Friday 29 Mar 2024
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KUALA LUMPUR (May 18): Bursa Malaysia said it has suspended the proprietary day trader (PDT) and intraday short selling (IDSS) activities for the rest of the day for Lingkaran Trans Kota Holdings Bhd (Litrak) and Cahya Mata Sarawak Bhd (CMSB).
 
According to the stock exchange regulator, trading under PDT and IDSS have been suspended for the rest of the day, as the last done price have dropped by more than 15 sen or 15% from the reference price. 

“The PDT and IDSS activities will only be enabled the following trading day, i.e. Monday, May 21, 2018 at 8:30 am,” Bursa Malaysia added. 

Since the opening bell and as at 3:30pm, Litrak and CMSB have dominated Bursa Malaysia’s losers list. 

Litrak, a toll highway operator, was the biggest casualty on the local bourse today and its share price fell by RM1.45 or 28.21%, after one of the Council of Eminent Persons members, Tan Sri Dr Zeti Akhtar Aziz, said the government is likely to make an announcement on toll charges as early as next week. 

This has wiped out RM765.49 million off Litrak’s market capitalisation. At 3:45pm, Litrak was trading at RM3.69, valuing it at a market capitalisation of RM1.95 billion. 

Maybank Investment Bank Research is retaining its Hold call on Litrak, but lowered its 12-month target price to RM5.10, from RM6.10 previously. It has also downgraded the construction sector outlook to Neutral, from Overweight. 

“Pakatan Harapan’s manifesto also promises to gradually abolish toll charges. This has provided a haze of uncertainty in terms of future earnings for various concession holders of highways and roads,” Maybank analysts, Adrian Wong and Wong Chew Hann, said in a note to clients today. 

Meanwhile, CMSB — which was perceived to have links with the former Barisan Nasional coalition — has dropped by RM1.05 or 29.75% since the market opened today. At 3:44pm, the stock was trading at RM2.48, for a market capitalisation of RM2.66 billion. 

Currently, CMSB is trading at its lowest point, since the last four years. 

In a bid to boost liquidity, Bursa Malaysia had, since April 16, allowed investors to engage in regulated short selling activities via PDT and the IDSS framework.

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