ACE Market-listed Evergreen Max Cash Capital Berhad is seeking an ambitious outlook just over a year after its listing with over 80 pawnbroking outlets by 2025.
Within the past year, the company's "Pajaking" conventional pawnbroking network has expanded from 22 to 28 outlets. The Group also commenced the offering of Islamic pawnbroking business under "Ar Rahnu Cahaya" which has surged to 39 outlets, with a target to surpass 50 outlets by the end of the first quarter of 2025.
The expansion plan is mostly mooted from its high growth of its Islamic pawnbroking services.
Executive Director and Group Managing Director of EMCC, Dato' Low Kok Chuan said, "We are scaling up rapidly to capitalise on the growing demand for pawnbroking services. Our Islamic pawnbroking operations under "Ar Rahnu Cahaya" are thriving, and EMCC is well-positioned to serve customers seeking Shariah-compliant financial solutions.With our strong understanding of the market, we are able to strategically identify and establish outlets in prime locations."
So far, the Group's pawnbroking outlets are located across Kuala Lumpur, Selangor, Negeri Sembilan, Pahang, Perak and Terengganu.
To complement its core offerings, the Group also operates "Cahaya Gold" retail outlets, trading in gold and gold products. This division has benefitted from the overall rise in global gold prices which have increased from USD2,663 per ounce in 3Q 2024 from USD1,850 per ounce in 3Q 2023.
To fund further expansion, EMCC recently announced a private placement exercise to raise approximately RM30 million. Proceeds will be mainly used to grow its pawnshop network and raise cash capital to support higher deployment of pawn loans to meet rising customer needs.
EMCC's expansion strategy has delivered strong growth in its financial performance. In the 9-month period ended 30 September 2024 ("9M FPE 2024"), revenue rose by 9.0% to RM81.5 million, compared to RM74.8 million in the same period last year. Net profit jumped by 86.3% to RM19.0 million, from RM10.2 million previously.
On 26 September 2023, EMCC was listed on the ACE Market of Bursa Malaysia Securities Berhad, and successfully raised RM64.2 million from the initial public offering ("IPO") exercise.
