(From left) BWYS Group Bhd independent directors Teresa Tan Siew Kuan and See Swee Sie, executive director Kang Yi Ki, managing director Kang Beng Hai, independent chairman Datuk Saidi Ismail and independent director Lim Chee Hoong, with M&A Securities Sdn Bhd MD Datuk Bill Tan and deputy head of corporate finance Danny Wong, at the ACE Market listing ceremony on Monday. (Photo by Patrick Goh/The Edge)

KUALA LUMPUR (July 22): Shares of sheet metal products maker BWYS Group Bhd (KL:BWYS) opened at 32 sen on their debut on the ACE Market of Bursa Malaysia on Monday, up 10 sen or 45.45% over the initial price offering (IPO) price of 22 sen.

The counter closed the first day of trading 13 sen or 59.09% higher at 35 sen, with a market capitalisation of RM358.8 million. It was the day's most active stock on Bursa with a volume of 347.56 million shares.

Managing director Kang Beng Hai said the sheet metal products manufacturer is deeply grateful for the market's confidence in the group, "as we embark on this exciting new chapter as a public listed company".

"This significant milestone is a testament to our 25 years of expertise navigating the complexities in the sheet metal product industry, from managing a vast global supplier network and streamlining procurement, to meticulous steel price monitoring, efficient inventory management, and optimised logistics planning.

"Now, armed with fresh capital, we are poised to accelerate our growth and seize new opportunities," Kang added.

BWYS, via its subsidiaries, is principally involved in the manufacturing of sheet metal products comprising roofing sheets and trusses, industrial racking systems and welded pipes. Additionally, the company also engages in the supply of scaffoldings, as well as the trading of steel materials and steel related products.

The IPO raised some RM78.39 million, with about 28.06% or RM22 million coming from an offer for sale held by shareholders, according to the prospectus.

From the RM56.39 million proceeds, the group intends to use about RM22.84 million for the construction of a new factory in Penang, followed by RM10.83 million for new enterprise resource planning system and production, and about RM7.72 million for new machinery and equipment.

Another RM5.5 million will go towards its working capital, followed by RM4 million for repayment of bank borrowings, and the remaining RM5.5 million for the listing exercise.

M&A Securities Sdn Bhd is the principal adviser, sponsor, underwriter and placement agent for the IPO.