SGX RegGo issues 'trade-with-caution' alert for Yinda Infocomm
SINGAPORE Exchange Regulation (SGX RegCo) issued a "trade-with-caution" alert for Catalist-listed Yinda Infocomm on Tuesday after the market close, after a review showed that "a group of accounts appeared to be influencing the share prices" of the counter.
In its alert, SGX RegCo noted that Yinda shares climbed steadily from 5.3 Singapore cents last Sept 24 to 14.9 Singapore cents on Tuesday, nearly tripling in price. In comparison, over the same period, the Straits Times Index rose 30.2 per cent.
SGX RegCo noted five corporate actions announced by Yinda in that period where the volume-weighted average price (VWAP) of its shares was integral to the transactions, and observed that "the same person acted as the introducer in all five of these announcements".
It said that its review of trades in Yinda shares "further showed that a group of accounts appeared to be influencing the share prices of YIL", adding: "Our initial findings suggest that the individuals behind these accounts are likely connected to the introducer."
The five actions included four proposed placements of new ordinary shares, as well as the proposed acquisition, announced on Jan 26, of a 51-per-cent stake in the total ordinary share capital of International Biometrics Pte Ltd. A total of 143.3 million consideration shares were to be issued and allotted at an issue price of S$0.15, a premium compared to the volume-weighted average price of S$0.1367 on Jan 21.
The proceeds from the four placements were to be used for working capital and new business opportunities, including diversifying into identity-management biometrics technology solutions through the acquisition of International Biometrics. The business diversification and proposed acquisition are subject to shareholders approval on March 31.
GET BT IN YOUR INBOX DAILY
Start and end each day with the latest news stories and analyses delivered straight to your inbox.
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Companies & Markets
Porsche posts Q1 profit drop on ramp-up costs
IBM plots US$730 million expansion of Canadian semiconductor site
Seatrium unit to fully redeem S$500 million worth of floating-rate bonds early
Yeo Guat Kwang, John Chen retiring from corporate boards
US: Wall St opens higher
Air China orders homegrown C919s in challenge to jet duopoly