Market debut: (from left) ITMAX directors Heng Ai Shan and Mok Juan Chek, chairman Tan Sri Ahmad Tajuddin Ali, Tan, director Tan Sri Dr Tan Boon Hock, corporate and finance executive director Michelle Tan Sing Chia, business development executive director Datin Afinaliza Zainal Abidin and director Ng Nen Sin at the listing ceremony.
KUALA LUMPUR: ITMax System Bhd
is optimistic about its prospects for next year and beyond, underpinned by its sizeable order book worth about RM598.2mil, which will keep it busy until end-2029.
The group, fresh from delivering encouraging financial results for the quarter ended Sept 30, culminating in a year-on-year 78.1% growth in net profit to RM12.3mil, said it is also confident of outperforming expectations of sector analysts.
Speaking at its listing ceremony yesterday, chief executive and managing director William Tan said the group’s order book consists of 19 ongoing contracts, with about 70% of it coming from the City Hall.
ITMAX commenced its listing on the Main Market of Bursa Malaysia at the price of RM1.52, representing a 42% premium over its initial public offering (IPO) price of RM1.07, with 18.5 million shares being traded.
ITMAX shares closed up 31 sen to RM1.38 with 130.77 million shares done.
The group, which is primarily involved in the supply, installation and provision of public space networked systems, has raised RM203.9mil through the public issue of 190.55 million new shares.
Of the proceeds raised, Tan said ITMAX has allocated RM85mil for the expansion of its smart-city application.
He added that RM39.5mil has been allocated towards the network and telecommunication infrastructure expansion, while RM20mil has been budgeted for the enterprise market.
Tan said RM8mil will be utilised for the repayment of borrowings, among other things.
He said ITMAX plans to expand its reach into other states and cities in the country, as there is a huge potential in the public space network system market.
“For example, if we look at the market for public space video surveillance, Singapore has about 100,000 cameras throughout the island-state.
“Kuala Lumpur has the most number of cameras in Malaysia but in other cities, the number of surveillance cameras could be only in the hundreds,” Tan said.
Chief marketing officer Michael Fun said the group has approached several local councils throughout the country to further expand its business.
He said it also plans to reach into other enterprise markets including shopping malls, buildings, expressways and hospitals.
On the listing, Tan said ITMAX is “proud” to welcome the arrival of its new shareholders and revealed that the group would do its best to deliver its targeted dividend policy of paying at least 20% of its annual after-tax profit.
Maybank Investment Bank Bhd is the principal adviser, joint bookrunner, managing underwriter and joint underwriter for the IPO.
CIMB Investment Bank Bhd is a joint bookrunner and joint underwriter whereas AmInvestment Bank Bhd is a joint underwriter.
