(Updated)

Serba Dinamik reverses course, rises by as much as 24.8% in afternoon trade

Serba Dinamik reverses course, rises by as much as 24.8% in afternoon trade
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KUALA LUMPUR (June 14): Serba Dinamik Holdings Bhd shares rebounded in afternoon trading after the group named an audit firm to conduct an independent review with regard to its audit issues.

As of 4.31pm, its shares were up 14 sen or 23.14% at 74.5 sen, valuing the group at RM2.75 billion, after having risen 24.79% to 75.5 sen at around 3pm.

Trading volume stood at 1.13 billion shares, making Serba Dinamik the most actively traded counter on Bursa Malaysia.

The gain in its share price was in contrast to the downtrend earlier in the day, with the stock down five sen or 8.26% at 55.5 sen at the end of the morning session. The stock earlier opened at 60.5 sen and fell to as low as 54 sen at 10.15am.

During the noon break, Serba Dinamik announced that it had appointed Ernst & Young Advisory Services Sdn Bhd (EY) as its independent reviewer for the audit matters highlighted by its external auditor KPMG PLT.

The group said its board had agreed in principle to appoint EY, and that an updated announcement will be made upon the finalisation of the terms and conditions of the said appointment.

Serba Dinamik also announced that it was appointing Datuk Mohamed Ilyas Pakeer Mohamed, Masleena Zaid and Johan Mohamed Ishak to its board as independent and non-executive directors.

The group previously announced that it intends to conduct an independent review of the audit issues raised by KMPG, which include sales transactions, receivables and payables to the tune of over RM3 billion.

Read also:
Serba Dinamik falls to new low of 54 sen amid heavy selling in morning trade
Serba Dinamik appoints EY as independent reviewer on audit matters, sees entry of three independent, non-executive directors 
MSWG: Serba Dinamik entitled to second opinion

S Kanagaraju