KUALA LUMPUR (Nov 11): Macpie Bhd said it is exploring a potential fundraising exercise, adding there are no other corporate developments that may account for the sharp rise in its share price.  

In a filing today issued in response to an unusual market activity (UMA) query by Bursa Securities, the group said it is also not aware of any rumour, report or any possible explanation for the UMA.  

“The company is exploring to undertake a fundraising exercise to be finalised in due course. 

“Save as disclosed, there is no corporate development relating to the group’s business and affairs that has not been previously announced that may account for the UMA including those in the stage of negotiation/discussion,” Macpie said.  

Yesterday, Bursa issued the UMA query after Macpie’s share price surged as much as 6.4% to touch a high of 66.5 sen, before paring gains to close at 60 sen.  

Year-to-date, the counter has gained 289% since its closing of 13.5 sen at the end of 2019.  

Today, Macpie closed 7.5 sen or 12.5% lower at 52.5 sen, giving a market capitalisation of RM185.48 million.  

The group was previously issued another UMA query on Sept 14, and in reply said its largest shareholder Ng Chee Heng had disposed of 86.71 million shares or a 24.54% on Sept 11.  

The disposal was done through his private vehicle, SEG Capital Intelligence Sdn Bhd, in the open market for 33 sen a piece.  

Subsequently, XOX Bhd emerged as a new substantial shareholder of Macpie, after acquiring a 5.66% stake or 20 million shares in the group in the open market on Oct 2. XOX said it indirectly owns a 9.16% stake or 32.36 million shares in Macpie through its Hong Kong-based subsidiary XOX (Hong Kong) Ltd. 

Macpie, which has been in the red since 2014, is involved in retail and distribution management, as well as event management. 

The group saw its net loss widen to RM8.14 million for the financial year ended June 30, 2020, from RM2.77 million for the previous year, as revenue fell 24.1% to RM64.93 million from RM85.6 million.  

The larger net loss, the group said, was mainly due to losses from its event management segment and higher impairment losses due to the adverse impact of the Covid-19 pandemic.