More companies join minimum trading price watch-list

Singapore

MORE mainboard-listed companies have announced their addition to the Singapore Exchange (SGX) watch-list with effect from June 6, due to not meeting minimum trading price (MTP) requirements.

A total of 22 companies are to be added to the MTP watch-list after SGX's latest half-yearly review, with no companies exiting.

On Wednesday, Advanced Holdings, China Jishan Holdings, China Mining International, Kencana Agri, PSL Holdings and Sakae Holdings made regulatory filings announcing their inclusion. Green Build Technology announced its inclusion on Tuesday night.

PSL Holdings has also been on SGX's financial watch-list since June 5, 2017, due to having pre-tax losses for three consecutive financial years and failing to maintain a market capitalisation of at least S$40 million.

Separately, Raffles Infrastructure Holdings and Mencast Holdings announced their inclusion on the watch-list due to financial entry criteria with effect from June 6.

All the firms notified shareholders and business partners that their operations are continuing as normal.

In its latest results release in May, Sakae reported a net loss of S$6.1 million for its third quarter, after recognising a S$3.2 million goodwill impairment charge for its majority stake in a Chilean seafood trader. This was the sushi chain's second consecutive quarter of year on year losses.

In March, oil and gas engineering firm Advanced Holdings gained shareholder approval to acquire a minority stake in Indonesia palm oil business Agricore Global. At S$15 million, the deal is worth nearly 90 per cent of Advanced's market capitalisation.

The latest announcements are in addition to eight firms which said on Tuesday that they will be added to the watch-list with effect from June 6 under the MTP criteria, namely having a volume-weighted average price of less than S$0.20 per share and an average daily market capitalisation of less than S$40 million over the last six months. One of them, United Food Holdings, was on the watch-list due to both MTP and financial criteria.

If firms do not meet the relevant requirements to exit the watch-list within 36 months, they may be delisted or have their shares suspended.