By Niam Seet Wei
KUALA LUMPUR, March 17 (Bernama) -- Integrated refurbished technology leader CompAsia Sdn Bhd is set to launch its Main Market initial public offering (IPO) on Bursa Malaysia in the first half of 2027 (1H 2027), aiming to raise around RM400 million to RM500 million, with a valuation of about RM2 billion.
Founder and chief executive officer Julius Lim said the company is in the process of appointing its banker for the exercise and expects to finalise the appointment within the next one to two months.
“We have already met with all the big banks. Our goal is to do it by the first half of next year,” he told Bernama recently.
Lim said the company is also conducting a pre-IPO fundraising round over the next one to two months, targeting high-net-worth individuals who may invest ahead of the listing at a discount to the IPO price.
Regarding the IPO proceeds, Lim said the funds would mainly be utilised for working capital, to develop its device ownership plan, ReNewNGo, and to strengthen its omnichannel presence to ensure a seamless experience between online and physical retail in Malaysia.
“Last year, we had only five to six stores operating in Malaysia, but we have since expanded to around 70 stores across the country, including in Sabah and Sarawak.
“We have been aggressively rolling out our offline stores. Our goal is to double the number to 150 stores by the end of 2026 and grow further moving forward,” he said.
On the company’s earnings performance, Lim said CompAsia registered a pre-tax profit of RM20 million in 2025, up from RM12 million in 2024, and aims to more than triple it to RM70 million in 2026.
On revenue, he said the company recorded about RM180 million in revenue last year from its Malaysia operations and is targeting around RM400 million this year, mainly driven by its ReNewNGo business.
Launched in 2024, ReNewNGo is a flexible device subscription plan that allows customers to upgrade, downgrade or return their device after 12 months of payments and fully own it after 36 monthly payments.
Currently, the programme has about 20,000 subscribers, and CompAsia aims to increase the number to 50,000 by year-end before doubling it to 100,000 in 2027.
Expanding Retail Footprint in Southeast Asia
Founded by Lim in 2012, CompAsia is currently a leading refurbished technology player in Malaysia, specialising in sourcing, refurbishing, and reselling pre-owned smartphones and other electronic gadgets.
It also runs trade-in programmes that include industrial-grade data wiping for most telecommunications companies (telcos) and original equipment manufacturers (OEMs) in Malaysia.
“While we are active partners with major telcos like CelcomDigi and Maxis, retailers like Machines and Senheng and brands such as Apple and Samsung, we are also exploring cross-industry partnerships to reach wider audiences,” he said.
Besides its local retail presence, CompAsia has expanded into Singapore, Thailand and the Philippines and is currently scouting for additional locations in the Philippines and Singapore.
On its overseas growth priorities, Lim said Southeast Asia remains the company’s focus, as Singapore offers strong spending power, while Thailand and the Philippines are high-growth markets due to their large young populations and rapid technology adoption.
“While Southeast Asia is our immediate priority, truly excelling in the countries we set foot in requires a lot of effort.
“So in the next few years, we will be looking at strengthening our local presence and possibly entering new markets,” he said.
‘Blue Ocean’ Potential in Secondary Device Market
Comparing the 10 million new smartphones sold annually in Malaysia, Lim said CompAsia facilitated more than 100,000 trade-ins in 2025, mainly smartphones, along with other devices such as tablets, laptops and smartwatches, and that the numbers grew gradually year-on-year.
“These figures show that while we are the leader, there is still massive ‘blue ocean’ potential as more consumers switch to sustainable options,” he said.
Touching on consumer behaviour, Lim said around 20 to 30 per cent of consumers now trade in their gadgets when purchasing new smartphones, reflecting growing acceptance of recommerce services.
On its customer base, he said Malays account for about 55 to 65 per cent of CompAsia’s customers, followed by Chinese, Indians and others, broadly reflecting Malaysia’s demographic composition.
“And we do see a lot of interest among Gen Z and Millennial buyers who are more brand-conscious but also looking for more price-conscious alternatives,” he said.
As of the third quarter of 2025 (3Q 2025), CompAsia had surpassed three million device transactions, underscoring the growing scale of the recommerce economy across Southeast Asia.
Based on the three million gadgets transacted, Lim said the company has prevented about 450 to 600 tonnes of electronic waste from entering landfills and helped avoid up to 240,000 tonnes of carbon dioxide (CO2) emissions, the equivalent of taking 52,000 cars off the road for a year.
“By extending device life, we have reduced the need for mining precious metals, including an estimated 100 kg of gold and 1,000 kg of silver,” he said.
Refurbished Smartphone Market to Reach US$96.9 Billion by 2031
Citing a recent Mordor Intelligence industry report, Lim said the global used and refurbished smartphone market is projected to reach over US$96.9 billion (US$1=RM3.93) by 2031, with Asia Pacific being the largest and fastest-growing market.
He said that amid rising inflation and a global push for environmental, social and governance (ESG) compliance, CompAsia is well-positioned to become the Southeast Asian champion of second-life technology.
“If we look at the second-hand smartphone industry five years ago, what pops up in your mind are small shops in Low Yat with limited options and no warranty.
“Today, we have elevated that experience to be as trustworthy and complete as buying a new device,” he said, emphasising that CompAsia envisions making “second life” a way of life in Malaysia.
“Just as the used-car market has become mainstream and trusted, we are doing the same for personal electronics,” he added.
-- BERNAMA
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