KUALA LUMPUR (Nov 22): Shares in Metronic Global Bhd fell in active trade on Monday (Nov 22) morning after its proposed diversification, share consolidation and rights issue with warrants.

At 10.30am, the engineering company was half a sen or 20% lower at two sen. It earlier slipped to a low of 1.5 sen.

The counter, which was the most actively traded stock so far in the morning, had seen 50.67 million shares done.

Last Friday, Metronic informed the local bourse of the diversification of the business of the company to include the design, research and development, installation, engineering, procurement, construction, commissioning and maintenance of solar photovoltaic panels, equipment and facilities as well as other related activities, including solar leasing.

Currently, the group is principally involved in the engineering business, mainly in relation to the provision of building automation services specialising in the field of the intelligent building management system and integrated security management system, e-project management of mechanical and electrical services as well as supply of engineering systems and equipment.

It also announced a consolidation of every 10 existing ordinary shares in Metronic into one share.

It further proposed a renounceable rights issue of up to 1.74 billion new shares (rights shares) together with up to 580.81 million free detachable warrants in Metronic (Warrants B) on the basis of six rights shares together with two free Warrants B for every one consolidated share held by the entitled shareholders of the company on an entitlement date to be determined.