Investment & Market Trends

Velesto Energy Bhd is launching a sukuk wakalah programme with a total limit of up to RM1 billion to provide the group with flexible funding for investments, capital expenditure, working capital, and refinancing needs. The programme, to be issued by Velesto’s wholly-owned subsidiary Sumber Ribu Sdn Bhd with Velesto as the corporate guarantor, consists of an Islamic commercial paper (ICP) programme and an Islamic medium-term note (IMTN) programme. Velesto has filed the necessary documents with the Securities Commission Malaysia under the lodge and launch framework for unlisted capital market products. Under the structure, the ICPs will have a tenure of seven years from the date of first issuance, with individual notes issued for one to 12 months. The IMTN notes will have a perpetual tenure, with each issued for a minimum of one year. Proceeds from the sukuk are earmarked for shariah-compliant purposes, including investments, capital expenditure, working capital, and refinancing of existing Islamic or conventional financing. Funds may also be used to refinance future sukuk under the programme and cover associated fees and costs. RAM Rating Services Bhd has assigned the programme a short-term rating of P1(s) and a long-term rating of AA2(s), both with a stable outlook. Maybank Investment Bank Bhd is appointed as principal adviser, lead arranger, and lead manager, while Maybank Islamic Bhd serves as the shariah adviser. As of December 31, 2025, Velesto had short-term borrowings of RM113.84 million and cash and bank balances of RM253.9 million. Shares in Velesto closed one sen higher at 34 sen on Monday, giving the group a market value of RM2.79 billion. Over the past year, the stock has surged 112.5%.

Malaysia’s Sunway Healthcare has set the final price for its initial public offering (IPO) at RM1.45 per share, aiming to raise RM2.86 billion (US$722.22 million) in what could be the country’s largest listing in nearly a decade. The IPO, which offers 1.97 billion shares to institutional and retail investors, represents a 17.1% stake in the company. This pricing values Sunway Healthcare at RM16.7 billion, with shares expected to start trading on Bursa Malaysia on March 18. A unit of Malaysian conglomerate Sunway Bhd, Sunway Healthcare is one of the country’s leading private healthcare providers, operating 1,805 licensed beds as of January 2026. Its portfolio includes Sunway Medical Centre in Kuala Lumpur, the nation’s largest private hospital. The offering aligns with earlier reports that Sunway Healthcare was targeting a Bursa Malaysia debut worth over RM3 billion, placing the hospital group’s valuation above RM15 billion.

Genetec Technology Bhd co-founder Aaron Chen Khai Voon has emerged as a substantial shareholder in Sunzen Group Bhd, according to a Bursa Malaysia filing. Chen acquired 32.7 million Sunzen shares, representing a 4.3% stake, through a direct business deal on March 4. Following the purchase, he now holds 8.51% of Sunzen, making him the company’s second-largest shareholder behind group managing director Teo Yek Ming, who holds 14.685%. The filing did not disclose the purchase price, but based on Sunzen’s volume-weighted average price (VWAP) of 25.5 sen, the transaction is estimated at RM8.34 million. Sunzen has shifted its focus from traditional animal health products to human health products and loan financing services. The company has been profitable since FY2021, though earnings have remained modest. For the first half of FY2026 (ended Dec 31, 2025), Sunzen reported a net profit of RM7.54 million, up sharply from RM2.42 million a year earlier, while revenue stayed relatively stable at RM49.92 million. Growth was driven by the human health division, which returned to profit, and a 63% increase in loan financing earnings, supported by higher interest income and improved bad debt recovery. Chen, who exited as a substantial shareholder in Genetec in May 2025, currently holds major stakes in other companies, including Seal Incorporated Bhd (28.65%), TSA Group Bhd (41.18%), and 10% of ACE Market newcomer PEOPLElogy Bhd. Sunzen shares closed unchanged at 25 sen on Thursday, giving the company a market value of RM205.45 million, while the stock has fallen 16.7% over the past year.

Ireka Corp Bhd will be delisted from the Main Market of Bursa Malaysia on March 10 after the exchange rejected the company’s appeal for additional time to submit its regularisation plan. In a filing on Thursday, Ireka said Bursa Malaysia Securities had dismissed its request for an extension. The company had previously sought more time to address its Practice Note 17 (PN17) status. Ireka’s earlier request for an extension was rejected in September last year, which led to the suspension of its shares from Oct 3. Prior to that, Bursa had granted the company five separate extensions to regularise its financial condition. The construction firm submitted an appeal on Oct 2, a day before the deadline to avoid delisting on Oct 7. However, with the appeal now dismissed, the company will be removed from the exchange after more than three decades on the market. Ireka has been listed on Bursa Malaysia since July 1993. Ireka was classified as a PN17 company in March 2022 after Bursa rejected its application for an extension of the Covid-19 relief period. The classification came after the company’s shareholders’ equity fell below 50% of its issued capital, triggering the financially distressed status. The group has recorded losses for most of the past several years, beginning from the financial year ended March 31, 2019 (FY2019). After changing its financial year-end to June in 2022, Ireka returned to profitability with a net profit of RM67.24 million for FY2023. However, the company slipped back into losses in the following years, posting net losses of RM59.56 million in FY2024 and RM17.54 million in FY2025. Ireka also faced a major setback in July last year when its RM1.07 billion subcontract for Phase 1B of the Pan Borneo Highway project in Sabah was terminated. The termination followed funding issues and the withdrawal of the project’s main contractor. The company has disputed the termination, stating that part of the work had already been completed and that payment terms had yet to be finalised. Ireka shares were last traded on Oct 2, closing at one sen, giving the company a market capitalisation of about RM2.28 million.

Timberwell Bhd announced that the mandatory takeover offer by its largest shareholder, Wong Wai Foo, has become unconditional after his collective shareholding, including parties acting in concert (PACs), exceeded the 50% threshold. According to Timberwell’s Bursa filing on Thursday, Wong and his PACs now hold a 54.95% stake in the timber product manufacturer. The 90 sen per share takeover offer, which was triggered in January following Wong’s emergence as the company’s largest shareholder, remains open until 5pm on March 19. At the start of the takeover on Feb 26, Wong and his PACs held a 36.94% stake. They have indicated their intention to retain Timberwell’s listing status. Wong’s entry coincided with the exit of three substantial shareholders: Tan Toeng Swie @ Lam Toeng Sui (13.63% sold), non-executive director Agnes Soei-Tin Lamey (6.78%), and Lam Soei Lim (6.63%). Based in Sabah, Timberwell is involved in timber harvesting and forest rehabilitation. The company has reported losses for the past three consecutive years, including a net loss of RM644,000 for FY2025 on revenue of RM14.34 million. Timberwell shares closed at 89 sen on Thursday, down half a sen or 0.56%, giving the company a market valuation of RM79.26 million.

OGX Group Bhd’s initial public offering (IPO) ahead of its ACE Market listing on March 12, 2026, has been oversubscribed by 10.11 times, highlighting strong demand from Malaysian investors. The IT infrastructure solutions provider received 7,051 applications from the Malaysian public for 416.8 million shares worth RM145.88 million, far exceeding the 37.5 million shares allocated under the public portion. For the bumiputra public allocation, there were 3,887 applications for 199.5 million shares, representing an oversubscription rate of 9.64 times. Meanwhile, the general public portion attracted 3,164 applications for 217.29 million shares, translating to an oversubscription rate of 10.59 times. The 18.75 million shares set aside for eligible directors, employees, and contributors to OGX’s success were fully subscribed. In addition, all 75 million shares offered via private placement to institutional and selected investors were fully taken up. Shares allocated to bumiputra investors, approved by the Ministry of Investment, Trade and Industry, were also fully subscribed. The IPO consists of a public issue of 150 million new shares at 35 sen each, alongside an offer for sale of 75 million existing shares in conjunction with OGX’s ACE Market debut. UOB Kay Hian (M) Sdn Bhd serves as the company’s principal adviser, sponsor, underwriter, and placement agent for the IPO.

Raya Aviation Holdings Sdn Bhd, the parent company of cargo carrier Raya Airways, has emerged as the largest shareholder of NexG Bhd after acquiring two private companies previously linked to the group’s current and former executives. In a filing with Bursa Malaysia on Wednesday (March 4), Raya Aviation disclosed that it now holds 711.7 million NexG shares, representing a 20.4% stake, following the takeover of Skyelimit Alliance Sdn Bhd and Trendtrove Tradin Sdn Bhd. Skyelimit Alliance holds 561.7 million shares (16.1%) in NexG, while Trendtrove Tradin owns 150 million shares (4.3%). According to records from the Companies Commission of Malaysia (SSM), Raya Aviation’s ultimate ownership remains unclear, as CIMB Islamic Trustee Bhd holds 99% of the company. Its directors are Mohamad Yusof Ishak and Mohamad Najib Ishak, with Tan Tong Lang serving as company secretary. Mohamad Najib is also the group managing director of Raya Airways. Raya Aviation was previously known as Amrul Nizar Anuar Resources Sdn Bhd before changing its name on Dec 22, 2020. Raya Airways itself was formerly known as Transmile Air Services. Prior to the takeover, Skyelimit Alliance was wholly owned by Tan Sri Mohd Khairul Adib Abd Rahman, who stepped down as NexG’s executive deputy chairman in October 2025, less than six months after assuming the role. Khairul Adib also held shares in NexG through Kuantum Juang Sdn Bhd, which is 99.9% owned by RHB Trustees Bhd. Meanwhile, Trendtrove Tradin was wholly owned by NexG executive director Datuk Ab Hamid Mohamad Hanipah, who transferred ownership of the company to his son Anwar Ab Hamid in October 2025. A filing dated March 4 shows that Anwar has since ceased to be a shareholder of Trendtrove Tradin. Both Skyelimit Alliance and Trendtrove Tradin maintain pledged securities accounts with Velocity Capital Sdn Bhd, the financing arm of Velocity Capital Partner Bhd. NexG’s other substantial shareholder is executive chairman and group CEO Datuk Abu Hanifah Noordin, who holds a 9.58% stake in the company. Despite securing four government contracts worth more than RM2.5 billion, NexG has faced financial setbacks due to investments in volatile penny stocks that have significantly declined in value. For the third quarter ended Dec 31, 2025 (3QFY2026), NexG reported a net loss of RM130.88 million, largely due to a fair value loss of RM145.6 million on other investments. Among the losses, NexG invested RM88 million to acquire 220 million shares in MMAG Holdings Bhd at 40 sen each, representing a 9.53% stake. The stock has since plunged 94% to 2.5 sen. The company also holds a 32.61% stake in Classita Holdings Bhd, now known as NexG Bina Bhd, along with 414.31 million warrants purchased for RM93.25 million. The combined investment is currently valued at about RM20.1 million, reflecting an 80% loss, with shares trading at 3 sen and warrants at 1 sen. Velocity Capital had also invested in MMAG around the same period. In March last year, it spent RM60 million to acquire the shares at 40 sen each, representing a 6.49% stake. However, it exited the investment in January this year, selling its entire holding in two tranches — 32.6 million shares on Jan 9 and 117.4 million shares on Jan 12 — at about 6.5 sen per share, resulting in an estimated 84% loss. NexG’s cash position has weakened over the past year. Total cash declined to RM47.11 million from RM73.21 million, while its cash balance fell to RM25.5 million from RM61.6 million. However, bank deposits increased to RM21.61 million from RM11.61 million. The group’s total borrowings stood at RM53.77 million, comprising RM38.87 million in short-term debt and RM14.9 million in long-term obligations. NexG shares fell one sen, or 3.6%, to 27 sen on Wednesday, giving the company a market capitalisation of RM942 million. The stock has dropped nearly 50% from its 52 sen peak in October last year.

Pemandu Group has officially launched its investment arm, Pemandu Capital, marking its entry into direct equity ownership with the acquisition of a majority stake in personal care manufacturer Intramiles Sdn Bhd. Intramiles produces over 1,600 products spanning hair care, skin care and body care categories, serving a broad customer base in the fast-moving consumer goods segment. Announcing the move, Pemandu Group chairman Datuk Seri Idris Jala said the launch signals a shift from advisory to active ownership. “With Pemandu Capital, we are putting our skin in the game. This is not advisory from the sidelines. We are building companies from within — embedding leadership, driving execution and creating enduring enterprise value,” he said in a statement. Pemandu Group chairman Datuk Seri Idris Jala (second from left) shaking hands with Intramiles Sdn Bhd co-founder Chan Chum with CEO Nishan MPR Veera Kumar (left) and co-founder Low Sau Choo during the launch of Pemandu Capital. Intramiles co-founders Chan Chum and Low Sau Choo will remain actively involved in the company’s operations. They said the partnership reflects Pemandu Capital’s commitment to preserving the company’s legacy while accelerating its next phase of growth. Pemandu Capital aims to position Intramiles as a globally competitive player through structured growth strategies, while safeguarding the founders’ vision and business foundation. The firm’s investment model is structured around three phases: stabilising financial and operational performance within the first 100 days, strengthening margins and operational discipline, and expanding into new markets, customer segments and product offerings. As part of this hands-on approach, Nishan MPR Veera Kumar has been appointed chief executive officer of Intramiles. He was previously the first chief operations officer of Pemandu Associates and is currently managing director of Perintis Akal Sdn Bhd. His role will focus on embedding leadership and driving operational execution from within the company. Pemandu Group said the acquisition represents the first case under its Transformational Capital framework, as it seeks to build a broader portfolio of high-potential small and medium enterprises. Founded in 2009 as Malaysia’s government delivery unit under the Prime Minister’s Department, Pemandu later transitioned into the private sector as a consultancy and investment group. It has since expanded its footprint internationally, working with organisations across Asia, Africa and the Middle East. Today, the group operates through its consulting arm, Pemandu Associates, and its newly launched investment arm, Pemandu Capital, applying its proprietary 8-Step Big Fast Results methodology in both advisory and ownership roles. Idris, a former Cabinet minister, is widely recognised for leading the turnaround of Malaysia Airlines and previously held senior leadership roles at Shell.

Lembaga Tabung Haji has become a substantial shareholder in Duopharma Biotech Bhd following its latest acquisition of shares in the pharmaceutical company. According to a filing with Bursa Malaysia on Tuesday, the pilgrimage fund crossed the 5% disclosure threshold after purchasing 500,000 shares, representing a 0.052% stake, on Monday. The acquisition raised Tabung Haji’s total shareholding in Duopharma to 5.046%, equivalent to approximately 48.54 million shares. Lembaga Tabung Haji has emerged as a substantial shareholder of Duopharma Biotech Bhd after acquiring 500,000 shares on Monday, bringing its total stake to 5.046%, representing 48.54 million shares. With this development, Tabung Haji joins the list of key institutional shareholders in Duopharma. Permodalan Nasional Bhd (PNB) remains the company’s largest shareholder with a 44.104% stake, while the Employees Provident Fund (EPF) holds 9.087%. The move reflects Tabung Haji’s continued strategy of building strategic positions in established Malaysian companies across various sectors. Last month, the fund re-emerged as a substantial shareholder in electronic manufacturing services provider SKP Resources Bhd with a 5.092% stake after being absent from the company’s share register for nearly a decade. In addition, Tabung Haji recently acquired significant stakes in newly listed tanker operator Orkim Bhd, where it holds 5.006%, and retailer AEON Co (M) Bhd, with a 5.013% stake. These investments signal a broader diversification effort across healthcare, manufacturing, logistics, and retail sectors. Duopharma shares closed three sen, or 2.07%, higher at RM1.48 on Tuesday, giving the group a market capitalisation of approximately RM1.42 billion. The stock has risen more than 19% over the past year, reflecting improved investor sentiment and steady performance in the healthcare sector. Tabung Haji’s latest acquisition further strengthens its presence in Malaysia’s capital markets, positioning the fund as an increasingly active institutional investor in publicly listed companies.

AWC Bhd may be affected by escalating tensions in the Middle East, Hong Leong Investment Bank warned, flagging potential downside risks to the company’s earnings forecasts. The conflict’s spillover to Saudi Arabia and the United Arab Emirates—where AWC has operations—could delay project execution, the research house said, increasing the company’s reliance on Malaysia and Singapore for revenue. “Given that Middle East projects generally carry higher margins, this shift is likely to keep group profitability relatively lower,” Hong Leong added. As a result, Hong Leong downgraded AWC’s stock from ‘buy’ to ‘hold’ and cut its target price by 21 sen to 56 sen, revising down earnings forecasts by 8%–16% for the financial years ending June 2026–2028. On Wednesday, the stock closed unchanged at 56 sen, after losing nearly 4% earlier in the week. AWC shares have declined almost 38% over the past 12 months, despite record-high jobs on hand, following multiple quarters of missed earnings estimates. The company currently has only one ‘buy’ call among four analysts, with the remaining three recommending ‘hold.’ The consensus target price is 60 sen, based on Bloomberg’s analyst average. “While AWC’s strong order book provides revenue visibility, the anticipated slowdown in the Middle East is likely to weigh on near-term profitability,” Hong Leong said. The research house also noted that ongoing geopolitical uncertainty in the region could reduce investor appetite for stocks with direct exposure to the Middle East.