KUALA LUMPUR: Mestron Holdings Bhd (MHB) has obtained approval from the Securities Commission (SC) to transfer its shares and warrants from the ACE market to the main market of Bursa Malaysia.
The approval marks a key milestone for MHB, as it will allow the company to expand its investor base to include those specifically interested in investing in main market companies.
Managing director Por Teong Eng said this is a long-awaited key milestone for MHB, as the transfer will open up new growth and investment opportunities, signalling a promising future for the company and its shareholders.
Por said that while MHB will continue to focus on its telecommunications (telco) sector offerings, particularly the rising demand for their specialty poles amid the rollout of the Jendela initiatives nationwide, the company is also exploring earnings-accretive merger and acquisition (M&A) opportunities.
MHB was listed on the ACE market on June 18, 2019. As of November 20, 2023, the company's market capitalisation was approximately RM423 million, based on the issued share capital of around 996 million and the closing price of 42.5 sen.
The company is a leading domestic manufacturer and supplier of specialty poles, focusing on the telco sector.
In recent years, MHB has also ventured into the renewable energy (RE) segment, specifically in the solar and biogas sectors.
On earnings, MHB's net profit for the first nine months (9M) of FY23 jumped 40.2 per cent to RM9.41 million from RM6.72 million in the same period a year ago.
Reduced raw material costs and a spike in demand for specialty poles in the telco sector fueled this significant improvement.
Consequently, MHB also witnessed a 29.28 per cent revenue growth to RM106.14 million in 9M FY23, compared to RM82.10 million in the same period last year.