English

How Malaysia’s big four glove makers have ‘fallen flat’ to the vicious cycle of price corrections in two years is nothing short of astonishing. To make the reality even harsher, all big four glove makers are currently trading below their pre-pandemic levels. The near-term prospect remains bleak for glove makers given the current weak demand. Besides, an abundance of supply in the market and price dumping by Chinese glove manufacturers are negatively affecting the outlook of glove makers.

At a glance, the projection of 2022 being a bumper year for initial public offerings (IPOs) on the local bourse seems to have gone astray with the global economic growth coming under scrutiny, following the outbreak of the Russia-Ukraine conflict which has subsequently led to worldwide inflationary pressure and recessionary concerns.

Despite a risk-off environment sparked by a hawkish US Federal Reserve and external headwinds, Bursa Malaysia does not foresee major delays in listing plans slated for 2022.

Instead, the bourse expects to welcome 37 IPOs in 2022 against 30 in 2021, primarily driven by higher number of listings on the ACE Market following the re-opening of economy. For the record, the year of 2020 only saw 19 new listings while there were 30 IPOs in 2019.