Unigel Global to buy a Klang factory with its IPO money
- Unigel Global plans to use part of its ACE Market IPO money to buy a ready-built factory in Klang, Selangor.
- It wants about 70,000 sq ft of land and 25,000 sq ft built-up, but has not signed for any factory yet.
- It will leave its rented 21,000 sq ft factory in Kapar, where the tenancy runs to 31 July 2027.
- The IPO is 110 million new shares; the price and amount to be raised are not set yet.
What factory does Unigel Global plan to buy?
A ready-built factory in Klang, Selangor, with about 70,000 sq ft of land and 25,000 sq ft built-up, paid for partly with its ACE Market IPO money. No agreement has been signed yet.
Where is Unigel Global's current Malaysian plant?
A rented factory on Jalan Haji Abdul Samat 2, Kapar, in Klang district: 53,066 sq ft of land, 21,000 sq ft built-up, rented at RM456,000 a year until 31 July 2027.
How many shares is Unigel Global offering in its IPO?
110 million new shares, 22% of the enlarged 500 million shares; the price is not set yet.
Unigel Global Bhd, which makes the steel tapes and gel that protect fibre-optic cables, plans to use part of its ACE Market IPO money to buy a ready-built factory in Klang, Selangor. Its draft prospectus went up on Bursa Malaysia's website for public comment on 27 October 2026. It will issue 110 million new shares; the price and the amount to be raised are not set yet.
The factory it wants
- Size: about 70,000 sq ft of land and 25,000 sq ft built-up
- Use: gel factory, warehouse, technical centre, quality control and offices, plus a new gel production line that needs about 5,400 sq ft
- Capacity: Malaysian gel capacity up from about 6,000 to 9,400 tonnes a year
- Status: Unigel has identified possible factories in Klang and has indicative quotes, but has not signed for any. It plans to buy within 36 months of listing
- Price: left blank in the draft
The factory it will leave
- Today: a rented factory on Jalan Haji Abdul Samat 2, Kapar, in Klang district, on 53,066 sq ft of land with 21,000 sq ft built-up. The landlord is Hoe Fock Wooden Works Sdn Bhd
- Rent: RM456,000 a year, about RM1.81 psf a month on the built-up area (our calculation), from 1 August 2025 to 31 July 2027
- Why move: 80% of the storage space is used, and the plant has no room for the new line. Use of its gel capacity rose from 9.6% in 2023 to 45.3% in 2025
- Plan: move everything to the new factory and stop using Kapar. If the new factory is late, Unigel will try to extend the tenancy
The IPO and the company
- Shares: 110 million new shares, 22% of the enlarged 500 million: 25 million for the public by ballot, 7.5 million for directors and staff, 77.5 million by private placement
- Other uses of the money: a production line for gel used in power cable joints, an AI-enabled ERP system, a technical centre in Malaysia, working capital and listing costs
- Results: revenue RM216.5 million in 2025, up from RM171.3 million, and net profit RM16.7 million, up from RM10.7 million. The Americas bought 74% of its products
- Plants: three in North Carolina, USA (one owned) and one in Malaysia, plus a UK office and technical centre
- Owners: group chief executive Eric Chhoa, a co-founder of Opcom Holdings (now Hextar Capital), will hold a deemed 37.54% after the IPO, mainly through Hikari Capital. M&A Securities is the sponsor
- Bursa Malaysia — Prospectus exposure: Unigel Global Berhad (draft prospectus, not yet registered) (27 Oct 2026)
- The Edge Malaysia — Opcom co-founder Eric Chhoa's Unigel Global seeks ACE Market listing to fund Malaysian expansion (28 Oct 2026)
- The Star — Unigel Global eyes ACE Market listing (29 Oct 2026)
Facts summarised in our own words, with our own analysis added.
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