Hock Soon Capital eyes Singapore market as early as 1Q, pending entry approval
KUALA LUMPUR (Jan 22): Main Market-bound Hock Soon Capital Bhd, the producer of QPlus-branded eggs, said it may begin exporting to Singapore as early as this quarter, pending entry approval from the Singapore Food Agency (SFA).
Executive director Alex Ong Keat Hoe said the Perak-based family-run poultry producer is currently awaiting regulatory clearance from the SFA.
Once approved, Singapore would become the group’s second export market after Hong Kong, which currently still contributes less than 1% of its total revenue.
“We are targeting Singapore as our next export market as it allows us to diversify our revenue base. Given its close proximity to Peninsular Malaysia and the local supply in Singapore is still not enough, I believe it is one of the best options for us right now,” Ong told reporters after the company’s prospectus launch, where it priced its initial public offering (IPO) at 60 sen per share.
Malaysia remains Hock Soon's core market, accounting for the bulk of group revenue. According to the prospectus, sales in the central region of Peninsular Malaysia amounted to RM111.77 million, or 75.8% of total revenue, in the financial year ended Sept 30, 2025 (FY2025), followed by the northern region at RM27.79 million, or 18.9%.
Commenting on competition within the local poultry industry, Ong said Hock Soon is "still at an early growth stage" compared with more established listed peers such as QL Resources Bhd (KL:QL), CCK Consolidated Holdings Bhd (KL:CCK) and Teo Seng Capital Bhd (KL:TEOSENG), among others.
“Our peers have been listed for a long time and operate in a more mature and saturated space. We see ourselves as an emerging player, with opportunities still available, particularly through capacity expansion and export diversification,” he said, adding that the group's focus will be on meeting domestic demand and supporting Malaysia’s food security.
Ong also said the upcoming festive-season demand such as Chinese New Year and Hari Raya Aidilfitri, as well as the recent strengthening of the ringgit provide a supportive backdrop for the group’s listing.
Hock Soon is primarily engaged in poultry farming, specialising in the rearing of layer chickens for the production and sale of table eggs to food manufacturers, as well as wholesale and retail markets. Ordinary eggs are sold either unbranded, under its in-house QPlus brand, or under customers’ brands, while premium eggs are marketed under the QPlus label. The group also offers private-label packaging and labelling services.
The company aims to raise up to RM90 million from its IPO, of which RM60 million will be allocated to the development of a new poultry farm in Teluk Intan, Perak. The remaining RM30 million, raised via an offer for sale, will accrue to selling shareholders.
Upon completion of the Teluk Intan facility, Hock Soon’s total egg production capacity is expected to increase by about 95%, with the new farm adding 1.53 million eggs per day to its existing capacity of 1.63 million eggs per day as at Dec 24, 2025.
At the IPO price of 60 sen, the group is expected to have a market capitalisation of RM300 million, translating into a price-earnings ratio of 7.1 times based on FY2025 earnings, when it posted a profit after tax of RM42 million on revenue of RM147.4 million.
The group does not currently have a formal dividend policy.
Hock Soon’s board is currently chaired by Datuk Seri Nurmala Abd Rahim, who is also a senior independent non-executive director of industrial filter manufacturer Pan Merchant Bhd (KL:PMIBHD) and aerosol spray paint maker DPI Holdings Bhd (KL:DPIH).
Applications for the IPO will close on Jan 30, with the company scheduled to be listed on the Main Market of Bursa Malaysia on Feb 13. M&A Securities Sdn Bhd is the adviser, underwriter and placement agent for the IPO.
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