KUALA LUMPUR (March 17): Boilermech Holdings Bhd — whose share price hit limit up yesterday — told Bursa Malaysia that it is not aware of any corporate development that would have caused the unusual market activity (UMA). 

Yesterday, the group was slapped with a UMA query after its share price surged 29.25% or 31 sen to RM1.37.

At noon break today, Boilermech was down four sen or 2.92% to RM1.33, translating into a market capitalisation of RM701.76 million. Some 5.37 million shares changed hands.

In its reply today, it said it is not aware of any rumour, report and explanation that may account for the group’s trading activity.

It also said the company is in compliance with the Bursa Securities Listing Requirements on immediate disclosure obligations.

On Dec 4 last year, QL Resources Bhd had made a takeover offer to buy all remaining shares in Boilermech at 95 sen per share.

QL Resources via its wholly-owned unit QL Green Resources Sdn Bhd had entered into an unconditional share acquisition agreement with Boilermerch’s managing director Leong Yew Cheong to buy 20.64 million shares representing 4% equity interest for RM19.61 million or 95 sen per share.

On Feb 8, 2021, QL Resources had received valid acceptances for 4.88 million of Boilermech’s shares as at the closing of its takeover offer, bringing its equity interest in the latter to 258.99 million shares or a 50.19% stake.

Prior to the launching takeover offer, QL Resources owned 248.66 million shares or a 48.19% stake in Boilermech.