THE KLSE Mesdaq market is an attractive platform for companies to raise capital as seven of 10 best-performing stocks are Mesdaq-listed, KLSE securities issues division senior vice-president Johan Abdullah said.
The seven stocks which have enjoyed great capital appreciation since their listing are AKN Messaging Technologies Bhd (422%), GHL Systems Bhd (140%), Symphony House Bhd (122%), Cyber Towers Bhd (119%), Global Soft (MSC) Bhd (104%), LNG Resources Bhd (74%) and Karensoft Technology Bhd (67%).
Citing AKN Messaging as an example, Johan said the company's initial public offer shares were priced at 45 sen each and the counter had appreciated to RM2.35 on July 30, an increase of 422%.
“We don’t dictate the price, the market decides it,” he said, adding that the results spoke for themselves.
The other best performing stocks are KLSE second board-listed Scomi Group (up 269%) and Pentamaster Corp (up 63%); and main board-listed CIMB Bhd (102%).
Johan said a company with a minimum paid-up capital of RM2mil could apply for listing on the Mesdaq without having to show a profit record.
“We recognise that there are a lot of good quality companies having difficulty raising funds as they do not have a proven profit record,” he said, adding that it was a place for CEOs of companies to realise their dreams to be listed.
He was speaking at the seminar on “Going public on the Mesdaq market” held at Equatorial Hotel in Malacca yesterday. About 200 participants attended the event.
There are now 24 companies listed on the Mesdaq market, established to cater to the fund-raising needs of technology and high-growth firms.
KLSE executive chairman Datuk Mohd Azlan Hashim said it had approved 14 companies to be listed and another 18 applications were being processed.
As of July 31, RM268.56mil had been raised. The largest amount of capital raised was RM63.4mil by Iris Corp, which went public on July 25 last year and RM38.5mil for YTL E-Solutions, listed on July 2, 2002.
The Mesdaq market caters to the niche segment of technology and high-growth companies that have an outstanding business model, a unique product, a diversified market and client base for the product.