KUALA LUMPUR: Power engineering solutions provider EI Power Bhd is targeting double-digit growth in the immediate term as it expands deeper into Johor’s booming data centre sector and ventures into Thailand.
The company debuted on the ACE Market yesterday and its shares opened at 61 sen, a 27.1% premium over its initial public offering (IPO) issue price of 48 sen, and closed the trading day thereafter at 55 sen.
The IPO was oversubscribed by 30.8 times and was listed at 17.4 times price-to-earnings multiple based on the financial year 2025 (FY25) figures.
Its chief executive officer Albert Chang said EI Power was positioning itself to ride on rising investments in data centres and energy-efficiency solutions, while also building a recurring income base through its building energy-efficiency business.
“We will target double-digit growth moving forward,” he said at a press conference after the listing ceremony here.
Chang said the company is currently focused on expanding its footprint in Johor and Thailand, both seen as strategic growth markets due to rising demand for data centre-related infrastructure.
Johor, in particular, has emerged as a major regional data centre hub, attracting billions of ringgit in investments from global technology players and cloud service providers, he noted.
“We maintain a very healthy tender book across the entire data centre landscape, and that includes Johor as well,” he said.
EI Power already had an unbilled order book of RM99.9mil as at March 2024 which will be recognised over two years from FY26 to FY27. Chang said the tender pipeline is robust and hinted at more contract flow announcements ahead.
EI Power also did not rule out a future transfer to the Main Market, although Chang said management’s immediate focus remained on scaling operations and strengthening execution capabilities.
“We don’t negate the possibility of going to the Main Market but right now we are focusing very much on growing our company moving forward,” he said.
EI Power raised RM62.2mil from its IPO, with the bulk of proceeds earmarked for expansion. Of the proceeds raised, RM18.3mil or 29.4% will go towards acquiring and setting up a new headquarters-cum-warehouse, while RM10mil or 16.1% has been allocated for capital expenditure related to building energy-efficiency systems.
The company has also set aside RM2.3mil or 3.7% to establish a branch office and warehouse in Johor, and RM1.4mil or 2.2% to establish an office in Thailand as part of its regional expansion plans.
Another RM24.9mil or 40.1% will be used for working capital, with the remainder of RM5.3mil or 8.5% allocated for listing expenses.
Chang said the fresh capital raised would strengthen EI Power’s ability to undertake larger and more complex projects while broadening its regional presence.
M&A Securities was the adviser, sponsor, underwriter and placement agent for the IPO.
