SGX queries Hosen as shares rise 55.7% to 52-week high

SHARES of Catalist-listed packaged-food distributor Hosen Group gained 55.7 per cent or 3.9 Singapore cents on Monday, prompting a query from the Singapore Exchange (SGX) about "unusual price movements" in its shares.

Hosen shares closed at seven Singapore cents on Friday, and opened at 7.1 Singapore cents on Monday morning. The counter advanced 15.5 per cent or 1.1 Singapore cents to trade at 8.2 Singapore cents at 9.10am. The counter ended the first half of the trading day at 8.5 Singapore cents.

Following the mid-day break, the shares gained a further 26.7 per cent over the course of the afternoon, ending the day at 10.9 Singapore cents. This marked a 52-week high for the counter. Some 68.5 million shares had changed hands over the course of the day.

SGX queried Hosen at 5.02pm, asking if the company was aware of any possible explanation for the trading activity, including any information not previously announced, or the public circulation of information by rumours or reports.

Hosen was also asked to confirm its compliance with Catalist listing rules.

The company responded to the query at 6.32pm on Monday, saying it was not aware of any information not previously announced pertaining to itself or its subsidiaries or associated companies which, if known, might explain the trading activity.

The board added it was unaware of any other possible explanation for the trading, and confirmed its compliance with listing rules.

SGX noted that this was the second query issued to Hosen in the past five months. The company had received a similar query regarding "unusual price and volume movements" on Sept 3, 2020, after its shares surged 70.3 per cent during the day's morning trading session.

Hosen's board said then that it was not aware of any information not previously announced which, if known, might explain the trading activity, and added that it was unaware of any other possible explanation for the trading. Hosen had also confirmed its compliance with listing rules.