KUALA LUMPUR (June 4): Serba Dinamik Holdings Bhd’s second-largest shareholder Datuk Abdul Kadier Sahib has continued to accumulate shares in the company.
In a bourse filing, the group announced that Abdul Kadier, who is also the non-independent non-executive director, today bought an additional three million shares in the open market.
This raised his stake to 16.25% or 602.90 million shares in Serba Dinamik, which is entangled with its auditor KPMG regarding issues pertaining to statutory audit.
This is the third time this week that Abdul Kadier has bought more shares in Serba Dinamik. He acquired five million shares on Wednesday and three million shares on Thursday. In total, he purchased 11 million shares this week.
Abdul Kadier, a member of Serba Dinamik's audit and risk committee, withdrew his proposal to call for an EGM to remove KPMG as its auditor on Wednesday, three days after he sent the notice to Serba Dinamik on his proposal to replace KPMG with BDO PLT.
Serba Dinamik's share price took a nosedive this week. It hit limit-down for two consecutive trading days when it resumed trading on Monday, as KMPG flagged the red flags on certain sales transactions, contracts as well as receivables and payables.
The stock plunged from RM1.61 to end the week at 76.5 sen, down 52.5% or 84.5 sen during the week.
Last Tuesday, Serba Dinamik announced that it intended to conduct an independent review on the audit issues raised by KMPG. Three days later, the company revealed some details of issues that auditor had cast doubts on, including sales transactions, receivables and payables to the tune of over RM3 billion.
Substantial shareholders Employees Provident Fund (EPF) and Permodalan Nasional Bhd (PNB) have both expressed concern over the audit issues.