KUALA LUMPUR: Southern Cable Group Bhd (SCG) received approval today from the Securities Commission Malaysia to transfer its listing status to the primary market of Bursa Malaysia.
In a statement today, the cables and wires manufacturer said the transfer listing is expected in the fourth quarter of 2021, conditional upon approval from Bursa Malaysia.
The company had previously listed on the ACE Market since October 16, 2020, at an issue price of 34 sen per share.
Managing director Tung Eng Hai said the transfer listing would provide SCG with more visibility among local and foreign investors to participate in its growth potential and prospects.
"We anticipate for the demand for cables and wires to increase in line with the accelerated economic activity.
"This would enable us to capture the expected growth of various sectors such as construction and infrastructure, power, solar, as well as 5G telecommunication network expansion plans," he said.
The optimism premised on the economy reopening under the National Recovery Plan, the upcoming 12th Malaysia Plan and the 2022 Budget announcement.
The company recently had secured a RM30.4 million rectifier systems supply contract from Telekom Malaysia Bhd (TM) to be fulfilled over 30 months from September 2021.
Its wholly owned subsidiary, Southern Cable Sdn Bhd, would supply, deliver, install, test and commission rectifier systems, including associated engineering services and accessories for TM's regional hubs in Peninsular and East Malaysia.
The contract would support TM's ongoing expansion to accelerate digital connectivity and 5G rollout via the Jalinan Digital Negara (JENDELA) plan to supply rectifier systems and other communications and related equipment.
Southern Cable is the registered supplier of cables and wires with Tenaga Nasional Bhd, TM, Sabah Electricity Sdn Bhd and Petroliam Nasional Bhd.
The company also supplies cables and wires to significant projects such as the Mass Rapid Transit, Refinery and Petrochemical Integrated Development (RAPID) project in Pengerang, Johor.