PETALING JAYA: OGX Group Bhd, an IT infrastructure solutions specialist operating under a brand-centric model, aims to raise RM52.5 million from its listing on the ACE Market of Bursa Malaysia to fund its expansion, supported by Malaysia’s growing IT infrastructure market.
OGX executive director and managing director Tan Suan Loong said that, post-listing, the group sees continued growth across its core segments of network, cybersecurity, and enterprise data centre infrastructure.
“Malaysia is still very far behind in terms of technology adoption. If you ask me, both the networking and cybersecurity sectors are growing in tandem. It’s an industry-wide growth,“ he said in a press conference after the OGX’s prospectus launch today.
Tan said the group also expects to benefit from expansion opportunities in East Malaysia, particularly in Sabah. “The reason we are expanding into East Malaysia is that we see increasing activity there, particularly in Sabah. We have also secured several major projects there, which we will be working on.”
Of the total IPO proceeds, OGX is allocating 57.14% for the acquisition and renovation of a new facility, 4.76% for the expansion of the company’s portfolio of IT infrastructure brands, and 3.81% for geographic expansion into East Malaysia. A further 8.57% will be utilised for the repayment of bank borrowings.
Meanwhile, 16.19% of the proceeds will be allocated for working capital to support operations, with the remaining balance reserved for listing-related expenses.
At an issue price of 35 sen, OGX will have a market capitalisation of about RM262.5 million upon its listing, which is scheduled for March 12.
OGX’s profitability has improved over the past four financial years, with profit after tax rising from RM1.81 million in FY22 to RM15.46 million in FY25, representing a three-year compound annual growth rate of 104.41%.
Profit margins also expanded during the period, increasing from 2.18% in FY22 to 8.77% in FY25, before moderating to 7.24% in the financial period ending 2025.
For the financial period ended 2026, the group reported profit after tax of RM9.13 million, up 88.25% from RM4.85 million in the corresponding period previously, with margins improving to 8.63%.
Tan said the group aims to maintain its current margins post-listing, although earnings may fluctuate given the project-based nature of the business. “As we are project-based, some years may see more complex or higher-value projects. While there is no certainty, we will strive to maintain at least the current level of margins.”
OGX chairman Tan Ting Fong said that, since its origins as an authorised distributor, OGX Group has grown and evolved into an IT infrastructure solutions specialist operating under a brand-centric model, delivering comprehensive solutions across network, cybersecurity, and enterprise data centre infrastructure.
“Our growth and progress reflect the strength of our management team, resilience of our business model, and the confidence placed in us by long-standing customers and technology partners,“ he said.
UOB Kay Hian (M) Sdn Bhd is the principal adviser, sponsor, underwriter and placement agent for the IPO.
