MASTER TEC GROUP BERHAD OBTAINED APPROVAL FROM BURSA MALAYSIA SECURITIES BERHAD (“BURSA MALAYSIA”) TO LIST ON THE ACE
MARKET OF BURSA MALAYSIA
• New issue of 158.1 million new shares representing 15.5% of the enlarged issued share
capital
• Offer for sale of 127.5 million existing shares representing 12.5% of the enlarged issued
share capital
Melaka, Malaysia, 8 November 2023 – Bursa Malaysia had via its letter issued to SJ Securities Sdn Bhd, the principal adviser, sponsor, underwriter and placement agent of Master Tec Group Berhad (“Master Tec” or “The Group”) approved Master Tec’s proposed initial public offering (IPO) and proposed listing on the ACE Market of Bursa Malaysia. Master Tec targets to list on the ACE Market of Bursa Malaysia by the first quarter of 2024.
Master Tec is a cable and wire manufacturer that is primarily involved in the manufacturing and distribution of a wide range of safe, quality and high-performance low voltage (LV) power cables, control and instrumentation cables and solar direct current (DC) power cables under its reputable MASTERTEC trademark since 2009. The Group is also involved in the trading and distribution of a wide range of medium voltage (MV) power cables and fibre optic cables to cater for various end-user markets.
Master Tec’s IPO entails the public offering of 285.6 million ordinary shares comprising a public issue of 158.1 million new shares and an offer for sale of 127.5 million existing shares which collectively represent 28.0% of the Group’s enlarged issued share capital of 1.02 billion ordinary shares.
Of the 158.1 million new shares, 51.0 million new shares will be made available for application by the Malaysian public; and 2.144 million new shares will be made available for application by eligible directors and employees of the Group. The remaining 104.956 million new shares will be allocated for private placement to selected investors. There is also an offer for sale of 127.5 million existing shares which will be allocated for private placement to identified Bumiputera investors approved by the Ministry of Investment, Trade and Industry.
Dato’ Lau Kim San, Non-Independent Executive Director and Managing Director of Master Tec commented,
“We are delighted that Bursa Malaysia has given their approval for us to implement our proposed IPO and proposed listing after having diligently assessed and considered the merits of our application. The approval not only reinforces the authority’s confidence in us but also takes us a step closer to our IPO journey. This comes at an opportune time as we are ready to take advantage of the vast opportunities in the electricity transmission, distribution and end-user application space in Malaysia and the surrounding countries.”
Master Tec’s Non-Independent Executive Director and Chief Executive Officer, Mr Tee Kok Hwa, commented,
“Since 2006, we have grown and are now operating three well-established manufacturing plants in Melaka which are able to produce a comprehensive range of high-performance, durable and safety-compliant quality wires and cables. Our diversified portfolio of customers spans from power utility companies like Tenaga Nasional Berhad, Sarawak Energy Berhad and Sabah Electricity Sdn Bhd, to electrical wholesalers, mechanical and electrical contractors and project owners.”
“With the new funding that Master Tec is expecting to raise from the Group’s IPO exercise, we plan to utilise parts of the IPO proceeds to construct two new manufacturing plants in Alor Gajah, Melaka to venture into the manufacturing of medium voltage (MV) power cables. We aim to increase our annual production capacity to produce approximately 3,600 tonnes of MV power cables per year and we target to commence the new MV power cables production by the fourth quarter of
2024.”
“This expansion will enable the Group to market its products to capital-intensive manufacturing industries that demand higher voltage of electricity power transmission, such as automotive plants, pulp and paper mills, semiconductor fabrication plants, steel mills and chemical plants, on top of power utility companies. We also aim to increase our export sales revenue by focusing on our existing export markets as our main priority, such as Brunei, Singapore and Thailand, to grow our business further.”
“By increasing our product offerings to include MV power cables as well as increasing our export sales, we aim to capture a larger market share in the regional wires and cables sector going forward.”
INFORMATION ON MASTER TEC GROUP BERHAD
Founded in 2006, Master Tec manufactures and distributes a wide range of low- voltage power cables, control and instrumentation cables and larger sizes of solar direct current power cables. The Group is also involved in the trading and distribution of a wide range of medium voltage power cables, fibre optic cables and smaller sizes of solar direct current power cables.
All three well-equipped manufacturing plants are located in Alor Gajah, Melaka, Malaysia. The Group has an accumulated production capacity to produce up to 9,500 tonnes of wires and cables annually. The Group has the capacity to produce up to a maximum of 4,000 tonnes of copper-cored and up to 5,500 tonnes of aluminium-cored wires and cables per year.
The Group’s quality assurance and high-performance wires and cables are utilised in diverse sectors including renewable energy, property development and construction, oil and gas, infrastructures, public transportation, manufacturing, industrial, electrical and electronics and telecommunications.
Issued by: Maxamis Consultancy Services on behalf of Master Tec Group Berhad
For further media enquiries, kindly contact:
Mr Tan Yap Seng
Appointed Investor Relations and Media Relations Consultant
Telephone Number: +6016 – 328 1828
Or
Mr Tee Kok Hwa
Chief Executive Officer
Master Tec Group Berhad
Email: khtee@mastertec.my
Telephone Number: +606 – 316 1111 Ext: 120
Company Address:
RM 1299-A, Kawasan Perindustrian Rembia 78000 Alor Gajah, Melaka, Malaysia.