As seen on Borneo Post on 1st January 2025
View the original article here: https://www.theborneopost.com/2024/12/31/experts-more-east-msian-firms-should-list-on-bourse/
KUCHING: The momentum for listings from East Malaysia is expected to increase further, on the ground, reflecting strong private sector growth from the new opportunities such as in Sarawak.
This will be driven by stable politics and strong leadership under the present government in Sarawak, globalisation and greater innovation, also accelerated by successful Sarawak campaigns to spur investor interest in our state’s natural resources, green energy, and infrastructure projects.
According to Chua Zhu Lian, founder and group managing director from Vision Group, government incentives and regional development initiatives enhance the appeal of public listings, boosting confidence in East Malaysia’s corporate potential.
“These policies often provide financial support, tax benefits, or streamlined regulatory assistance, which can help firms overcome some of the challenges they face in the listing process,” he said in an interview with The Borneo Post.
“As regional companies observe the successes of other listed East Malaysian firms, confidence and interest in the public may grow.
“Companies are increasingly recognising the benefits of listing for accessing capital, enhancing credibility, and increasing visibility, especially as they seek to compete more effectively on al national and regional scale.”
As awareness and support networks improve, Chua believed East Malaysian firms will likely view listing as a viable and attractive path for expansion, sustaining this trend into the future.
Meanwhile. Datuk Richard Wee Liang Chiat, the non-independent executive chairman of recently listed Sarawakian firm Supreme Consolidated Resources Bhd (SCRB), advised others to focus on thorough preparation and understanding the market prior to listing.
“Before embarking on the listing process, companies must have strong financial records, robust governance structures, and comprehensive compliance mechanisms in place,” he explained.
“This foundation is key to meeting the regulatory requirements of Bursa Malaysia and ensuring a smoother listing experience. We also emphasise the importance of conducting in-depth market research.”
Wee said by understanding the current market conditions and investor expectations, firms going to list can craft a compelling investment proposition, which is essential for attracting potential investors.
“Additionally. we believe having a clear and compelling growth strategy is vital. Companies should have a detailed plan that clearly outlines how they intend to use the capital raised from the IPO,” he said.
“We believe that a well-articulated showcase strategy should showcase the potential for revenue growth and market expansion.”
Sabah-based Life Water Bhd managing director, Liaw Hen Kong, concurred with this view, underscoring the importance of focussing on establishing a solid foundation that supports long-term growth.
“Emphasise your regional strengths while ensuring that your operations, governance, and financial performance are aligned with the standards expected of a publicly listed company.
“Moreover, listing on Malaysia offers more than just capital—it provides an opportunity to expand your presence, reach broader markets, and create value for your stakeholders.
“A thoughtful, strategic approach, coupled with effective execution and a clear vision, can help unlock the full potential of this opportunity.”
While listing opens new doors, Liaw said the focus on business sustainability remains the fundamental pillar of growth.
He said it was essential for companies to ensure that their operations and strategies are aligned with long-term objectives, between ensuring a balance financial goals and sustainable, responsible business practices.
