Quick take: Barakah Offshore gains 11% in early trade

KUALA LUMPUR: Shares of Barakah Offshore Petroleum Bhd , which has been facing selling pressure, rose 11% in early trade Monday.

The stock rose 11.11%, or 0.5 sen to five sen with 12.4 million shares done.

Last month, Barakah has has become a Practice Note 17 (PN17) company after it failed to make installment payments to Export-Import Bank of Malaysia Bhd (Exim Bank) and was unable to provide a solvency declaration to Bursa Malaysia Securities Bhd.

Barakah Offshore’s wholly owned subsidiary Kota Laksamana 101 Ltd had on May 17, 2019, received a notice of demand for the outstanding installment payments of US$2.65mil (RM11.08mil).

The loan with Exim Bank was taken for the financing of the pipe lay barge, Kota Laksamana 101 under an Islamic facility (Ijarah).

Barakah said it is in the midst of finalising a comprehensive plan, which may include restructuring all its banking facilities.

Stock on the Move , Barakah