HSS Eyes Southeast Asian Growth On Rising Demand For Halal Bakery Products
KUALA LUMPUR, June 23 (Bernama) -- Bakery products manufacturer HSS Holdings Bhd plans to strengthen its presence across Southeast Asia (SEA), capitalising on rising demand for halal products following its Bursa Malaysia’s ACE Market debut.
Its production director Joshua Lau Ern Tien said SEA remains the group's key growth market, driven by the increasing acceptance of Malaysian halal products, one of the company’s key strengths and selling points.
"Our traditional products, such as cakes and biscuits, have also gained wide acceptance in markets including Indonesia, the Philippines, Thailand and even Dubai," he told reporters after the company's listing ceremony today.
At 9 am today, HSS opened flat at 18 sen on its debut, unchanged from its initial public offering (IPO) price, with 16.23 million shares traded.
The company aims to raise RM13.5 million from its IPO, with RM2.57 million for capital expenditure for the group’s manufacturing facilities; RM4.50 million to repay bank borrowings; RM2.93 million for working capital, and RM3.50 million to defray listing expenses.
The proceeds raised will enable HSS to enhance its manufacturing capabilities, invest in automation and operational improvements, strengthen its proprietary brands and improve overall efficiency, Lau said.
“Malaysia remains our largest contributor. We plan to onboard more retailers locally while expanding into new markets within and beyond Malaysia,” he said.
Its network comprises 330 wholesalers, 117 retailers and five distributors in Malaysia, Singapore, Indonesia, Australia, Cambodia, and South Korea.
Upon listing, HSS will have a market capitalisation of RM90 million, based on its IPO price of 18 sen apiece, with an enlarged issued share capital of 500 million shares.
M & A Securities Sdn Bhd is the principal adviser, sponsor, underwriter, and placement agent for the IPO.
At 5 pm, HSS remained flat at 18 sen with 90.33 million shares traded.
-- BERNAMA