Quick take: Scomi jumps 18% on emergence of new substantial shareholder

KUALA LUMPUR: Scomi Group Bhd’s share price jumped 18% in early trade Wednesday following news that a Bruneian entrepreneur is becoming a substantial shareholder in the company.

The counter, one of the most actively traded counter on Bursa Malaysia, jumped 18.18%, or one sen to 6.5 sen with 3.77 million shares traded. Scomi-WB rose 25%, or 0.5 sen to six sen with 3.6 million shares done.

Starbiz reported that Mohamad Shu’if Haji Mohamad Hussain, a Bruneian entrepreneur, will emerge as the new substantial shareholder of Scomi via his undertaking of the excess shares of the company’s proposed rights issue.

Shu’if will be participating in the exercise via his Hong Kong based vehicle, Sharp Ascend Ltd (SAL), which he is the sole shareholder.

The completion of the rights issue will see Shu’if having between 14% and 15% of Scomi Group.

Shuif is known in corporate circles as an investor for the royal family of Brunei.

Shu’if will be putting up an advance of RM20mil to the company as his commitment to take up the excess shares and warrants of the rights issue exercise.

IJM Corp, a major shareholder of Scomi Group with a 21.39% stake, has also agreed to subscribe in full, for its entitlement under the proposed rights issue exercise.

Scomi Group had proposed a wide-ranging corporate exercise, which included a share capital reduction, renounceable rights issue sweetened by free warrants and settlement of liabilities.

The rights issue exercise will see Scomi Group raise between RM75.59mil to RM214mil. The minimum scenario of RM75.59mil can be achieved via the undertaking of IJM, SAL and Scomi’s chief executive officer Sammy Tse Kwok Fai.

Source: TheStar