Friday 29 Mar 2024
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KUALA LUMPUR (June 14): Permaju Industries Bhd has emerged as a substantial shareholder of MTouche Technology Bhd (MTB) after acquiring 185.05 million rights shares, together with 92.52 million free warrants in the mobile telecommunications group.

The shares, representing 19.97% of the existing total number of issued shares in MTB, were acquired via its wholly-owned subsidiary IconWorld Resources Sdn Bhd for RM18.5 million, Permaju said in a bourse filing.

“The group is of the view that the investment would allow the group to participate in the well care business, which is expected to augur well during the pandemic," added Permaju.

This is based on the fact that MTB will be utilising a substantial amount of the rights issue proceeds for the development of its well care business, to diversify its earnings base from the traditional mobile related business.

Permaju said the acquisition will not have any effect on its share capital, net assets, gearing, earnings and substantial shareholders’ shareholdings for the financial year ending June 30, 2021.

Permaju's share price rose half a sen or 4.35% to 12 sen today, giving the group a market capitalisation of RM103.22 million.

MTouche was unchanged at 8.5 sen, for a market value of RM74.39 million.

Edited ByS Kanagaraju
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