Capital Raising - Regulatory Performance and Outcomes

Capital Raising

Equity

Malaysia’s equity market remained resilient in 2025, with a total of 60 IPOs completed, rising from 55 in 2024. This reflects a solid IPO pipeline as well as continued confidence from issuers and investors in the Malaysian capital market. As a result, Malaysia emerged as the top IPO market in ASEAN in terms of listing numbers, marking the highest annual IPO count since 2005. Of the new listings in 2025, 11 were on the Main Market, 44 on the ACE Market and five on the LEAP Market.

Notable IPO approvals in 2025

Among the approved IPOs, three were particularly noteworthy:

ECO-Shop Marketing Bhd, a retailer specialising in groceries and everyday consumer goods, successfully raised RM0.97 billion, making it the fourth-largest fundraising in ASEAN for 2025 and attracting significant regional attention.
Paradigm Real Estate Investment Trust (REIT), with a portfolio of three prime retail properties valued at RM2.4 billion and a market capitalisation of RM1.60 billion, raised RM0.56 billion in 2025, marking one of Malaysia’s largest REIT IPOs in over a decade.
Cuckoo International Malaysia Bhd, a multichannel home and electronic products company, raised RM0.39 billion, earning the position of the eighth-largest IPO in ASEAN for 2025.

The year also saw the successful listing of UMS Integration Ltd, an integrated high-precision engineering and manufacturing firm for the semiconductor and aerospace industries. The company became the first Singaporelisted company to secure a secondary listing on Bursa Malaysia, expanding investor access and enhancing market liquidity.

These milestones underscore the robustness and quality of Malaysia’s equity market, reflecting its ability to attract established domestic issuers and regional investor interest. Combined with the highest total number of IPOs in ASEAN, this performance reinforces Malaysia’s position as a key investment hub for fundraising and investment activity.

The SC also registered 22 equity prospectuses in 2025, comprising 10 for IPOs and 12 abridged prospectuses (Table 1).

Mitigating Systemic Risks And Promoting Financial Stability

Enhanced Risk Governance Framework

In 2021, the SC-wide risk governance framework was enhanced as part of an overall initiative to have an effective integrated and predictive risk surveillance to maintain regulatory agility.

The structured risk governance framework integrated the wider spectrum of risks such as technology, cyber and conduct risk at the SC’s Systemic Risk Oversight Committee (SROC) and Accounting, Market and Corporate Surveillance Committee (ACMS).

Intensified surveillance

The SC continued to intensify its surveillance of systemic risk to maintain market resilience and stability. Regular SROC engagements were held to deliberate concerns emanating from various segments across the capital market. Domestic equity and bond market, foreign fund flows and trade participation continued to be monitored closely for potential stress points.

In addition, measures and economic stimulus packages introduced by the government to weather the impact of COVID-19, market trading conduct and the financial position of listed companies were among the focus areas for discussion.

Thematic assessments

The SC also conducted thematic assessments covering investors’ fund flows, the position of firms, and policy decisions to ascertain the possible impact on the capital market. In 2021, the SC reviewed and enhanced its crisis indicators on potential emerging risks in the
capital market.

The enhanced crisis indicators provided a reference point for escalation to SROC when the identified indicators and triggers materialised and ensured prompt response to manage and prevent any issues of concern that might lead to a systemic crisis.

Joint regulatory discussions

In 2021, the SC conducted frequent joint regulatory discussions with other authorities such as Bank Negara Malaysia (BNM) and Labuan Financial Services Authority (Labuan FSA) to identify systemic risk concern areas within the financial and capital markets in Malaysia.

Monitoring of various components of the capital market

The SC continued its efforts to undertake a methodological and integrated approach to ensure any potential systemic risk was being monitored, mitigated, or managed. Figure 1 highlights the findings from the following risk assessments on the various components of the capital market.