KUALA LUMPUR: Bus Cap Bhd, a Malaysian bus builder with a 58-year operating history, made its debut yesterday on the ACE Market of Bursa Malaysia Securities Bhd with the listing marking a structural evolution for the company as it scales its manufacturing capabilities to serve rising domestic and cross-border transport demand.
Bus Cap’s shares opened at 26 sen, representing a 13% premium over its initial public offering (IPO) price of 23 sen per share. Based on its enlarged issued share capital of 383.38 million shares and IPO price of 23 sen per share, Bus Cap holds a market capitalisation of approximately RM88.18 million upon listing.
The share closed at 31.5 sen, 8.5 sen or 37% over the IPO price, on volume of 124.4 million units.
The IPO generated immense market interest, with the Malaysian public portion oversubscribed by 72.24 times. The public tranche attracted 9,992 applications for 1.40 billion shares, comprising 5,142 Bumiputera applications for 648.69 million shares and 4,850 non-Bumiputera applications for 755.34 million shares.
The public issue raised RM24.69 million in gross proceeds to fund Bus Cap’s next phase of operational growth.
Bus Cap has allocated RM9.1 million to construct a new factory adjacent to its existing premises in Silibin, Ipoh, and RM5.03 million to purchase new semi-automated machines. The remaining funds will be deployed for working capital (RM6.16 million) and estimated listing expenses (RM4.4 million).
The new factory will feature a semi-automated bus body fabrication line designed to advance the manufacturing of standardised modular parts. The semi-automation will improve production efficiency, reduce reliance on manual labour, and shorten delivery lead times – ultimately increasing Bus Cap’s annual production capacity by about 15%, from 168 to 194 buses.
Executive director Bernard Ng Chong Yan said that the listing marks a proud milestone for the company.
“Our journey began in Ipoh in 1968, and we are honoured to bring this 58-year Malaysian bus-building story to the public market. The exceptional response to our IPO reflects investors’ confidence in our fundamentals. More importantly, this listing gives us the capital to scale our business strategically.
“By investing in our new factory and semi-automated bus body fabrication lines, we are building a more efficient production base to meet the strict fleet modernisation requirements of operators across Malaysia and Singapore.”
Operating through its wholly owned unit Sin Hock Leong Coach Works Sdn Bhd, Bus Cap provides end-to-end design, manufacturing, and assembly of bus bodies. The group serves commercial transport operators, travel companies, vehicle dealers, and government agencies in Malaysia, while maintaining a market presence in Singapore.
TA Securities Holdings Bhd served as principal adviser, sponsor, underwriter, and placement agent for the IPO.