PETALING JAYA: Eckem Holdings Bhd, which made its debut on the ACE Market of Bursa Malaysia today, is well-positioned to capitalise on new opportunities by leveraging its comprehensive product portfolio, technical expertise and long-standing relationships with customers and suppliers.
The group will continue to strengthen operational capabilities and deliver sustainable long-term value.
“As we begin this new chapter as a public-listed company, we remain committed to building a stronger business, creating opportunities for our people, and delivering value to all our stakeholders.
“We are also encouraged by the positive response from investors, with the public portion of our IPO (initial public offering) oversubscribed by 8.09 times, creating sustainable long-term value for all shareholders,“ Eckem Holdings executive director Jack Tan Khai Jeik said at the listing ceremony.
Eckem Holdings opened at 12 sen per share, unchanged from the IPO price. The stock reached an intraday high of 13 sen before closing flat at 12 sen.
M&A Securities Sdn Bhd is the principal adviser, sponsor, underwriter and placement agent for the IPO.
Founded in 2007, Eckem Holdings has grown into an established specialty industrial chemical solutions provider in Malaysia. It is involved in the distribution, sale and formulation of speciality industrial chemical products, offering a comprehensive portfolio of 310 speciality industrial chemical products, including resins, pigments, fillers, and additives for various end-user applications.
In addition, Eckem Holdings manufactures and trades rubber products, serving manufacturers and traders in Malaysia and overseas. Its range of manufactured rubber products comprises dental dams, latex sheets, prophylactic (oral) dams, and exercise bands.
Eckem Holdings raised RM15 million in gross proceeds from the issuance of 125 million new shares.
The group will utilise RM6 million to construct a new corporate office, warehouse and laboratory to strengthen operational infrastructure.
Further, RM2 million will be allocated for the expansion of a new production line in the rubber products segment to enhance manufacturing capabilities, and RM1.45 million will be allocated for the repayment of bank borrowings to optimise the group’s capital structure.
In addition, RM1.75 million will be used for working capital requirements to support the group’s ongoing business operations, while RM3.8 million will be used to defray listing expenses associated with the IPO.
The planned investments are expected to strengthen the group’s operational capabilities, enhance manufacturing efficiency within its rubber products segment and reinforce its ability to support customers with reliable supply and customised specialty industrial chemical solutions.
Tan said, “The listing marks an important milestone in Eckem Holdings’ corporate journey. Over the years, we have built a strong foundation as a specialty industrial chemical solutions provider by delivering reliable supply, customised formulations and technical expertise to our customers.
“The funds raised through this IPO will allow us to strengthen our operational infrastructure, expand our rubber products production capabilities and further enhance our ability to support the evolving needs of Malaysia’s manufacturing sector.”
Backed by a stronger capital base following its listing, Eckem Holdings is well-positioned to strengthen its operational infrastructure, enhance its application formulation and technical capabilities, and expand its rubber product production capacity to better serve its customers and support future business growth.
As Malaysia’s manufacturing and industrial sectors continue to grow, the group remains focused on delivering reliable, customised specialty industrial chemical solutions while pursuing sustainable long-term growth opportunities.
