• Thu. Nov 30th, 2023

CPE Technology Announces IPO Price of RM1.07 on Main Market, Seeking to Raise RM179.58 Million


Nov 20, 2023

CPE Technology Bhd, an engineering precision parts manufacturer, is planning to raise approximately RM179.58 million through an initial public offering (IPO) by setting the price of its shares at RM1.07 each. The company’s market capitalization upon listing on Bursa Malaysia’s Main Market on December 7, 2023, is estimated to be RM718.31 million, based on an enlarged issued share capital of 671.31 million.

The IPO will consist of the issuance of 167.83 million new ordinary shares, representing 25% of the enlarged share capital. CPE mainly engages in the manufacturing of precision-machined parts and components and provides computer numerical control machining services. Its key customer industries include semiconductor, life science and medical devices, and sports equipment, with major clients in the US, Singapore, and Malaysia.

In the fiscal year ending on June 30, 2023, CPE’s net profit decreased by 10.67% to RM30.29 million from a record RM33.91 million in the previous year, while revenue increased by 4.63% to RM145.28 million from RM138.85 million. To finance its expansion plans, CPE will also offer for sale of 67.13 million shares equivalent to a 10% stake to institutional and selected investors through private placement. Of the proceeds raised from both the IPO and private placement combined, a portion has been earmarked for the acquisition of new industrial lands and construction of new plants

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