Wednesday, 29 June 2011
The share price of CPO rose RM1.48
Share prices of CPO Malaysia Holdings Bhd (MSM Holdings) jumped up 42 per cent to RM1.48 or RM4.98 per share on its maiden trading day at the Main Market of Bursa Malaysia, making it among the initial public offering (IPO) the best performance in terms of price increase in more than three years.
FELDA sugar business wing of shares of Global Ventures Holdings Sdn Bhd, which opened at RM4.45 per unit yesterday morning, up 95 cents or 27.14 per cent compared to the reference price of RM3.50 per share IPO price that is offered to institutional investors.
It then jumped to the highest level of RM4.98 by end of day the afternoon trading session and remained high before closing at RM4.89 per share, up RM1.39 or 39.71 per cent. CPO Holdings is also the most actively traded counters on Bursa Malaysia yesterday with a total of 101 million shares worth RM464 million transacted, thereby making it a market leader. Dealers said IPO premiums exceeding RM1 on the first day of trading is complicated witnessed in recent years and the last big jump when the premiums are re-listing of Sime Darby Bhd in November 2007 increased RM2.10 per share and Deleum Bhd in June 2007 with an increase of RM1.43 per unit. Meanwhile, the MSM Holdings chairman Tan Sri Mohd Isa Abdul Samad to review the developments, said a very pleased with the warm welcome given to the company's stock investors was. He said it was a good start and it shows investors are very confident of the prospects of the company. "This is a good start. We hope it will survive not only today but for next time, "he told reporters after the inaugural listing of the company in Kuala Lumpur yesterday. Also present were Director General of FELDA, Datuk Dzulkifli Abdul Wahab; Group President and Chief Executive of the Global Group FELDA Datuk Sabri Ahmad and President and Chief Executive of the MSM Holdings, Chua Say Sin. Mohd Isa, who is also Chairman of Felda said it will manage the business as possible to ensure the company's stock is getting the attention of investors. CPO Holdings IPO on Bursa Malaysia involves 255.64 million ordinary shares with 21.09 million shares allocated to institutional investors. Listing of the mo-dal generate RM796 million through the sale of 227.53 million shares to domestic and international institutional investors and RM95 million from the sale of 28.12 million shares to retail investors. Based on the offer price of RM3.50 per unit to institutional investors, capital markets MSM Holdings reached RM2.46 billion during the listing. On the FELDA schemes after listing MSM Holdings, Mohd Isa said, it depends on the time and specific strategies and instructions from Prime Minister Datuk Seri Najib Tun Razak, who is also responsible for the FELDA . He said Felda always ready to see some of his and his company has the potential to be listed on Bursa Malaysia. In addition, Mohd Isa said the Felda also received hundreds of business proposals from outside parties. "For the biomass alone, we received over 50 proposals, "he said. However, he said, it will examine first before deciding to venture into new business. Mohd Isa said, FELDA is also offered to develop thousands of hectares of land in other countries such as Papua New Guinea, Cambodia, Myanmar, Suriname, Sierra Leone and Indonesia. He said he is currently at the end of the study to reclaim about 20,000 hectares in Myanmar. He said, now has 853,000 Felda land in Malaysia.