Bursa Securities freezes price of Tecnic

KUALA LUMPUR: Bursa Malaysia Securities has frozen the share price of Tecnic Group Bhd’s at the upper limit of 73.5 sen and lower limit of 43.5 sen with effect from Monday.

In a circular on Monday, it said the imposition of the limits in the share price was in accordance to Rules of Bursa Malaysia Securities, trading status on the freezing of price.

Tecnic’s share price had hit limit-up on Thursday and Friday after it went ex on Thursday.

Tecnic’s share price had surged last week ahead of its distribution-in-specie of SKP Resources shares and dividends going ex.

The corporate exercise involved the distribution of 172.09 million shares of SKP Resources held by Tecnic to the shareholders of Tecnic on the basis of 4.26 SKP shares for every one Tecnic share held.

Tecnic will also distribute RM94.93mil cash proceeds and repayments received totalling RM11.71mil on the basis of RM2.64 for every one Tecnic share held.

SKP Resources had recently completed the acquisition of sister company Tecnic and the new SKP shares would be distributed to Tecnic’s shareholders by end-April 15. 

Following the completion, Tecnic will deliver full-year contribution to SKP’s FY16 bottom-line.