KUALA LUMPUR: CTOS Digital Bhd today made a debut on the main market of Bursa Malaysia after registering a 36 per cent premium as it opened at RM1.50, 40 sen above the issue price of RM1.10 per share.
The credit reporting firm's first trade was done at 13.7 million shares, peaked at RM1.76 during the day, and closed at RM1.62.
Group chief executive officer Dennis Martin said the company's initial public offering (IPO) journey thus far has marked pivotal milestones.
"We are very heartened by the overwhelming support from both institutional and retail investors.
"The tremendous support received motivates us to extend our resilient performance even further. We reported strong double-digit growth rates in the most recent quarter and the first half of the year, which indicates our positive growth trajectory in the credit reporting industry," he said at the virtual listing ceremony today.
The company had attracted RM1.38 billion for its retail IPO tranche, the largest retail demand for an IPO since 2013.
CTOS Digital's listing was the largest since Mr DIY Group (M) Bhd's RM1.5 billion IPO last year.
Both Mr DIY and CTOS come from private equity firm Creador's stable.
CTOS Digital also garnered a record 23 cornerstone investors in its book-building exercise, with renowned names such as Employees Provident Fund Board, Permodalan Nasional Bhd, Aberdeen Standard Investment, AIA, Eastspring Investments, FIL Investment Management and JP Morgan Asset Management.
CTOS Digital registered a 23 per cent higher revenue of RM37.8 million in the second quarter ended June 30, 2021 (Q2), compared to RM30.7 million in the same period a year ago.
Normalised net profit attributable to shareholders (PATAMI) jumped 64 per cent to RM15.0 million in Q2, from RM9.1 million posted a year ago.
For the first half (1H) ended June 30, 2021, CTOS Digital's revenue grew 17 per cent to RM75.8 million from RM64.7 million last year.
Similarly, normalised profit after tax and minority interests (Patami) rose 70 per cent to RM31.4 million during 1H from RM18.5 million in 1H of 2020.
CTOS Digital has also declared a first interim single-tier dividend of 0.533 sen per share regarding the financial year ending December 31, 2021, which will be paid on September 3, 2021, payable on August 6, 2021.
"Going forward, we will focus on providing more innovative digital solutions across the entire lifecycle of financial institutions, companies, and small-and-medium enterprises, as well as supporting individuals on their own financial literacy."
"We will also continue to grow our product offerings and customer reach by expanding organically and through acquisitions within the ASEAN region.
"We believe that the IPO proceeds raised, coupled with our strong financials, will help us achieve our ambitions," said Dennis.
He said the company remains committed to finding the right balance between reinvesting its profits for sustainable growth and generating shareholders' returns.
CTOS Digital aimed a payout ratio of 60 per cent of PATAMI for each financial year on a consolidated basis after considering the working capital, maintenance capital and committed capital requirements of the company.