KUALA LUMPUR (Nov 6): Damansara Realty Bhd, which received an unusual market activity (UMA) query from Bursa Securities on the sudden rise of its share price which soared 50% to hit a five-month high today, said it is participating in a public tender to construct housing develpment under Projek Perumahan Penjawat Awam 1Malaysia (PPA1M) at Putrajaya.

In response to the UMA query today, the property developer told the regulator it is not aware of any corporate development relating to the group’s business and affairs, nor any rumour or report concerning its business, that may account for the UMA including those in the state of negotiation/discussion.

"Possible explanation to account for the UMA, save and except that the company has participated in a public tender to construct housing develpment under PPA1M at Putrajaya," it said.

"The company will make the necessary announcement to Bursa of any further material development in compliance with the Main Market listing requirements," it added.

The stock rose 30 sen or 50% to hit an intraday high of 90 sen in early trade.

As at 2.55pm today, the stock was traded up 46.67% to 88 sen, bringing its market capitalisation to RM275.34 million. Trading volume surged to 2.96 million shares compared with a mere 43,200 shares done yesterday. 

The federal government had in July 2013 announced that it will build a total of 100,000 houses under PPA1M project. 

The PPA1M provides public housing with a minimum floor area of between 1,000 and 1,500 sq ft at a price of between RM150,000 and RM300,000.

(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.)