Wasco Greenergy Berhad

Date of Prospectus: 5 November 2025

Wasco Greenergy Berhad IPO: A Growth-Driven Entry to Bursa Malaysia’s Main Market

Wasco Greenergy Berhad’s highly anticipated IPO offers investors exposure to Malaysia’s fast-growing energy solutions and biomass sector. This IPO analysis covers all critical aspects, including deal structure, financial performance, growth strategy, risk factors, and the outlook for listing day performance—tailored for institutional and retail investors seeking actionable insights.

IPO Snapshot

IPO Symbol: Not explicitly disclosed

Offer Price: RM1.00 per share

Total Offer Size: Up to 150,000,000 shares (75,000,000 new shares via Public Issue and up to 75,000,000 shares via Offer for Sale)

Number of Shares Offered:

• Public Issue: 75,000,000 new shares (15% of enlarged share capital)
• Offer for Sale: Up to 75,000,000 existing shares (15% of enlarged share capital)
• Post-IPO Outstanding Shares: 500,000,000 shares

Use of Proceeds: The IPO is growth-driven, with proceeds allocated as follows:

This clear focus on expansion, digitalisation, and R&D underscores the company’s aggressive push for regional growth and technology leadership [[150]][[151]].

Placement and Issuance Breakdown

• Public Issue: 75,000,000 shares (new shares offered to public, institutional, and selected investors)
• Offer for Sale: Up to 75,000,000 shares by Wasco Berhad and Tema Energy (selling shareholders)
• Breakdown by Tranches:
  • Malaysian Public (White Form): Open to citizens and corporations
  • Eligible Employees / Directors (Pink Form): Allocated to company personnel
  • Entitled Wasco Berhad Shareholders (Blue Form and e-Subscription): Preferential allocation
  • Placement to Selected Investors: By Placement Agent
• Minimum application: 100 IPO Shares or multiples thereof
• Post-IPO Share Capital: 500,000,000 shares

There is a lock-up arrangement as detailed in the lock-up letter dated 3 November 2025 for certain pre-IPO shareholders and management [[249]].

Dividend Policy

No explicit dividend policy or payout ratio target is stated. Investors should note the company’s prioritization of reinvestment and growth over immediate dividend distribution [[240]].

Deal Parties and Structure

• Principal Adviser / Joint Bookrunner / Managing Underwriter / Joint Underwriter: CIMB Investment Bank Berhad
• Joint Bookrunner / Joint Underwriter: Maybank Investment Bank Berhad
• Joint Bookrunner: CGS International Securities Malaysia Sdn Bhd
• Legal Advisors: Adnan Sundra & Low (Malaysia), Soemadipradja & Taher (Indonesia), Rahmat Lim & Partners
• Auditors & Reporting Accountants: PricewaterhouseCoopers PLT
• IMR (Independent Market Research): Frost & Sullivan GIC Malaysia Sdn Bhd

Underwriting covers 30,500,000 Issue Shares under the Retail Offering at a commission of up to 1.25% of the retail price [[249]]. The presence of major banks and top-tier legal and auditing firms, along with strict regulatory compliance, supports the credibility of the listing and may underpin listing-day performance.

Company Overview: Business Model and Industry Position

Wasco Greenergy Berhad is a provider of integrated energy solutions, with a focus on the ownership and operation of biomass steam power plants and related energy engineering services. The company leverages advanced technology, R&D, and strategic regional expansion (notably in Indonesia) to serve industrial decarbonisation needs.

• Key Revenue Streams:
  • Project-based revenue from engineered energy solutions
  • Recurring income from asset ownership (biomass power plants under long-term contracts)
  • Sales and servicing of steam energy systems and equipment
• Customer Segments: Industrial and commercial clients in Malaysia and Indonesia
• Geographic Footprint: Malaysia (core market), Indonesia (expansion target)
• Brand Strength: Material brand names, patents, trademarks, and intellectual property rights are held and actively managed [[17]].

Industry Overview

The company operates in the biomass steam energy and industrial engineering sector, serving both Malaysian and Indonesian markets. The industry is regulated by relevant laws in both jurisdictions, and the group is compliant with all necessary licenses and standards [[17]].

Sector growth is driven by:

• Decarbonisation and sustainability requirements in industrial production
• Demand for efficient, flexible, and modular steam energy solutions
• Regional industrialisation and government policy support for renewable energy

Wasco Greenergy leverages these trends through ongoing R&D, digitalisation, and expansion of asset ownership models.

Financial Health and Performance

Wasco Greenergy demonstrates strong and consistent financial growth, improving margins, and robust cash flows. Key financials for the last three years and interim periods are summarized below:

Cash Flow & Balance Sheet:

• Net cash from operations (FYE 2024): RM8.8 million
• Net cash used in investing activities (FYE 2024): RM37.0 million (reflecting aggressive reinvestment)
• Net cash from financing activities (FYE 2024): RM31.4 million
• Cash & equivalents (as at FYE 2024): RM54.8 million
• Term loans (as at LPD): RM43.8 million
• Current ratio (FYE 2024): 2.0
• Gearing ratio (FYE 2024): 0.3
• Net gearing (FYE 2024): -0.1

Financials indicate a healthy, growth-oriented company with improving profitability and a prudent balance sheet [[88]][[89]][[125]][[131]].

Market Position, Competitive Advantages, and Management

• Market Position: Strong presence in Malaysia with expansion plans for Indonesia. The company’s asset ownership model and R&D focus set it apart in the industrial decarbonisation value chain.
• Competitive Advantages: Proprietary technology, long-term customer contracts, and a healthy pipeline of expansion projects.
• Management & Key Senior Leadership:
  • Halim Bin Haji Din (Director)
  • Ramanathan A/L P.R. Singaram (Director)
  • Ng Ing Peng (Director)
  • Roslina Binti Abdul Rahman (Director)
  • Lee Yee Chong (Key Senior Management)
  • Ooi Giap Hwa (Key Senior Management)
  • Tee Kian Lim (Key Senior Management; significant pre-IPO holding via Tema Energy)

Trends, Timing, and Market Environment

Sector momentum is robust given the push for industrial decarbonisation and biomass energy solutions. The company is well-placed to benefit from:

• Government policies favoring renewable energy and sustainability
• Ongoing digitalisation of industrial processes
• Regional industrial growth, especially in Indonesia

IPO Application Window: Opens 10:00 AM, 20 November 2025; Closes 5:00 PM, 28 November 2025 [[252]].

Expected Allotment Date: By 10 December 2025 [[265]].

Macroeconomic commentary in the prospectus notes no adverse impact from recent government, economic, or monetary policy changes during the review periods [[139]].

Risk Factors

• Legal/Litigation: Material litigation is limited to a single proceeding (Kilang Sawit Lembing Sdn Bhd vs. WTSB), with no other significant legal exposure disclosed [[249]].
• Regulatory: Operations are subject to changing laws in Malaysia and Indonesia, with compliance and governance frameworks in place [[17]].
• Customer/Supplier Concentration: Not specifically quantified; no major dependency highlighted.
• FX/Commodity Exposure: Limited use of forward currency contracts for hedging; no significant commodity risk outlined [[139]].
• Financial Leverage: Gearing is moderate and manageable, with no defaults or covenant breaches [[131]].
• Single Product/Geography: Some risk as growth is concentrated in Malaysia and Indonesia; mitigated by ongoing expansion plans.

Growth Strategy

• Asset Ownership Model: Substantial IPO proceeds will fund new investments and acquisitions of biomass power assets, targeting long-term annuity-style revenues.
• Indonesia Expansion: RM5.5 million allocated for market entry and footprint expansion (sales offices, service centers, vehicles).
• Capex Pipeline: RM12.5 million for new equipment and headquarter upgrades.
• Digitalisation: RM5 million for AI systems and IT upgrades.
• R&D: RM4 million for next-generation steam energy system development.
• All investments are scheduled within 24 to 36 months post-listing [[150]][[151]].

Ownership and Lock-up Details

Pre-IPO and Post-IPO Major Shareholders:

The company also operates an employee allocation scheme, with Pink Form allocations for directors and staff. There are no outstanding ESOPs, warrants, or options at the time of listing [[240]].

Valuation and Peer Comparison

No peer comparison table is provided in the prospectus. No P/E, P/B, or EV/EBITDA multiples for Wasco Greenergy or sector peers are disclosed. Investors should rely on the company’s strong earnings growth, improving profitability, and sector positioning as detailed above.

Investor Participation and Book Quality

Anchor or institutional investor names, subscription levels, and oversubscription figures are not disclosed in the prospectus. Based on the high-profile underwriter syndicate, retail and institutional allocations, and the absence of large pre-listing disposals, the book is likely to be of high quality, supporting strong first-day performance.

Recent Developments

• Completed acquisition of remaining 40% stake in Wasco Thermal Sdn. Bhd., making it a wholly-owned subsidiary and streamlining group structure [[148]].
• Proposed Indonesia expansion and launch of new digital and R&D initiatives funded by IPO proceeds.
• Material litigation limited to one disclosed case; no adverse financial or legal developments affecting listing [[249]].

How to Apply

• Application window: Opens 10:00 AM, 20 November 2025; Closes 5:00 PM, 28 November 2025
• Application channels:
  • Application Forms (White, Pink, Blue)
  • Electronic Share Application (Participating Financial Institutions, Internet Share Application)
  • e-Subscription for entitled shareholders via Vistra Share Registry and IPO (MY) Portal (https://srmy.vistra.com)
• Minimum application: 100 shares or multiples thereof
• Eligibility: Malaysian citizens 18+ or Malaysian-controlled corporations with CDS accounts
• Status of application/allotment can be checked at: https://srmy.vistra.com

Website for obtaining the prospectus: www.bursamalaysia.com

Listing Outlook

Based on the company’s consistent financial growth, prudent capital allocation, robust sector tailwinds, and the strong syndicate of underwriters and advisors, Wasco Greenergy Berhad’s IPO appears well-positioned for a successful debut. The high proportion of proceeds dedicated to expansion and R&D, coupled with moderate leverage and a credible management team, suggests that the company is set for organic and regional growth.

With no disclosed dividend policy, this is a growth equity story, and first-day performance is likely to be strong—potentially trading at a premium to the RM1.00 offer price, given the listing’s high-quality sponsorship, sector momentum, and lack of negative developments. Investors seeking exposure to Southeast Asia’s energy transition and industrial decarbonisation will find this IPO compelling based on the disclosed facts and figures.

For further details, always consult the full prospectus at www.bursamalaysia.com.