Nova Wellness debuts on Ace Market at 0.65 sen

KUALA LUMPUR: Nova Wellness Group Bhd made its debut on the Bursa Malaysia Ace Market yesterday at 0.65 sen, a one sen premium above its issue price of 0.55 sen a share.

A total of 81.6 million shares changed hands at the opening bell.

The nutraceutical and skincare products manufacturer is expected to raise RM44.91 million through this listing.

Nova had an oversubscription rate of 2.84 times from the Malaysian public.

Managing director and chief research officer Phang Nyie Lin said the group is in talks with Thailand and Indonesia for a business partner to market its products.

“At this moment we have six products registered in Indonesia and seven products in Thailand, and we will start with an online business to test the market there, then we will find a sole agent to distribute the products for us.

“We will complete the deal in the next two years,” he told a press conference after the listing ceremony.

Nova Wellness aims to use 36.7 per cent of its initial public offering (IPO) proceeds to construct a new manufacturing facility, with 25.8 per cent to be utilised for research and development activities.

Meanwhile, approximately 11.2 per cent will be utilised to expand the company’s retail market presence, 20.5 per cent as working capital and another 5.8 per cent for company expenses.