Friday, July 23, 2010

Tatt Giap third-best performing IPO this year

Tatt Giap Group Bhd closed at 61 sen on its first trading day yesterday, which was three sen or 5.17% over its offer price of 58 sen.

It is the third-best performing IPO among the 16 companies listed so far this year. The top performer so far this year was EA Holdings Bhd which surged 164% to close at 66 sen when it was listed on Tuesday. Trailing behind was Oversea Enterprise Bhd which ended its first day 8.7% higher at 25 sen.

Siah (second from right) and members of the board taking a closer look at the big screen after hitting the gong during the company's listing on the Main Market of Bursa Malaysia yesterday. Photo by Suhaimi Yusuf


Tatt Giap was actively traded with 38.03 million shares done at prices ranging from 59.5 sen to 63.5 sen. Interest in Tatt Giap was affected by the cautious market sentiment following the weaker overnight close on Wall Street.

FBM KLCI closed 4.97 points lower at 1,336.05. Turnover was 872.86 million shares valued at RM1.15 billion. Declining counters beat advancers 388 to 318.

Tatt Giap chairman and president Datuk Steven Siah Kok Poay said the company was very encouraged by the positive response to its debut and the confidence which investors had in the company’s fundamentals and prospects.

“With robust demand coming from the domestic manufacturing market as well as the growing trade links between Malaysia and other Asean countries, Tatt Giap’s listing is both timely and strategic for future growth,” he said.

Siah said Tatt Giap served diverse industries segments including automotive, E&E and construction, and its 8% market share of steel processing activities in Malaysia placed it among the country’s top five steel processing companies.

The listing exercise involved the offer for sale of 14.56 million new shares of 50 sen each at an offer price of 58 sen and also an offer for sale of 14.2 million existing shares.


This article appeared in The Edge Financial Daily, July 23, 2010.

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