This article first appeared in The Edge Financial Daily, on April 13, 2016.

Hiap Huat Holdings Bhd (+ve)

SHARES of Hiap Huat Holdings Bhd (fundamental: 0.75/3; valuation: 0.9/3) triggered our momentum algorithm for the second time this month, following trades of 15.39 million shares yesterday, compared to its 200-day average volume of 1.39 million shares. The counter fell 0.5 sen or 4.55% to end the day at 10.5 sen yesterday.

The scheduled waste recycler has aborted its private placement exercise last month.

In a filing with Bursa Malaysia on March 9, Hiap Huat explained that it has not been able to implement the proposed private placement due to prevailing market conditions, its present market price traded was below the par value of 10 sen each and low trading volume of its shares.

Hiap Huat had proposed the private placement in December 2014 — involving the issuance of up to 33 million shares or up to 10% of the company’s issued and paid-up capital — to raise RM4.66 million for its working capital.

It currently trades at 0.66 times book value.