PETALING JAYA: Electronics manufacturing services (EMS) provider Betamek Bhd made its debut on the ACE Market of Bursa Malaysia Securities today, opening at 61.5 sen per share, 11.5 sen or 23% above its initial public offering (IPO) price of 50 sen per share with a starting volume of 9.5 million shares.
The counter closed at 71 sen, 0.21 sen or 42% higher than the IPO price, after touching a peak of RM1, with a total of 260.46 million shares traded.
Betamek said it is well positioned to benefit from the upswing in the automotive industry, as the supply chain continued to improve.
The company, which provides one-stop EMS solutions to automotive makers, is optimistic that demand for its vehicle audio visual products and vehicle accessories will continue to grow given that its major customer. Perodua. continues to see rising demand for its vehicles.
Betamek managing director Mirzan Mahathir said that over the years, the company has been expanding its portfolio by including new automotive electronic solutions and technologies required to complement the features of its products.
Betamek believes there are still many untapped opportunities for product segments in relation to advance driver assistance systems, entertainment and connectivity, Internet of Things and accessories of vehicles.
“We intend to focus on research and development (R&D) activities within these areas of end-product applications, which involves the inter-networking of devices embedded with electronics, sensors, actuators and network connectivity. The concept of inter-networking including Bluetooth, Wi-Fi, 4G, 5G and other future technologies are driving the automotive industry towards the design of new generation products.
“As at Aug 31, 2022, we are still at the early stages of undertaking joint R&D with our technology partners, and we have commercialised some of these technologies as features in Perodua’s latest vehicle models. We will continue to identify new technologies that we consider to have significant growth potential and introduce these as features in our product offering, particularly those which may have synergistic potential with our existing key product categories,” Mirzan said in a statement.
Upon listing, Betamek’s market capitalisation is RM225.0 million, based on its enlarged share capital of 450.0 million shares.
M&A Securities Sdn Bhd is the adviser, sponsor, underwriter and placement agent for the initial public offering exercise.
