KUALA LUMPUR (May 28): Oasis Home Holding Bhd (KL:OHM), Malaysia’s first listed live commerce company, managed to eke out a tiny gain on its first day after a volatile session on the ACE Market.
Shares of Oasis Home opened at 28.5 sen, just half a sen above its initial public offering (IPO) price of 28 sen. The stock swung between low of 25.5 sen and high of 29 sen, before ending the day with a 1.8% gain at 28.5 sen. Trading volume totalled nearly 38 million shares.
Oasis Home entered the market at a time when investors are still cautious following a string of first-day flops on the ACE Market which only snapped after debut of PEOPLElogy Bhd (KL:PEOPLE) on May 20.
Before Oasis Home and PEOPLElogy, all listings on the ACE Market since March have ended their first day of trading underwater. Some IPOs saw limited investor interest during the order-taking period.
Investors’ interest in Oasis Home was lukewarm even before the listing day, with IPO applications coming in just 0.55 times above the amount of shares set aside for the public.
Oasis Home, which markets and sells consumer lifestyle products such as kitchenware, personal care items, supplements and small home appliances, derives over 75% of its revenue from live commerce sessions conducted via platforms like Facebook, TikTok, and its proprietary mobile app and website.
The company also sells via e-commerce marketplaces, including Shopee, Lazada, and TikTok Shop, and maintains offline channels such as product experience centres, mobile showrooms, and warehouse sales.
The IPO raised RM42 million for Oasis Home, of which more than half will go towards expanding its live commerce sales channels and setting up an in-house fulfilment centre. The rest will be used to establish a new corporate headquarters, as working capital, and to defray listing expenses.
An offer-for-sale, meanwhile, generated RM14 million, which went entirely to Oasis Home chief executive officer Datuk Teoh Yee Seang, the sole selling shareholder of those shares. Teoh’s direct stake in the company will be diluted to 35% post-listing.
MIDF Amanah Investment Bank Bhd is the principal adviser, sponsor, underwriter and placement agent for the IPO.
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