You are here

SGX RegCo urges caution in trading of ISOTeam shares

SINGAPORE Exchange Regulation (SGX RegCo) on Thursday warned shareholders and potential investors to exercise caution when dealing in shares of building maintenance firm ISOTeam.

This came after the counter surged to S$0.149 on Sept 24, up 7.2 per cent from S$0.139 from Sept 23, and has steadily remained around S$0.147 since.

SGX RegCo flagged that some 71 per cent of the traded volume in ISOTeam's shares between Sept 24 and Nov 24 stemmed from a small group of accounts. These accounts were responsible for over 83 per cent of the buy trades on Sept 24, when the stock surged.

"The individuals behind these accounts appear to be connected to each other," said SGX RegCo, adding that there were cross trades between these accounts during the period under review. These cross trades consisted of slightly over 55 per cent of on-market traded volume. Meanwhile, these accounts engaged in trading among themselves on 41 of the 44 trading days between Sept 24 and Nov 24.

SGX RegCo is further reviewing the trades and will take necessary action, including referring the case to the authorities where warranted, it highlighted.

Your feedback is important to us

Tell us what you think. Email us at btuserfeedback@sph.com.sg

The share price movement occurred amid ISOTeam's results release - which took place on Oct 30 - for the year ended June 30, 2020. It chalked up a full-year loss of S$21.49 million, sinking into the red from a profit of S$6.3 million previously.

BT is now on Telegram!

For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes