KUALA LUMPUR: Precision engineering component manufacturer Northeast Group Bhd has received Bursa Malaysia’s approval to list on the ACE Market.
Northeast is principally engaged in the manufacturing of precision engineering parts for industries like photonics, electronics, semiconductors, telecommunications and optoelectronics.
The initial public offering includes a public issue of 168.98 million new shares and an offer for sale of 51.8 million existing shares.
Of these 220.78 million shares, 37 million shares will be made available to the public and 29.6 million shares will be made available for application by eligible directors, employees and business associates who have contributed to the success of the group.
Northeast said another 61.68 million shares will be made available by way of private placement to selected investors, while the remaining balance of 92.5 million shares will be made available by way of private placement to identified bumiputra investors approved by the Investment, Trade and Industry Ministry.
Managing director Ng Chay Chin stated that the future of manufacturing revolves around precision, as automation transforms the landscape for precision engineering components across industries.
“This is driven by the surge in industrial applications across the industries that we serve. Paired with the increase in outsourced manufacturing and continuous push for product innovations, we foresee accelerated demand for precision engineering components over the coming years. Currently, all our existing factories’ production floor space is already fully utilised,” he said.
“Pursuant to our listing, we plan to expand our production floor space through the construction of a new factory and to increase our operating capacity by purchasing new machines to enable us to cater for our plan to grow our customer base and serve more local and international customers,” he added.
Ng believes Northeast is well-positioned to grow further, given the approval received from Bursa for its listing.
