EI Power Berhad

Date of Prospectus: 21 April 2026

EI Power Berhad IPO: High-Growth Energy Solutions Provider Debuts on ACE Market

EI Power Berhad launches its highly anticipated IPO, positioning itself as a fast-growing player in Malaysia’s energy solutions and engineering sector. With robust financial growth, a strategic use of proceeds, and a clear roadmap for market expansion, this listing provides investors a compelling opportunity to participate in the nation’s energy transition. This article presents a thorough, data-driven breakdown of the IPO for investors, analysts, and market watchers.

IPO Snapshot: Key Facts and Figures

IPO Symbol: Not explicitly disclosed
Offer Price: RM0.48 per share
Total Offer Size: 129,500,000 new Issue Shares (Public Issue), 70,000,000 Offer for Sale shares
Post-IPO Outstanding Shares: 700,000,000 ordinary shares

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

• Acquisition and setup of new headquarters cum warehouse: RM18.26 million
• Capital expenditure for building energy efficiency systems: RM10.00 million
• Establishment of office in Thailand: RM1.38 million
• Establishment of branch office cum warehouse in Johor: RM2.28 million
• Working capital: RM24.96 million
• Estimated listing expenses: RM5.28 million

Dividend Policy: Dividends paid: RM5.0 million (FYE 2024), RM12.0 million (FYE 2025, including RM3.0 million post-year-end). Funded by subsidiary generated cash. No explicit commitment for future payout ratio; no inference should be made on future dividends.

IPO Application Period: 21 April 2026, 10:00 a.m. – 6 May 2026, 5:00 p.m.
Minimum Application: 100 shares, or multiples thereof.

Minimum Shareholder Spread: At least 25% of the enlarged shares held by at least 200 public shareholders (each with ≥100 shares) required for listing.

Investor Participation & Book Quality

Underwriting: M&A Securities is the Underwriter for 66,500,000 Issue Shares.
Pre-Listing Disposals: Offer for Sale of 70,000,000 shares by selling shareholders (to MITI-approved Bumiputera and identified investors).

Subscription Levels: Not explicitly disclosed at the time of publication.

Implication for First-Day Performance: The presence of a significant public tranche, MITI allocation, and OCK shareholder offer, combined with the underwritten portion, suggests confidence in broad-based demand and a potentially strong first-day performance.

Deal Parties & Structure

Principal Adviser, Sponsor, Underwriter, Placement Agent: M&A Securities Sdn Bhd
Solicitors: Olivia Lim & Co
Auditors & Reporting Accountants: Baker Tilly Monteiro Heng PLT
Other Parties: Providence (independent adviser), Tricor Investor & Issuing House Services Sdn Bhd (Share Registrar & Issuing House)

Stabilization/Greenshoe: Not stated.

Listing-Day Support: The involvement of a single, reputable adviser/underwriter and a full underwriting of the public tranche provides structure and confidence for secondary market support.

Company Overview: Business Model and Industry Position

Business Model: EI Power Berhad offers engineering, procurement, construction & commissioning (EPCC) of mission critical power solutions, conventional and renewable energy power solutions, with a focus on the Malaysian and regional markets.
Key Revenue Streams: EPCC contracts, power solutions for commercial/industrial clients, building energy efficiency systems, expansion into Thailand and Johor.

Customer Segments: Corporate, industrial, and government-linked clients seeking power infrastructure and energy efficiency solutions.
Geographic Reach: Malaysia (core), Thailand (expansion underway).

Industry Definition: Renewable and conventional power solutions, energy efficiency systems, mission critical infrastructure.

Competitive Advantages:

• Full suite of power solutions (mission critical, renewable, conventional)
• Strong project execution record
• Experienced management team
• Expansion into new markets (Johor, Thailand)
• Post-IPO, well-capitalized for growth

Financial Health: Multi-Year Performance at a Glance

Key Highlights:

• Revenue CAGR (2022-2025): More than 25%.
• Gross Profit Margin: Expanded from 16.4% to 40.1% in three years, reflecting improved project mix and operational efficiency.
• Net Profit Margin: Increased from 7.4% to 25.0%, with PAT more than doubling in FYE 2025.
• Low Gearing: 0.4x pre-IPO, reducing to 0.10x post-IPO and proceeds, indicating financial strength and headroom for growth.

Management Team & Governance

Promoters: (collectively, 60.2% post-IPO)
Key executives include Ir. Albert Chang and Siew Wei Foo, with additional board oversight from OCK Group Berhad representatives. The team brings deep sector experience and continuity from the company’s growth phase.

Sector Trends, Timing, and Market Environment

Sectoral Trends: The company operates in the high-growth renewable and conventional power solutions industry. Strong demand is driven by government infrastructure spending, energy transition, and corporate focus on energy efficiency.

Timing: IPO application opens 21 April 2026 and closes 6 May 2026.

Economic/Market Environment: The company cites stable macroeconomic conditions and resilient construction/engineering demand in Malaysia and regionally.

Recent Developments: Expansion into Thailand and Johor, investment in new headquarters and energy efficiency capex post-IPO, fully settled related party advances, and transition to independent management and internal controls.

Conclusion on Market Environment: The timing appears favorable for listing, with strong sectoral tailwinds and capital expenditure programs in place.

Risk Factors

Key Risks:

• Regulatory Risk: Operations require licenses (e.g., CIDB registration). Non-compliance can result in business disruption.
• No Prior Public Market: No assurance of post-listing liquidity or price above IPO price.
• Listing Delay/Cancellation: Risks include insufficient public subscription or failure to meet shareholder spread; full refunds apply if aborted.
• Shareholder Control: Promoters will retain 60.2% post-IPO, enabling effective control over company direction and major decisions.
• Currency Risk: Small FX loss (RM2,021 in 2025) on translation of Thai subsidiary.
• Related Party Transactions: Historically present; currently mitigated by governance and board oversight.
• Borrowing Covenants: All covenants met as of last reporting date; refinancing in progress post-IPO for independent guarantees.

Growth Strategy

Expansion Plans:

• New headquarters and warehouse to support scaling (RM18.3 million capex, 36 months)
• Office/warehouse in Johor to capture southern region growth (RM2.3 million)
• Entry into Thailand market (RM1.4 million capex)
• Major investment in energy efficiency solutions (RM10 million, 24 months)
• Strengthening working capital (RM24.96 million earmarked)

The company’s current order book and capital allocation indicate a strong growth orientation, with a focus on regional expansion and higher-value projects.

Ownership and Lock-ups

Pre-IPO Shareholding: OCK Group Berhad and key promoters
Post-IPO Shareholding: Promoters collectively control 60.2%
ESOPs/Options: No outstanding options or ESOPs at listing
Lock-in Periods: Not explicitly stated

Valuation and Peer Comparison

Peer Comparison: Not disclosed in the document. No sector multiples or peer symbols provided.

Other IPOs in Period: Not disclosed.

Research Coverage & Opinions

No analyst coverage, price targets, or explicit recommendations included in the document.

IPO Allotment Result

Final subscription outcomes by tranche are not stated at the time of the prospectus.

Listing Outlook: Is EI Power Berhad Worth Subscribing?

Based strictly on the disclosed facts:

• Financials show accelerating revenue and margin growth, with a 25%+ CAGR, expanding gross and net margins, and strong cash flow.
• Low gearing and substantial IPO proceeds provide ample room for expansion and financial resilience.
• Clear use of proceeds and a well-articulated growth strategy support a rerating story rather than mere deleveraging.
• Risks are present but appear mitigated by board oversight, regulatory compliance, and independent internal controls.
• Strong underwriter support, broad allocation tranches, and a sizable public float improve the outlook for first-day trading.

Inferred Outlook: The IPO appears attractive for investors seeking exposure to Malaysia’s energy solutions growth. Strong first-day trading above the offer price is likely, barring adverse market developments during the application window.

Prospectus Access

The prospectus can be obtained at www.bursamalaysia.com.

How to Apply

Application Channels: White, Blue, and Pink Application Forms, Electronic Share Application via participating banks’ ATMs, and Internet Share Application via approved brokers and platforms (including Vistra Share Registry and IPO (MY) Portal at srmy.vistra.com).
Eligibility: Malaysian citizens (18+), Malaysian-incorporated entities with majority local ownership, and OCK shareholders for restricted allocation.
Application Window: 21 April 2026, 10:00 a.m. to 6 May 2026, 5:00 p.m.
Minimum Application: 100 shares, or multiples thereof.

Refer to www.bursamalaysia.com for full application procedures and the electronic prospectus.