Securemetric eyes ACE listing
PETALING JAYA: Digital security technology company Securemetric Bhd is looking to list on the ACE Market of Bursa Malaysia and will use the proceeds from its proposed initial public offering (IPO) for regional business expansion and development of new digital security solutions.
In a draft prospectus exposure on the Securities Commission website, the group said the proceeds raised will also be used for repayment of borrowings and working capital.
The group’s IPO involves a public issue of 68 million new shares, of which 17 million shares will be made available for the Malaysian public, 48 million for application by way of private placement to identified investors, while the remaining three million shares will be made available for eligible employees of the group.
Founded in 2007, Securemetric is principally involved in the provision of digital security solutions as well as trading of electronic identification products and related services.
Its customers include government organisations, financial institutions, public certification authorities, software development companies and IT service providers.
The group has operations in Malaysia, Vietnam, the Philippines, Singapore and Indonesia.
Securemetric said the group intends to increase its business presence and customer base in Malaysia and also in a number of other Southeast Asian (SEA) countries which it views as having high business growth potential for the industry.
“We plan to expand our regional offices as we focus our growth on SEA. We will continue to expand our presence in the SEA market through increased sales and marketing activities.
“While Malaysia is our major market, the last few years have seen significant revenue contribution from overseas markets primarily Vietnam, the Philippines, Indonesia and the US,” it added.
Securemetric’s revenue from overseas markets grew from RM7.79 million for financial year ended Dec 31, 2014 (FY14) to RM20.65 million for FY16.
Its FY16 net profit jumped 48.2% to RM4.3 million from RM2.9 million in FY15. For the first eight months of FY17, its net profit stood at RM1.2 million.