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Tag: CEKD Berhad

  • CEKD Posts 7.1% Increase in Full-YCEKD Posts 7.1% Increase in Full-Year Revenue to RM28.23 Millionear Revenue to RM28.23 Million

    CEKD Posts 7.1% Increase in Full-YCEKD Posts 7.1% Increase in Full-Year Revenue to RM28.23 Millionear Revenue to RM28.23 Million

    Company’s performance for the full financial period supported by newer and more complex die-cutting mould orders

    CEKD Berhad (CEKD or the Group, Stock Code: 0238), a die-cutting solutions provider has announced that the Company posted an increase of 7.1% full year revenue to RM28.23 million despite posting a decrease of 16.2% in revenue of RM5.77 million for the fourth quarter ended 31 August 2021 (4Q2021), in comparison with the revenue of RM6.88 million in the corresponding quarter of 2020 mainly due to lower orders from customers affected by the stricter nationwide lockdown from June to August 2021.

    Managing Director of CEKD, Ms. Yap Kai Ning

    CEKD recorded an increase of 7.4% in full year profit before tax (“PBT”) of RM8.54 million despite registering a PBT of RM1.47 million for 4Q2021, which is 28.7% lower than the PBT of RM2.06 million registered in the same quarter of 2020. CEKD recorded an increase of 4.3% in full year profit after tax (“PAT”) while posting a 30.4% decline in PAT for 4Q2021 of RM1.09 million compared with the PAT of RM1.57 million in the corresponding quarter of last year. The Company, which listed on 29 September 2021 on the ACE Market of Bursa Malaysia, also incurred RM0.61 million for the full-year for initial public offering (“IPO”) expenses.

    Managing Director of CEKD, Ms. Yap Kai Ning, said, “We managed to achieve better financial performance for the full year despite the stricter lockdown to curb the spread of COVID-19 affecting a number of industries. This is mainly due to newer and more complex die-cutting moulds orders received from our customers. For the quarter under review, we had fewer orders because many of our customers from industries such as electrical and electronic, automotive as well as textile and leather industries failed to obtain MITI’s approval to operate. Furthermore, customers with MITI’s approval were only allowed to operate at 60% capacity.”

    “As we have shared in the details of our recent initial public offering, we are investing in new factories, new machinery and a software upgrade to enhance production capability and efficiency while catering for growth. With the COVID-19 restrictions on capacity lifted and the successful rollout of the vaccination programme, we have returned to full operations and will take the opportunity to visit customers to strengthen relationships and to get updates from them on their needs and market trends.”

    “We hope to participate in trade shows and exhibitions with the travel ban lifted to raise our profile both in the domestic and overseas markets and conduct product demonstration sessions for both existing and prospective customers for business development and marketing purposes.”

  • CEKD Berhad Debuts on ACE Market at 12 sen premium, 25% above IPO price

    CEKD Berhad Debuts on ACE Market at 12 sen premium, 25% above IPO price

    CEKD BERHAD (CEKD; KLSE stock code: 0238), a die-cutting solutions provider as well as manufacturer of die-cutting moulds and trader of related consumables, tools and accessories successfully listed on the ACE Market of Bursa Malaysia Securities Berhad (Bursa Securities) today.

    Gary Ting, Head of Corporate Finance, M&A Securities Sdn Bhd; Chong Chin Look, Independent Non-Executive Director, CEKD; Datuk Mak Foo Wei, Independent Non-Executive Director, CEKD; Dato’ Zulkifli Bin Adnan, Independent Non-Executive Chairman, CEKD; Yap Kai Ning, Managing Director, CEKD; Yap Kai Min, Chief Operation Officer, CEKD; Yap Tian Tion, Deputy Executive Chairman, CEKD; Datuk Bill Tan, Managing Director of Corporate Finance, M&A Securities Sdn Bhd [L-R]
    CEKD opened at 60 sen, which is a 12 sen premium or 25% higher than its initial public offering (IPO) price of 48 sen per share, with the first traded volume recorded at 6,286,100 shares.

    “We are extremely pleased with today’s listing debut on the ACE Market and are humbled by the reception to our IPO from the investing public. We are a leading provider of die-cutting mould solutions in Malaysia, and we believe this IPO will give the Group more visibility and aid in the expansion of the business. This will help us to not only retain our customers in Malaysia but help capitalise on other markets such as Southeast Asia and the Middle East,” Independent Non-Executive Chairman of CEKD Berhad, Dato’ Zulkifli bin Adnan said.

    “As the only die-cutting mould specialist in Southeast Asia to be certified by Bobst Mex SA, a leading global supplier of machinery and services to the packaging industry from Switzerland, we have plans in the pipeline post-listing to expand our operations and manufacturing services in our existing markets as well as solidify our position in Southeast Asia and the Middle East. We believe that there are plenty of opportunities that we can tap into in these markets due to the growth in the E&E, plastic and packaging, automotive as well as textile and leather industries.”

    While CEKD distributes to markets in Australia, Vietnam, Thailand, Philippines and the Middle East, Malaysia makes up 85.0% of the overall revenue in the financial period ended 31 March 2021. The Group’s customers are mainly from the printing and packaging, electrical and electronics, automotive, plastic packaging, textile, and leather industries.

    Today’s listing follows from the Balloting Ceremony on 21 September 2021 where CEKD recorded an oversubscription rate of 131.61 from the new shares made available to the Malaysian public.

    M&A Securities Holdings Berhad is the Adviser, Sponsor, Sole Underwriter and Placement Agent for the IPO exercise.

    Please contact the below for more information:
    Hakim Juraimi
    Email: h.juraimi@swanconsultancy.biz

  • CEKD IPO shares oversubscribed by 131.61 times

    CEKD IPO shares oversubscribed by 131.61 times

    • Overwhelming response indicates positive sentiment for economic recovery in 2022
    • Leading manufacturer of die-cutting moulds and trader of related consumables, tools and accessories slated to list on the ACE Market of Bursa Securities by end-September

    The shares of CEKD BERHAD (CEKD or the Group) has been oversubscribed by 131.61 times ahead of the Group’s listing on the ACE Market of Bursa Malaysia Securities Berhad (Bursa Securities).

    Managing Director of CEKD, Ms. Yap Kai Ning

    “We are extremely grateful for the strong confidence our investors have in CEKD, our business, prospects and future plans. Our hard work to build a sustainable business has paid off,” said Managing Director of CEKD, Ms. Yap Kai Ning.

    CEKD is raising RM24.28 million from the IPO exercise. From the proceeds, the Group will use RM8.8 million for the acquisition of a factory for Hotstar, RM3.0 million for purchase of new machinery, RM1.3 million for upgrade and development of computer software and server, RM4 million for repayment of bank borrowings, with the remainder to be used for marketing activities, general working capital and listing expenses.

    “This is just the beginning of our corporate journey. The expansion plan will give a push to the growth of the Group’s business,” Ms. Yap explained. “This is also part of the strategy to increase automation and capacity to meet the demand of our new and existing clients.”

    For this IPO, a total of 18,884 applications for 1,290,183,500 new Shares with a value of RM619,288,080.00 were received from the Malaysian public, which represents an overall oversubscription rate of 131.61 times.

    For the Bumiputera portion, a total of 10,413 applications for 593,591,600 new Shares were received, which represents an oversubscription rate of 121.03 times. For the public portion, a total of 8,471 applications for 695,591,900 new Shares were received, which represents an oversubscription rate of 142.20 times.

    Meanwhile, a total of 9,729,000 new Shares available for application by the eligible directors and employees and persons who have contributed to the success of the Group have also been fully subscribed.

    In addition, the Placement Agent has confirmed that the 31,132,000 Shares made available for application by way of private placement have been fully placed out.

    The notices of allotment will be posted to all successful applicants on or before 28 September 2021.

    M&A Securities Sdn Bhd is the Adviser, Sponsor, Underwriter and Placement Agent for this IPO exercise.

    CEKD’s listing on the ACE Market of Bursa Securities is scheduled on 29 September 2021.

    About CEKD Berhad
    CEKD Berhad (“CEKD” or the “Group”) is an investment holding company with three wholly owned subsidiaries, namely Sharp Die Cutting Mould Sdn Bhd at Jalan Kelang Lama, Kuala Lumpur; Hotstar (M) Sdn Bhd at Kepong, Kuala Lumpur and Focuswin Diecutting Mould Sdn Bhd at Prai, Penang.

    The Group is a die-cutting solutions provider and is involved in the manufacturing of die-cutting moulds and trading of related consumables, tools, and accessories, mainly to the paper printing and packaging industry, electronic and electrical industry, and other industries such as automotive, plastic packaging, textile and leather industries.

    CEKD’s die-cutting moulds and tools are used to die-cut paper boxes and cartons, plastic packaging boxes, electrical components such as laptops, hard disks, audio speakers, remote controllers, automotive parts such as engine gaskets, emblem, fabric and leather for furniture, car seats, steering wheels, clothing and shoes. For more information, visit www.cekd.com.my.

    Issued by: Swan Consultancy on behalf of CEKD Berhad
    Date: 21 September 2021

    Please contact the below for more information:
    Hakim Juraimi
    Tel: +60 12-318 5410
    Email: h.juraimi@swanconsultancy.biz

    Kahjin Gan
    Tel: +60 16-555 5187
    Email: kj.gan@swanconsultancy.biz

  • CEKD Berhad Launches Prospectus to Raise RM24.28 Million from IPO

    CEKD Berhad Launches Prospectus to Raise RM24.28 Million from IPO

    CEKD BERHAD (“CEKD” or the “Group”), a die-cutting solutions provider as well as manufacturer of die-cutting moulds and trader of related consumables, tools and accessories enroute to a listing on the ACE Market of Bursa Malaysia Securities Berhad (Bursa Securities), is pleased to announce the launch of the Group’s prospectus for the initial public offering (IPO).

    The Group aims to raise RM24.28 million from its upcoming listing. The IPO involves the public issue of 50.59 million new shares at the issue price of RM0.48 sen per share, to be made available for application in the following manner:

    Public issue:
    – 9.73 million new shares will be available for application to the Malaysian public;
    – 9.73 million new shares will be allocated for application by eligible directors, employees and persons who have contributed to the success of the Group;
    – 6.81 million new shares by way of private placement to selected investors; and
    – 24.32 million shares by way of private placement to Bumiputera investors approved by the Ministry of International Trade and Industry (MITI).

    The Utilisation of Proceeds table as below:
    https://www.acnnewswire.com/topimg/Low_CEKD202109062.jpg

    Managing Director of CEKD, Yap Kai Ning, said: “The forthcoming listing of CEKD Berhad marks a significant milestone in our history. This IPO will not only strengthen our presence in the industry as a leading die-cutting solutions provider and manufacturer but also raise our profile to help us in our expansion plans. We are committed to sustaining our reputation and creating value for our shareholders.”

    “The proceeds from the IPO will go towards acquiring laser-cutting machines and automatic steel rule processors to support business expansion and increase our production efficiency. Our production capability will be enhanced with the upgrading of our computer software and servers and this will support business growth. Besides the purchase of machinery and equipment, we are also going to acquire a factory for Hotstar located in Kepong, Kuala Lumpur.”
    As at 6 August 2021, the Group has a large and diverse customer base of 1,309 customers while the Group achieved an average gross profit margin of 48.3% from FYE 2018 to FYE 2020.

    Managing Director of Corporate Finance, M&A Securities Sdn Bhd (M&A Securities), Datuk Bill Tan said: “As of today, we have received positive response from investors for CEKD’s IPO and we are pleased to play a significant role in its goal to become a public listed company. This milestone today is the result of the hard work and dedication of the CEKD team. They are experienced and committed with operational expertise and in-depth knowledge of the manufacturing of die-cutting moulds and trading of related consumables, tools and accessories. The IPO will strengthen CEKD’s foothold in the industry.”

    CEKD’s Adviser, Sponsor, Sole Underwriter and Placement Agent in relation to the IPO is M&A Securities. Pursuant to the underwriting agreement, M&A Securities will be underwriting for shares available for application by the Malaysian public.

    Please contact the below for more information:
    Hakim Juraimi
    Tel: +60 12-318 5410
    Email: h.juraimi@swanconsultancy.biz

  • CEKD Berhad Signs IPO Underwriting Agreement with M&A Securities

    CEKD Berhad Signs IPO Underwriting Agreement with M&A Securities

    CEKD Berhad (CEKD or the Company), a die-cutting solutions provider as well as manufacturer of die-cutting moulds and trader of related consumables, tools and accessories, has on even date signed an underwriting agreement with M&A Securities Sdn Bhd (M&A Securities).

    This underwriting agreement is a precursor to the upcoming initial public offering (IPO) of the Company on the ACE Market of Bursa Malaysia Securities Berhad (Bursa Securities) that will take place in September 2021.

    L-R: M&A Securities Head of Corporate Finance Mr. Gary Ting; M&A Securities Managing Director of Corporate Finance Datuk Bill Tan; CEKD Managing Director Ms. Yap Kai Ning; CEKD Deputy Executive Chairman Mr. Yap Tian Tion

    As reported in the prospectus exposure on the Securities Commission’s website, CEKD’s IPO entails a proposed public issue of 50.59 million shares where 9.73 million shares will be made available for application by the Malaysian public. An additional 9.73 million will be allocated to eligible directors, employees, and contributors to the Company; another 6.81 million shares will be reserved for private placement to selected investors and 24.32 million shares will be reserved for private placement to Bumiputera investors approved by the Ministry of International Trade and Industry (MITI).

    Under the agreement, M&A Securities will underwrite 19.46 million of the total proposed issue of shares allocated to the Malaysian public or through pink forms. The balance of 31.13 million issue shares available for application by Bumiputera investors approved by MITI and selected investors will not be underwritten and will be placed out by the M&A Securities.

    Managing Director of CEKD Berhad, Ms. Yap Kai Ning said, “The signing of the underwriting agreement brings us closer towards our goal of taking CEKD public through an IPO. As one of the leading custom die-cutting solutions providers in Malaysia, we believe that this will be extremely beneficial for CEKD in strengthening and solidifying our position in the industry from an operational and financial standpoint.”

    Managing Director of Corporate Finance of M&A Securities, Datuk Bill Tan said, “We are honoured to have been a part of CEKD’s journey towards listing on the ACE Market of Bursa Securities. We want to extend our appreciation for having been appointed as CEKD’s Adviser, Sponsor, Sole Underwriter and Placement Agent of the IPO. The Company has come a long way since its inception, and we are proud to have been a part of this important milestone in its history. This IPO marks another impressive achievement for the Company, and we wish them all success and the best.”

    CEKD’s principal market is mainly from Malaysia which contributed 85.6% of the overall revenue in the financial year ended 31 August 2020. CEKD’s customers are mainly from the paper printing and packaging, electrical and electronics, automotive, plastic packaging, textile and leather industries.