KUALA LUMPUR (Aug 7): Shares in Century Logistics Holdings Bhd skidded as much as 11.5 sen or 11.4% shortly after the opening bell this morning after Nestle Malaysia Bhd’s unit demanded a RM21.6 million damages from the logistics company.
 
At 9.50am, the stock managed to recoup some losses trading at 94 sen, still it fell seven sen or nearly 7%.
 
Some 9.53 million shares changed hands between 96 sen and 89.5 sen, making it the fifth most actively traded counter on Bursa Malaysia at this hour.
 
With the current price, it has a market capitalisation of RM375.57 million.
 
Over the past one month, the stock has seen climbed to its all time high of RM1.11 on July 24 this year from a low of 88.5 sen on July 8.
 
Century Logistics (fundamental: 2.6; valuation: 2) told Bursa Malaysia yesterday that its unit Century Total Logistics Sdn Bhd (CTL) has received a letter of demand for RM21.6 million from Nestle Products Sdn Bhd (Nestle), a subsidiary of Nestle Malaysia Bhd, for purported losses and damages.
 
Century Logistics said in the filing that the demand of RM21.6 million to be "baseless and unsubstantiated".
 
"CTL intends to (file a) counterclaim against Nestle for, but not limited to, damages, expenses incurred, loss of profit and outstanding amounts.
 
"CTL has engaged a firm of solicitors to challenge the validity of the demand and to counterclaim against Nestle," said Century Logistics.

(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.)