KUALA LUMPUR (July 21): Loss-making Perdana Petroleum Bhd announced that Bursa Malaysia has given it the green light to trade with a public shareholding spread of 20%, which is lower than minimum 25% requirement.

A marine offshore services provider, Perdana Petroleum said the approval by the stock exchange regulator is also an indication that its lower-than-minimum public shareholding spread complies with Paragraph 8.02(1) of the bourse’s Main Market Listing Requirement (MML), which stipulated an entity’s continuing listing obligation.

Under Paragraph 8.02(1), Bursa Malaysia may allow a listed counter to trade below the minimum 25% public shareholding threshold if it is satisfied that the lower spread could be accepted as “liquid”.

Perdana Petroleum also added that Bursa Malaysia has approved its shares to resume trading on the local bourse once its controlling shareholder — Dayang Enterprise Holdings Bhd — completed the distribution of dividend-in-specie of up to 292.2 million shares.

To recap, Dayang Enterprise had in May 2015 triggered a mandatory general offer after it increased its holdings in Perdana Petroleum to 35.51% from 29.77%.

The stake increase was the result of Dayang Enterprises’ purchase of a 5.74% stake from Affin Hwang Asset Management Bhd at RM1.55 per share.

Currently, Dayang Enterprise owns a 98.01% stake in Perdana Petroleum, according to the latter’s Annual Report 2016.

Shares in Perdana Petroleum has been suspended for nearly one year and 10 months after it failed to address the public shareholding spread requirement.

The counter was last traded at RM1.54, for a market capitalisation of RM1.2 billion.

In May, Perdana Petroleum shares were classified as syariah-compliant by the Securities Commission Malaysia’s Syariah Advisory Council.