Convincing Features
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Subject
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Date
| Faculty: | UM-Wales Business School | |||
| Module Code: | MBOC 7013 | |||
| Program: | Master of Business Administration (MBA) | |||
| Module Name: | Financial Management | Module Edition
Version: |
1 | |
| Year / Semester: | Year 1, Semester 1 | Academic Year: | 2024 | |
| Credits: | 3 | Pre-Requisites: | N/A | |
| Academics in-charge & email: |
DR. WONG WAI WAH and Mdm Parimala Subramaniam waiwah@umwales.edu.my parimalasubramaniam@umwales.edu.my |
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| Approved Date: | Moderated by:
Approved by: |
Dr Cheng Mui Gek
Dr Thilageswary
|
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ODL is a learning delivery in correspondence to independent study, distance teaching, technology-based or mediated education, or e-learning mode. ODL learning modules at UM-Wales are crafted as a Self-Instructional Module where students will be able to learn the topic at their own pace but with guidance and facilitation from our academic team. You will need to complete the lesson following the set sequence whereby you will only be able to proceed to the next topic, once you have completed the previous topic. This self-paced study must still be within the given period that is required for students to complete the lesson.
The objective of this course is to develop a critical stance in investigating current development in Finance. It draws upon the knowledge of financial management theory and practices, studied in previous finance courses. To provide an informed and critical perspective, students are expected to conduct an independent research from a range of sources including journal articles and certain internet sites. Students will be expected to develop depth of thought and evaluate practical applicability through the case study analysis. The study of financial management at an advanced level ensures that students can exercise judgments and techniques to make commercial value added decisions in strategic financial management and are able to adapt to factors affecting those decisions
Upon the successful completion of this module, the student should be able to:
CLO1. Evaluate the applications of relevant theories in corporate finance from different organisational context (C4, PLO2).
CLO2. Compute numerical computations of financial analysis and forecasting (C3, PLO7). .
CLO3. Differentiate between equity, debt and options financing and implications for risks and returns (A3, PLO9).
The completion of all lessons is compulsory for students to be awarded the MBA qualification by UM-Wales under the ODL delivery. As ODL is crafted to fit the ‘distance learning’ concept, students will need to have the discipline and be more independent in following all the self-instruction methods via video lectures, notes, activities, etc. The following would be the checklist of all lessons that you will need to go through in 12 weeks:
| Topic | Description | Lesson checklist |
|---|---|---|
| Topic 1 | Introduction, Overview of the Module /Assignment /Case Study § Facilitator § Course Syllabus and teaching plan § Expectations |
Module Guide/ Assignment task/Case Study PPT Reading article Review questions Recorded video |
| Topic 2 | Financial Statement Analysis § Financial statements § Balance sheet § Income statement § Retained earnings statement § Cash flow analysis § Ratio analysis |
PPT Reading article Review questions Recorded video |
| Topic 3 | Time Value of Money § Future value § Present value § Unequal cash flow § Ordinary annuity § Annuity due § Perpetuity Effective annual interest rate |
PPT Reading article Review questions Recorded video |
| Topic 4 | Valuation of Bonds § Fundamental valuation model for coupon and zero coupon bond § Type of bonds § Bond rating |
PPT Reading article Review questions Recorded video |
| Topic 5 | Valuation of Stocks § Preferred stock § Common stock § Valuation model: dividend discount model and free cash flow |
PPT Reading article Review questions Recorded video |
| Topic 6 | Risks and Returns § Trade off between risk and return § Volatility and risk: standard deviation and variance § Systematic and unsystematic risk § Diversification § Risk Premium |
PPT Reading article Review questions Recorded video |
| Topic 7 | Portfolio Performance Analysis § Measuring Portfolio Risk § Purpose of Portfolio Management § Constructing the Portfolio § Assets Allocation § Performance management |
PPT Reading article Review questions Recorded video |
| Topic 8 | Capital Budgeting Analysis § Accounting rate of return § Payback period § NPV § IRR § Profitability Index |
PPT Reading article Review questions Recorded video |
| Topic 9 | Capital Structure, Leverage and Cost of Capital Analysis § Cost of debt § Cost of Equity(new share/retained earning) § Cost of Preferred stock § WACC |
PPT Reading article Review questions Recorded video |
| Topic 10 | Dividend Payout Policy § Dividend policy § Types of dividend § Models of dividend policy |
PPT Reading article Review questions Recorded video |
| Topic 11 | The Scope of Corporate Finance and Agency Theory § Corporate Finance Functions § Debt/Equity § Financial Intermediation § Business Organization Forms § Agency Cost |
PPT Reading article Review questions Recorded video |
| Reading List | Remarks |
| Eugene F. Brigham, Michael C. Ehrhardt (2023). Financial Management: Theory & Practice, 17th Edition. Cengage Learning. | |
| Brooks, R. (2020). Financial management: core concepts. 4th Edition. Pearson
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| Stephen Ross, Randolph Westerfield & Jeffrey Jaffe (2019). Corporate Finance, 10th ed. McGraw-Hill/Irwin. | |
| Peter Atril (2019), Financial Management for Decision Makers, 9th Edition, Pearson Education | |
| Other reading materials on Open Learning | |
You can access this module information via the following channel:
Link:
https://www.openlearning.com/iumw/courses/mboc7013-financial-management-odl/homepage/?cl=1
Course Name: Financial Management (MBOC 7013)
| No. | Method of Assessment | Total |
| 1. | Coursework
(a) Assignment Part A and Part B
(b) Final Exam |
70%
30%
|
| GRAND TOTAL | 100% | |
The completion of the assignment with a minimum standard requirement that meets master’s level standard is required for students to be awarded the MBA qualification by UM-Wales under the ODL delivery. The assignment was curated to assess students’ knowledge, application, and delivery based on the learning outcome of the module.
This is a case study on a company, Eco-Shop Marketing Bhd, a Malaysian dollar store retailer, held its Initial Public Offering (IPO) in April 2025, The company is in the process of raising funds from the capital market through the issuance of new shares and offers for the sale of existing shares. The prospectus was issued on 29th April 2025. To ensure the success of the subscription of the shares, the owners and management intend to conduct a roadshow for all categories of investors as well as to the analyst.
You are the Chief Investment Officer of an International Investment Firm. You are required to analyze the largest IPO on Bursa in 2025 and prepare a recommendation to your management/board to accept or reject the investment for the said IPO. You need to review the prospectus (a summary of the prospectus is attached and please read the full prospectus from Bursa Malaysia or the company’s website) as well as all other available information. Useful information especially from class lectures; news reports, selected reading materials as well as each student’s diversified experience and academic background will definitely help the students to make an informed decision on the investment choices available. The company will be listed on the main market of Bursa Malaysia very soon and all information regarding the prospect and performance of the company is available on Bursa’s website, the business section of major newspapers, and the company’s website.
The purpose of the study is to improve the understanding of students especially on Equity Analysis (stock valuation) and the application of finance theories to the fund-raising exercise. The case study will be in a form of an individual project and to ensure that the exercise achieves its intended objective, compulsory participation is required from all the students.
The assignment requires the students to perform the following:
Required:
Background (20 Marks)
Summary of the IPO’s prospectus
KUALA LUMPUR, 29 April 2025 – Eco-Shop Marketing Berhad (“Eco-Shop”), Malaysia’s leading player in the dollar store retail sector, today unveiled its Initial Public Offering (“IPO”) prospectus in conjunction with its upcoming listing on the Main Market of Bursa Malaysia Securities Berhad, scheduled for 23 May 2025.
The IPO marks a significant milestone for Eco-Shop as it becomes the first dollar store retail chain to be listed in ASEAN, with a projected market capitalisation of approximately RM7.0 billion based on the IPO retail price of RM1.21 per share and an enlarged issued share base of 5.747 billion shares.
The IPO will raise approximately RM419.87 million through a public issuance of 347 million new shares, making it the largest IPO in Malaysia over the past eight months.
Eco-Shop has secured commitments from ten cornerstone investors, who collectively subscribed to 90.91 million shares, representing 90.31% of the Institutional Offering (excluding the Bumiputera Offering under the Ministry of Investment, Trade and Industry [MITI]). These cornerstone investors include:
AHAM Asset Management Berhad
Albizia Capital Pte Ltd
Areca Capital Sdn Bhd
Eastspring Investments Berhad
Kairous Equity Sdn Bhd
Kenanga Investors Berhad
Kenanga Islamic Investors Berhad
Lion Global Investors Limited
RHB Asset Management Sdn Bhd
RHB Islamic International Asset Management Berhad
The proceeds from the IPO will be strategically deployed to support Eco-Shop’s next phase of growth:
RM200.00 million (47.6%) for the expansion of distribution centres
RM56.27 million (13.4%) to accelerate retail footprint nationwide
RM100.00 million (23.8%) for repayment of bank borrowings
RM10.90 million (2.6%) for investment in IT hardware and software
RM52.70 million (12.6%) for working capital and IPO-related expenses
Founded in 2003, Eco-Shop has grown into the dominant market leader in Malaysia’s dollar store retail segment, commanding an estimated 67.8% market share by revenue as of 31 December 2024. The company operates a nationwide network of 358 stores, including 22 Eco-Plus outlets, offering a broad array of affordable goods across personal care, household items, stationery, snacks, and more. Product pricing remains fixed at RM2.60 in Peninsular Malaysia and RM2.80 in East Malaysia and Langkawi, catering to the needs of value-conscious consumers.
For the financial year ended 31 May 2024, Eco-Shop recorded a profit after tax of RM177.28 million, followed by RM93.19 million for the six months ended 30 November 2024.
According to an Independent Market Report, Malaysia’s dollar store retail sector remains underpenetrated compared to developed markets such as Japan, Canada, and the United States. With a projected compound annual growth rate (CAGR) of 14.2% from 2024 to 2029, the sector presents a significant runway for growth, supported by rising cost-of-living concerns, population expansion, and changing consumer preferences toward affordability and convenience.
Speaking at the prospectus launch, Ms. Jessica Ng, Chief Executive Officer and Executive Director of Eco-Shop, remarked:
“In today’s environment where the rising cost of living continues to affect many households, our business model has never been more relevant. This IPO is not just a financial milestone—it represents our continued commitment to making a meaningful impact in the lives of the communities we serve. Our mission to ‘Make Life Easier’ drives everything we do, and we are poised to expand our footprint while delivering lasting value to our customers.”
Mr. Michael Oh-Lau, Chief Executive Officer of Maybank Investment Bank Berhad, the Principal Adviser, Joint Global Coordinator, Joint Bookrunner, and Sole Underwriter for the IPO, added:
“We are honoured to support Eco-Shop in this landmark IPO, which reflects the company’s enduring value proposition and operational excellence. Eco-Shop’s inclusive and affordable business model complements the national agenda of supporting sustainable domestic consumption and empowering communities.”
The IPO comprises a total offering of 862.146 million shares, of which:
675.368 million shares are allocated to institutional and selected investors (including Bumiputera investors approved by MITI) via bookbuilding
186.778 million shares are available to the Malaysian public at a retail price of RM1.21 per share.
Maybank Investment Bank Berhad serves as the Principal Adviser, Joint Global Coordinator, Joint Bookrunner, and Sole Underwriter. UBS Securities Malaysia Sdn Bhd and UBS AG, Singapore Branch are Joint Global Coordinators and Joint Bookrunners, while RHB Investment Bank Berhad is also a Joint Bookrunner.
Source: Malaysia SME
Note:
This case study is intended to be a “real world learning” exercise and the success of the exercise depends very much on active participation and research by all the students. Last but not least, enjoy the project.
Each student is required to attach the front cover of the assignment.
Final Assignment Due Date: Part A- 4th Week Lecture (18th October, 2025)
Part B- 8th Week Lecture (22nd November, 2025)
“No one ever hurt their eyes
by looking at the bright side of life”
Prepared by:
Dr. Wong Wai Wah
For MBOC7013 Financial Management
The completion of this module is compulsory for you to be awarded the MBA qualification by UM-Wales under the ODL delivery. The following would be the checklist of what you need to accomplish to pass this module:
You are entitled to feedback on your performance for all your assessed work. For all assessment tasks that are not examinations, feedback should be within 20 working days from the date of submission. This might be extended to 30 days for a Major Project module (please note that working days excludes from public holiday). The feedback could either be online, during live session or any other platform utilised by the lecturer.
Writing the MBOC7013 Financial Management assignment on Eco-Shop Marketing Berhad’s IPO can be complex, especially when it involves valuation, financial forecasting, and investment analysis. If you’re unsure how to analyse IPO data or prepare a professional memo, expert help can simplify the process. At Malaysia Assignment Helper, we offer Finance assignment help that’s 100% human-written, plagiarism-free, and tailored for MBA students. Get reliable guidance through our assignment writing help Malaysia today.
