KUALA LUMPUR: MN Holdings Bhd opened for trading at 26 sen per share, five sen or 23.81% higher than its initial public offering (IPO) price on its debut on the ACE Market of Bursa Malaysia.

       Fuelling its business expansion plans, the underground utilities and substation engineering specialist raised RM17.2mil from its public issue of 81.8 million shares at an issue price of 21 sen per share.

       The listing also included an offer for sale of 40.9 million existing shares to selected investors via private placement.

       Loy Siong Hay, managing director of MN Holdings, said at the company's listing ceremony that the company plans to take on the role of main contractor appointed by large-scale solar (LSS) project owners.

       “This strategy will enable us to build our reputation and track record to position ourselves to secure more contracts in the future and strengthen our substation engineering services and solutions business segment,” he added.

       Meanwhile, he believes the company is well-positioned to secure several ongoing tenders for large-scale solar substation projects as the project management coordinator and for engineering design works as it has proven capabilities in LSS projects.

       "We are involved in EPCC projects for main contractors who have secured solar photovoltaic power plant projects under the LSS programme which was introduced by the Energy Commission of Malaysia in 2016.

       “As an underground utilities and substation engineering specialist, we are capable of assuming the management and supervisory role of the entire project, source for necessary construction materials, substation equipment and systems for installation and commissioning,” he added.

       Loy is also optimistic over the power infrastructure utilities industry in Malaysia given the transition to the endemic phase and the reopening of the country's borders.

       “This augurs well for the power infrastructure utilities industry in Malaysia as Investments in utility infrastructure is driven by long term economic growth, population growth and urbanisation, growing demand for electricity, foreign and domestic investment and Malaysia's renewable energy generation targets,” he said.

       The company's order book stood at RM172.2mil as at March 9, 2022, or which 21.4% or RM36.8mil comprises work from the substation engineering segment while the remaining 78.6% or RM135.4mil are works from the underground utilities engineering segment.