KUALA LUMPUR (Aug 29):  Water treatment services provider Taliworks Corporation Bhd has proposed a two-for-three bonus issue.

The group said this will enable shareholders to have greater participation in its equity while retaining their percentage of equity interest held.

The bonus issue is also intended to increase the number of issued shares, which may potentially improve the liquidity, Taliworks said in a stock exchange filing.

The issuance of up to 967.59 million bonus shares, on the basis of every two bonus shares for every three existing shares, will be made on an entitlement date to be determined later, it added.

Taliworks said the bonus issue will be wholly capitalised from its share premium account at 20 sen per bonus share.

Given the maximum scenario, the group’s enlarged issued share capital after the bonus issue will comprise 2.42 billion shares.

The group expects the bonus issue is expected to be completed in the second half of 2018

Taliworks’ share price closed unchanged at RM1.35 today, for a market capitalisation of RM1.63 billion.