PETALING JAYA: Solar photovoltaic system specialist Solarvest Holdings Bhd posted a premium of 40.5 sen or 115.7% in its debut on Bursa Malaysia’s ACE Market today.
At the opening bell, the stock traded at 60 sen, representing a 71.4% premium from the issue price of 35 sen. It rose to a high of 76 sen before closing at 75.5 sen with 262.94 million shares done.
Speaking at the listing ceremony, Solarvest managing director Lim Chin Siu said going public is the next chapter of the group’s growth journey.
“There is much to be done as we strive to drive higher participation and adoption of green energy here and internationally.
“Moving forward, we foresee the domestic operating landscape to be increasingly competitive with more players entering the solar industry, given that the Malaysian government is introducing more incentives to spur demand for clean energy,” he said in a statement.
Lim added that the group’s immediate focus will be to increase its market share in the domestic market, expanding its footprint in Negri Sembilan, Malacca and Johor.
Meanwhile, over the long term, Lim said Solarvest is in discussion with a few potential business partners in Vietnam and Taiwan to explore business opportunities there.
Solarvest specialises in turnkey engineering, procurement, construction and commissioning services for solar photovoltaic systems.
The group raised a total of RM34.6 million from its IPO, of which RM19.2 million or 55.5% will be utilised for its working capital to strengthen its daily operations and future projects. Some RM4 million or 11.5% will be used to acquire new project machinery and equipment as well as to upgrade its information technology software and hardware.
Meanwhile, it has allocated RM3 million or 8.7% will be allocated for its geographical expansion in the domestic and international markets. The remaining of the IPO proceeds will be used for repayment of bank borrowings (RM5 million or 14.5%) and listing expenses (RM3.4 million or 9.8%).
