Jishan targets new packaging equipment through planned IPO

Malaysian packaging manufacturer Jishan Bhd plans to invest part of the proceeds from a new share offering in printing and automation equipment as it prepares to transfer its listing from Bursa Malaysia’s LEAP Market to the ACE Market.

The company manufactures paper and plastic packaging products for customers across sectors including electrical and electronics, food and beverage and healthcare.

According to its draft prospectus, investment priorities include a new offset printing machine, an automated storage and retrieval system and additional manufacturing equipment.

Offset printing will move more production in-house

Jishan says the new offset printing equipment will reduce its dependence on external printing suppliers and give the company greater control over production schedules, quality and capacity.

Bringing more printing operations in-house could also shorten lead times and support growing demand for higher-quality printed packaging.

For packaging converters, integrated printing capacity can provide greater flexibility when managing multiple SKUs, frequent artwork changes and shorter production runs.

Automation targets warehouse and production efficiency

The proposed automated storage and retrieval system is intended to improve the handling of materials and finished goods across the company’s operations.

Such systems can reduce manual handling, improve inventory visibility and increase the efficiency with which packaging materials move between production and storage.

The investment reflects a broader trend among packaging manufacturers towards combining printing upgrades with warehouse automation as product portfolios become more complex.

Packaging business generated RM142 million in revenue

Jishan reported revenue of RM141.88 million for its latest financial year, alongside net profit of RM8.8 million.

Approximately 98% of sales were generated in Malaysia, with the remaining revenue coming from export markets including China, Denmark, Thailand, the United States, Australia and Singapore.

The company supplies manufacturers and distributors across several end-use industries, giving it exposure to both consumer and industrial packaging demand.

IPO supports shift towards higher-value production

The investment in offset printing reflects Jishan’s effort to increase the proportion of value-added production carried out internally.

High-quality printed packaging continues to play an important role in categories where visual differentiation, regulatory information and brand consistency are critical.

By reducing its reliance on subcontracted printing, the company could gain more control over colour consistency, turnaround times and production planning.

Malaysian packaging sector continues to invest in automation

Jishan’s planned expansion comes as Malaysian manufacturers continue to invest in more automated and higher-value packaging operations.

Although the company remains primarily focused on the domestic market, improved printing and handling capabilities could also support future export growth and more demanding customer requirements.

The IPO therefore represents more than a capital-market transaction, providing the company with funding to modernise its packaging operations and strengthen its position in printed paper and plastic packaging.