KUALA LUMPUR (Aug 7): Premium cookware manufacturer Ni Hsin Group Bhd is planning an initial exchange offering (IEO) via IEO operator Pitch Platforms Sdn Bhd, to raise funds for its new electric vehicle (EV) business.

Ni Hsin, via a bourse filing, said its wholly-owned Ni Hsin EV Tech Sdn Bhd has inked an IEO agreement with Pitch for its IEO to be hosted on Pitch's licensed IEO platform, pitchIN.

NH EV Tech also signed a service agreement with Masverse Sdn Bhd for an in-depth analysis and design of the tokenomics for the company’s utility token for the IEO.

NH EV Tech managing director Khoo Chee Kong said the group has received very encouraging interest and feedback from its engagements with various government departments, agencies and corporate entities, on the use of EV two-wheelers in security, surveillance, enforcement as well as operational function.

“We foresee healthy growth prospects for our EV two-wheeler business, not just in outright sales of the products but the rent-to-own, rent-to-use and ride-sharing business models.

"In line with the forecasted growth, we need to expand our manufacturing and operational capacities. To finance this expansion, we are proposing to raise funds via the issue of utility tokens that will be hosted on the IEO platform, pitchIN, which is registered and recognised by the Securities Commission,” Khoo added.

pitchIN chief executive officer (CEO) Sam Shafie said the pitchIN has led the way in equity crowdfunding in Malaysia, with the most funds raised for the highest number of companies, and aims to replicate its success with Ni Hsin's IEO.

“Like all other pitchIN fundraising projects, the proposed NH EV TECH utility token will undergo rigorous due diligence and screening processes before it is launched to the public on our IEO platform. We are here to support Ni Hsin in this exploration, always with an eye on compliance and the necessary approvals, as we work together to shape the future of sustainable transportation,” Sam added.

Masverse CEO Chiew Kian Kok said the tokens issued by NH EV TECH are utility tokens, meaning they have practical functionalities within a specific ecosystem, rather than being investment-oriented securities.

“In the IEO market, utility tokens are expected to gain new premium space as investors recognize their actual use cases and potential value within specific projects or platforms,” Chiew said.

Ni Hsin shares closed unchanged at 12.5 sen on Monday, valuing the company at RM69 million. The stock has climbed 3.5 sen over the last one year.