Edaran says unaware of reason for share price rally

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KUALA LUMPUR (Aug 14): Edaran Bhd, which was slapped with an unusual market activity (UMA) query by Bursa Malaysia after its share price doubled in two trading days, told the regulator that “it is not aware of any corporate development that may have caused the recent spike in its share price and trading volume”.

In an exchange filing today, the group said there is no corporate development in relation to its business and affairs that has not been previously announced, including those in negotiation or discussion stages, that may account for its unusual market activity.

“The directors are not aware of any rumour or report concerning the business and affairs of the group that may account for the unusual market activity; and any other possible explanation to account for the trading activity,” it added.

Edaran said it is is continuously pursuing and identifying new business opportunities in its ordinary course of business, and will make immediate announcements as and when it enters into any agreement.

“We also declare that the company is in compliance with the Listing Requirements (LR), in particular Rule 9.03 of the LR on immediate disclosure obligations,” it added.

Edaran was slapped with the UMA query by Bursa Malaysia today. Its share price surged as much as 12 sen or 16.8% to 83.5 sen in morning trade.

The stock gained 4.5 sen for a four-month high of 76 sen today. The sudden keen interest in Edaran lifted its trading volume to 34.64 million shares compared with the 200-day average trading volume at 1.02 million shares.

Last Friday, the stock ended mildly higher at 45.5 sen with 1.69 million shares done, before it shot up to a high of 74.5 sen on Monday, with volume ballooning to 47.36 million shares.