KUALA LUMPUR (July 16): Top Glove Corp Bhd is currently under heavy selldown on the Singapore Stock Exchange, although trading has been halted on Bursa Malaysia, no thanks to news that the US Custom authority has placed detention orders on the company's shipments on July 15.
Top Glove share price plummeted to a low of S$6.51, down 10.8% once in the afternoon trading session. At 4.30pm, the stock was down S$0.72 or 9.8% to S$6.59, giving it a total market capitalisation of S$17.77 billion.
Trading volume came in at 2.64 million shares, significantly higher than its 200-day average trading volume of 339,000 shares.
Back home at Bursa Malaysia, Top Glove was the top decliner in the local exchange. It fell RM2.10 or 9.63% to RM19.70 when it resumed trading at 3.30pm. However, coincidentally, trading across Bursa Malaysia was halted shortly after Top Glove resumed trading. Bursa revealed that it is facing "technical issues" currently.
Top Glove is the fourth largest component stock of the FBM KLCI based on yesterday's market capitalisation; any big movement in the glove counter will swing the benchmark given its weightage.
In a bourse filing earlier, Top Glove confirmed there was a detention order on disposable gloves manufactured by its subsidiaries Top Glove Sdn Bhd and TG Medical Sdn Bhd, at the US customs yesterday.
The glove manufacturer said it is reaching out to the CBP through the glove producer's office in the US besides the company's customers and consultants, to understand the issue better and work towards a speedy resolution to the matter within an estimated two weeks.
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