ACE Debutante OB Holdings Eyes Doubling Production Capacity By 2026

KUALA LUMPUR, Oct 29 (Bernama) -- OB Holdings Bhd aims to double its production capacity by 2026 with the completion of its new factory in Serendah, Selangor.

Executive director Boey Lee Bao Yu said the new facility is expected to be completed by the first half of 2025 (1H 2025) and commercial production to begin in 1H 2026.

“We plan to purchase new machinery to support our capacity expansion and set up a new lab to enhance the company’s product development activities and support in-house culturing of probiotic strains,” she told a press conference after its ACE Market listing ceremony today.

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OB Holdings makes food and dietary supplements under various house brands as well as for third-party brand owners.

Its shares opened at 25 sen, one sen above its 24 sen issue price with 6.4 million shares traded.

Its initial public offering (IPO) public tranche was oversubscribed by 109.47 times.

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In the legal dispute between its wholly owned subsidiary Orient Biotech Sdn Bhd and Nature One Dairy (Hong Kong) Ltd over a new milk powder product formulation resembling that of the Hong Kong company, OB Holdings general manager Lew Yoke Chin denied the allegation.

“Our group has implemented measures to ensure all formulations are different for each of our customers while meeting customer requirements," she said.

The company does not foresee any significant risk that can impact the company in terms of future business prospects or its financial performance.

At 5 pm, OB Holdings closed at 25 sen with 63.90 million shares traded.

-- BERNAMA