We take a look at three Mesdaq Market (now known as the ACE Market) listings, how they have fared and where they are headed.

Kotra Industries Bhd
Listed on the Mesdaq Market in 2000, Kotra transferred its listing to the Main Board in July 2007. The pharmaceutical company started out as a modest family business, trading in traditional Chinese medicine, before venturing into the distribution of pharmaceutical products.
After 25 years in the business, Kotra ranks today as one of Southeast Asia’s leading producers of pharmaceutical products such as over-the-counter health supplement Appeton, nutriceutical beverage Booster, the anti-fungal Creobic Cream and prescriptive products under Axcel and Vaxcel.

To date, Kotra has 181 products registered with the National Pharmaceutical Control Board, covering various dosage forms which include tablets, capsules, cream/ointment/gel, liquid, dry powder preparations and injectables.
It posted a net profit of RM3.6 million for 1QFY2009 ended Sept 30 versus RM1.4 million a year earlier due to a higher gross profit margin arising from changes in its product mix and lower advertisement and promotional expenses in the current quarter.

It will remain focused on pursuing the development and registration of new products in both the local and overseas markets. Kotra is expected to continue to increase its production efficiency via its investment in a new automated plant.
PUC Founder (MSC) Bhd

Set up in 1997, PUC was listed on the Mesdaq Market in April 2002. The company started off as an IT solutions provider for local and regional publishing and printing companies, such as Nanyang Siang Pau and Singapore Press Holdings.

It embarked on the R&D of fingerprinting security devices in 2000 in response to growing demand for biometric products in the government and commercial sectors. Its initial R&D project was financed by Multimedia Development Corp’s grant scheme. PUC worked with the Multimedia University of Malaysia and Peking University of China on the R&D project. As a result of the collaboration, it successfully launched its product in 2002 under the registered brand name of FingerTec.

It sold its subsidiary in Hong Kong this year but still has a subsidiary in China. It plans to stay focused on biometric products, expanding its range to include face recognition. It hopes to grow its overseas market in the next five years by marketing through the Internet.

Willowglen MSC Bhd
Despite the economic downturn, business is still good, says group managing director Khor Chai Moi.
Willowglen’s flagship supervisory control and data acquisition solution monitors and captures data mainly for government infrastructure, such as power lines, oil and gas pipelines, the transport system and sewage treatment plants.

Khor says 2009 has been their best year for projects, which came primarily from Singapore where the company’s main branch is located. She adds that the company has benefited from the various stimulus packages in Singapore.

“There are now more government jobs that require SCADA integrated monitoring systems, so actually, we are doing okay. But here in Malaysia, business is a bit slow.”

Khor says Willowglen has invested more than RM10 million in R&D since buying the Singapore-based company from two Canadians in 1999.
Moving forward, she says the group is in a comfortable position, with RM28.4 million in cash and cash equivalents as at Sept 30, 2009. Its net profit rose to RM9.1 million in the nine months to Sept 30, 2009, from RM5.3 million a year ago.
Khor says Willowglen plans to transfer its listing to the Main Market by 1H2010.

This article appeared in netv@lue2.0, the technology section of The Edge Malaysia, Issue 787 Dec 28 - Jan 10 2010