Two A-Sonic Aerospace directors exercise bonus warrants, market cap to get boost

TWO directors of aerospace and logistics firm A-Sonic Aerospace - which has been on the Singapore Exchange Watch-list since June 2017 - have exercised their bonus warrants, which could hoist the company's market capitalisation above the S$40 million threshold.

According to a filing to the Singapore Exchange, majority substantial shareholder and director Janet Tan exercised some 8.44 million bonus warrants, while director Irene Tay exercised 224,450 bonus warrants. These will be converted into a total of some 8.67 million new ordinary shares.

With this, the enlarged share capital of A-Sonic Aerospace will go up to about 67.15 million shares on or around Jan 21, rising from about 58.48 million shares presently.

Assuming the company's shares trade at S$0.605, similar to their closing price of S$0.605 last Friday (Jan 14), its market cap would work out to about S$40.625 million based on the enlarged share capital, the company said.

However, it would need to maintain its market cap above S$40 million for 6 months in order to apply to the Singapore Exchange to be removed from the SGX Watch-list. "This and other factors prevailing in the future may affect the company's exit from SGX Watch-list," the company said.

Meanwhile, there are still another 5.95 million or so bonus warrants held by other shareholders, which can be exercised to new ordinary shares in the company between Jan 15 and Apr 8.

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In May last year, the company announced that it was issuing nearly 14.62 million bonus warrants to shareholders on the basis of 1 bonus warrant for every 4 shares held.

A-Sonic Aerospace plans to release its full-year results for FY21 on or around Feb 28.

The counter closed at 60.5 Singapore cents on Friday, up half a cent or 0.83 per cent.

READ MORE:

• A-Sonic Aerospace proposes bonus issue of warrants
• A-Sonic receives notice of International Plaza collective sale; units valued above book