PETALING JAYA: Analysts have derived a target price of 37 sen per share for aquarium operator and developer Aquawalk Group Bhd
which is en route to an ACE Market listing.
TA Research said in a report considering Aquawalk’s niche business focus, smaller operational scale and lower market capitalisation relative to its regional peers, it has derived a target price of 37 sen, based on 13 times the 2026 earnings per share.
This valuation implies an approximately 25% discount to the regional peers’ 2026 price earnings ratio.
Aquawalk’s initial public offering entails a public issue of 368.6 million new shares and an offer for sale of 368.6 million existing shares. Collectively, the share offering accounts for 40% of the group’s enlarged issued share capital.
TA Research noted the company’s competitive advantages include it being the largest and top-rated aquarium in Malaysia and Thailand, its business being a high-entry-barrier business with strong in-house capabilities and that the company focuses on marine conservation and education.
It said having commenced operations with its first aquarium in Kuala Lumpur in 2005, Aquawalk has since expanded its footprint to Phuket and Jakarta.
The group’s primary sources of revenue come mainly from aquarium ticket sales, retail sales of third-party merchandise and photography services for visitors, rental income from leasing space to third parties, as well as concession and fish food sales.
Collectively, these activities accounted for 99.1% of the group’s total sales in financial year ended Dec 31, 2024 (FY24).
On future plans, it noted that Aquawalk plans to allocate RM3.2mil for comprehensive interior enhancement works at Aquaria KLCC.
Beyond the ongoing improvement works, the group intends to introduce a new centrepiece attraction, a penguin tank exhibit.
