KUALA LUMPUR (June 7): Corrugated paper packaging maker DS Sigma Holdings Bhd (KL:DSS) has proposed to transfer its listing from the ACE Market to the Main Market of Bursa Malaysia, saying it has met the required profit requirements.

In a bourse filing on Friday, DS Sigma noted that it recorded a profit after tax (PAT) attributable to owners of the company of RM8.16 million for its financial year ended June 30, 2023 (FY2023) and an aggregate PAT of RM49.49 million for FY2021, FY2022 and FY2023.

Under the equity guidelines issued by the Securities Commission Malaysia (SC), a company must have an uninterrupted profit of three to five full financial years prior to submission to the SC, with an aggregate PAT of at least RM20 million and a PAT for the most recent financial year of at least RM6 million.

DS Sigma added that as at end-FY2023, its current assets stood at RM95.59 million while its current liabilities stood at RM9.12 million.

Its cash balances stood at RM66.33 million while unutilised banking facilities (excluding lease liabilities) came in at RM8.95 million. Its total borrowings stood at RM6.30 million with a gearing ratio of 0.06 times. Retained earnings totalled RM55.75 million.

The company reported positive net cash flow from operating activities for the past three years amounting to RM18.28 million for FY2021, RM27.14 million for FY2022, and RM12.5 million for FY2023.

On its public shareholding spread, DS Sigma said 31.1% of its total number of issued shares is held by 2,968 public shareholders holding not fewer than 100 shares each, which is over the requirement of 25%.

The company said it has also complied with the Bumiputera equity requirement for public-listed companies when it was listed on the ACE Market on Jan 6, 2023.

DS Sigma expects the listing transfer to be completed in the second half of 2024.

Shares of DS Sigma closed down 1.5 sen or 4% at 36 sen on Friday, giving the company a market capitalisation of RM172.8 million.