Samurai 2K’s shares have soared more than 400% since its IPO, and are now trading at 157 times earnings. Investor sentiment was no doubt buoyed by the company’s recent results. For 1HFY2018 ended Sept 30, it reported unaudited earnings of RM6.4 million ($2.1 million), more than four times the earnings recorded for the same period last year. Turnover for the six months doubled from the year before to RM34.5 million.
SINGAPORE (Dec 4): After a stellar performance in its first year as a publicly listed company, spray paint maker Samurai 2K Aerosol is raising more money at a valuation some five times above its IPO price. The Malaysian company, which makes coatings for the automotive industry, was the first to come to market this year and saw its shares jump 25% when it made its Jan 16 debut on Catalist. The company had placed out 20 million shares at 20 cents each, to raise net proceeds of $2.35 million.
In a Nov 21 announcement, Samurai 2K said it has spent $1.2 million of its IPO proceeds — mostly on the expansion of its production facilities. Now, the company is raising another $9.6 million for business development and expansion. It intends to place out up to 10 million new shares at $1.008 each, which represents a discount of nearly 10% to the last volume-weighted average price prior to the announcement.
