MYMBN launches prospectus, eyes expansion to East Malaysia

KUALA LUMPUR (June 30): MYMBN Bhd (MYMBN), a company principally involved in the processing and sale of edible bird’s nests, specifically the raw unclean edible bird’s nests (RUEBN), launched its prospectus in conjunction with the listing of the Company on the ACE Market of Bursa Malaysia Securities Bhd.

The IPO is expected to raise RM20.58 million in proceeds, of which RM8.05 million will be allocated towards the working capital and related capital expenditure catered for the expansion of its existing headquarters and processing facility.

MYMBN has assigned RM6.60 million to finance the additional purchases of raw bird’s nests for RUCEBN.

About RM1.68 million of the proceeds will be allocated for establishing three bird’s nest collection centres in East Malaysia, while RM1.25 million will be allocated for the expansion into the processing and sale of the raw clean edible bird’s nest segment, and the remaining RM3.00 million for listing expenses.

MYMBN executive director and chief executive officer Lavernt Chen Vun Wo said, “We are ready for the next stage of growth as we continue to expand our processing facility to meet the rising demand for EBN.

“In 2019, MYMBN became the first company in Malaysia approved by the General Administration of Customs of the PRC (GACC), to export RUCEBN to the PRC. Since then, we have established ourselves as a key supplier of RUCEBN to the PRC.”

The demand for EBN has been increasing over the years in the local and international markets. In particular, there has been a rapid rise in demand for Malaysian EBN in the PRC in recent years due to the growing middle-income class in the PRC which has significantly contributed to the increased affordability of EBN, making it accessible to a larger segment of consumers.

In addition to the PRC, Vietnam’s consumer base has also demonstrated a high appreciation for bird’s nests, with demand projected to rise alongside the rapid growth of their middle-income class and increasing disposable income.

“In line with our expansion plans, the expanded processing facility will enable us to increase our RUCEBN processing capacity while at the same time enhancing our processing and operational efficiency, which will greatly cater to our expansion into Vietnam and also house the operations of a new company for the sale of our HALAL ready-to-drink bird’s nest products,” Chen added.

Touching on East Malaysia, Chen said East Malaysia has more than 450, or over 20 per cent of the swiftlet houses with identification registrations and Malaysian Good Agricultural Practice certification from Department of Veterinary Services Malaysia (DVS) which represent a substantial source of bird’s nests in Malaysia.

“These centres will enable our Group to increase our physical presence in East Malaysia, where we would be able to source for additional raw bird’s nests, in light of our expansion plan into the processing and sale of RCEBN,” he added.

“As part of our strategic initiatives to solidify our foothold in the PRC, we are expanding our type of products offered by venturing into the processing and sale of RCEBN segment through the acquisition of an identified company based in the PRC.

“This strategic move not only strengthens our presence in the market but is also a natural extension of our existing product offerings and will provide a new revenue stream for our group.”