KUALA LUMPUR (Oct 17): Berjaya Corp Bhd (KL:BJCORP) has proposed a bonus issue of warrants on a basis of 33 free warrants for every 100 shares held in the company.

The group, whose shares last traded at 29 sen apiece, has 5.83 billion shares in circulation, alongside 706.5 million warrants exerciseable at RM1 expiring May next year.

The warrants, which would have a tenure of five years, could allow BJCorp to raise between RM615.87 million and RM704.27 million if fully exercised. This is depending on the final number of warrants issued, and based on the illustrative conversion price of 32 sen apiece.

The final exercise price of the proposed warrants would be determined later. The proposal would require shareholders’ approval at an extraordinary general meeting to be held later. 

The retail-to-gaming conglomerate, whose businesses include the Starbucks coffee chain and the Sports Toto gaming brand, turned to a loss in the current financial year ended June (FY2025).

While posting operating profit backed by its gaming business, the group was dragged by a combination of property segment losses and higher impairments in the period.

Net loss in FY2025 came in at RM556.1 million from a net profit of RM446.19 million a year ago, as revenue fell 6.96% to RM9.34 billion, from RM10.04 billion.

At end-June, the group had total borrowings of RM6.46 billion, against cash and deposits to financial institutions of RM1.82 billion. 

Closing at 29 sen on Friday, the group had a market capitalisation of RM1.73 billion. The stock is down nearly 8% this year.