Specialty industrial chemical solutions provider Eckem Holdings Berhad has officially launched its prospectus today ahead of its upcoming Initial Public Offering (IPO) on the ACE Market of Bursa Malaysia Securities Berhad, aiming to raise RM15.00 million in gross proceeds.
The IPO exercise involves a public issue of 125.00 million new ordinary shares, which accounts for 20.00% of the Group’s enlarged issued share capital of 625.00 million shares. Additionally, there is an offer for sale of 62.50 million existing shares, representing 10.00% of the enlarged share capital. Tied to an IPO price of RM0.12 per share, the market debut will give the group the financial leverage to aggressively scale its next phase of growth.
Eckem Holdings has laid out a clear blueprint for the RM15.00 million proceeds. The lion’s share, amounting to RM6.00 million, is earmarked for constructing a new corporate office, warehouse, and laboratory to drastically fortify its operational infrastructure. To scale its manufacturing footprint, RM2.00 million will fund a new production line for its rubber products segment. The remaining funds will be distributed toward optimising capital structure via the repayment of bank borrowings (RM1.45 million), supporting daily operations through working capital (RM1.75 million), and covering estimated listing expenses (RM3.80 million).
Speaking at the launch, Eckem Holdings Berhad Executive Director Mr. Tan Khai Jeik (Jack Tan) highlighted that the prospectus unveiling marks a defining milestone for the company. He noted that the group has spent years cementing solid relationships with industrial customers by delivering dependable supply chains, precise application formulation support, and deep technical expertise. He added that the IPO capital will directly enhance their infrastructure and technical capabilities, positioning them to better serve the evolving application demands of Malaysia’s vital manufacturing sector.
Echoing this growth sentiment, Datuk Bill Tan, Managing Director of M & A Securities Sdn Bhd, emphasized Eckem Holdings’ proven track record in delivering tailored chemical solutions and maintaining exceptional client retention. He noted that as Malaysia’s broader industrial and manufacturing sectors maintain an upward trajectory, the Group is strategically primed to capture emerging market opportunities and drive sustainable investor value post-listing.
As an established player, Eckem Holdings commands a diverse portfolio of downstream industrial users, compounders, and resellers. While the company maintains an active international footprint spanning China, Singapore, the United Kingdom, and the United States, its primary revenue engine remains local, with Malaysian operations generating approximately 94% of its total revenue in FYE 2025.
