Ekovest Bhd
KUALA LUMPUR: Ekovest Bhd
declined in early trade on news that major shareholder Tan Sri Lim Kang Hoo is exploring the sale of its toll-road business, Konsortium Lebuhraya Utara-Timur (KL) Sdn Bhd (Kesturi), for up to RM5bil.
The counter fell one sen, or 2.56%, to 38 sen, with 12.32 million shares changing hands. The stock has now fallen 25.5% year-to-date.
Public Investment Bank Research (PublicInvest) said Ekovest is potentially breaking out from its sideways channel, with anticipation of continuous improvement in both momentum and trend in the near term.
“Should immediate resistance level of 43 sen be genuinely broken with renewed buying interest, it may continue to lift price higher to subsequent resistance level of 49 sen.
“However, failure to hold on to support level of 37 sen may indicate weakness in the share price and hence, a cut-loss signal,” PublicInvest said.
Bloomberg reported that Lim is working with a financial adviser on the potential sale of a majority stake in the closely held Kesturi, according to sources who asked to remain anonymous due to the private nature of the process. The assets are expected to attract interest from other industry players, the sources said.
Ekovest owns 60% of Kesturi, while the remaining balance is held by Employees Provident Fund.
