Transocean upper limit now set at RM4.34

Transocean upper limit now set at RM4.34
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KUALA LUMPUR (April 26): Transocean Holdings Bhd's upper limit has been set at RM4.34, after the counter traded at its static upper limit price for two consecutive trading days.

Shares in the logistics company surged past the RM4 mark today for the first time in its history, after hitting limit up again — rising by RM1 or 29.94% to RM4.34.

Transocean was the third biggest gainer on Bursa Malaysia in terms of percentage, and second biggest gainer in terms of value.

Two weeks ago, the stock was trading at just 88 sen on April 13. Since then, it has hit limit up four times.

The steep climb in its share price comes after the company announced that it would be buying a 40% stake in software engineering firm Enfrasys Solutions Sdn Bhd for RM20 million in an all-share deal, on April 14.

Bursa Malaysia issued an unusual market activity query to the company last week, following the big increases in its share price and trading volume.

Transocean stated that it was not aware of any other corporate developments, other than its Enfrasys deal, that could account for the higher trading activity.

The company was also in the news when it announced two proposed private placements recently.

On April 15, it proposed a placement to raise RM3.12 million to fund the capital expenditure of the group's logistics service segment. The second placement was announced the following day, to raise a similar amount to upgrade the logistics segment's information technology infrastructure and system.

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Transocean tops RM4 for the first time as stock hits limit up again

S Kanagaraju