You are here
Rickmers Trust manager says not aware of reason for trading surge
RICKMERS Trust Management said on Tuesday morning it was not aware of the reason behind the surge in trading of its units on Monday, which prompted a query from Singapore Exchange (SGX).
The units for the business trust, which owns and operates containerships mainly under long-term fixed-rate time charters, had soared as much as 38.6 per cent in heavy trade on Monday, before closing the day at 11.3 Singapore cents each, still up 36.1 per cent.
It was also the second most actively traded stock, with 105 million units changing hands, multiple times its average three-month volume of 1.38 million units.
Some brokers speculated the trust might have concluded new financing packages following an announcement by its auditors on Feb 19 that it was in talks with banks to extend a US$179.7 million loan due in March 2017, and exploring alternative financing for US$70.6 million medium term notes due in May 2017.
In its response to SGX, Rickmers Trust Management said it was not aware of information not previously announced, or any other possible reason, that might explain the trading.
It also confirmed its compliance with listing rules.