Kuala Lumpur, Sept 6: CEKD Berhad, a die-cutting solutions provider as well as manufacturer of die-cutting moulds and trader of related consumables, tools and accessories, aims to raise RM24.28 million from its upcoming listing on the ACE Market of Bursa Malaysia Securities Bhd.
In a virtual media conference held by the company today, CEKD Managing Director, Yap Kai Ning, said the company’s initial public offering (IPO) involves the public issue of 50.59 million new shares at the issue price of RM0.48 sen per share.
“The forthcoming listing of CEKD Bhd marks a significant milestone in our history,” she said.
This IPO will not only strengthen our presence in the industry as a leading die-cutting solutions provider and manufacturer but also raise our profile to help us in our expansion plans.
“We are committed to sustaining our reputation and creating value for our shareholders.
“The proceeds from the IPO will go towards acquiring laser-cutting machines and automatic steel rule processors to support business expansion and increase our production efficiency.
“Our production capability will be enhanced with the upgrading of our computer software and servers and this will support business growth.
“Besides the purchase of machinery and equipment, we are also going to acquire a factory for Hotstar located in Kepong, Kuala Lumpur.”
As at August 6, the group has a large and diverse customer base of 1,309 customers and achieved an average gross profit margin of 48.3 percent from the financial year ending 2018 to the same corresponding period last year.
CEKD’s adviser, sponsor, sole underwriter and placement agent in relation to the IPO is M&A Securities.
“As of today, we have received positive response from investors for CEKD’s IPO and we are pleased to play a significant role in its goal to become a publicly listed company,” Managing Director of Corporate Finance, M&A Securities Datuk Bill Tan said.
“This milestone today is the result of the hard work and dedication of the CEKD team.
They are experienced and committed with operational expertise and in-depth knowledge of the manufacturing of die-cutting moulds and trading of related consumables, tools and accessories.
“The IPO will strengthen CEKD’s foothold in the industry,” he said.