KUALA LUMPUR: Oxford Innotech Bhd (OXB) plans to more than double its production capacity by 2027 and deepen its presence in modular building systems and semiconductors, betting on accelerating demand from 5G, Internet of Things and artificial intelligence (AI) industries following its debut on Bursa Malaysia’s ACE Market today.
Managing director Ng Thean Gin said the listing, which raised RM41.6 million, was not only a capital-raising milestone but also a catalyst to “take Oxford Innotech to the next level in visibility, capability and impact”.
“Engineering has no limits and that belief drives our purpose to lead with innovation,” he said at the listing ceremony.
“The IPO gives us the capacity to scale up, broaden our product offerings and cross-sell to existing customers, particularly in fast-evolving sectors like semiconductors and E&E.”
The company will construct a new factory in 2026, adding 67,722 square feet of manufacturing space to bring total capacity to 192,896 square feet. Operations are targeted to begin in the third quarter of 2027.
Ng said the additional facility, coupled with new machinery purchases funded by the IPO (initial public offering), will enable OXB to serve growing orders from modular building and semiconductor clients.
“We are seeing significant demand for new product sample submissions from semiconductor customers,” he said, adding that while they do not have fixed numbers yet, with the new factory ready, their total production capacity will be slightly more than double what they are doing currently.
The global modular building systems market is projected to grow from US$97.3 billion (RM430.5 billion) in 2023 to US$161.9 billion by 2030 at a 7.5% compounded annual rate, while semiconductor demand is expected to remain buoyant amid AI, data centre and autonomous driving trends.
OXB’s core businesses span three segments: precision engineering component solutions (sheet metal fabrication, CNC machining and plastic injection moulding), mechanical assembly solutions (semi- and fully-assembled products, including design services) and automation and robotics solutions (standalone automated modules, production line systems and smart factory solutions).
OXB’s shares opened at 36 sen, a 24% premium over the 29 sen issue price, with 9.24 million shares traded at the opening bell. The counter is listed under the Industrial Products & Services sector.
Of the RM41.6 million raised from the IPO, RM23.1 million will fund the new factory, RM11.2 million is for machinery and refinancing, RM3.3 million for working capital and RM4 million for listing expenses.
For the first quarter ended March 31, 2025, OXB reported a profit after tax of RM3.2 million on revenue of RM19.5 million, yielding a margin of 16.6%.
Mechanical assembly contributed 65% of revenue, followed by precision engineering components at 33.4% and automation and robotics solutions at 1.7%. Geographically, Malaysia accounted for 96.4% of revenue, with the remainder from other Asian countries, North America and Europe.
While near-term production will remain centred in Malaysia, OXB is actively seeking overseas customers through trade shows and exhibitions.
“Our marketing team is engaging international buyers, but immediate focus remains on serving regional demand,” Ng said, noting that export sales could grow as new products move from sample stages to mass production next year.
He acknowledged that 2025 remains challenging due to global market uncertainty but expects improvement in 2026 as trade tariffs stabilise and capital expenditure by semiconductor clients ramps up.
“The conclusion of tariff issues should stabilise the market,” he said. “Clients’ capex expansion will benefit us and contribute to growth in the coming year.”
As the company shifts into its next growth phase, Ng credited the founding team and workforce for bringing OXB to the milestone.
“This moment belongs to our team. Their belief in what we do has brought us here and together we’re building not just for today, but for the opportunities ahead,” he concluded.
Malacca Securities Sdn Bhd acted as principal adviser, sponsor, underwriter and joint placement agent, with Kenanga Investment Bank Bhd as joint placement agent and Wyncorp Advisory Sdn Bhd as corporate finance adviser.
