Mainboard newbie Mi Material ends first day nearly unchanged at S$1.82 in active trading

[SINGAPORE] Semiconductor firm Mi Material rose slightly on its first day on the Singapore Exchange (SGX) mainboard on Wednesday (Oct 28).

The manufacturer of chip packaging materials began trading at 2 pm, and was unchanged from its initial public offering price of S$1.80 in initial trading, with about 2.3 million shares changing hands.

It later inched up to close the day at S$1.82, with 10.8 million shares traded.

Mi Material’s IPO comprised 77.5 million shares at S$1.80 apiece, with 71.3 million international placement shares and 6.2 million shares for a Singapore public offer. The two tranches were 2.2 times and 1.3 times subscribed, respectively.

A total of 754 applicants were successful in the Singapore public offer, according to balloting results released on Tuesday.

Nearly all retail investors who applied for fewer than 5,000 shares in the local tranche were successful, receiving 500 shares each. All applicants seeking 5,000 shares and more were allocated shares ranging from 5,000 to 490,500 each depending on the number applied for.

The international offer attracted 183 investors. Fullerton Fund Management was allocated 9.2 million shares, AR Capital received seven million shares, while Amova Asset Management Asia was allocated 5.5 million shares.

Mi Material raised about S$215 million through its IPO and a separate placement to cornerstone investors, giving it an estimated market capitalisation of S$891 million based on the offer price.

It is the ninth company to list on the SGX mainboard this year, following companies such as UI Boustead Real Estate Investment Trust, EGP Energy and Deluge Corp.

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The Singapore-headquartered company, a spinoff from Bursa Malaysia-listed Mi Technovation, manufactures precision solder spheres used as electrical connections in advanced semiconductor packaging.

Its products, sold under the Accurus brand, are used in applications including mobile devices, wearables, high-performance computing, memory chips and automotive electronics.

The company operates manufacturing facilities in Taiwan and mainland China, and is establishing a new plant in Senai, Johor, which is expected to contribute to earnings by the end of 2027.

It plans to use the gross proceeds to:

• set up a research and demonstration centre in the US;
• set up a research laboratory in Singapore;
• expand its manufacturing capacity in Malaysia; and
• upgrade its existing facilities in Taiwan.

For the first half of 2026, Mi Material’s revenue more than doubled to US$53.7 million, from US$25.6 million a year earlier. Net profit rose to US$14.3 million, from US$2.8 million.

The company does not have a fixed dividend policy, but its board intends to recommend dividends amounting to 20 per cent of net profit for the period from listing to end-2026 and for FY2027.