Quick take: DWL Resources shares on a roll

KUALA LUMPUR: Shares in DWL Resources Bhd continue to be on a roll, advancing 7% in early trade Tuesday.

The ceramics and pottery products manufacturer rose 7.77%, or eight sen to RM1.11. It is among the most active counters with 9.48 million shares exchanged hands.

Its shares have shot up in recent weeks although its share price remains relatively volatile.

Gadang has purchased a 10% stake in DWL Resources in a move the former says, “is to build and strengthen the business relationship between the two companies.”

Major construction outfit Gadang, which has a market capitalisation of close to RM560mil, said it paid RM18mil in cash for the purchase of 20 million shares in DWL at 90 sen a share.

The trade was done via an off market transaction. The move puts the spotlight again on DWL, which was formerly known as Spring Gallery Bhd.

On April 18, 2019, a unit of Gadang had entered into a pre-bid consortium with a unit of DWL to work with each other to bid for infrastructure projects.

DWL Resources has also appointed Datuk Seri Shahril Mokhtar — the former CEO of Mass Rapid Transit Corp Sdn Bhd — as managing director.

Source : TheStar