Fortesys plans ACE Market IPO to fund AI and cybersecurity expansion
The proposed offering includes 179.22 million new shares, with funds earmarked for products, staffing and facilities.
Fortesys Holdings Bhd is seeking an ACE Market listing on Bursa Malaysia, with plans to use the funds raised to broaden its technology offerings and increase technical and sales staffing, according to its draft prospectus.
Its proposed initial public offering (IPO) includes a new issuance of 179.22 million shares. A further 48 million existing shares will be sold by shareholders. The public allocation is 40 million shares, while eligible directors, employees and contributors will be offered 16 million. Selected investors will receive 123.22 million new shares via private placement, alongside the existing shares offered for sale.
The company plans to add distributorships covering AI-enabled computer vision, cybersecurity driven by AI, and network infrastructure. These are expected to supplement its current distribution portfolio of 17 brands. Other planned uses of the funds include proprietary SaaS+ development, expansion of its network operations centre in Puchong, a sales office in Johor and working capital.
Fortesys is also developing technology that combines software, hardware and AI, beginning with vehicle inspection systems enabled by AI. It has placed test kits at the premises of a prospective customer for feasibility assessment.
The group reported RM6.62 million in net profit for FY2025, which ended on Dec 31, 2025, compared with RM3.87 million for FY2024. Revenue increased from RM116.09 million to RM124.07 million.
Distribution of equipment and software generated 72.41% of FY2025 revenue. Systems integration involving network infrastructure and cybersecurity contributed 21.78%, while value-added services supplied 5.81%. Malaysia generated 98.9% of group revenue for that financial year.
Alliance Islamic Bank Bhd will serve as the IPO’s principal adviser and sponsor, as well as its sole underwriter and sole placement agent.
