Haily Group Bhd's share price jumped 20% in today's trading session on Bursa Malaysia to 80 sen from 68 sen during the initial public offering (IPO) in line with its listing on the ACE Market.
At 10.42am, Haily shares traded at 74 sen after trading between 72.5 sen and 81.5 sen.
During the IPO price of 68 sen, Haily obtained a market capitalization of RM121.26 million based on the company's total issued shares of around 178.32 million.
The IPO involved an offer for the sale of 18 million existing shares in the company and a public issue of 30 million new shares at a price of 68 cents per share.
Haily managed to raise RM20.4 million for business expansion from a public issue of 30 million new shares at 68 sen per share.
In a statement issued by the independent non -executive chief, Mohd Jaffar Awang (Ismail) said that the listing would be an important milestone for Haily as it managed to bring the group to a higher level than its modest start -up.
"I believe that the implementation of the listing will help in unlocking the potential of the group in an effort to enhance our reputation as we market construction services to expand our customer base in Malaysia," he said.
To date, Haily has completed 65 construction projects with a contract value of RM1.29 billion since 2008.
"The total value of guaranteed contracts and the value of contracts that are still not purchased on June 10, 2021 amount to RM460.04 million and RM249.58 million, respectively," added Mohd Jaafar.
According to a statement to Bursa, the company has recorded a net profit of RM2.8 million and revenue of RM43.3 million for the first quarter ended March 31, 2021.
Further, Haily also intends to distribute a dividend of at least 30% of its annual profits to its shareholders upon completion of its listing.
