KUALA LUMPUR (Sept 24): EI Power Bhd, which builds electrical systems powering data centres, is filing for a listing on the ACE Market to raise funds for expansion.
Backed by OCK Group Bhd (KL:OCK), the company will be requiring funds to expand its offerings to include energy efficiency systems such as chiller plant optimisation systems that can generate recurring revenue for EI Power, according to its draft prospectus.
“Our value proposition is to assist our clients to optimise energy consumption due to energy inefficiency, carbon intensity and capital constraints” amid rising environmental concerns, EI Power said.
As an engineering company, EI Power focuses on diesel generation and fuel distribution systems as well as solar photovoltaic systems. OCK Group, mostly known for providing network and infrastructure services to the telecom industry, and its managing director Datuk Wira Sam Ooi Chin Khoon together own about 62% in EI Power.
Apart from supplying mission critical power systems to data centres that require large scale, complex generation and distribution systems, the company based in Shah Alam, Selangor also offers conventional power solutions for commercial, industrial and residential buildings.
The company is also in search of a new headquarters and proceeds from the proposed initial public offering (IPO) will be used to acquire a property in Shah Alam that will also double up as a warehouse, EI Power said.
EI Power said it also plans to set up an office in Thailand to capture opportunities from the growth of data centres, as well as establish a branch in Johor with proceeds from the public issue of 129.5 million new shares at a price to be determined later.
In 2024, EI Power made a net profit of over RM9 million on revenue of RM50 million, the bulk of which came from the mission critical power segment.
Meanwhile, proceeds from the offer for sale of 70 million existing shares will go entirely to selling shareholders OCK Group, co-founder and chief executive officer Albert Chang as well as substantial shareholder Siew Wei Foo, who is not part of EI Power’s management.
M&A Securities is the adviser, sponsor, underwriter and placement agent for the IPO.