation or solicitation for any financial products or services. Past performance does not guarantee future results. All investments carry risks, including loss of principal. This article does not consider your investment objectives or financial situation. Please consult your financial adviser as to the suitability of any investment.
Full disclaimers at https://www.moomoo.com/my/support/topic9_37.
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