Kuala Lumpur, 12 September 2025 – Cheeding Holdings Berhad (“Cheeding” or “the Group”), a fast-growing utilities engineering solutions provider, has officially launched its Initial Public Offering (IPO) Prospectus ahead of its planned listing on the ACE Market of Bursa Malaysia Securities on 7 October 2025.
The Group seeks to raise RM51.5 million through the issuance of 143 million new ordinary shares at RM0.36 per share, positioning the company for accelerated growth as Malaysia modernises its power infrastructure and expands renewable energy integration. Upon listing, Cheeding will command an indicative market capitalisation of RM287 million.
IPO Structure and Proceeds Allocation
The IPO exercise comprises both a public issue and an offer for sale, bringing a total enlarged share capital to 797.3 million shares:
- Public issue of 143 million new shares, with allocations for the Malaysian public (39.9m shares), eligible directors and employees (8.2m shares), Bumiputera investors approved by MITI (67.8m shares), and selected private investors (27.2m shares).
- Offer for sale of 65 million existing shares, split between MITI-approved Bumiputera investors (31.9m shares) and selected private investors (33.1m shares).
Funds raised will be channelled toward growth and operational efficiency:
- RM2.3m (4.5%) for repayment of bank borrowings,
- RM3.2m (6.2%) for new construction machinery,
- RM16.2m (31.4%) for performance bonds to secure future projects,
- RM24.6m (47.8%) for working capital, and
- RM5.2m (10.1%) to cover listing expenses.
Strength in Utilities Engineering
Cheeding specialises in engineering, procurement, construction, and commissioning (EPCC) of both overhead and underground utility infrastructure, along with substation engineering and maintenance services. The Group is a registered CIDB Malaysia Grade G7 contractor and holds multiple accreditations from Tenaga Nasional Berhad (TNB), the Ministry of Finance (MOF), and the Energy Commission of Malaysia.
Cheeding’s track record dates back to its first project for TNB in 2010, and as of 15 August 2025, its order book stood at RM202.7 million, providing strong earnings visibility for the coming years.
Growth Story: From Start-Up to National Player
From modest beginnings with fewer than 10 employees, Cheeding has grown into a 220-strong workforce with a robust machinery fleet. Its financial performance reflects this rapid ascent, with revenue jumping from RM9.5 million in FYE2022 to RM117.7 million in FYE2025, while profit after tax rebounded from a loss in 2022 to RM26.3 million in 2025.
Ng Lam Shein, Chief Operating Officer of Cheeding, described the IPO as a defining milestone:
“Our listing provides the springboard to capture the next wave of growth as Malaysia accelerates grid modernisation and renewable energy integration. With the IPO proceeds, we will enhance our machinery, strengthen our balance sheet, and deepen our technical expertise, enabling us to deliver larger and more complex projects for both public and private sector clients. This IPO is not the end of our journey, but the beginning of an exciting new chapter.”
Market Outlook and Institutional Confidence
The Malaysian power utilities market is set for expansion as demand for grid upgrades, renewable integration, and sustainable infrastructure intensifies. TA Securities Holdings Berhad, acting as principal adviser, sponsor, underwriter, and placement agent, said Cheeding is well positioned to capitalise on these trends.
Ku Mun Fong, Head of Corporate Finance at TA Securities, noted:
“Cheeding is poised to benefit from the positive outlook of Malaysia’s power infrastructure utilities market, which offers significant opportunities across Peninsular Malaysia. With its strong financials and skilled workforce, the Group is well equipped to deliver projects of increasing scale and complexity. The IPO represents a transformative journey, strengthening the company’s foundation while unlocking new avenues for growth.”
As Cheeding prepares for its 7 October 2025 listing, the Group’s debut on the ACE Market will not only provide it with the capital to scale but also elevate its visibility within Malaysia’s capital markets. Investors and industry observers will be closely monitoring its progress, viewing the IPO as both a milestone for Cheeding’s growth trajectory and a reflection of investor appetite for companies tied to the country’s long-term energy and infrastructure ambitions.
