Apex surges 29.5 sen to hit limit up

For April, the 30-stock index was up 9.46 points or 0.58% from a month ago.

KUALA LUMPUR: Apex Equity Holdings Bhd has hit limit up after surging 29.5 sen or 31% to RM1.24.

At 3.40pm, trading volume hit 330,600 shares as compared with 32,000 shares traded in the previous session.

While the reason for the rapid advance in share price remains unknown, Apex has announced plans to merge its business with another stockbroking firm.

In a Sept 21 filing with the stock exchange, Apex said it had entered into a heads of agreement with Mercury Securities Sdn Bhd to merge their stockbroking operations.

The latter stockbroker had agreed to transfer its entire business to Apex for RM140mil, which would be settled via payments totalling RM48mil in cash and the issuance of 100 million shares in Apex to Mercury at an issue price of 92 sen per share.

Mercury Securities will end up with a 31% stake in the enlarged Apex Equity group.

To fund part of the cash portion, Apex said it plans to place out 20 million new shares at a price to be determined at a later date.