Strong debut by Eversafe Rubber

New high for Dagang NeXchange Bhd

KUALA LUMPUR: Eversafe Rubber Bhd made a strong debut debut on the  ACE Market of Bursa Malaysia on Friday, surging to an early high of 46.5 sen.

It opened at 46 sen, which was 10 sen above its  initial public offer (IPO) at 36 sen.

At 9.02am, it was trading at 41.5 sen, up 5.5 sen. There were 23.72 million shares done at prices from 40 sen to 46.5 sen.

The FBM KLCI was up 2.28 points to 1,743.89. Turnover was 106.14 million shares valued at RM47.44mil. There were 153 gainers, 59 losers and 159 counters unchanged.

Its offer of 12.50 million new shares to the public under IPO was oversubscribed by 65.99 times.

The tyre retreading specialist's IPO  comprised a public issue of 48 million new shares and offer for sale of 30 million existing shares.

To recap, the public issue of 48 million new shares comprised of 12.50 million new shares offered to the public, 11.50 million new shares to the directors, eligible employees and a private placement of 24 million shares.

It posted earnings of RM566,143 in the fourth quarter ended Dec 31, 2016 on the back of a revenue of RM19.67mil.

In the financial year ended Dec 31, 2016, it posted earnings of RM8.01mil, an increase of 38% from the RM5.80mil in FY15. Its revenue was slightly lower at RM74.74mil in FY16 compared with RM74.78mil.