KUCHING: Supreme Consolidated Resources Bhd (SCRB) premiered on the ACE Market of Bursa Malaysia Securities Berhad, Friday.
The share, started at 37 sen per share on its trading debut, representing a 12 sen or 48 per cent increase over its Initial Public Offering (IPO) price of RM0.25 per share.
At the opening bell, a total of 9,264,500 shares were traded, under the stock name of ‘SUPREME’ and stock code of ‘0330’.
SCRB non-independent executive chairman Datuk Richard Wee expressed his pride in the achievement of the Company’s IPO, saying that the transfer listing of the company marks a step forward in its 40 years of journey, with their proven track record as a Sarawak-based Fast Moving Consumer Goods (FMCG) industry player.
“We are humbled to receive such an overwhelming response from everyone around us throughout this significant journey. This is one of the most rewarding accomplishments for our company.
“Our journey is far from over. With years of industry experience, we will continue our ongoing efforts to expand our product range to cater to consumers’ ever-changing needs. We are excited for what lies ahead, and SCRB is confident in our proven ability to consistently build a solid foundation that supports our continued growth,” he said.
Based on SCRB’s enlarged share capital of 430,000,000 shares and the IPO price of RM0.25 per share, the market capitalisation of the company is approximately RM107.5 million.
With a total of RM17.5 million in gross proceeds raised from the IPO, SCRB will utilise 62.86 per cent (RM11 million) of the proceeds to finance warehouse facility expansion and 22.86 per cent (RM4 million) for working capital.
The remaining proceeds will be utilised to defray listing-related expenses.
SCRB provides market access and coverage for consumer products in Sarawak and Sabah, where it is principally involved in the distribution of third-party brands as well as the company’s brands of frozen and chilled food products, ambient Food & Beverages (F&B) products and non-F&B products.
Presently, SCRB has a total of two distribution centres equipped with warehousing facilities and cold storage facilities in Sarawak, located in Kuching and Miri to cater to the storage as well as distribution of various types of consumer products.
Moving forward, the company will focus on three key strategies to grow SCRB’s business including expanding the company’s product range to meet consumer demands by securing new agency rights in order to introduce new products to cater for consumers’ ever-changing needs.
Other than that, SCRB intends to expand the Company’s distribution network and strengthen its distribution reach in Sarawak and Sabah, besides to expand warehouse capacity to meet the growing needs of the company.
Kenanga Investment Bank Berhad is the IPO’s principal advisor, sponsor, underwriter, and placement agent.
