SCH makes strong debut

KUALA LUMPUR: SCH Group Bhd made an impressive debut on the ACE Market of Bursa Malaysia yesterday closing the day at 28.5 sen, a 5.5 sen premium over its offer price .
The quarry specialist supplier is eyeing a listing on the Main Market in two to three years supported by its plan to expand operations locally and in South-East Asia.
Managing director Lau Mong Ling said he was positive with the group’s post-listing plan to expand regionally as well as moving into high-end product industry quarry products.
“I am very happy at the share price movement today, this listing is very important to us to further grow our business,” he told reporters after the group’s stock debut.
At the opening gong, SCH Group gained 12 sen over its issue price of 23 sen, hitting a high of 40 sen. It was the most actively traded counter in the morning with almost 105 million shares transacted.
Lau is targeting to increase the group’s market share in the local quarry equipment and machinery market by 3% to 5% by increasing its range of products.
Currently, the group commands a 17.5% share of the local quarry equipment and machinery market.
“We will be using RM10mil from the listing proceeds to build the company’s new facility and a new showroom that will enhance the marketability of our products,” Lau said.
He added that SCH also planned to penetrate the reconditioned quarry machinery segment in Sabah and Sarawak via its subsidiaries within a year.
Lau said the RM14mil four-storey building would comprise a corporate office, warehouse, factory as well as showroom-cum-service centre for quarry machinery, quarry equipment and reconditioning workspace.