Get the latest updates on Powell Max Limited’s IPO, including the date, price, allotment details, and everything you need to know.
Powell Max Limited has published that its IPO is going to be floated on the 28th of August 2024. It is a company specializing in financial communications services for capital market compliance and transactions. The company aims to gather US$8.25 million with 1,650,000 million shares, with a price range of US$4.00 to US$6.00 per share.
Table of Contents
- Company Overview
- Company Strategy
- IPO Profile
- IPO Objective
- Application Process of IPO
- Financial Analysis of Company
- Competitor Analysis
- Details on Company Management
- Manager/ Joint Manager
- Co-Managers
- Company Address
Company Overview
Powell Max Limited is an investment company based in the British Virgin Islands (BVI) that has its operation through its subsidiary in Hong Kong known as JAN Financial. The company is a leader in delivering a full range of financial communications services to clients whose operations involve capital markets compliance and transactions. It provides services to Hong Kong corporate clients with professional financial advice and effective communication solutions that meet legal compliance to leverage market operations. Powell Max seeks to ease compliance and transactions, thus increasing the effectiveness of the capital market venture for customers.
Company Strategy
The corporate strategy of Powell Max Limited consists of leveraging the company’s strength in financial communications, with an emphasis on corporate clients in Hong Kong. The company aims to strengthen its position in the market by carrying out an IPO to increase the coverage of services and improve processes, along with compliance and transaction support. The strategy entails maintaining a system of dual-class shares to retain management with essential stakeholders, which is crucial when developing long-term strategies and dealing with increased competition under various jurisdictions to maintain leadership and innovation within its industry.
IPO Profile
| Symbol: | PMAX |
| Exchange: | NASDAQ |
| Shares: | 1,650,000 shares |
| Price Range: | US$4.00 to US$6.00 |
| Estimated Value: | US$8.25 million |
| Manager/ Joint Managers | WallachBeth Capital |
| Co-managers | Revere Securities |
IPO Objective:
The IPO of Powell Max Limited will help the company generate cash for its financial communication services expansion as well as increase its position in the Hong Kong market. The proceeds will increase financial leverage, manage regulations, and develop technology and infrastructure for the increase in demand of organizations wishing to be listed on the Hong Kong Stock Exchange.
Application Process of IPO
To invest in NASDAQ, it is necessary to make use of a brokerage account. As a first step, enroll in a reliable brokerage firm that offers trading in NASDAQ, and fill out the registration form with your basic and financial information. In the next step, make some deposits into your account in preparation for buying shares. Upon registration of the account, fund the account and then proceed to the trading platform. Go to the PMAX and type the number of shares you wish to buy. If you prefer, you can enter a market order at the prevailing market price or a limit order at which you do not wish to pay more and leave a submitted order.
Financial Analysis of the Company
Financials in millions HKD
| Particulars (in million HKD) | 2023 | 2022 |
| Revenue | 49.12 | 37.77 |
| Gross Profit | 23.88 | 15.56 |
| Operating Income | 7.63 | 0.59 |
| Pretax Income | 7.08 | -0.1 |
| Net Income | 7.08 | -0.1 |
| EBITDA | 12.65 | 5.64 |
| EBIT | 7.63 | 0.59 |
Powell Max Limited reported notable financial growth, with revenue increasing to HKD 49.12 million in 2023 from HKD 37.77 million in 2022. Gross profit rose to HKD 23.88 million, up from HKD 15.56 million, reflecting improved profitability. Operating income surged to HKD 7.63 million from HKD 0.59 million, and EBITDA grew significantly to HKD 12.65 million from HKD 5.64 million. The company achieved a turnaround in profitability with both pretax and net income reaching HKD 7.08 million, reversing a loss of HKD 0.1 million in 2022. These figures demonstrate Powell Max’s enhanced operational efficiency and financial health.
Competitor Analysis
Here are some top competitors:
Cimpress plc
Cimpress plc is an international mass customization and web-to-print solutions company focused on customized marketing solutions and services. Established in 1995, the company runs selective divisions and brands with products ranging from custom prints to promotional products, personalized products, and various sectors. It relies on sophisticated technology and a solid electronic network system to provide customers around the world with products of superior quality and increased productivity, contributing to the development of a specialized print business.
R.R. Donnelley & Sons Company
- R. Donnelley & Sons Company is an American company that offers integrated communications and commercial printing services. A business entity formed in 1864, the company operates in commercial printing, digital printing, logistics, and content management domains. R. R. Donnelley offers its services in several industries with additional solutions focused on improving information flow and efficiency of work processes. To adapt to the diverse client needs, the company uses state-of-the-art technologies and valuable experience to provide efficient, innovative, and quality offerings.
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WPP plc
WPP is a global communication and marketing services agency established in 1985. The company offers services in brand development planning and media buying, digital and traditional advertising, and public relations. It works through agencies around the world to provide clients with unique brand-building solutions, audience engagements, and business growth. Established as a creative powerhouse involving data in every aspect, WPP is dedicated to fulfilling the needs of constantly emerging global and regional clients in the rapidly changing marketing environment and becoming the industry leader.
Quad/Graphics, Inc.
Quad/Graphics, Inc. is an integrated marketing and printing solutions provider founded in 1971. The company provides various services in commercial printing, direct mail services, marketing solutions, and digital services. Quad/Graphics provides quality and innovative print and marketing solutions through the use of state-of-the-art technology and comprehensive databases. It also provides services in the areas of marketing management, brand communications, and business solutions for improving performances across different sectors. It emphasizes the innovation process to respond to the challenges of its wealthy and varied clientele.
Details on Company Management
- Mr. Tsz Kin Wong – Chairman of the Board, Executive Director, and Chief Executive Officer
- Mr. Chun Ho Lam – Chief Financial Officer
- Mr. Kam Fan Jimmy Luk – Independent Director Appointee
- Mr. Chun Kin Norman Hui – Independent Director Appointee
- Ms. Lee Chern Koay – Independent Director Appointee
Manager/ Joint Managers of Powell Max Limited
WallachBeth Capital
WallachBeth Capital, LLC, is a well-established financial services company engaged in the provision of brokerage and advisory solutions to institutional clients. The services it provides are equity and fixed-income trading services, investment banking, and market research services. WallachBeth Capital has gained a reputation as a specialist in execution and consulting for institutional investors and corporations. Therefore, contemplating a profound insight into its operating environment and solid industry associations, the firm has the purpose of providing high value as well as helping its clients realize strategic financial objectives.
Co-Managers of Powell Max Limited
Revere Securities
Revere Securities is a brokerage and investment solutions company that deals with institutional and retail investors. They mainly deal in equity, trading in fixed-income instruments, and advisory services for equities, fixed-income and other investments. Revere Securities is centered on providing excellent client service, inventive trade concepts, and research. To facilitate this, the firm utilized its domain knowledge and technology to develop solutions that drive improvements in investment performance while helping clients achieve their goals.
Conclusion
An important turning point in Powell Max Limited’s growth strategy will be reached on August 28, 2024, when the business will go public. It wants to raise US$8.25 million to improve its financial communication services and increase its market share in Hong Kong. With a clear strategic focus and a track record of robust financial success, the company is well-positioned to take advantage of upcoming possibilities in the capital markets. As Powell Max seeks to solidify its position as a leader in the financial communications sector, investors ought to take the company’s potential into account.
