Replying to UMA query, Ipmuda says unlocking value of non-core assets, eyes opportunities in renewable energy and healthcare

TheEdge Tue, Apr 27, 2021 04:55pm - 2 years View Original


KUALA LUMPUR (April 27): Ipmuda Bhd, whose share price closed up 30% or 39 sen at RM1.69 yesterday, said today the group is undertaking an asset rationalisation exercise to unlock the value of its non-core assets.

In a filing addressing Bursa Malaysia's unusual market activity (UMA) query, the building materials trader also said it has been actively identifying viable renewable energy and healthcare businesses given the challenging landscape faced by the group's trading business.

The group said it sold a leasehold property in Ipoh for RM5.5 million last December, while being in the midst of selling five shoplots in Georgetown, Penang for RM2.9 million to PB Trustee Services Sdn Bhd.

On top of that, the group said it successfully placed out 7.18 million shares on Dec 17, 2020 and 7.32 million shares on March 22, 2021 while it also completed a restricted issue of 14.49 million shares to all of the group's directors on March 22, 2021.

In previous filings with Bursa Malaysia, the group said the issue price for the first tranche of the private placement was fixed at 56 sen per share, while the second tranche of the private placement and restricted share issue was fixed at 68 sen per share.

"Other than the above, the board is not aware of any rumour or report concerning the business and affairs of Ipmuda that may account for the trading activity," it said.

It added that there is no other corporate development related to Ipmuda's business and affairs that has not been previously announced that might have accounted for the trading activity including those in the stage of negotiation or discussion.

Yesterday, the group was slapped with a UMA query by Bursa Securities over the sharp rises in price and volume after the counter's shares jumped 30% to RM1.69, after 1.23 million shares were traded.

Its counter's upward trajectory began on March 4, when it was trading at 72 sen; it has since surged 134.72% to close at RM1.69 yesterday.

Today, the counter reversed the fortunes, falling as much as 14.2% or 24 sen to RM1.45 in the morning, before paring losses at RM1.51 at 3.30pm. At RM1.51, it had a market capitalisation of RM153 million. There were 1.09 million shares traded.

Ipmuda saw its net loss for the second quarter ended Dec 31, 2020 narrow to RM1.96 million, from RM13.02 million a year ago, mainly due to net reversal of impairment of receivables of RM3.1 million during the quarter, compared with an impairment of receivables of RM6.1 million made in the prior year's corresponding period, and gains on disposal of a property of RM3.9 million this quarter.

Its revenue, however, slumped 80.71% to RM6.25 million, from RM32.4 million a year ago, due to lower sales amid the implementation of the movement control restrictions by the government.

For the cumulative six months ended Dec 31, 2020, the group's net loss narrowed to RM6.04 million, from RM21.62 million a year ago. This was despite revenue plunging 78.39% to RM12.4 million, from RM57.37 million a year ago.

Read also:
Ipmuda slapped with UMA query as shares hit limit up

The content is a snapshot from Publisher. Refer to the original content for accurate info. Contact us for any changes.






Related Stocks

BURSA 7.460
JSB 0.995

Comments

Login to comment.