Exciting times are ahead for Malaysian investors as three new IPOs hit the market this week, promising to add fresh vigor to the financial scene. With Moomoo facilitating easy access to these offerings, investors have a golden opportunity to tap into the growth trajectories of these promising companies. Let's take a closer look at these newcomers set to make a splash in the market.
1. Kucingko Berhad
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$KUCINGKO (0315.MY)$ is set to launch an initial public offering (IPO), with the subscription period running from June 28th to July 12th. The company plans to issue a total of 100,000,000 new ordinary shares. Out of these, 25,000,000 shares will be available for application by the Malaysia public; 10,000,000 will be made available for the company’s eligible directors and employees as well as persons who have contributed to the company’s success; and 65,000,000 will be offered to selected investors. The shares are priced at RM 0.30 each.
Kucingko, through its subsidiary Inspidea Pte Ltd, is a specialist in 2D animation production, providing high-quality services for animated series and short films. With a focus on international markets, including North America, Europe, and the Asia-Pacific, Kucingko boasts an impressive clientele that includes industry giants such as Warner Bros Discovery, Netflix, Cartoon Network, and Nickelodeon. The 2D animation industry is digital and globally competitive, with Malaysia facing competition from countries like the Philippines, India, South Korea, and China.
Kucingko's financial trajectory has shown significant growth, with revenue increasing from RM14.923 million in FYE 2020 to RM 23.485 million by FYE 2022. Profit Before Tax (PBT) has also seen a substantial rise, from RM 4.89 million in FYE 2020 to RM 9.434 million in FYE 2022, with Profit After Tax (PAT) following suit, growing from RM 3.68 million to RM7.979 million over the same period. The proceeds from the IPO are earmarked for strategic expansion, including setting up new branch offices in Sabah and Sarawak, refurbishing existing facilities in Selangor, establishing a USA sales office, and bolstering working capital for operational expenses. Additionally, the funds will cover listing expenses, ensuring a smooth transition to public trading.
2. EPB Group Berhad
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$EPB Group Berhad (0317.MY)$ is set to launch an initial public offering (IPO), with the subscription period running from June 27th to July 31st. The company plans to issue a total of 71,570,000 new ordinary shares. Out of these, 19,570,000 shares will be available for application by the Malaysia public; 21,196,000 will be made available for the group’s directors, key senior management, eligible employees and business associates; and 30,804,000 will be offered to bumiputera investors approved by the ministry of investment, trade and industry. The shares are priced at RM 0.56 each.
With over 30 years of experience in food processing and packaging machinery solutions, EPB Group Berhad comprises six subsidiaries that design, customise, fabricate, integrate, and automate production lines for food manufacturing and processing companies. According to a report by Protégé Associates, the company has captured a 5.8% market share of the F&B processing machinery industry in Malaysia in 2023. Moving forward, the industry is expected to expand at a CAGR of 10.4% from RM1.90 billion in 2024 to RM2.84 billion in 2028.
In terms of financial performance, EPB Group Berhad total revenue for the fiscal years 2020 to 2023 were RM 61.689 million, RM 75.717 million, 89.114 million, 122.116 million respectively. During the same time frame, the group’s net profits were RM 6.215 million, RM 12.098 million, RM 12.658 million, RM 14.952 million. The profit CAGR from 2020 to 2023 was approximately 33.99%. According to the prospectus, the group intends to allocate the gross proceeds from its Public Issue amounting to RM 40.08 million for the following purposes: factory expansion, repayment of bank borrowing, working capital and for listing expenses.
3. Well Chip Group Berhad
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$WELL CHIP GROUP (5325.MY)$ is set to launch an initial public offering (IPO), with the subscription period running from June 26th to July 10th. The company plans to issue a total of 150,000,000 new shares. Out of these, 30,000,000 shares will be available for application by the Malaysian public; 45,000,000 will be made available for institutional and selected investors; and 75,000,000 will be offered to bumiputera investors approved by the ministry of investment, trade and industry. The shares are priced at RM 1.15 each.
Well Chip is an investment holding company and through its subsidiaries (collectively, the "Group"), the Group is principally involved in the provision of pawnbroking services and, retail and trading of jewellery and gold. According to a report by Protégé Associates, the company has captured a 6.6% market share of the pawnbroking industry in Malaysia in 2023. Moving forward, the industry is expected to expand at a CAGR of 11.4% from RM3.55 billion in 2024 to RM5.29 billion in 2028.
In terms of financial performance, Well Chip Group Berhad total revenue for the fiscal years 2020 to 2023 were RM 121.840 million, RM 101.881 million, 158.125 million, 203.675 million respectively. During the same time frame, the group’s net profits were RM 33.608 million, RM 23.965 million, RM 26.352 million, RM 36.430 million. The profit CAGR from 2020 to 2023 was approximately 2.72%. According to the prospectus, the group intends to allocate the gross proceeds from its Public Issue amounting to RM 172.50 million for the following purposes: cash capital for the existing 23 pawnshops, expansion of pawnshops, and for listing expenses.
