HPMT debuts on main market of Bursa Malaysia
Focus Malaysia 12 Jun 2019 12:57
HPMT Holdings Berhad (“HPMT”) was officially listed on the Main Market of Bursa Malaysia Securities Berhad this morning under the stock name of HPMT and stock code 5291.
HPMT’s share price opened at RM0.58, representing a 3.6% premium compared to its initial public offering price of RM0.56, with an opening volume of approximately 5.5 million shares.
The listing exercise has successfully raised proceeds of RM42.3 million. RM34.0 million or 80.4% of the proceeds will be utilised to purchase new machineries, where the new machineries are expected to increase the production capacity of HPMT and its subsidiaries (the “Group”) by over 40%, from 148,200 pieces of cutting tools monthly as at end-2018 to 212,600 pieces monthly by 31 December 2021. The Group is also allocating RM2.9 million for working capital and approximately RM5.4 million for listing expenses.
Speaking at the listing ceremony, HPMT’s Managing Director, Mr. Khoo Seng Giap said, “The IPO exercise is an opportunity for us to position ourselves more competitively in the industry and to further develop our market presence and deepen our relationship with our existing customers in Malaysia, Europe and China. It is our objective to continue executing sound strategies to pursue our growth organically.”
He added, “It is my duty to continue to elevate HPMT to its full potential and to ensure that the hard work of the founding fathers will not go in vain. I want to do better for our customers, our employees and for the future generations.”
HPMT is backed by a team of experienced and enthusiastic people with relevant expertise in the fields of cutting tools which will drive HPMT to greater heights.
Hong Leong Investment Bank Berhad is the principal adviser, underwriter and placement agent for this listing exercise.