Powertechnic Group Bhd made a firm debut on the ACE Market of Bursa Malaysia today, with its shares opening at 40 sen and trading as high as 40.5 sen in early deals, up from its initial public offering (IPO) price of 35 sen.
At 9.02 am, the stock traded at 38 sen, marking an 8.57% gain with over 23.8 million shares changing hands.
Listed under the stock name “POWER” and stock code “0377”, Powertechnic’s strong opening reflected investor confidence in the group’s track record and strategic growth plans.
The company, which specialises in crane and hoist systems, elevated platform systems and elevators, has established itself as a lifting systems specialist over the past 23 years. It offers end-to-end solutions including design, fabrication, installation, commissioning and maintenance across Malaysia and Singapore under its “Powertechnic” brand.
Powertechnic’s IPO raised approximately RM22.05 million through the issuance of 63 million new shares, while a total of 84 million shares were offered, including 21 million existing shares allocated to the Malaysian public, selected investors and Bumiputera investors approved by the Ministry of Investment, Trade and Industry (MITI).
Of the total proceeds, RM4.5 million will be used to set up new product showrooms and sales offices with storage and marketing space, RM3.8 million for automated machinery, RM2.8 million to repay bank borrowings, RM6.65 million for working capital, and RM4.3 million for listing expenses.
Independent Non-Executive Chairman Teh Kee Sin said the positive response from the market is an endorsement of the company’s strategy to enhance automation and expand its footprint in targeted regions such as Penang and Sarawak. “With the funds raised from this IPO, we are well-positioned to accelerate our growth plans and deliver greater value to our stakeholders,” he said.
TA Securities Holdings Bhd is the Principal Adviser, Sponsor, Underwriter and Placement Agent for the IPO.
