Kuala lumpur: Bakery products manufacturer HSS Holdings Bhd plans to strengthen its presence across Southeast Asia (SEA), capitalising on rising demand for halal products following its Bursa Malaysia's ACE Market debut. Its production director Joshua Lau Ern Tien said SEA remains the group's key growth market, driven by the increasing acceptance of Malaysian halal products, one of the company's key strengths and selling points.

According to BERNAMA News Agency, HSS's traditional products, such as cakes and biscuits, have gained wide acceptance in markets including Indonesia, the Philippines, Thailand, and even Dubai. Lau shared this information with reporters after the company's listing ceremony. At 9 am today, HSS opened flat at 18 sen on its debut, unchanged from its initial public offering (IPO) price, with 16.23 million shares traded.

The company aims to raise RM13.5 million from its IPO, allocating RM2.57 million for capital expenditure for the group's manufacturing facilities, RM4.50 million to repay bank borrowings, RM2.93 million for working capital, and RM3.50 million to defray listing expenses. The proceeds will enable HSS to enhance its manufacturing capabilities, invest in automation and operational improvements, strengthen its proprietary brands, and improve overall efficiency, Lau explained.

Lau emphasized that Malaysia remains the company's largest contributor. HSS plans to onboard more retailers locally while expanding into new markets within and beyond Malaysia. The company's network includes 330 wholesalers, 117 retailers, and five distributors in Malaysia, Singapore, Indonesia, Australia, Cambodia, and South Korea.

Upon listing, HSS will have a market capitalisation of RM90 million, based on its IPO price of 18 sen per share, with an enlarged issued share capital of 500 million shares. M and A Securities Sdn Bhd is the principal adviser, sponsor, underwriter, and placement agent for the IPO. At 5 pm, HSS remained flat at 18 sen with 90.33 million shares traded.