KUALA LUMPUR, Jul 7, 2022 – (ACN Newswire) – Seng Fong Holdings Berhad, a rubber processor producing and trading Standard Malaysia Rubber and premium grade block rubber, made a successful debut on the Main Market of Bursa Securities Malaysia Berhad, opening at RM0.75 per share with an opening volume of 10.8 million shares, which is the same as the initial public offering (IPO) price of RM0.75 sen per share.

Seng Fong's market capitalisation at listing is RM389.22 million, and the Company was listed under the stock name, SENFONG and stock code, 5308.

The Chairman of Seng Fong, Mr. Ng Ah Bah @ Kok Yee, thanked the Securities Commission Malaysia, Bursa Securities, Hong Leong Investment Bank Berhad (HLIB) and other professionals involved in the IPO, and highlighted that the listing provides the Company the opportunity to realise its immediate objectives as well as investing in environmental, social, and governance (ESG) initiatives.

"Going forward, we will be well-positioned to capture opportunities arising from the increasing demand from our existing customers as well as from new customers as we ramp up production through the hiring of more people for a second shift and implementing ESG initiatives to make our business more sustainable."

"Building a sustainable business also requires the support of our shareholders. Thus, we intend to distribute at least 50% of our annual net profit as dividend to shareholders, subject to the approval of the Board of Directors and shareholders."

Block rubber is driven by the automotive industry with approximately 70% of global natural rubber being used for tyre manufacturing. Going forward, the world vehicle sector is anticipated to grow at a 5-year (2021 to 2025) CAGR of 7.03% to 105.0 million units.

Seng Fong is raising RM68.1 million from the IPO. From the proceeds, RM19.7 million has been allocated for working capital requirements including purchase of raw materials and the hiring of additional workers; RM37.9 million for the repayment of bank borrowings that include the partial funding for the solar system units, RM6.3 million to fund the installation of the biomass system units and RM4.2 million for listing expenses.

The installation of the solar system is estimated to achieve cost-savings of approximately RM2.6 million per annum from electricity costs and a further RM3.5 million per annum from diesel costs through the installation of the biomass system.

For the financial year ended 30 June 2021, the Company's export market share of block rubber stood at 11.8% based on its export output of 121,404 metric tonnes ("MTS") against the country's total export volume for block rubber of 1.03 million MTS in 2021. Seng Fong's revenue is almost entirely derived from exports, with the primary markets being China, Hong Kong, Singapore, and Taiwan.

The block rubber produced by Seng Fong are sold directly to end-user customers, majority are tyre manufacturers, and are also sold to international rubber traders. Block rubbers which are sourced from international rubber traders and/or natural rubber processors, for trading purposes, are sold to tyre manufacturers.

HLIB is the Principal Adviser, Underwriter and Placement Agent for the IPO.

Seng Fong Holdings Bhd: http://sengfongholdings.com/

Pictured (from left):
– Mr. Phang Siew Loong, Head of Equity Markets, Hong Leong Investment Bank Berhad
– Mr. Shim Choon Lim, Co-head of Corporate Finance, Hong Leong Investment Bank Berhad
– Ms. Lim See Tow, Independent Non-Executive Director, Seng Fong Holdings Berhad
– Mr. Jimmy Er Tzer Nam, Non-Independent Executive Director
– Mr. E Tak Bin, Non-Independent Executive Director, Seng Fong Holdings Berhad
– GONG –
– Mr. Er Hock Lai, Managing Director, Seng Fong Holdings Berhad
– Mr. Ng Ah Bah @ Kok Yee, Independent Non-Executive Chairman, Seng Fong Holdings Berhad
– Ms. Lee Jim Leng, Group Managing Director/Chief Executive Director, Hong Leong Investment Bank Berhad
– Ms. Lim May Wan, Independent Non-Executive Director, Seng Fong Holdings Berhad
– Mr. Chong Yeaw Kiong, Independent Non-Executive Director, Seng Fong Holdings Berhad
( https://www.acnnewswire.com/topimg/Low_SengFong2022707.jpg )

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KUALA LUMPUR, Jun 29, 2022 – (ACN Newswire) – Tricor Investor & Issuing House Services Sdn Bhd (TIIH) is pleased to announce that the Initial Public Offering (IPO) of Seng Fong Holdings Berhad is oversubscribed by 3.09 times.

Seng Fong's IPO involves the issuance of 160,874,300 IPO Shares in the following manner:

(A) Retail offering of 42,198,000 IPO Shares to be allocated in the following manner:
– 25,948,000 IPO Shares to the Malaysian public; and
– 16,250,000 IPO Shares to the eligible directors and employees of Seng Fong and its subsidiaries (Group) and persons who have contributed to the success of the Group;

(B) Institutional offering of 118,676,300 IPO Shares to be allocated in the following manner:
– 64,870,000 IPO Shares by way of private placement to Bumiputera investors approved by the Ministry of International Trade and Industry ("MITI"); and
– 53,806,300 IPO Shares by way of private placement to other institutional and selected investors.

A total of 3,968 applications for 106,046,800 IPO Shares with a value of RM79,535,100 were received from the Malaysian public, which represents an overall oversubscription rate of 3.09 times. For the Bumiputera public portion, a total of 2,097 applications for 31,762,400 IPO Shares were received, which represents an oversubscription rate of 1.45 times. For the remaining Malaysian public portion, a total of 1,871 applications for 74,284,400 IPO Shares were received, which represents an oversubscription rate of 4.73 times.

Meanwhile, the 16,250,000 IPO Shares available to the eligible directors and employees of the Group and persons who have contributed to the success of the Group have also been fully subscribed.

Managing Director of Seng Fong, Mr. Er Hock Lai said, "We would like to thank investors for their response to our IPO as this is an indication of their confidence in the fundamentals of the business. We can now look forward to capture opportunities arising from the increasing demand from existing customers as well as from new customers as we ramp up production through the hiring of more people for a second shift and implementing ESG initiatives to make our business more sustainable."

Group Managing Director/ Chief Executive Officer of Hong Leong Investment Bank, Ms. Lee Jim Leng said: "We are pleased with the reception from investors to Seng Fong's IPO reflecting their confidence in the solid fundamentals of the business and in the leadership as well as vision of the founders and promoters."

Hong Leong Investment Bank Berhad is the Principal Adviser, Underwriter and Placement Agent for the IPO.

The notices of allotment will be posted to all successful applicants on or before 6 July 2022. The company will list on the Main Market of Bursa Malaysia Securities Berhad on 7 July 2022.

Seng Fong Holdings Bhd: http://sengfongholdings.com/

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KUALA LUMPUR, Jun 14, 2022 – (ACN Newswire) – Seng Fong Holdings Berhad, a rubber processor producing and trading Standard Malaysia Rubber and premium grade block rubber. Block rubbers produced are sold directly to end-user customers and international rubber traders, majority of which are tyre manufacturers. Seng Fong is enroute to a listing on the Main Market of Bursa Malaysia Securities Berhad and is pleased to announce the launch of the Company's prospectus for the initial public offering (IPO).

Seng Fong's IPO involves the issuance of 160.87 million ordinary shares or 31.0% of the Company's enlarged number of issued shares comprising a public issue of 90.81 million shares and an offer for sale of 70.06 million shares. The issued shares will be made available for application in the following manner:

Retail offering of 42.20 million shares representing 8.1% of enlarged number of issued shares will be made available in the following manner:

– 25.95 million shares representing 5.0% of enlarged number of issued shares will be made available for application by the Malaysian public (via balloting), of which 50% will be set aside for bumiputera investors including individuals, companies, societies, co-operatives and institutions
– 16.25 million shares representing 3.1% of enlarged number of issued shares reserved for application by eligible persons

Institutional offering of 118.67 million shares representing 22.9% of enlarged number of issued shares will be made available in the following manner:

– 64.87 million shares by way of private placement to bumiputera investors approved by the Ministry of International Trade and Industry
– 53.80 million shares by way of private placement to other institutional and selected investors

Managing Director of Seng Fong, Mr. Er Hock Lai said, "Our immediate objectives from the listing are to optimise production by increasing our total annual capacity through the hiring of additional workers for a second working shift and implementing the ESG initiatives to make our business to be more sustainable.

"We intend to use part of the proceeds raised the IPO to fund our working capital requirements to expand annual production capacity to 166,000 metric tonnes by 2023 from the current capacity of 142,000 metric tonnes. To further our ESG initiatives, we are also using proceeds raised from the IPO to repay bank borrowings that we have used to install two solar systems that will help reduce overall electricity expenses."

"We are also allocating proceeds raised from the IPO for the installation of two biomass system using wood chips and replacing diesel to reduce overall fuel costs for our factories. We estimate that the use of the solar systems will result in savings of RM2.6 million while the biomass system will help us save RM3.5 million. On top of the cost saving, the use of renewable energy to reduce electricity and fuel consumption is in line with our emphasis on having sustainable business operations and the need to conserve the environment."

"Building on our solid fundamentals and business reputation, we intend to recommend at least 50% of our annual net profit as dividend to shareholders subject to the approval of the Board of Directors and shareholders."

Group Managing Director/Chief Executive Officer of HLIB, Ms. Lee Jim Leng said, "Today marks a milestone for Seng Fong Holdings as the company embarks on a new chapter from a journey that began in 1986 when Mr. Er Hock Lai and his brothers founded the business to process rubber for the domestic market.

We believe that Seng Fong Holdings will be able to leverage on this IPO to attain their immediate objectives while enhancing its presence in the international market for rubber processing."

Almost all of Seng Fong's revenue is derived from sales to international customers for FYE2019 to FYE2021. For the nine months ended 31 March 2022, Seng Fong posted RM662.43 million of revenue with gross profit of RM61.74 million and profit after tax of RM31.32 million.

Seng Fong Holdings Bhd: http://sengfongholdings.com/

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KUALA LUMPUR, Jun 7, 2022 – (ACN Newswire) – Yew Lee Pacific Group Berhad, an established manufacturer principally involved in the manufacturing of industrial brushes as well as trading of industrial hardware and machinery parts, was successfully listed today on the ACE Market of Bursa Malaysia Securities Berhad with an opening price of RM0.285 sen per share, compared with the initial public offering (IPO) price of RM0.28 sen per share.

Thanking the Securities Commission Malaysia, Bursa Securities, M&A Securities Sdn Bhd, Eco Asia Capital Advisory Sdn Bhd and other professionals involved in the IPO, Chairman of Yew Lee Encik Mahdzir Bin Othman said, "I am extremely grateful to share this wonderful moment with the investors, customers and suppliers who have supported our humble company since its inception in 2004 as an industrial brush manufacturer. We are overwhelmed by the positive response and are very pleased with our debut on the ACE Market today."

The Company is raising RM37.27 million from the IPO exercise. From the IPO proceeds, RM10.9 million would be used for the purchase of additional machinery and equipment, RM7.3 million for the construction of a new warehouse facility and office building in Pusing, Perak, RM1.8 million for renovation of new office in Klang Selangor, RM8.9 million for the repayment of bank borrowings, RM4.57 million for working capital requirements and RM3.8 million for the listing expenses.

Encik Mahdzir also announced that Yew Lee will continue to strengthen their market position as one of the key industry players in the industrial brush industry in Malaysia. "We see this listing as an opportunity to realise our future plans and strategies, including expansion and upgrading of our production facilities as well as developing a range of customisable industrial brushes catering to a diverse customer base."

"As such, we have also allocated RM3.6 million from our IPO to make advance purchases on materials to support the increase in our manufacturing activities in tandem with the rise in demand of our range of brushes. This will improve our inventory and availability levels and shorten overall lead time for delivery. The purchase of additional machinery and equipment is also to automate production processes and reduce labour costs."

Yew Lee currently has an estimated market share of 12.4% of the total size of the industrial brush industry in Malaysia of RM254.50 million in 2021, based on the Company's revenue from the manufacturing of industrial brushes segment of RM31.60 million during the financial year ended 31 December 2021.

The Company plans to automate more of its operations to reduce dependency on labour and intends to expand market share in the trading of machinery parts in the central region of Peninsular Malaysia as well as have a bigger presence in Indonesia and Thailand through Yew Lee Indonesia and Yew Lee Thailand, both of which were established in 2019.

The Company recently declared a first interim dividend of RM0.003 sen per ordinary share in respect of financial year ending 31 December 2022 (FY2022) to be paid on 12 July 2022.

M&A Securities is the Principal Adviser, Sponsor, Underwriter and Placement Agent for Yew Lee's IPO while Eco Asia Capital Advisory Sdn Bhd is the Financial Adviser for the IPO.

Yew Lee Pacific Group Bhd: https://yewlee.com.my/

Copyright 2022 ACN Newswire. All rights reserved. http://www.acnnewswire.com

BANGI, Malaysia, May 26, 2022 – (ACN Newswire) – Technology leader in providing fully customised, intelligent manufacturing automation solutions, Genetec Technology Berhad announced its best annual performance to date for the financial year ended 31 March 2022 (FY2022). The Company recorded RM58.1 million profit after tax (PAT) up 1,420.5% from a loss of RM4.4 million in the preceding year. Annual revenue stood at an all-time high at RM223.6 million, up by 130.3% versus RM97.1 million for the period, driven by the electric vehicle (EV) and energy storage segments. Correspondingly, earnings per share (EPS) stood at 7.90 sen for the period, up by 1,395.1% from -0.61 sen.

For the fourth quarter year ended 31 March 2022 (Q4FY2022), Genetec's PAT stood at RM14.0 million, an increase of 333.3% compared to the loss of RM6.0 million in the corresponding quarter for FY2021 (Q4FY2021). Quarter on quarter (QoQ) revenue stood at RM58.7 million, up by 348.1% versus RM13.1 million for the corresponding quarter.

In comparison with the preceding quarter, Genetec's Q4FY2022 PAT came in lower by 28.6% compared to RM19.6 million posted in the preceding quarter due to the shorter operating period. The Company continued to maintain a high level of discipline in cost management to moderate the effects of the shorter quarter. Revenue for Q4FY2022 stood at RM58.7 million, a decrease of 10.1% compared to RM65.3 million of the preceding quarter.

Genetec also announced the approval to proceed with a property acquisition from Utusan Melayu Malaysia Berhad (UMMB) in Bandar Baru Bangi. The said property comprises a parcel of land of 6.348 hectares or 683,293 square feet (sq ft), and buildings within the said area with a total gross floor area of 301,509 sq ft and will be purchased at RM53 million.

Genetec said, "Through this acquisition, we aim to consolidate most of our design and development, machining centers and machine assembly in Bandar Baru Bangi to increase further capacity to cater for future demand.

On the overall, the Electric vehicle (EV) and energy storage segments remained dominant contributors to Genetec's overall revenues with expectations for said segments to grow further in the coming quarters. Genetec commented, "Sales of electric cars worldwide hit 6.6 million in 2021, almost doubling from the previous year. For context, in 2012, only 120,000 electric cars were sold. Today, the same number is sold every week[1]. Due to the population growth and increase in affluence, there is a shift to the current technology driven by the global adoption of renewable energy solutions. Most recently, the European Union ("EU") announced plans to increase efforts in solar and wind power to hasten the region's shift to green energy. To achieve this, the EU's proposal is to allocate EUR210bn (RM987 billion) over the next five years to phase out fossil fuels such that 45% of their energy mix should come from renewables by 2030. This is an advance on the current 40% target suggested less than a year ago[2] and reinforces the seriousness of the move towards electric and renewables. It also amplifies the urgency of the need for more focus and resource allocation to these segments."

On their part, Genetec is also ramping up their team strength. In 2021, the Company increased their staff strength by 100 to support the increased workload and job orders. "Our investments have always been in Malaysia. Likewise, all our staff are local. We believe in hiring and training local talent and this is evident in our staff force. From our founding members, senior leadership, to staff, most of our staff joined us fresh out of university or technical school and have risen within the ranks to manager and senior managerial levels. The staff stability is crucial to ensure continuity and to provide assurance to our clients that we have the right people and experience to consistently deliver quality products and service."

Genetec concluded, "It has been an eventful, challenging but rewarding year with many new developments and milestones. Genetec has been working hard to ensure we deliver on our orders in a timely manner, especially given the ongoing geopolitical and economic headwinds. We are also working closely with our clients to ensure we remain a key and important partner in supplying their automation solutions. We are also sharpening our focus on managing our supply chain operations, from planning and demand forecasting, sourcing, materials management to logistics. Working closely with our suppliers is critical to mitigate possible supply-chain disruptions or delivery challenges that will affect our ability to deliver our orders in a timely manner."

"In the meantime, we remain optimistic that our efforts to deepen our client's share-of-pocket will yield results in the coming quarters. Our pipeline remains robust, backed by the accelerating demand for EVs across major markets worldwide. Moving forward, Genetec remains focused on growing our workforce and deepening their knowledge and skillsets, especially in EV and energy storage. We are also building on our capacity to be able to take on new orders and projects from existing and new customers. We are committed to growing sustainably whilst developing new growth pathways for local talent to contribute to the progress of the local automation technology segment in Malaysia."

[1] Source: World Economic Forum – More electric cars are now sold every week than in the whole of 2012
[2] Source: EU plans 'massive' increase in green energy to help end reliance on Russia

Genetec Technology Berhad: https://genetec.net/

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KUALA LUMPUR, May 26, 2022 – (ACN Newswire) – Seng Fong Holdings Berhad, a rubber processor producing and trading Standard Malaysia Rubber (SMR) and premium grade block rubber, is pleased to announce that the Company has entered into an underwriting agreement with Hong Leong Investment Bank Berhad (HLIB) for its upcoming initial public offering (IPO) on the Main Market of Bursa Malaysia Securities Berhad.

According to Seng Fong's draft prospectus posted on the Securities Commission Malaysia website, the listing exercise involves the IPO of up to 160.87 million ordinary shares or up to 31.0% of the Company's enlarged number of issued shares comprising a public issue of 90.81 million shares and an offer for sale of up to 70.06 million shares.

Under the agreement, HLIB will underwrite 42.20 million IPO shares made available for application under the retail offering. HLIB is also the Placement Agent for 118.68 million IPO shares allocated to bumiputera investors approved by the Ministry of International Trade and Industry (MITI) as well as other institutional and selected investors.

Managing Director of Seng Fong, Mr. Er Hock Lai said, "We look forward to working with HLIB on our IPO, which we see as crucial for our future growth as the funds raised through the listing exercise will be used for expansion plans. Our plans include the installation of two solar system units to generate electricity in line with the Company's ESG initiatives to reduce carbon footprint and have more sustainable business operations which will result in savings of approximately RM2.6 million per annum to our Group's cost of sales."

"We will also be installing a biomass system to reduce diesel consumption used to generate fuel for our dryer system. This initiative will also help achieve savings of RM3.5 million per year and further our ESG initiatives by making the business more sustainable over the longer term. In addition, we are also planning to increase the total annual capacity of our factories to approximately 166,000 MTS by year 2023 from current total capacity of 142,000 MTS."

Group Managing Director/Chief Executive Officer of HLIB, Ms. Lee Jim Leng said, "We are pleased to have played a key role in assisting Seng Fong in this IPO exercise. The Company has a solid reputation and a history dating back to 1986. Rubber is a key material in many industries and in particular, the automobile industry where there is steady demand".

"We have no doubt that Seng Fong will continue to excel and to build upon the foundations set down almost four decades ago. The listing is an effective platform for the Company to move into the next stage of growth".

Almost all of Seng Fong's revenue is derived from sales to international customers for FYE2019 to FYE2021.

Seng Fong Holdings Bhd: http://sengfongholdings.com/


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KUALA LUMPUR, May 17, 2022 – (ACN Newswire) – Yew Lee Pacific Group Berhad (YLPG), an established manufacturer principally involved in the manufacturing of industrial brushes as well as the trading of machinery parts and industrial hardware, launched the Company's prospectus today for an initial public offering (IPO) leading to a listing on the ACE Market of Bursa Malaysia Securities Berhad.

The Company's IPO involves the issue of 133.10 million new shares to be issued at RM0.28 sen per share and an offer for sale of 26.62 million existing shares by way of private placement to selected investors. The public issue shares will be made available for application in the following manner:

Public issue
– 26.62 million new shares made available for application to the Malaysian public
– 15.97 million new shares allocated for application by eligible directors and employees
– 23.96 million new shares by way of private placement to selected investors
– 66.55 million new shares by way of private placement to identified bumiputera investors approved by the Ministry of International Trade and Industry (MITI)

The IPO is expected to raise gross proceeds of RM37.27 million to be utilised in the following manner:

Utilisation of proceeds
– RM10.90 million for purchase of machinery and equipment
– RM7.30 million for construction of warehouse facility and office building
– RM1.80 million for renovation of office building
– RM8.90 million for repayment of bank borrowings
– RM4.57 million for working capital
– RM3.80 million for listing expenses

Managing Director of YLPG, Mr. Ang Lee Leong, said: "The launch of this Prospectus is an important milestone for us as it marks the fruits of our labour from when we first started operations in 2004. As an established producer of industrial brushes, we embarked on this IPO to raise funding for our growth plans and elevate our profile in the industry."

"To maintain sustainable growth and create long-term shareholder value, we have plans to expand manufacturing capacity and increase automation which the proceeds from the IPO enables us to implement. We are also constructing warehouse and office facilities as the current facilities are needed for the expansion of the Group's manufacturing activities and also to cater for future business growth."

YLPG produces industrial and technical brushes for various manufacturing industries including glove, industrial, electrical and electronic, industrial and commercial cleaning providers as well as glass and wood producers. For the financial year ended 31 December 2021 (FY2021), 76.8% of the Group's total revenue was mainly derived from Malaysia while the remaining 23.2% was derived from the overseas market primarily located in Thailand, Vietnam, Indonesia and Taiwan, representing approximately 7.0%, 5.8%, 3.3% and 5.8% respectively.

Deputy Head of Corporate Finance, M&A Securities Sdn Bhd, Mr. Danny Wong said: "The proceeds from the IPO will allow YLPG to increase its manufacturing capacity in order to support its expansion plans and capitalise on the post Covid demand recovery. As such, we are confident that Yew Lee's shares will be well received upon IPO."

M&A Securities is the Principal Adviser, Sponsor, Underwriter and Placement Agent for YLPG's IPO while Eco Asia Capital Advisory Sdn Bhd is the Financial Adviser.

Yew Lee Pacific Group Bhd: https://yewlee.com.my/

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