KUALA LUMPUR (June 4): HE Group Bhd (KL:HEGROUP), which made its debut on the ACE Market just over a year ago, is now eyeing a transfer to the Main Market of Bursa Malaysia.

In a filing with Bursa on Wednesday, the electrical engineering services provider said the proposed transfer would enhance the group’s credibility, prestige, and reputation, while also attracting more investors, including institutional ones.

“The proposed transfer is also expected to enhance the confidence of the group’s customers, suppliers, business associates, employees, and shareholders,” it added.

HE Group said it has met the requirements for the transfer, including profit track record, financial position, public shareholding spread, and Bumiputera equity requirements, for the listing and quotation of its entire share capital of 440 million shares.

The transfer, which is subject to approvals from the Securities Commission and Bursa Malaysia Securities, is expected to be completed in the second half of 2025.

HE Group was listed on the ACE Market on Jan 4, 2024, at an initial public offering price of 28 sen per share.

On Wednesday (June 4), shares in HE Group closed half a sen or 2% lower at 24 sen, giving the company a market capitalisation of RM105.6 million. Year to date, the stock has fallen more than 55%.

For the first quarter ended March 31, 2025 (1QFY2025), the group’s net profit jumped 48% to RM2.89 million from RM1.95 million a year earlier, driven by a higher-margin project portfolio. This was despite revenue falling more than 50% to RM31.5 million from RM64.8 million.

HE Group’s largest shareholder is managing director Haw Chee Seng with a 20.6% stake, followed by executive director Eng Choon Leong with 15.2% and Datuk Wira Yong Chong Cheang with 14.45%.