SHARES IN THE MALAYSIAN CAN MANUFACTURER, CAN-ONE, RISING

As has already been mentioned many times, Covid has brought about a change in consumption habits: more demand for food and, above all, for canned drinks, as in the case of many US breweries who had problems to stock up on cans due to the rapid increase in the demand for alcohol in this type of packaging. But in countries like Malasya this is not what happened. Still, the economic and financial outlook is not bad and the compound annual growth rate (CAGR) in the beverage cans market is expected to be 8.9% during the forecast period 2021 to 2027.

Confidence in this improvement is reflected in investors who have bought shares in one of the country’s largest metal packaging manufacturers, Can-One Bhd. But they have done so in anticipation that the can maker will take advantage of the positive growth outlook for the edible oils and beverages market in 2021.

According to The Malaysian Reserve media, “the can maker’s share price has risen 37% from the RM2.50 level in early November 2020 to RM3.44 last March 19.” Clearly they trust in the footsteps of Can-One Bhd.

For its 2021 outlook, Can-One noted in its recent financial report, it expects challenges to remain for the company moving forward with the ongoing pandemic. “Global business operations and supply chain continue to be disrupted, resulting in logistical problems and rising commodity prices. Management will continue to be vigilant in ensuring strict compliance with the standard operating procedures issued by the government of the relevant countries to minimize disruption to our business operations.”