ACE Market-listed EVD eyes expansion in SE Asia market

It is also seeking to widen its range of transportation system solutions for other types of transportation infrastructure

by ANIS HAZIM / Pic by TMR

EVD Bhd plans to tap into the regional market, particularly the South-East Asian (SE Asia) countries, in delivering its transportation system solutions for key railway, urban rail transit system and highway projects.

ED Gan Wee Ping said the group intends to replicate similar methods from its successful systems in Malaysia in the regional market.

“What we are going to do for this region is we are going to use the same methods of what we have done here (in Malaysia), and our success lies in our past experiences,” Gan said in a press conference after the EVD listing ceremony in the ACE Market today.

He said EVD has been located in the Philippines and the group is currently eyeing other regional countries such as Indonesia and Thailand.

The company also intends to seek to widen its range of transportation system solutions for other types of transportation infrastructure.

EVD, which assumed the listing of iDimension Consolidated Bhd (ICB) upon completion of the regularisation plan of ICB, debuted at 26 sen on the ACE Market today from its reference price of 21 sen.

Upon listing, the group recorded an opening volume of 1.18 million, while its market capitalisation has reached RM99.3 million.

EVD is an investment holding company and through its wholly owned subsidiaries, EV-Dynamic Sdn Bhd and EVD Engineering Sdn Bhd (EVE), EVD is principally involved in the provision of ICT system solutions focusing primarily on the transportation system solutions.

Through the regularisation plan of ICB, which involves, among others, a shares consolidation, a private placement (PP), a rights issue (RI), a management buy-out (MBO), acquisitions of EV-Dynamic and EVE, securities exchange and transfer of listing status, EVD eventually assumed the listing status of ICB.

Notably, the PP, RI and MBO collectively raised total gross proceeds of RM26.64 million.

Out of the RM26.64 million gross proceeds, EVD said about 45% or RM12 million will be utilised for part-settlement of the purchase consideration for the acquisition of EVE, while 42.57% or RM11.34 million will be utilised for working capital.

Another 12.39% or RM3.3 million will be utilised for estimated expenses for the regularisation plan.

Gan foresees positive prospects for the group in the longer term as there are growing opportunities in the transportation system solutions industry in Malaysia.

“The government has announced the construction of several transportation infrastructure, namely three new highways (in Klang Valley), and there is also the Mass Rapid Transit 3 (MRT3) project.

“These are typically projects that we will participate in. We have participated in MRT and MRT2. We do hope that this will be positive for us,” he added.

He said the growing transportation system in Malaysia has an estimated compound annual growth rate of 9.9% from RM1.78 million in 2022 to RM2.15 million in 2024.