Oriental Kopi seeking to raise RM184m ($40.9m) in IPO

Oriental Kopi’s signature menu features egg tarts and its eponymous Oriental Kopi  | Photo credit: Oriental Kopi

Malaysia’s Oriental Kopi is seeking to raise RM184m ($40.9m) after announcing it will list on the Bursa Malaysia ACE Market on 23 January 2025. 
 

Founded in 2020, Oriental Kopi currently operates 20 cafés across its home market and a single site in Singapore. The chain’s signature menu items include egg tarts and the eponymous Oriental Kopi – a Chinese-styled coffee made from a blend of arabica, robusta and liberica beans – alongside a range of traditional Malaysian and Chinese dishes. 

Oriental Kopu plans to use approximately RM36m ($8m) of the proceeds for outlet growth, with 13 sites scheduled to open in Malaysia over the next 12 months, as well as two additional stores in Singapore. 

The café chain said store network expansion was the key driver of earnings growth in 2024, with net profits more than doubling in the 12 months ended 30 September 2024 to RM43.1m ($9.5m). Revenues for the same period reached RM277.3m ($61.5m), with 94% of the group’s total sales generated from café operations and the remaining 6% from its packaged food division. 

Approximately RM53.7m ($12m) of IPO funds raised will go towards establishing a new head office, central kitchen and warehouse in Selangor, with the remaining investment allocated for working capital, international marketing activities and the expansion of its packaged food division.  

At the IPO price, Oriental Kopi is expected to be valued at RM880m ($195m).