Kucingko will be first animation studio to be listed on Bursa Malaysia

PETALING JAYA: Kucingko Bhd, an established 2D animation production services provider, will make its debut on the ACE Market of Bursa Malaysia Securities soon.

The company’s initial public offering (IPO) is poised to release about 200 million ordinary shares, encapsulating 40% of its enlarged number of issued shares, where an equal portion of 100 million shares each are available under the public issue and offer for sale.

Kucingko, via the group’s wholly owned subsidiary Inspidea Sdn Bhd, prides itself in its 2D animation production including animated series and animated short films, completing 59 projects worth RM63.22 million in total during the financial years ended Dec 31, 2020 to 2022, and six-month financial period ended June 30, 2023, with over 4,617 minutes of content.

Executive director See Chin Joo said, “Securing approval for our IPO on the ACE Market is a major milestone, because this will be the first animation production studio to be listed on Bursa. By setting the precedence, we hope to inspire other Bursa-ready companies in the creative industry to follow suit.”

He also said this marks the beginning of an exciting new chapter for them, as they are now poised to harness the potential of the capital markets to fuel their ambitious expansion plans, both within Malaysia and internationally.

With proceeds from the IPO, they plan to elevate their production capacity, deepen their business network in United States and to reinforce their market leadership, thereby enhancing shareholder value.

Specifically, See said a significant portion of the proceeds will be allocated towards increasing their production capacity by setting up branch offices in Sabah and Sarawak.

“We are confident in tapping new talent pools from those two states to complement our current Kelana Jaya’s office with 260 artists. This expansion is not just about capacity; it’s about deepening our business relationships with our existing clients, and expanding the clientele network in the US, Because of this need, part of the proceeds will be strategically used to establish a sales and marketing office in the USA, enabling us to be closer to our largest market and facilitate better client management and engagement. Lastly, the remaining portion of the proceeds will be earmarked for our working capital requirements,” said See.

Kenanga Investment Bank Bhd is the principal adviser, sponsor, underwriter and placement agent for Kucingko’s IPO.