Vestland Bhd group managing director Datuk Liew Foo Heen (third from left) and chairman Datuk Mathialakan Chelliah (fourth from left) with delegates at the listing ceremony of the company on the ACE Market of Bursa Malaysia in Kuala Lumpur on Tuesday (Jan 31). (Photo by Zahid Izzani Mohd Said/The Edge)

KUALA LUMPUR (Jan 31): Vestland Bhd made its debut on the ACE Market of Bursa Malaysia on Tuesday (Jan 31), with an opening price of 38 sen against its initial public offering (IPO) price of 33 sen.

The construction company later closed 18.18% higher at 39 sen on its maiden trading day, with a trading volume of 352.06 million, making it the most active stock on Bursa. Its market capitalisation stood at RM368.28 million.

No dividend policy was announced by the group.

“Being listed on the capital market will provide us with greater visibility, access to a wider pool of investors, and the ability to raise capital to drive our business forward," said Vestland group managing director Datuk Liew Foo Heen.

"It also demonstrates the confidence that investors have in Vestland’s growth prospects and future potential, especially in the design and build industry. This is an exciting time for Vestland, and we look forward to continuously deliver value to our shareholders as we move forward."

At a press conference, Liew added that the group is looking forward to the year for more contracts in Malaysia and from the private sector, while a transfer to the Main Market will be considered.

"Apparently now, we have RM2 billion in our tenders in progress. We are looking forward for more and more contracts. Last night (Monday), we just announced another contract of RM63 million [for a] condominium project.

"I believe this year, we will be able to grow further. There will be a 30-40% growth, hopefully.

"I think with the current book order and tenders we are going through, I think we are good enough to be seen in the Malaysian market.

"Now our market covers Sabah, Johor, Penang, Perak, the Cameron Highlands, [in a] few states we are already operating, and Selangor and Kuala Lumpur as well."

When asked whether fewer government contracts might be a headwind for the group, Liew is confident that it will not be the case.

"We are well diversified. If you look at the tender book we have now, the private sector is growing very strong, not only for residential and commercial but industrial buildings as well.

"If you are looking at the foreign direct investment coming into Malaysia in the past one to two years, we foresee, moving forward, there will be more industrial buildings coming."

The group's IPO included a public issue of 170 million new shares and an offer for sale of 70.8 million existing shares.