Eckem Holdings Bhd ended its ACE Market debut unchanged at 12 sen, matching its IPO price, after an active trading session that saw 82.09 million shares change hands.
The specialty industrial chemical solutions provider opened at 12 sen with 19.16 million shares traded at the opening bell on July 3 and briefly rose to an intraday high of 13 sen during the trading session, before surrendering gains to close at its offer price.
At midday, the counter was up 0.5 sen, or 4.17%, at 12.5 sen on strong turnover of 67.64 million shares, but momentum faded in the afternoon session as trading activity remained elevated.
Eckem raised RM15 million through the issuance of 125 million new shares at 12 sen under its ACE Market listing. The IPO also involved an offer for sale of 62.5 million existing shares, accounting for 10% of its enlarged share capital.
Demand for the IPO was firm, with the public portion oversubscribed by 8.09 times, driven by 5,152 applications for more than 284 million shares. The Bumiputera tranche was oversubscribed 4.24 times, while the other Malaysian public segment recorded an 11.94 times subscription rate.
Executive Director Jack Tan Khai Jeik said the proceeds from the IPO will be used to expand operational capacity, including a new integrated corporate office, warehouse and laboratory, as well as a new rubber products production line, alongside debt repayment and working capital needs.
The group said the investment plan is aimed at improving production capability and supporting demand from Malaysia’s manufacturing sector as it scales its business post-listing.
Speaking exclusively to BusinessToday ahead of the listing, Tan said the group’s priority after going public is execution rather than aggressive expansion.
“We intend to support our continued growth by investing in infrastructure that strengthens our operational capabilities and enhances our ability to serve customers more effectively,” he said.
Read the full exclusive interview article here:
