KUALA LUMPUR (Nov 3): MMAG Holdings Bhd (KL:MMAG) — in which two listed companies hold a more than 10% stake combined — has come out to say that it is not aware of possible explanations for the unusual market activity (UMA) involving its stock after hitting limit-down on Monday, bringing the counter to its lowest in 19 months.
In separate filings, MMAG also announced the resignation of executive director Chin Boon Long, eight months after his spouse Chan Swee Ying ceased to be a substantial shareholder.
Following Chin's resignation as executive director, a role he had held for one year and nine months, MMAG appointed Datuk Kevin Jit Singh Ragbir Singh to the position with immediate effect.
The group, whose shares have climbed as much as 75% this year and more than 800% in the last two years, received a UMA query from Bursa Malaysia after the stock fell as much as 30 sen to 16 sen per share.
The counter settled at 18.5 sen, still down by 27.5 sen. Trading volume in the fourth most active stock on Bursa Malaysia in the day surged to 65.82 million shares, its highest since May last year.
Former politician Datuk Farhash Walfa Salvador is MMAG's largest shareholder with a 19.9% stake, held through Velocity Capital Sdn Bhd bought in March, the same month NexG Bhd (KL:NEXG) acquired a 9.47% stake. Later in July, Globetronics Technology Bhd (KL:GTRONIC) also acquired an estimated 24.8 million shares or a little over 1% in the company.
Chan, who had also disposed of 175 million MMAG shares in March, held a remaining 107.36 million shares or a 4.62% stake at the time.
On Monday, 3.38 million of MMAG shares changed hands off-market at 18.5 sen in the final ten minutes of trading, checks on Bloomberg showed. Earlier at 4.09pm, another block of 6.35 million shares was sold off-market via direct trade at 39.5 sen apiece or RM2.51 million.
At its last price, MMAG has a market capitalisation of RM429.4 million, based on its share base of 2.32 billion shares.
Separately, NexG also saw 150 million shares traded off-market at 40 sen apiece or RM60.14 million at 4.01pm.
The counter fell in the last two hours of trading, settling at 35 sen or down 7.89%, giving it a market capitalisation of RM1.3 billion.
MMAG in February this year diversified its logistics business to include the aviation services segment through the acquisition of freighters to support its commercial cargo venture.
NexG this year won four government-linked contracts, including for the supply of Malaysian passports, identity cards and foreign worker cards to departments under the Ministry of Home Affairs.