BCM posts 2.5-sen premium in de­but on Bursa

The Sun (Malaysia) - - SUNBIZ - BY EE ANN NEE

KUALA LUMPUR: Laun­dry and med­i­cal imag­ing equipment dis­trib­u­tor BCM Al­liance Bhd, which made its de­but on the ACE Mar­ket of Bursa Malaysia Se­cu­ri­ties Bhd yes­ter­day, closed its first day of trad­ing with a 2.5 sen premium to 21.5 sen with 203 mil­lion shares traded.

Man­ag­ing di­rec­tor Liaw Chong Lin said it is happy with the per­for­mance of its share price sig­ni­fy­ing in­vestors’ con­fi­dence with the com­pany.

“We’ll per­form bet­ter by the end of this year com­pared with last year be­cause we’ve new projects and new or­ders com­ing in,” he told a press con­fer­ence af­ter its list­ing cer­e­mony here yes­ter­day.

BCM dis­trib­utes a range of com­mer­cial laun­dry equipment, med­i­cal imag­ing equipment as well as dis­in­fec­tion, ster­il­i­sa­tion and sur­gi­cal room prod­ucts from var­i­ous in­ter­na­tional brands. As at Aug 31, 2016, BCM has an out­stand­ing or­der book of RM16.26 mil­lion, mostly from med­i­cal imag­ing equipment.

Liaw ex­pects the com­pany’s per­for­mance in the fi­nan­cial year end­ing Dec 31, 2016 (FY16) to re­main favourable, an­chored by strong per­for­mance from both com­mer­cial laun­dry equipment and med­i­cal de­vices busi­ness seg­ments.

He said rev­enue from both of these seg­ments are ex­pected to be on par with each other this year, as well as in FY17 and FY18, from 60% laun­dry equipment and 40% med­i­cal de­vices last year, due to the RM25 bil­lion al­lo­ca­tion to the health­care seg­ment as an­nounced in Bud­get 2017 that will au­gur well for BCM.

“For med­i­cal de­vices, we’ll in­crease the prod­uct range and we can get bet­ter and branded prin­ci­pals to sup­port us (though BCM’s list­ing on Bursa Se­cu­ri­ties),” said Liaw.

He said Bud­get 2017 is a good bud­get for BCM and the peo­ple, adding that Bud­get 2017 is SME-cen­tric and a per­fect fit for BCM.

BCM has raised RM16.01 mil­lion from its ini­tial pub­lic of­fer­ing (IPO), where 18.1% will be used for the pur­chase of new com­mer­cial laun­dry equipment and med­i­cal de­vices, 20.1% to fund the day-to­day work­ing cap­i­tal ex­penses, 16.2% to set up a chain of 11 new Speed Queen self­ser­vice laun­derette out­lets as con­cept stores through­out Malaysia and the re­main­ing 15.6% to de­fray list­ing ex­penses.

The com­pany has de­clared a first in­terim sin­gle-tier div­i­dend of 0.4 sen per share in re­spect of its FY16. The div­i­dend amount­ing to RM1.69 mil­lion will be paid on Nov 21, 2016 to re­ward share­hold­ers who have put their trust in BCM’s IPO.

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