PETALING JAYA: Stratus Global Holdings Bhd (SGHB), a prominent specialist in cleanroom automated material handling systems (AMHS), is well-positioned to capitalise on the global semiconductor upcycle, particularly through investments in artificial intelligence and data centre infrastructure.
The group plans to expand its presence into the back-end semiconductor production segment, broadening its reach across the entire value chain.
TA Research, however, warned that potential investors should remain mindful of risks such as customer dependence and foreign-exchange volatility.
SGHB’s customer base now mainly comprises multinational semiconductor companies with manufacturing operations in Malaysia, while also serving semiconductor manufacturers across overseas markets.
It noted the company looks set to post strong profit in the financial year 2027 (FY27), FY28 and FY29, adding that investors can look forward to a dividend policy with a 25% payout rate of earnings.
“We estimate the group to record earnings growth of 8.3%, 13.3% and 18% to RM66.2mil, RM74.9mil and RM88.5mil for FY27, FY28 and FY29, respectively.
“This is backed by a healthy unbilled order book of RM108.4mil as at June 3, the group’s ongoing business expansion initiatives, and a favourable industry outlook supported by the global semiconductor upcycle and increasing demand for factory automation solutions,” the research house stated in a report ahead of the company’s proposed debut on the Main Market of Bursa Malaysia on July 21.
TA Research’s earnings projections on SGHB are premised on the assumption that its revenue over the financial years will grow by 20% to 25%, and gross margins will remain at above 54%.
At an initial public offering (IPO) price of 80 sen per share, SGHB is priced at a trailing price-to-earnings ratio of 16.4 times FY26 core earnings per share (EPS) of 4.9 sen.
TA Research has put a fair value of RM1.36 per share on SGHB, valued at 20 times FY27 EPS, but stated that the stock is currently “not rated”.
SGHB is a Penang-based group that has spent over 28 years carving a niche in the semiconductor industry, providing critical automation solutions that handle, store, and transfer materials within controlled manufacturing environments.
Its IPO comprises a public issue of 356.25 million new ordinary shares with no offer for sale. It will have a market capitalisation of RM1bil upon listing.
The company expects to raise RM285mil in gross proceeds, with 43% or RM122.3mil of the funds allocated to buy a new property to increase production floor space for fabrication, assembly and testing.
Approximately RM82.4mil or 28.9% of the IPO proceeds will be used for working capital, while another RM45mil will be spent on research and development expenditure to further develop proprietary AMHS solutions.
The company will also spend RM20mil on overseas expansion, namely for the establishment of sales and engineering offices in Japan, Taiwan, Germany and the United States.
