KUALA LUMPUR: GB Bond Holdings Bhd fell below its initial public offering (IPO) price on its ACE Market debut on Wednesday, after opening at a 2% premium.
The Penang-based industrial adhesives manufacturer was trading at 23 sen as at 10.23am, down two sen or 8% from its IPO price of 25 sen. It was among the most actively traded counters, with 13.14 million shares changing hands.
The stock had opened at 25.5 sen, half a sen above its IPO price.
GB Bond raised RM16.08mil from its public issue, with proceeds mainly earmarked for expanding its manufacturing capacity in Penang and establishing a sales office in Vietnam.
The group has allocated RM5.5mil to rent a new 40,000 sq ft factory near its Bukit Panchor headquarters and acquire machinery, which is expected to increase annual industrial adhesive production capacity by 35.3% to 31,971.3 tonnes.
Another RM3.5mil has been earmarked to establish and operate a sales office in Vietnam within six months of listing.
The group, which has exported to Vietnam since 2009, plans to expand its customer base there, particularly in the woodworking, paper and packaging sectors.
Managing director Datuk Gooi Ching Koay said the group was expanding its manufacturing capacity ahead of anticipated demand due to the lead time required to prepare the factory and install machinery.
“Adding capacity is only part of the job. We also need to build the orders to support it. As a listed company, our responsibility is to deploy the funds carefully and keep shareholders informed of our progress.”
For the six months ended June 30, 2026, GB Bond recorded revenue of RM28.8mil and net profit of RM5.19mil.
As at end-June, the group had cash and bank balances of RM13.52mil and total borrowings of RM9.33mil, including hire-purchase liabilities but excluding lease liabilities.
Malacca Securities Sdn Bhd is the principal adviser, sponsor, underwriter and placement agent for the IPO.
