bound SKA Capital at 70 sen, 63% premium over IPO price
Public Investment Bank Bhd has valued SKA Capital at 70 sen per share, representing a 63% premium over its IPO price. The company, which specializes in power infrastructure engineering, is expected to benefit from data center expansion and rising electricity demand.
Why it matters
The valuation reflects investor optimism regarding infrastructure services supporting the growing digital economy in Malaysia.
BURSA SGX Home IPO Make The Edge Malaysia your preferred source on Google KUALA LUMPUR (Oct 26): Public Investment Bank Bhd has assigned a fair value of 70 sen on SKA Capital Bhd, which translates into a 63% premium over its initial public offering (IPO) price of 43 sen.
This fair value was calculated using a lower price-to-earnings multiplier of 16 times, compared with the industry standard of 20 times, reflecting the company’s smaller market capitalisation and its projected 2027 profits, the house said in a note on Monday.
The ACE Market-bound company mainly provides substation engineering services, underground utilities engineering services and trading of electrical devices, electrical equipment and construction materials for power infrastructure engineering.
Public Investment sees SKA Capital well-positioned for continued growth in electricity demand and sustained power-generation investment, driven by long-term economic growth and data centre expansion.
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