KUALA LUMPUR, Cheeding Holdings Bhd, a utilities engineering firm set to debut on Bursa Malaysia’s ACE Market on Tuesday, has secured a RM33.94 million contract from Tenaga Nasional Bhd to build a power supply link for a data centre in Johor.
The project, located in Tropicana Development, Gelang Patah, will support a data centre developed by Computility Technology Sdn Bhd, an indirect subsidiary of Beijing-based ZData Technologies Co Ltd. The contract began on Oct 2 and is expected to be completed within 240 days. Cheeding said the deal will positively impact its future earnings.
Cheeding’s initial public offering (IPO) — involving 143 million new shares and 65 million offer-for-sale shares at 36 sen each — received strong demand, with public applications oversubscribed by 40.87 times and full subscription from private placements.
The IPO will raise RM75 million, with RM51 million going to the company for working capital, loan repayments, and performance bonds. The remainder will go to managing director Ng Kian Chai and his spouse, Tan Sook Hoi, through the sale of their shares.
At the issue price of 36 sen per share, Cheeding will debut with a market value of RM287.01 million. Based on its FY2025 net profit of RM26.35 million, the stock is valued at about 10.9 times earnings.
