“In the past, our attempts to break into the aquaculture market have not been very rewarding due to diseases caused by some of the marine life. However, we hope that in future, our successful water treatment and clean feed programme will help in cultivating shrimp and fish better,” Cher said.
Move away from antibiotics
SCC is the second company to be listed on the ACE market this year. Cher said the company had plans to move away from antibiotic products in the future.
“As the general trend is for one to be more aware of one’s health, we are looking at switching from antibiotic to non-antibiotic products in our farms in the future.
“At the moment, we consider companies that sell antibiotic products as our main competitors,” he said, adding that the company was looking to enter overseas markets within the next two to three years.
The group currently has operations in Indonesia, China and Brunei. SCC and its subsidiaries, Anitox Malaysia and SCC Corp, have been involved in the animal health product business for about 38 years.
Animal health and food service
Currently, the group has two business segments namely, animal health products and food service equipment, which accounted for 51% and 49% respectively of its total revenue.
SCC is a supplier of non-antibiotic animal health products to local livestock farms and feed millers, particularly those in the poultry and pig industry.
The group also supplies and distributes a wide range of food service equipment like rapid cooking ovens, pressure fryers and popcorn ingredients.
Its clients include Charoen Pokhand Group, Emivest, KFC Malaysia, Golden Screen Cinemas and Giant Hypermarkets.
Expand to Vietnam and Combodia
Cher said SCC expected to raise RM8.7mil (€2.08m) from the listing which it would use for capital expenditure, programme development, working capital and listing expenses.
He said the group planned to expand into Vietnam and Cambodia through strategic alliances, where he identified aquaculture feed additives as a new target market.
“The sector is lucrative and growing and this presents the group with an avenue to increase its market share,” he said.