Hot stock: No Signboard up 12.7% after new controlling shareholder announcement

SHARES of Catalist-listed No Signboard Holdings were up 12.7 per cent on Thursday after the company announced a new controlling shareholder.

The counter hit an intraday high of 7.4 Singapore cents as at 9.06am on Thursday, up 17.5 per cent or 1.1 cents. As at 11.26am, it was trading 12.7 per cent or 0.8 cent higher at 7.1 cents, with 21.6 million shares changing hands.

No Signboard said in a bourse filing after midnight that Gugong, a controlling shareholder which owns a 74.91 per cent stake in the company, entered into a sale and purchase agreement with Su Hai Jin for a 20 per cent stake in the restaurant operator.

No Signboard said the purchaser is a businessman with business interest in Singapore, and is not related to Gugong, the company or any substantial shareholders. No further details on the buyer were given.

Gugong will transfer about 92.5 million shares at a price of S$0.07 per share for around S$6.5 million to the purchaser. The latter will have the right to appoint up to two persons to No Signboard's board.

When the share transaction is completed, Gugong will have a shareholding interest of about 54.91 per cent in No Signboard.