JEP Holdings proposes share consolidation exercise

JEP Holdings on Monday proposed to undertake a share consolidation exercise to consolidate every four existing ordinary shares in the capital of the company into one ordinary share.

Post-consolidation, each shareholder of the company will receive one consolidated share for every four existing shares held prior to the consolidation as at the books closure date that will be announced later.

The solution provider of precision machining and engineering services said that it believes the move will reduce the volatility of the share price and create more market interest and attractiveness of the company and its shares.

The number of consolidated shares which shareholders will be entitled to, based on their holdings of existing shares as at the books closure date, will be rounded down to the nearest whole consolidated share and any fractions of a consolidated share arising from consolidation will be disregarded.

A shareholder who holds less than four existing shares will not be entitled to any consolidated share and will no longer be a shareholder upon completion of the exercise, JEP said.

The company will be holding an extraordinary general meeting to get shareholders' approval for the proposed consolidation.

JEP closed unchanged at S$0.084 on Monday.