KUALA LUMPUR (Sept 29): NWE Resources Group Bhd began taking orders from investors for the consumer product company’s ACE Market listing at 20 sen per share.
The initial public offering (IPO) will raise up to RM28.6 million, according to the prospectus launched on Tuesday. There is no offer for sale of existing shares, meaning that the IPO promoters and major shareholders are not cashing out of the company.
Applications will close on Oct 9 and the company is scheduled to list on Oct 21.
Based on the IPO price, the company will have a market capitalisation of RM108 million upon listing.
NWE Resources mainly distributes health food through multi-level marketing and supplies shampoo and other personal care products to hotels and resorts as well as repackages food and beverages.
A skincare line under the Essando brand was also launched in October 2025.
The company has allocated RM9.1 million or 31.9% of the IPO proceeds for new product development while 28.7% of the funds will be used for working capital and 16% has been set aside for marketing activities.
The remainder is split among expanding research and development capabilities, purchasing a rooftop solar system and transportation fleet, setting up a new sales office in Johor, and covering listing expenses.
“We want to develop products that respond to changing consumer needs, bring them to market efficiently, and build brands that consumers can recognise and trust,” executive director Tan Chor Han said at the prospectus launch ceremony. “This IPO gives us additional resources to accelerate this next phase.”
The listing gives NWE Resources a broader platform to pursue opportunities in Malaysia's consumer and tourism-linked sectors, chairman Tunku Panglima Besar Tunku Zain Al-'Abidin ibni Tuanku Muhriz said in his speech at the same event.
At the IPO price, NWE Resources is valued at 13 times the trailing earnings. Net profit was RM8.5 million on revenue of RM41.63 million for the financial year ended March 31, 2026.
KAF Investment Bank Bhd is the principal adviser, sponsor, underwriter and placement agent for the IPO.