KUALA LUMPUR, 26 August – RHB Investment Bank has pegged a fair value of 46 sen per share for GTA Holdings Bhd ahead of its ACE Market debut, implying an upside of 30.1% from the IPO price of 35 sen.
The research house said the 46 sen target is based on 12.7x FY27F P/E, representing a 1 standard deviation discount to the Bursa Industrial Products & Services Index to reflect GTA’s smaller market cap.
GTA, which provides maintenance, repair and overhaul (MRO) services for helicopter and fixed-wing engines, parts and aviation equipment, is raising RM71.8 million via the IPO. Its indicative listing date is 26 August 2026, with allotment on 7 September and listing on 8 September.
RHB noted the IPO price translates to an attractive 10x FY27F P/E with an estimated 3% dividend yield. The group targets a minimum payout of 33% of PAT, implying yields of 3.2% in FY26 and 3.4% in FY27.
The proceeds will fund growth plans: RM25 million for a new operating facility, RM10 million for Middle East helicopter MRO expansion, and RM5.9 million to add landing gear, wheels and brakes MRO.
RHB highlighted GTA’s exposure to Malaysia’s growing aviation MRO market, forecast to grow at a 10% CAGR from 2025-2030, and to defence spending. MINDEF, GTA’s largest customer, was allocated RM21.7 billion in Budget 2026, up 2.4% YoY.
The company posted strong growth, with revenue CAGR of 37% and core PATAMI CAGR of 42% between FY22 and FY25. RHB forecasts a 5% earnings CAGR for FY25-28F.
GTA currently holds just a 2.4% share of Malaysia’s MRO market. Post-IPO, it will have a market cap of RM452 million and net cash of RM82.6 million.
Key risks flagged include contract renewals, FX fluctuations and customer concentration.
GTA is the first pure-play aviation MRO stock on Bursa, offering investors direct exposure to the sector.
