PETALING JAYA: Southern Cable Group Bhd, which debuted on the ACE Market today, has set its sights on expanding into the automotive and elevator segments by second half of 2021 through introduction of new product range, including power and control cables and wires for automotive and elevator applications.
The new range of cables and wires for the automotive and elevator segments are expected to be developed and commercialised in the second half of 2021.
For FY19 ended Dec 31, 76.1% of the group’s revenue was contributed by the power cables and wires, while 5.4% was from the communications cables and wires. The sale of control and instrumentations cables and wires made up 9.4% of revenue and the remaining 9.1% was from the sale of related products and services.
Managing director Tung Eng Hai said as a cables and wires provider with key supporting activities such as furnace and continuous casting as well as manufacturing of plastic compounding for our cables and wires manufacturing operations, the group will be able to quickly adapt to market changes and develop new products to extend its reach.
“The new factories would also allow us to expand our annual production capacity of cables and wires as we aim to increase our market share for the manufacture of electric and electronic cables and wires in Malaysia.
“These initiatives would allow us to address growing market opportunities in Malaysia as well as countries where we have already made inroads and underpin our hope to continue our growth story.”
The group debuted today at 33.5 sen compared to the issue price of 34 sen, but reached a high of 38.5 within the first 15 minutes of trading. The first trade was done at 16.9 million shares.