Yip's Chemical Sees Dual-Track Growth Through Organic Expansion And M&A

Yip's Chemical Holdings (00408) Chief Executive Yip Kwan said the group will pursue dual-track growth through organic expansion and acquisitions, and may consider share buybacks if cash flow remains healthy, according to ETNet. He said the company is in the middle of a transformation and is actively exploring M&A opportunities, with a focus on environmentally friendly and new-energy companies with high technical content. Yip added that future acquisitions will centre on traditional industries and electronic materials, while the group continues to incubate its battery UV insulation coating and application equipment business. Yip also said the group will use the momentum in industrial coatings and resins in the second half of the year to support steady growth, seek technology-driven acquisitions, accelerate the development of coatings technologies linked to the new-energy sector, and explore coatings segments with higher technical barriers. He added that the Vietnam coatings plant will serve as a base for steady expansion in the ASEAN market. In the inks business, Yip said the group will continue to leverage its competitive edge in packaging and printing inks to expand market share and reinforce the market leadership of Bauhinia Ink. The management team has also begun looking for acquisition targets in the ink sector that have high technical barriers to broaden the product line and add new growth drivers.