by HARIZAH KAMEL / graphic by MZUKRI
SAMAIDEN Group Bhd expects to raise RM29.35 million from its listing on the ACE Market on Bursa Malaysia Securities Bhd next month to help fund its expansion plans to set up sales and technical support offices in Penang, Sabah and Vietnam.
Its IPO involved a public issue of 61.55 million shares at 48 sen each.
Based on its enlarged issued share capital of 210 million shares and IPO price, Samaiden’s market capitalisation worked out to RM100.8 million.
Following the launch of the prospectus, applications for the public issue are open from yesterday and will close on Oct 5.
The group is scheduled to be listed on the ACE Market on Oct 15, 2020.
Samaiden is primarily involved in the engineering, procurement, construction and commissioning (EPCC) of solar photovoltaic (PV) systems and power plants.
Its other business activities include the provision of renewable energy (RE) and environmental consulting services, as well as operations and maintenance services.
Commenting on the prospects of the RE industry and the solar PV sector in Malaysia, group MD Chow Pui Hee said the outlook is extremely bright.
“The government targets to achieve a 20% RE capacity mix by 2025. In 2019, it achieved around 8%, so there is a lot of room for the industry to grow.
“We strongly believe the growth potential is there for us to tap into, together with our sights trained on Vietnam as our foreign market expansion target,” she said in Kuala Lumpur yesterday.
The company ventured into Vietnam due to the country embracing the development of RE, particularly solar energy.
“Although they started much later than Malaysia, their growth is faster and they are able to complete much bigger projects in the last two years,” she said.
Some RM1.17 million and RM15.44 million will be set aside for capital expenditure and working capital respectively.
Despite being less than 10 years old, Samaiden’s revenue growth has been impressive with its three-year compound annual growth rate up to the financial year 2020 at 126.79%.
The growth was mainly driven by the higher revenue generated from its EPCC services for the solar PV power plants.