KUALA LUMPUR (July 1): SkyGate Solutions Bhd (KL:SKYGATE) has been issued an unusual market activity (UMA) query after the precision engineering and industrial property group’s shares climbed to an eight-month high.
Bursa Malaysia asked the company to explain the sharp rise in its share price and trading activity, including whether there were any undisclosed corporate developments, rumours, or other factors behind the movement, according to a bourse filing on Wednesday.
The stock hit an intraday high of 82 sen on Wednesday — a level last seen on Nov 10 — before easing to close at 81.5 sen, with 920,040 shares traded. Year to date, the counter has gained 19.85%.
The closing price values the company at RM300.8 million.
SkyGate shares began to climb on June 22, when they closed at 56 sen. The counter has since climbed 45.5%.
In its latest financial results, SkyGate’s quarterly net loss widened to RM2.61 million from RM844,000 from a year earlier, due to higher finance cost and distribution and administrative expenses. This came despite revenue rising to RM25.52 million from RM13.65 million a year ago.
According to SkyGate’s recent filings, major shareholder Datuk Ooi Eng Leong has been accumulating shares both via the open market and the allotment of consideration shares under a corporate asset deal, acquiring a total of 8.93 million shares between June 25 and June 29. Following these acquisitions, Ooi's direct interest in the company stood at 39.37%.
In January, SkyGate announced plans to acquire a Penang-based property investment company linked to Ooi for RM75.9 million in cash and shares, adding an 8.15-acre industrial property within the Perai Industrial Park to its portfolio. It expects to generate annual rental income of about RM5.3 million, with more than half of the property tenanted at the time.