KUALA LUMPUR (Oct 2): Aemulus Holdings Bhd became the most-actively traded stock on expectation that a weaker ringgit would bode well for the semiconductor testing equipment specialist’s income.
At 12.30pm, Aemulus was flat at 56 sen for a market capitalisation of RM245.8 million. The stock saw some 30 million shares done. The ringgit weakened to 4.4417 against the US dollar at 1.16pm.
Aemulus is expected to benefit from the weaker ringgit against the US dollar as some 60% of its sales were denominated in US dollars, news reports quoted Aemulus executive director and chief executive officer Ng Sang Beng as saying recently.
A weaker ringgit translates into higher income when the company converts its US dollar-based earnings into the ringgit.
Today, Aemulus’ share-trade dynamics followed Bursa Malaysia’s unusual market activity query yesterday on the “sudden rise in volume and price” of Aemulus shares.
Yesterday, Aemulus closed 6.5 sen or 13% higher at 56 sen from 49.5 sen on Wednesday. Volume increased to 84.21 million from 26.08 million shares.
Today, Aemulus responded that it was not aware of the reasons behind its share price and volume rise.
Aemulus’ initial public offering comprises a public issue of 87.79 million new shares and an offer for sale of 43.89 million existing shares at 28 sen each. The company was listed on Bursa Malaysia on Sept 15 this year.
Upon listing, Aemulus has an expanded issued base of 438.85 million shares.
On Sept 17, Aemulus said Malaysian state-owned investment arm Khazanah Nasional Bhd emerged as a major shareholder in the company.
Aemulus said Khazanah bought a 15% stake derived from the acquisition of Aemulus’ public issue shares via private placement.
(Note: The Edge Research’s fundamental score reflects a company’s profitability and balance sheet strength, calculated based on historical numbers. The valuation score determines if a stock is attractively valued or not, also based on historical numbers. A score of 3 suggests strong fundamentals and attractive valuations.)