NWE Resources ends flat first day on ACE Market

Friday 23 Oct 2026

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KUALA LUMPUR (Oct 21): After a modest start, NWE Resources Group Bhd (KL:NWEBHD) ended flat in the consumer product company’s first day on the ACE Market.

The stock opened at 22 sen compared to its initial public offering (IPO) price of 20 sen per share. The stock climbed as high as 24 sen before falling to as low as 18.5 sen, and closed at 20 sen after nearly 100 million shares exchanged hands.

Market capitalisation closed at RM108 million based on the last price.

The lacklustre debut follows relatively weak demand during NWE Resources’ IPO that was oversubscribed less than three times by retail investors.

The IPO raised RM28.6 million for the company. There is no offer for sale of existing shares, meaning that the IPO promoters and major shareholders are not cashing out of the company.

WATCH: NWE Resources makes ACE debut

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.

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.

Ahead of the IPO, NWE Resources reported a net profit of RM2.8 million for the June-end quarter, driven by core sales and tax exemptions. Revenue stood at RM10.59 million.

KAF Investment Bank Bhd is the principal adviser, sponsor, underwriter and placement agent for the IPO.

Edited ByJason Ng

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