October 31, 2003

 

 

Malaysian Company Optimistic About the Premium Eggs Market
 

TPC Plus Bhd is bullish about the premium eggs market in Malaysia as consumers now are increasingly health-conscious.

 

"Unlike the US and Europe, our market for healthier eggs is still in the beginning stage and has plenty of room for growth," managing director Jimmy E Pian said.

 

Speaking to reporters after the company's underwriting ceremony in Kuala Lumpur on October 28, he said TPC Plus currently has 71 farm sheds and produces about 237.25 million eggs a year.

 

The Malacca-based company is involved in poultry farming, which includes the production and sale of commercial chicken eggs for the West Malaysian market.

 

TPC Plus' premium egg products include lower cholesterol eggs, body eggs enriched with Omega, organic selenium eggs and golden corn eggs.

 

"TPC eggs are sold to both retailers and directly to customers such as major supermarkets, hotels and confectionary houses," Pian said.

 

He said the company spends about RM200,000 to RM300,000 every year on research and development activities.

 

In conjunction with its listing on the Kuala Lumpur Stock Exchange's second board, TPC Plus will make a public issue of 19.7 million shares and an offer for sale of 10.8 million shares of 50 sen each at 90 sen apiece.

 

Of the total, six million shares will be available for public subscription while 2.5 million shares will be privately placed out.

 

From the public issue, the company is expected to raise about RM17.7 million, of which RM8.5 million will be used as working capital and RM7.1 million for loans repayment.

 

For the financial year ended December 31 2002, TPC Plus recorded a profit after tax of RM4.5 million on the back of RM38 million in revenue.

 

Its profit after tax was RM5.5 million for the nine months ended September 30 2003 on the back of RM32.5 million in revenue.

 

TPC Plus expects to issue its listing prospectus next month and targets to be listed by year-end.