EGH International trades below IPO price in ACE Market debut
The interior fit-out company has 18 projects in progress and an outstanding order book of about RM313.49 million.
EGH International Bhd shares started trading at 14.5 sen on Oct 16, putting its ACE Market debut below the 16 sen initial public offering (IPO) price. Trading volume exceeded 35 million shares by 9.15am, when the counter was at 13 sen after reaching a low of 12 sen.
The 13 sen price valued the company at RM130 million. Subscription demand for its IPO was fewer than three times the shares available, amid weak market conditions.
The offering generated RM57.6 million. EGH International received RM38.4 million, while selling shareholder Datuk Doh Jee Ming received RM19.2 million for existing shares. Doh, managing director of Lagenda Properties Bhd, held about 25% after the IPO, down from 49%.
EGH International has allocated RM14.4 million for borrowings repayment and RM13 million for general working capital. A further RM5 million is designated for building a head office, warehouse and showroom, with RM6 million allocated to listing expenses.
Operating from Puchong, Selangor, the company undertakes interior fit-out work and sells building materials alongside furniture, fixtures and equipment. Its 18 active projects carry an outstanding order book of about RM313.49 million, with progressive billing scheduled across FY2027, ending May 31, 2027, and FY2028.
Speaking to reporters after the listing ceremony, managing director Datuk Weslie Lim Yuk Meng expressed strong confidence in upcoming performance following the recently ended quarter. He said temporary share-price movements might not represent how the company performs overall.
