Icon Offshore declared a designated stock due to excessive speculation

Icon Offshore declared a designated stock due to excessive speculation
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KUALA LUMPUR (Jan 24): Bursa Malaysia Securities Bhd has declared the securities of Icon Offshore Bhd as designated counters with effect from Jan 28, due to excessive speculation.

The regulator said the imposition of the ruling for Icon Offshore shares and the company’s ordinary rights with warrants (Icon-OR) will be imposed until further notice.

“The decision to designate the securities of Icon and Icon-OR is due to excessive speculation observed in the trading of the securities and has been taken in the interest of ensuring a fair and orderly market,” Bursa said in a statement today.

With the designation, trading in the counters will require payment upfront before buying, and a free balance of securities before selling, it added.

Icon shares jumped by 14.5 sen or 21.64% to 81.5 sen today, valuing the group at RM1.94 billion.

In a separate filing today, Icon Offshore said Urusharta Jamaah Sdn Bhd has ceased to be a substantial shareholder in the company, after disposing of 972,225 shares in the offshore support vessel player yesterday.

Urusharta Jamaah is a special-purpose vehicle set up by the government to manage Lembaga Tabung Haji's underperforming assets.

According to 2018 annual report, Urusharta Jamaah held an 8.8% stake in Icon Offshore as of March 29, 2019, and was the second-largest shareholder after Yayasan Ekuiti Nasional's vehicle Hallmark Odyssey Sdn Bhd, which controls a 42.28% stake.