CN Asia tumbles for second straight day

KUALA LUMPUR (Jan 11): CN Asia Corp Bhd continued its steep decline in this morning’s trade, making it the second biggest loser on Bursa Malaysia as at the time of writing today, after its digital banking plans failed to excite investors.

At 10.15am, the stock had retreated 41 sen or 24.7% to RM1.25, with 7.02 million shares traded. The counter fell to an intra-morning low of RM1.17.

The stock closed at RM1.66 last Friday, plunging 69 sen or 29.36% from a record high of RM2.37 last Thursday.

Loss-making CN Asia, which is currently involved in the manufacture of skid tanks, last week announced that it had inked a memorandum of understanding (MoU) with Intcys Sdn Bhd, under which it plans to invest RM400 million to establish a consortium to provide digital banking services for women.

Under the proposed MyWeW (Women Empowering Women) Digital Bank, the company plans to offer services such as entrepreneurial financing, microloans, applications of debit and credit cards, and opening of digital bank accounts.

However, it did not give any timeline for the digital banking venture. The MoU signed is effective for 12 months.

Source: TheEdgeMarkets