KUALA LUMPUR: Total surface decorative products company Topmix Bhd today debuted on the ACE Market of Bursa Malaysia Securities with its share price opening at 41 sen, representing a premium of 32.3% over the issue price of 31 sen, on volume of 12.249 million shares.
The counter closed at 42 sen on volume of 124.866 million shares, 11 sen or 35.5% above the issue price.
Topmix managing director Teo Quek Siang said, “Today marks a pivotal milestone for Topmix as we embark on a new chapter of growth as a publicly listed company. The success of our initial public offering (IPO) underscores our commitment to propel Topmix forward, solidifying our group’s position in the surface decorative products market.”
He added the fresh capital raised through the IPO positions them strongly to execute their expansion plans and their immediate focus includes broadening their product range by expanding into the assembly of melamine-faced chipboard (MFC) products, catering to new customer segments like furniture manufacturers.
“MFC provides a cost-effective option for furniture carcasses, while complementing our existing HPL surface decorative products. This allows us to offer customers complete, colour-coordinated products at competitive prices,” he said.
Teo said Topmix will establish a sales office in Penang to capture business opportunities in the northern region of Peninsular Malaysia. This strategic expansion will allow them to meet the rising demand from customers, increase brand and product awareness, and respond more promptly to product orders across the region, he added.
Recognising the growth potential in the central region, Teo said, they are committed to serving the expanding demand for their product applications in both residential and commercial properties.
“Thus, we intend to expand our warehouse capacity in the central region, facilitating a wider range of inventory for faster order fulfilment,” he said, adding that their growth plans are well-aligned with the recovery and growth observed in the property markets, driven by various government initiatives and approved investments in spurring property developments.
The group raised RM25.6 million from the IPO, of which RM11.3 million (44.2%) is directed towards general working capital, and RM6 million (23.3%) to facilitate business expansion, marketing and sales initiatives, including the establishment of a new sales office and warehouse expansion.
Furthermore, Topmix has allocated RM5.3 million (20.8%) for the expansion into MFC products assembly. The remaining RM3. million (11.7%) is set aside to cover listing expenses.
