Butterfield FB Berhad (BFIELD) IPO: Coffee & Matcha Powder Maker Heads to ACE Market
IPO Butterfield FB Berhad: Opportunity in the Coffee & Matcha Industry
Butterfield FB Berhad (BFB), a coffee and tea extract powder manufacturer from Penang, is now opening its IPO application at RM0.48 per share. The company is scheduled to list on Bursa Malaysia's ACE Market on 15 September 2026, making it one of the latest IPOs attracting local investors' attention.
What makes BFB interesting? This company is not just an ordinary coffee producer — they are the supplier behind many instant beverage brands you find on the market. With a track record of over RM245 million in annual revenue and RM30.4 million in net profit, BFB has proven its strong position in the food and beverage (F&B) industry across the ASEAN region.
Company Profile: Butterfield FB Berhad
BFB, through its subsidiaries, is involved in manufacturing coffee extract powder blends and tea extract powder blends under the 'Butterfield' brand. The company offers end-to-end solutions to its clients, from formulation and manufacturing to distribution.
In addition, BFB also sells and trades food ingredients as well as instant premix beverages. The company's operations are centred in Bukit Minyak, Penang, with markets spanning Malaysia, Thailand, and several other Southeast Asian countries including China.
Notably, BFB is currently expanding into the matcha segment — a beverage that is increasingly popular among young consumers in Malaysia and the region. This demonstrates the company's ability to identify and capitalise on market trends.
Founder & Management
The company was founded by Yeap Kim Siew, who currently serves as Non-Executive Deputy Chairman. His son, Yeap Chin Loon, holds the position of Executive Director and leads BFB's daily operations.
IPO Details: Butterfield FB Berhad
| Detail | Information |
|---|---|
| Company Name | Butterfield FB Berhad (BFB) |
| Ticker | BFIELD |
| Stock Code | 0470 |
| Market | ACE Market, Bursa Malaysia |
| IPO Price | RM0.48 per share |
| Application Opens | 18 August 2026 |
| Application Closes | 2 September 2026 |
| Listing Date | 15 September 2026 |
| Issuing House | Tricor Investor & Issuing House Services Sdn Bhd |
| Principal Adviser & Underwriter | M&A Securities Sdn Bhd |
| Shariah Status | Pending |
| Enlarged Share Capital | ~798 million shares |
| Market Capitalisation (IPO) | ~RM383 million |
Share Allocation Breakdown
The BFB IPO comprises two main components:
1. Public Issue — 150 Million New Shares
This represents 18.8% of the company's enlarged share capital. The breakdown is as follows:
- Malaysian Public (Balloting): 40 million shares — this is the portion retail investors can apply for through the issuing house
- Directors, Employees & Contributors: 16 million shares
- Private Placement to Bumiputera Investors (MITI): 94 million shares — approved by the Ministry of International Trade and Industry
2. Offer for Sale — 72 Million Existing Shares
This represents 9.0% of the enlarged share capital. These shares are sold by existing shareholders through private placement to Bumiputera investors and selected investors.
Important note: M&A Securities underwrites 56 million new shares allocated to the Malaysian public and Pink Form Allocations.
Use of IPO Proceeds
Funds raised through this IPO (estimated at RM72 million) will be used for:
- Production capacity expansion at the Bukit Minyak, Penang premises — including installation of new manufacturing lines
- Matcha powder manufacturing line — with automated packaging systems, responding to growing market demand for matcha products
- Purchase and installation of systems for powder preparation, blending, and packaging
- Related mechanical and electrical works
- Working capital for daily operations
- Listing expenses including professional fees
The primary target is to increase production capacity to approximately 12,600 metric tonnes per year — a threefold increase from current capacity. Additionally, storage capacity will be expanded by 17%.
Financial Performance
For the 12 months ended 30 April 2025, BFB recorded the following performance:
| Metric | Value |
|---|---|
| Revenue | RM245.33 million |
| Net Profit | RM30.4 million |
| Net Profit Margin | ~12.4% |
| EPS (Enlarged Shares) | ~RM0.038 |
| PE Ratio (at IPO price) | ~12.6x |
Revenue Breakdown by Geography
One of BFB's strengths is its market diversification:
- Malaysia: ~60% of total revenue
- Thailand: ~34.5% — making Thailand the largest export market
- Other Southeast Asian countries & China: Remaining ~5.5%
The high dependence on two key markets (Malaysia and Thailand) can be viewed from two angles — it demonstrates a strong position in these markets, but also means geographical diversification can still be improved.
Valuation & Investment Prospects
At the IPO price of RM0.48, BFB is valued at a PE ratio of approximately 12.6 times based on the most recent financial year's net profit. This figure can be considered reasonable for an F&B company with a consistent profit track record.
Positive Factors
- Strong financial track record: Revenue exceeding RM245 million and net profit above RM30 million demonstrate stable and profitable operations
- Aggressive expansion: Plans to triple production capacity provide significant room for growth
- Matcha trend: Entry into the matcha segment shows the company is responsive to current market trends
- Stable B2B model: As a supplier to other brands, BFB does not depend on a single consumer brand
- Regional presence: Operations spanning Malaysia, Thailand, and other ASEAN countries
Risk Factors
- Geographic concentration: Over 94% of revenue comes from just two countries (Malaysia and Thailand)
- Industry competition: The F&B industry in Malaysia and ASEAN is highly competitive
- Commodity risk: Raw material prices for coffee and tea are subject to global market fluctuations
- Capacity expansion: The threefold capacity expansion project involves execution risk and potential delays
- ACE Market: ACE Market stocks are typically more volatile compared to the Main Market
How to Apply for Butterfield FB Berhad IPO
IPO applications can be made through:
- Issuing House: Tricor Investor & Issuing House Services Sdn Bhd — online application via the TIIH Online portal
- ATM/Internet Banking: Several banks offer IPO applications through their banking platforms
- Physical forms: Application forms are available at issuing house branches
Key date: Applications close on 2 September 2026. Make sure to submit your application before this date.
Frequently Asked Questions (FAQ)
What is the IPO price of Butterfield FB Berhad?
The IPO price for BFB is set at RM0.48 per share. The minimum application is usually 100 lots (10,000 shares), equivalent to an investment of RM4,800.
When is the listing date for Butterfield FB Berhad?
BFB is scheduled to list on Bursa Malaysia's ACE Market on 15 September 2026.
Is Butterfield FB Berhad Shariah-compliant?
As of now, BFB's Shariah compliance status is pending a decision from the Securities Commission's Shariah Advisory Council. Investors who prioritise Shariah-compliant investments are advised to wait for the official announcement.
What is the core business of Butterfield FB Berhad?
BFB is a manufacturer of coffee and tea extract powders under the 'Butterfield' brand. The company provides end-to-end solutions from formulation and manufacturing to distribution. They also sell food ingredients and instant premix beverages.
What is the PE ratio of Butterfield FB at IPO price?
Based on net profit of RM30.4 million (FYE April 2025) and an estimated 798 million enlarged shares, the EPS is approximately RM0.038. At the IPO price of RM0.48, the PE ratio is approximately 12.6 times.
Who is the underwriter for the Butterfield FB IPO?
M&A Securities Sdn Bhd acts as the Principal Adviser, Sponsor, Sole Underwriter, and Placement Agent for this IPO. They underwrite 56 million new shares.
How many shares are offered to the public?
A total of 40 million new shares are allocated for the Malaysian public through balloting. This forms part of the overall public issue of 150 million new shares.
What are Butterfield FB's expansion plans after the IPO?
BFB plans to triple its production capacity to 12,600 metric tonnes per year, install a new matcha manufacturing line, and increase storage capacity by 17% at its Bukit Minyak, Penang premises.
Conclusion
The Butterfield FB Berhad IPO offers investors an opportunity to own shares in a coffee and tea powder manufacturer that has proven capable of generating over RM30 million in annual profit. With a PE ratio of 12.6x and aggressive expansion plans into the matcha segment, BFB is an IPO worth evaluating for those interested in the F&B sector on Bursa Malaysia.
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Further Reading
- Cornerstone Investor & Lock-Up Period: Why IPO Stocks Can Crash 6 Months After Listing
- Pioneer Heat Holdings IPO: 29-Year Pipe Engineering Firm Heads to ACE Market
- Pentech Holdings IPO: Penang ICT Infrastructure Firm Heads to ACE Market
- After Opening a CDS Account, What's Next? The Full Mahersaham Client Journey