KUALA LUMPUR (Sept 29): Trive Property Group Bhd has proposed to undertake a bonus issue of 432.63 million new shares on the basis of one bonus share for every six existing shares in the company on an entitlement date to be determined later.

In a filing with Bursa Malaysia today, Thrive said the actual number of bonus shares to be issued will depend on the total issued Trive shares on the entitlement date.

In addition, the company may issue up to 500,000,000 new Trive shares to Macquarie Bank Ltd.

As at Sept 25, 2017, Trive has an issued share capital of RM33.41 million comprising 1.34 billion shares. Assuming full granting and/or exercise of the convertible securities (ESOS options and Warrants B) and full subscription of the subscription shares by Macquarie Bank, the enlarged issued share capital of the company will increase to RM183.36 million comprising 2.6 billion shares.

And following the proposed bonus issue, its share capital will increase to RM38.98 million comprising 1.56 billion shares on a minimum scenario or RM194.18 million comprising 3.03 billion shares on a maximum scenario.

The company said the proposed bonus issue will be wholly capitalised from its share premium account at 2.5 sen per bonus share, being reference to the par value of Thrive shares, adding it would be a way of capitalising RM12.36 million from the share premium account of the company.

On the rationale for the exercise, Thrive said it is to reward existing shareholders of the company, as well as to increase the capital base to a level that will better reflect the group’s future scale of operations.

The maximum scenario assumes the full grant of its employee share option scheme, full exercise of its Warrants B, and full issuance of the subscription shares to Macquarie Bank.

Mercury Securities Sdn Bhd has been appointed as the principal adviser for the proposed bonus issue.

"Subject to all relevant approvals in respect of the proposed bonus issue being obtained, the board expects the proposed exercise to be completed by the fourth quarter of 2017," said Trive.

Trive shares closed up 0.5 sen or 3.03% at 17 sen, giving it a market capitalisation of RM227.22 million.