KUALA LUMPUR (Aug 24): NWE Resources Group Bhd has signed an underwriting agreement with KAF Investment Bank for the consumer products company’s upcoming ACE Market listing.
NWE Resources, which mainly distributes health food through multi-level marketing and sells personal care products to hotels, is scheduled to be listed by the fourth quarter of 2026. KAF will underwrite the share allocated to the Malaysian public and the pink form allocation.
“With the underwriting arrangements now in place, our focus turns to completing the listing exercise,” managing director Tan Hong Huat said in a statement on Monday.
NWE Resources’ roots stretch back to 1979, when three brothers Tan Tiak Huat, Tan Swee Huat and Tan Tiam Huat founded North West Enterprise as a trader of feed meal and molasses, a business it subsequently exited in 2007. All three are retiring.
The Tan siblings began supplying personal care products in 1987, before expanding into repackaging and manufacturing in 2000. NWE Resources began repackaging food and beverage in 2004 after acquiring a sugar sachet packing machine.
The outlook remains "encouraging on both fronts", with the extension of the Visit Malaysia campaign through 2027 expected to support tourist arrivals and hotel occupancy, and in turn recurring demand for hospitality amenities, according to NWE Resources.
The company repackages shampoo and other personal care products for hotels and resorts nationwide, covering premium four- and five-star properties as well as other hospitality operators.
Proceeds from the initial public offering (IPO) have been earmarked for expansion, including product development, research and development, and marketing activities. There is no accompanying offer for sale, meaning that existing shareholders are not cashing out through the IPO.
KAF Investment Bank is also the principal adviser, sponsor, and placement agent for the IPO.