Master Tec Group Bhd (MTG) is principally involved in the manufacturing and distribution of a wide range of low voltage power cables, control and instrumentation cables, and other related products. Meanwhile, the group is also involved in trading of other cables such as medium voltage power cables, fibre optic cables, and solar direct current power cables.
The IPO entails a public issue of 158,100,000 new ordinary shares, and an offer for sale of 127,500,000 shares at an IPO price of RM0.39/share.
1. Established cables and wires player;
2. A balanced portfolio of customers; and
3. Experienced management team.
At an IPO price of RM0.39/share, MTG is priced at a trailing PER of 19.5x FY22 core EPS. We value the company at 10x CY25 EPS, arriving at a fair value of RM0.40/share.
Source: TA Research - 17 Jan 2024
Created by sectoranalyst | May 07, 2024