KUALA LUMPUR (Aug 24): Little-known MSCM Holdings Bhd, whose share price has rocketed more than 10 times within five weeks since mid-July, has made a request to suspend the trading of its securities and derivatives tomorrow pending a material announcement.

The trading suspension notice came after the stock exchange queried on the unusual market activity (UMA) of its shares' performance and volume.

In the UMA filing, Bursa told MSCM: "We draw your attention to the sharp rise in price and volume of your company's shares recently."

Today, the stock surged to its all-time high of RM1.76 for a market value of RM884.41 million. Some 30.06 million ordinary shares were traded.

Meanwhile, its warrants, MYSCM-WA, jumped 36 sen or 29.3% to RM1.59 while its loan stock, MYSCM-PA, climbed 27 sen or 20.93% to RM1.56.

The loss-making company's share price has soared from the low of 14 sen on July 15 to RM1.76 today, a quantum leap of 12.5 times within five weeks. The sharp rise of the stock is even quicker and sharper than some of the rubber glove counters, which have been the star performers due to the expectations of strong demand for disposable gloves as a result of the Covid-19 pandemic.

Coincidentally, MSCM's media invite indicated that there will be a signing ceremony tomorrow in Petaling Jaya involving MSCM's subsidiary Hong Seng Gloves Sdn Bhd and its new partner for a turnkey project.

"The event marks the start of a collaboration between both parties that will enable MSCM to venture into the new business," MSCM said.

For the financial year ended March 31, 2020, the IT solution provider posted an audited net loss of RM7.43 million, compared with a net loss of RM13.1 million the year before. Revenue, however, was sharply lower at RM4.42 million versus RM10.4 million a year ago.

Edited by Kathy Fong