Push for more Bumiputera IPOs

KUALA LUMPUR: The economy ministry will push more Bumiputera companies to list on Bursa Malaysia through its Bumiputera Agenda Steering Unit (Teraju) from 2026 onwards under a broader five-year pipeline.
Economy Minister Akmal Nasrullah Mohd Nasir said that to accelerate Bumiputera participation in the capital markets, the ministry has set a target of about 20 companies to conduct initial public offerings (IPOs) from 2026 onwards, and about 20 companies to be listed as part of a broader five-year pipeline.
He said Teraju, an agency under the Prime Minister’s Department, would open up wider opportunities to strengthen and accelerate its mandate, particularly in driving Bumiputera economic development initiatives.
“We want to see more Bumiputera companies pursue listings on the stock exchange. To support this goal, we launched a programme last week to help Bumiputera companies prepare for and undertake their IPO journey.
“Today’s occasion is not only about Elsa Bhd. It is also about inspiring other Bumiputera companies to pursue their growth ambitions and take advantage of initiatives such as the Bumiputera Strategic Ownership Fund (BSAF) and the XCELERATE programme. This is the broader objective behind today’s event.
“To bring more Bumiputera companies to the market, we have set clear targets for the first half of this year and are now intensifying our efforts in the second half, with the momentum expected to continue into the first half of next year,” he told reporters after the listing of Elsa Bhd on the ACE Market of Bursa Malaysia yesterday.
Elsa, an integrated oil and gas services and equipment (OGSE) solutions provider, made its debut on the ACE Market of Bursa Malaysia, marking a strategic milestone for the group as it scales its digital and robotics capabilities to capture rising demand for advanced asset inspection.
The group’s shares opened at RM0.25, marking an 8.70% premium to its initial public offering (IPO) price of RM0.23 per share.
Based on its enlarged issued share capital of 538.4 million shares, Elsa possesses a market capitalisation of approximately RM134.60 million upon listing.
The listing follows a highly successful IPO exercise that saw the Malaysian public portion oversubscribed by 27 times, reflecting strong market appetite for the group’s asset-light business model and technological pivot.
Managing director Daniel Ilham Khong said the listing equips Elsa with the capital to accelerate its technological expansion within the OGSE sector.
“While traditional oilfield services remain our foundation, we are aggressively scaling our digital and robotics-enabled solutions to capture high-margin opportunities in subsea inspection and asset integrity.
“Malaysia operates an extensive subsea pipeline network requiring constant, data-driven inspection.
“With our proven autonomous underwater vehicle (AUV) deployment track record and our asset-light partner model, Elsa is perfectly positioned to capture this demand and deliver safer, highly efficient solutions to energy operators,” he said after the listing event.
Operating primarily as a main contractor and project integrator, Elsa will deploy the RM27.23 million raised to scale its operational capacity.
A major allocation of RM16.38 million is earmarked for consultant-related expenses to drive the oilfield and digital solutions segments.
To accelerate its robotics build-out, RM3.00 million will fund the internal development of AUV management capabilities, while RM1.40 million will be allocated to procure eight advanced drones –including AI-autonomous and confined-space units – to handle complex structural and greenhouse-gas inspections.
The remaining proceeds will be utilised for working capital and estimated listing expenses.
The robotics and engineering segment represents a major growth catalyst for the group.
In FY25, segment revenue surged 235.4% to RM26.0 million while delivering a group-leading gross profit margin of 23.02%.
The group has already successfully deployed AUV technology to inspect over 215 kilometres of subsea gas pipelines for major operators, directly targeting Malaysia’s estimated 12,000 kilometres of subsea infrastructure.
Elsa enters the public market with a massive revenue pipeline supported by its 269 Petronas Standardised Work and Equipment Categories (SWEC) licences.
As at the latest practicable date, the group holds 140 ongoing projects with an estimated remaining contract value of RM636.03 million and a firm order value of RM265.45 million.
The group is also actively bidding to replenish its pipeline with 157 pending tenders valued at RM655.47 million.
Malacca Securities Sdn Bhd served as the principal adviser, sponsor, underwriter, and placement agent for the IPO exercise.