UMS shares up 7.2% after Malaysia placement proposal
The company plans to place out 52.9 million new shares at RM8.50 apiece
UMS Integration's shares climbed to a one-month high on Wednesday (Sep 30) after the company announced a Malaysia-only placement of 52.9 million new shares at RM8.50 apiece. The offering, valued at up to RM450 million (US$110.3 million), aims to fund projects in Malaysia, Singapore, and Vietnam. The share price jumped by 7.2%, reaching S$2.82 in early trade.
This move is seen as a way to expand the company's regional manufacturing capabilities, particularly in Penang, and to counter manpower shortages. The new shares will only be sold in Malaysia. Analysts see the placement as a value-adding move for shareholders, particularly in improving share liquidity and closing the valuation gap with Malaysian tech stocks.
Written by urgent.news from The Business Times - Companies & Markets's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
