Bursa Malaysia Bhd is confident of recording 20 initial public offerings (IPOs) in the first half of this year, after the number of listings increased significantly in the first quarter (1QFY2023).

There were ten IPOs in the first quarter, double the number of IPOs recorded in 1QFY2022, indicating improved market sentiment.

The stock exchange's director of origination and listing Azhar Mohd Zabidi said there are another six to 10 companies already in the pipeline from now until the middle of the year.

"Now we already have a pipeline that will see another six to 10 companies between now and about the middle of the year. So we're confident that between now and the first half of the year, we will see in total, at least 18 to 20 companies.

"Most of these are actually from the ACE Market and a few from the LEAP Market. For the Main Market by the end of the first half, if I'm not mistaken, we will have about four, including two which are coming up and are fairly large as well," he told reporters at the Bursa Malaysia Raya open house here on Wednesday (May 3).

Commenting on the recent introduction of the LEAP Market Transfer Framework, Azhar said the transfer framework gives a lot of companies that are already listed on the LEAP Market, the opportunity to move to the ACE Market.

"(This framework gives) companies that are intending to go to the LEAP Market, clarity in terms of how they can graduate on to the ACE Market and from there, on to the Main Market," he said.

With the transfer framework in place, Azhar said companies already listed on LEAP could potentially look at going to the ACE Market.

"We know for a fact that some of these companies are already talking to advisors, investment banks and corporate advisors, to actually move or take companies for listing on the ACE Market. Many are already taking steps (to do that)," he added.

The LEAP Market Transfer Framework was introduced to enhance the market's attractiveness and facilitate greater market access for more established small and medium enterprises (SMEs).