Every stock market punter loves Gong Day – especially where the bull takes charge, leaving the bear in the shade. Binasat Communications Berhad is the new darling, even if its address is the ACE Market of Bursa Malaysia.
On the chime of nine, on the second Monday of the new year; the price dissemination display board dominating the Bursa Listing Gallery mini stage glowed to be greeted by a chorus of raucous cheer as the strike price for the newly-minted counter carrying the stock code BINACOM 0195 hit RM0.60.
This strike price is a meaty premium of just over 30 percent, over the reference price of RM0.46.
In all, 13 million shares were made available to be divvied up amongst more than 10,000 applications for a total of over 458 million shares – an oversubscription rate of just over 34 times.
Through the IPO, Binasat raised RM39.55 million – with the proceeds to be used in financing its expansion plans that includes opening up new markets in Laos, Myanmar and Vietnam.
For the first financial quarter ended Sept 30, 2017 (1QFY18), Binasat attracted revenues of RM10.16 million to post a net profit of RM1.53 million.
Earlier last week, CIMB Research gave notice that 2018 will herald a number of big IPOs on Bursa Malaysia.
AWANI Review will be there to track the highs and lows – with Binasat certainly setting the right bullish tone to kick off proceedings.
