AIAB EYES BIG­GER GOLD BUL­LION MART

Com­pany ex­pects phys­i­cal, e-com­merce trad­ing to shine in fu­ture, says CEO

New Straits Times - - BUSINESS / NEWS -

ACE In­no­vate Asia Bhd (AIAB) aims to tap a big­ger mar­ket in the gold bul­lion trad­ing in­dus­try in Malaysia and the re­gion as the sec­tor con­tin­ues to show growth prospects in the com­ing years.

“With our strong port­fo­lio of cus­tomers, we are con­fi­dent AIAB will be well po­si­tioned to ride the in­dus­try’s growth in the long term.

“With pos­i­tive global trends, we want to be one of the lead­ing play­ers in gold bul­lion trad­ing in Malaysia, both phys­i­cal and via ecom­merce.

“We plan to use part of the pro­ceeds raised from the list­ing to en­large our cur­rent busi­ness op­er­a­tions and pur­sue fu­ture op­por­tu­ni­ties in the in­dus­try,” said di­rec­tor and chief ex­ec­u­tive of­fi­cer Go Yoong Chang at AIAB’s list­ing on the Lead­ing En­tre­pre­neur Ac­cel­er­a­tor Plat­form (LEAP) Mar­ket of Bursa Malaysia, here, yes­ter­day.

AIAB placed out 39 mil­lion new or­di­nary shares, rep­re­sent­ing 13 per cent of the com­pany’s en­larged share cap­i­tal to se­lected so­phis­ti­cated in­vestors at 26 sen per share.

The com­pany, which raised RM10.14 mil­lion, has mar­ket cap­i­tal­i­sa­tion of about RM78.01 mil­lion af­ter the list­ing ex­er­cise.

The pro­ceeds will be mainly used for busi­ness and op­er­a­tional ex­pan­sion, which in­cludes RM8.95 mil­lion for work­ing cap­i­tal, RM200,000 for en­hance­ment of of­fice safety fea­tures, RM64,000 for mar­ket­ing and ad­ver­tis­ing ex­penses, and RM920,000 for list­ing ex­penses.

AIAB is mainly in­volved in the bul­lion trad­ing of phys­i­cal gold prod­ucts, such as scrap gold bars, cast gold bars and minted gold bars.

It is also in­volved in the pro­vi­sion of as­say­ing ser­vices and has started par­tic­i­pat­ing as a mar­ket maker for Bursa Malaysia De­riv­a­tives Gold Fu­tures Con­tract and In­done­sia Com­mod­ity and De­riv­a­tive Ex­change.

Ac­cord­ing to re­ports, gold priced in US dol­lar has gone in the same di­rec­tion as the United States stock mar­ket seven times since 2010, the most in any decade since bul­lion prices were cut free from fixed ex­change rates fifty years ago.

“In the past eight years, we es­tab­lished a good rep­u­ta­tion within the in­dus­try due to sev­eral key strengths. Our ex­pe­ri­enced top man­age­ment played a key role in sus­tain­ing our busi­ness, which is proven by the group’s growth and prof­itabil­ity,” said Go.

ACE In­no­vate Asia Bhd di­rec­tor and chief ex­ec­u­tive of­fi­cer Go Yoong Chang ( fifth, from right) with di­rec­tors and of­fi­cials dur­ing the com­pany’s list­ing on the LEAP Mar­ket of Bursa Malaysia yes­ter­day.

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