Bioalpha Holdings Bhd, which officially commenced trading on the Ace market of Bursa Malaysia today, is all set to penetrate the Middle East by mid-2015.

Speaking to reporters after the listing here, Managing Director Hon Tian Kok said the health supplements company had last year, signed a memorandum of understanding with Fatima Group of the United Arab Emirates (UAE).

Fatima Group, with over 20 hypermarkets throughout the UAE, will act as the distributor of Bioalpha's product's in the country.

"We are now in the midst of registering our herbal products with the relevant department in Dubai and once approved, exports to the UAE will begin," Hon said.

"Since Malaysia is seen as the global halal hub, we feel it is right for us to exploit this position and are currently working hand-in-hand with the government," Hon said.

Meanwhile, Executive Director Datuk Seri Syed Zainal Abidin Syed Mohamed Tahir said Bioalpha would also make ASEAN its domain, following the establishment of the ASEAN Economic Community by year-end.

"We want to venture into ASEAN and beyond it in the next one to two years to gain experience and branding opportunities," he added.

Currently, Bioalpha has a presence in Indonesia and Australia, and within Malaysia, has plants in a number of places.

Bioalpha made an initial public offering (IPO) involving an offer of 100 million new ordinary shares at an issue price of 20 sen per share, comprising 20 million shares available for application by the public and 80 million shares by way of placement.

It also has a market capitalisation of about RM92.7 million.

Via the IPO, the company raised RM20 million to be used for research and development expenditure, capital expenditure (capex), repayment of bank borrowings, as well as working capital to finance business expansion and enhance growth strategies.

The company has set aside capex of RM3 million to set up a herb-processing plant in Pasir Raja, Terengganu.

Bioalpha Holdings is a company involved in the manufacture and sales of semi-finished and finished health supplement products as an original design manufacturer, as well as under its house brands.

Its health supplement products comprise processed herbs, formulated ingredients, functional foods as well as herbal and non-herbal supplements.

At the opening on Bursa Malaysia today, Bioalpha Holdings's shares rose 30 sen with 8.49 million transacted.