TOTAL Solution System Integrator Sdn Bhd (TSSi), a distributor of condition monitoring equipment, plans to list its wholly-owned subsidiary Machine Performance Group Sdn Bhd (MPG) on the Mesdaq market by the end of this year.
TSSi managing director Richard Lee told StarBiz this would enhance the company's image and help boost its international sales.
MPG, a Multimedia Super Corridor-status company incorporated in 1999, is involved in developing, commercialising and manufacturing performance-monitoring equipment for turbo engines in the power, petrochemical, and oil and gas industries.
MPG's customers include Petroliam Nasional Bhd (Petronas), Shell, Intel and Motorola. The company's products have been deployed at 10 major sites nationwide.
For the listing exercise, we have been advised to combine the operations of TSSi and MPG, Lee said.
He said the TSSi group, a leading supplier of infrared thermography products, was targeting a revenue of RM20mil this year.
TSSi is also a distributor for US-based FLIR Systems, a world leader in infrared thermography products, in Malaysia and Brunei.
The group had scored a first in the Asia-Pacific by holding the three-day InfraMatrix 2004 a conference on infrared thermography in Kuala Lumpur recently.
Lee believed the conference, attended by some 250 participants from the region and Europe, was the maiden international conference for infrared thermography in Asia-Pacific.
There had been large-scale gatherings of experts in the field in the United States, but InfraMatrix was the largest outside the US,'' he said.
TSSi has an 85% share of the local market, which is worth between RM10mil and RM15mil annually.
Lee said FLIR System was currently the dominant player in the market due to the recent merger between three major players in the US.
The situation now is like Coca-Cola ganging up with Pepsi,'' he explained.
Infrared thermography is principally applied in equipment monitoring and maintenance of large plants worldwide.
A complete set-up of the system, which includes an infrared camera, is capable of detecting and displaying heat sources or hotspots, which normally indicate the faulty areas in a plant such as in the electrical systems, mechanical equipment and machine structures.
The technology is also applied in search and rescue operations, and in the case of SARS, infrared thermography equipment is deployed at airports and immigration points to detect persons with fever.
Infrared thermography has been around for quite some time, but it started to become popular after the outbreak of SARS in recent years,'' he said.
He said the InfraMatrix 2004 was also able to unveil documented successes of end-users of the technology, including their ability to save up a huge amount of money.
The system could prevent shutdown losses due to failure to response to minor defects.
Lee said that previously, the use of infrared thermography had been in large plants, but ideas had been mooted to apply the technology in luxury cars for cost-effective maintenance routine.
Soon the technology will finally come into the mainstream of our lives,'' he said.
TSSi started operations in 1991 as a distributor of the condition monitoring system for testing of machinery.
It carries condition monitoring products that use vibration, infrared, laser alignment, ultra-violet and ultra-sonic technologies.
TSSi, whose clients are mainly large corporations in the power, oil and gas and petrochemical sector like Tenaga Nasional Bhd, Petronas, Shell, Sirim Bhd and Lafarge Malayan Cement Bhd, is targeting RM18mil in annual sales this year.
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