KUALA LUMPUR (Oct 22): Cashless payment solutions provider Revenue Group Bhd, whose share price hit a record high today, has proposed a two-for-three bonus issue. 

The stock closed at RM1.71 today, up by more than 4.5 times compared with its initial public offering price of 37 sen in July 2018. 

The ACE Market-listed firm, in its filing with Bursa Malaysia, said it will issue up to 230.04 million bonus shares. 

Revenue said it decided on the bonus issue after due consideration of its financial performance and position. 

The issue will enable shareholders to have greater participation in the group’s equity, while maintaining the percentage of equity interest, it said. 

The exercise will also enhance the marketability and trading liquidity of Revenue shares on the stock exchange, it added. 

The bonus issue is not expected to have any material effect on its earnings for the financial year ended June 30, 2018 (FY18), the firm said.

However, there will be a corresponding proportional dilution in Revenue’s consolidated earnings per share, as a result of the increase in the number of issued revenue shares pursuant to the bonus issue, it added.

The proposed bonus issue, which is subject to authorities and shareholders approval, is expected to be completed by year-end. 

Revenue has a market capitalisation of RM399.53 million.
 
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