KUALA LUMPUR (March 9): Nova Pharma Solutions Bhd, an engineering solutions company which focuses on pharmaceutical and biotechnology industries, rose 20% or 4 sen from its offer price of 20 sen, on the Leading Entrepreneur Accelerator Platform (LEAP) Market this morning.

A total of 1,000 shares exchanged hands at the opening bell today.

At 9.55am, the counter rose three sen or 15% to 23 sen.

The excluded issue of 12.3 million new ordinary shares at an issue price of 20 sen per share represented 8.25% of the enlarged issued share capital of the company.

Based on the issue price of 20 sen per share, the excluded issue has raised gross proceeds of RM2.46 million.

Of the proceeds raised, the company plans to use RM960,000 for working capital and RM500,000 for future business expansion.

The remaining RM1 million is allocated for listing expenses.

Its executive director cum chief executive officer Khoo Boo Wie intends to take the company forward by leveraging on its strong track record and opening up new markets.

"Today is one step closer to realising our business plans.

"Given our strong foundation, technical expertise and experience, we are confident the company will continue to record strong performance in the coming years," he said after the listing ceremony today.

Khoo is a substantial shareholder with a 69.42% direct equity interest, and JcbNext Bhd — formerly known as JobStreet Corp Bhd, which is listed on Main Market of Bursa Malaysia — holds 9.45% direct equity interest.

Nova Pharma's businesses are mainly focused in Malaysia, Indonesia and Taiwan.

Moving forward Nova Pharma intends to establish new offices overseas.

"We intend to set up offices in countries where we have executed notable projects in the past such as Taiwan and Indonesia, in second half of 2019.

"We may also consider having offices for other potential countries in Southeast Asia within 2020 to 2022," he added.

The group foresees a huge potential for the expansion of business in Taiwan as the Taiwanese Government is in the midst of transforming the country into a biotechnology and medical research and development (R&D) hub in Asia.

Nova Pharma has completed two turnkey projects, namely a monoclonal antibodies facility with modular approach in Nilai, Negeri Sembilan in 2009 and a R&D herbal laboratory in Glenmarie, Selangor in 2011.

"By venturing into turnkey projects, we will have better control of project implementation from pre-design to commissioning of the plants.

"We will take full responsibility for a project which is easier for our customers to manage and communicate with one provider," he added.

Based on the enlarged share capital of 149 million shares and today's opening price of 24 sen per share, the company's market capitalisation is RM35.76 million upon listing.