KUALA LUMPUR (June 24): XL Holdings Bhd (KL:XL) fell sharply on Wednesday though the agriculture and aquaculture firm said it is business as usual.
Shares of XL Holdings tumbled as much as 25% or 22.5 sen, wiping out a two-month rally, to as low as 66 sen. The stock closed down at 75 sen, still down 15% from the previous day’s closing price, valuing the group at RM376.3 million.
XL Holdings is not aware of any reason, undisclosed material information or corporate development that may have contributed to the share price movement, a company spokesperson told The Edge.
There have been no undisclosed material changes to XL Holdings’ operations, financial position or business outlook and the company is not concerned about the recent selling pressure, the spokesperson said. “Business operations continue to run as usual.”
XL Holdings is primarily involved in the commercial breeding of Asian arowana, stingrays and other ornamental fish, as well as the trading of aquarium tanks, accessories, feed and medication.
The company also has businesses involving food products, edible bird’s nest, seaweed cultivation, hatchery operations and pineapple cultivation.
Before Wednesday’s decline, XL Holdings had surged 30% from two months ago in active trades.
On Tuesday, XL Holdings announced that its long-term incentive plan had lapsed on April 21, leaving more than seven million employee share options unexercised.
The company said the expiry would not have any material effect on its earnings per share, net assets per share, gearing, share capital or substantial shareholders’ stakes.