KUALA LUMPUR: Zantat Holdings Bhd's jumped as much as 68 per cent on its debut on the ACE Market today.
It was trading 48 per cent higher than its initial public offering (IPO) price of 25 sen, at 37 sen as at 11.29am.
It was the most actively traded stock today, with 81.1 million shares traded.
The calcium carbonate producer said it is well-positioned to capitalise on the increasing demand for biodegradable and compostable alternative products as the company had recently expanded downstream into manufacturing bioplastic compounds.
The company has started the groundwork for the expansion with the successful production of its first bioplastic compound prior to its IPO.
Its managing director Ivan Chan said the company's maiden bioplastic compound, has gone commercial this quarter, paving the way towards greener products and services.
"We are committed towards establishing our footprint in the bioplastic compound supply chain to further value add on our expertise developed through the years in this industry."Our core business activities continue to benefit from domestic and exports market, both of which contribute significantly to our earnings, and allow us to remain resilient through market cycles," he said in a statement.
Zantat raised RM14.0 million from its IPO exercise. It will be used to part fund its venture into the bioplastics value chain, and for the expansion of its core business of calcium carbonate production.
M&A Securities is the adviser, sponsor, underwriter, and placement agent for the IPO exercise.
