{
  "id": 13866894,
  "title": "Shares in Malaysia’s Genting tumble by most in 28 years",
  "url": "https://urgent.news/2026/10/12/shares-in-malaysias-genting-tumble-by-most-in-28-years",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-10-12T04:09:16.000Z",
  "source": {
    "name": "South China Morning Post",
    "slug": "south-china-morning-post",
    "url": "https://www.scmp.com/news/asia/southeast-asia/article/3370534/shares-malaysias-genting-tumble-most-28-years"
  },
  "original_language": "en",
  "account": "Shares in Malaysia's Genting experienced its most significant drop in 28 years, plummeting by up to 17 percent to 1.56 ringgit. The decline occurred after the leisure group, controlled by billionaire Lim Kok Thay, announced plans for a renounceable rights issue to raise approximately 1.25 billion ringgit (US$306 million). The exercise, which would occur at a discount between 25 and 30 percent, would primarily be used to repay borrowings and boost working capital.\n\nGenting faced mounting debt and declining profitability, with total borrowings reaching 45.3 billion ringgit by the end of June. Analysts, such as Samuel Yin from Maybank Investment Bank, expressed concerns over potential dilution in earnings per share and book value per share. Yin also highlighted the possibility of further equity fundraising efforts or reduced dividends, downgrading the stock to a \"sell\" recommendation from \"buy.\"\n\nThe downgrade came as Genting Malaysia, a unit of the group, saw its shares plummet by nearly 8.1 percent, the most significant decline in over a year. Fitch Ratings had previously downgraded Genting to BBB- in September, predicting a slower pace of deleveraging due to substantial capital expenditure required to expand key properties in Singapore and New York. Despite winning a casino license in New York City, the company's financial challenges created significant concern among investors.",
  "summary": "Share in Genting plunged by the most in 28 years after the leisure group controlled by Malaysian billionaire Lim Kok Thay announced plans to raise about 1.25 billion ringgit (US$306 million) through a renounceable rights issue. The stock fell as much as 17 per cent to 1.56 ringgit, the biggest decline since 1998. The issue price would be fixed at a discount ranging between 25 and 30 per cent,…",
  "key_points": [
    "Genting shares dropped 17% to 1.56 ringgit, most decline in 28 years",
    "Company plans renounceable rights issue to raise 1.25 billion ringgit",
    "Concerns over debt, profitability, and potential earnings per share dilution"
  ],
  "editors_take": "The aggressive rights issue signals a desperate pivot toward debt repayment that forces existing shareholders to absorb significant dilution in exchange for the company's necessary capital stabilization.",
  "illustration": null,
  "coverage": {
    "outlets": 3,
    "also_reported_by": [
      {
        "outlet": "New Straits Times",
        "title": "Genting shares hit limit down, prompt IDSS suspension",
        "url": "https://urgent.news/2026/10/12/genting-shares-hit-limit-down-prompt-idss-suspension",
        "published": "2026-10-12T03:42:33.000Z"
      },
      {
        "outlet": "VnExpress Business",
        "title": "Shares of Malaysian billionaire Lim Kok Thay's Genting slump to near 2-decade low",
        "url": "https://urgent.news/2026/10/12/shares-of-malaysian-billionaire-lim-kok-thays-genting-slump-to-near-2",
        "published": "2026-10-12T07:17:08.000Z"
      }
    ]
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}