KUALA LUMPUR (April 19): M3 Technologies (Asia) Bhd's shareholders rejected the mobile solutions provider’s proposed private placement at an extraordinary general meeting today.

The group said seven shareholders controlling 146.1 million shares had rejected the resolution calling for the placement, versus four shareholders controlling 76.38 million shares who voted in favour of the resolution.

In terms of percentage of voted shares, 65.67% voted against the resolution, while 34.33% was in favour.

Proposed on March 15, the private placement involved 232.15 million shares or 30% of share capital to raise RM9.82 million. Of that amount, RM4.7 million was to be used for the enhancement of the group's i3TeamWorks, development of i3Desktop and marketing. Another RM4.54 million was to be used as working capital.

The group had completed another private placement on Jan 18, placing out 128.54 million shares or 20% of its share base at the time.

Had the latest placement gone through, M3 Technologies' share capital would have increased to 1.01 billion shares, from 773.82 million shares currently.

M3 Technologies' share price rose 0.5 sen or 11.11% to close at five sen today, valuing the group at RM38.69 billion. The counter saw 25.21 million shares traded.