05/06/2026

BIZ & FINANCE FRIDAY | JUNE 5, 2026

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Elsa targets bigger O&G footprint amid strong pipeline

KUALA LUMPUR: Elsa Bhd, an asset-light oil and gas (O&G) service equipment provider, aims to strengthen its market presence as a provider of O&G service and equipment solutions in Malaysia, and increase the number of projects in its portfolio. Berjaya Research Sdn Bhd, in a note, said the group intends to allocate RM17.8 million from the IPO proceeds to fund consultant related expenses for the oilfield service solutions and digital solutions segments, as well as to procure drones for the provision of robotics and engineering solutions. “At present, Elsa operations are backed by 140 ongoing projects along with 157 tenders in the pipeline,” the research firm said. Further, Berjaya Research also noted that to support the execution of existing and future projects related to robotics and engineering solutions which require autonomous underwater vehicle (AUV) subsea pipeline inspection services, the group intends to allocate RM3 million from the IPO proceeds to invest in the hiring of an additional nine personnel to form an in-house technical team for the management and deployment of Rovula (Thailand) Co Ltd’s Xplorer, an AUV for subsea pipeline inspection services, as well as for subscription to an asset integrity and inspection software. Meanwhile, the group’s robotics and engineering solutions segment has been the fastest-growing business segment over the years, with revenue jumping from RM0.8 million in 2022 to RM26 million in 2025, representing a three-year compound annual growth rate (CAGR) of 221.2%. To note, Elsa provides a comprehensive range of O&G services, enabling the group to support customers throughout the project lifecycle, from supplying skilled manpower and technical expertise to delivering specialised equipment, digital technologies, and engineering capabilities.

traditional manpower provision. “Consequently, the group’s core PATAMI expanded at a three-year CAGR of 27.3% to RM11.1 million between 2022 and 2025,” Berjaya Research noted. To recap, Elsa opened applications for its IPO on the ACE Market on May 21, 2026, to raise RM35.6 million for the O&G services. The IPO, priced at 23 sen per share, will raise RM27.23 million from a public issue of new shares for the company and another RM8.37 million for three shareholders from an offer for sale of existing shares, according to its prospectus. Upon listing, Elsa will have a market capitalisation of about RM124 million. Applications for the IPO closed on June 3, and Elsa is scheduled to list on June 16. “Our fair value at RM0.33 represents a premium of 43.5% over its IPO offer price of RM0.23, based on our projected 2027 EPS of 3 sen pegged to a target price-to-earnings (P/E) multiple of 11x. “Our valuation is benchmarked against selected local O&G services equipment solutions-related players listed on Bursa Malaysia,” Berjaya Research said. Key risk factors include non-renewal of the Petronas licence, changes in Petronas policies, and the Petronas Group as a single customer risk, and the group’s dependence on existing contracts.

o Company’s growth initiatives supported by IPO proceeds, 140 ongoing projects and 157 tenders, notes Berjaya Research

million in IPO proceeds, 140 ongoing projects, and 157 tenders currently in the pipeline. As part of a rapid expansion plan for its robotics and engineering solutions, Elsa is investing RM3 million to expand its capabilities in these areas. On earnings, Berjaya Research noted that Elsa’s revenue recorded an

The group has strong industry credentials and technology partnerships, with a Petroliam Nasional Bhd (Petronas) licence covering 269 SWEC categories, which allows Elsa to supply a wide range of products and services to Malaysia’s oil and gas sector. This extensive licensing

capability has helped the group establish a network of 27 active multinational tech nology partners, streng thening its access to ad vanced technologies and specialised industry solu tions. Furthermore, the group serves major players in the oil and gas industry with long-standing relation ships, supported by repeat

impressive three-year CAGR of 39.5% to RM 264.7 million between 2022 and 2025, driven by growth in the talent solutions as average monthly headcount con tinues to expand. The group also sees its

digital solutions contri buting to increased project wins, while robotics and engineering solutions con tribute to the addition of new projects secured over the years. “Expanding into these higher-technology niche solutions allows the group to secure additional opportunities, complementing the

contracts spanning two to 10 years, demonstrating customer confidence in Elsa’s capabilities. Berjaya Research also noted that Elsa’s growth initiatives are reinforced by RM17.8

Vietjet expands global network, boosting Msia’s access to regional hubs KUALA LUMPUR: Vietjet, the Vietnamese low cost airline based in Hanoi, is advancing its international growth through continued network expansion across Asia and Europe, alongside a new maintenance, repair and overhaul (MRO) centre project. continues to invest in long-term regional aviation development. The airline has signed a strategic agreement with Thailand’s Eastern Economic Corridor Office to develop an aircraft MRO centre at U-Tapao International Airport. promotions of the year, offering 12 million tickets across its growing network, including all Malaysia-Vietnam routes. Vietjet is offering 12 million discounted tickets across its flight network, including routes connecting Kuala Lumpur to Hanoi, Ho Chi Minh City, and Da Nang.

Among Vietjet’s latest network developments, the new Ho Chi Minh City–Cebu and Nha Trang– Singapore routes further strengthen the airline’s presence in Southeast Asia, connecting Vietnam’s leading economic and tourism hubs with key destinations across the region. Both services, launching on Dec 11, are expected to enhance regional connectivity, support growing trade, tourism, and people-to people exchanges within Asean, and provide Malaysian travellers and businesses with more convenient regional travel options via key Southeast Asian hubs.

For Malaysian travellers, the Deluxe fare includes benefits such as a 20kg complimentary checked baggage allowance, priority seat selection, and free flight schedule changes, making it ideal for family holidays, extended trips, and multi-city adventures. Passengers travelling with Vietjet can also enjoy a modern onboard experience featuring a variety of hot meals inspired by Vietnamese and international flavours, attentive service, and flights operated by the airline’s modern, fuel efficient fleet.

The initiative is expected to enhance aviation capabilities in the region and support the growth of Asean’s aviation ecosystem. Together, these developments reinforce Vietjet Group’s position as a leading multinational aviation group, aligned with its long-term vision of building an integrated and connected aviation network across Asean and the wider Asia-Pacific region. Tḧ airline is rolling out one of its biggest

Beyond the region, Vietjet is expanding its global footprint with the upcoming Hanoi– Prague service via Almaty, Kazakhstan, offering new one-stop connectivity between Asia and Europe. The new route represents another milestone in Vietjet’s international growth journey and reinforces its role in connecting emerging markets with key global destinations. Alongside network expansion, Vietjet