At the closing bell, the stock gained 10.5 sen to last trade at 61.5 sen a share, its highest since August 2019.
PETaling JAYA: Shares of Star Media Group Bhd
surged as much 20.59% yesterday following news that Tan Sri Tong Kooi Ong, owner of The Edge Communications Sdn Bhd, had emerged as a substantial shareholder in the company.
At the closing bell, the stock gained 10.5 sen to last trade at 61.5 sen a share, its highest since August 2019.
A total of 109.8 million shares exchanged hands, making it the most active stock on Bursa Malaysia yesterday.
Year-to-date, shares of the Main Market-listed media group have risen by 105%.
Filings with Bursa Malaysia on Tuesday showed that Tong has a 0.254% direct stake or 1.84 million shares in Star Media.
He has another 37.5 million shares or 5.17% indirect stake through The Edge Communications, which is a publisher of business and financial news.
According to The Edge, Tong said in an internal memo to its employees that the acquisition is purely an investment.
“This is an investment in a company whose share price and capitalisation have for several years been well below the cash it has, and the value of its property assets. It has no debt and is clearly undervalued,” he was quoted as saying.
Star Media’s largest shareholder is the MCA, which holds a 45.35% stake in the media group.
For the financial year ended Dec 31, 2022, Star Media posted a net profit of RM6.92mil, or 0.95 sen earnings per share on revenue of RM217mil.
The group has proposed a first and final single-tier dividend of one sen per ordinary share in respect of the financial year ended Dec 31, subject to shareholders’ approval at the forthcoming AGM.
The payment date is on June 6, while the ex-date falls on May 23 followed by the entitlement date on May 24.
