The FBM KLCI was down 7.24 points, or 0.48% lower, to 1,493.87 with an intraday low of 1,492.40 and high of 1,503.73.
KUALA LUMPUR: Rapid Synergy Bhd
, YNH Property Bhd and Sarawak Consolidated Industries Bhd (SCIB) hit limit down in yesterday’s trading, joining almost 800 counters, which closed in the red on Bursa Malaysia.
This prompted Bursa to issue an unusual market activity (UMA) query to SCIB and Leform Bhd, which was another top loser, falling 44.9% or 22 sen to 27 sen with 215.31 million shares done.
The FBM KLCI was down 7.24 points, or 0.48% lower, to 1,493.87 with an intraday low of 1,492.40 and high of 1,503.73.
Selling was widespread with 775 counters closing lower as opposed to 324 gainers while 406 counters closed unchanged. Traded volume stood at 5.84 billion shares worth RM3.6bil.
Rapid Synergy fell RM2.41 or 29.9% to RM5.65 with 854,800 shares traded. The counter fell by 75% over the past five trading days.
YNH Property plunged 74 sen to RM1.73 and fallen about 65% in the past six months.
SCIB dropped 35.5 sen to 83.5 sen. It is the second most active counter on Bursa with 230.2 million shares traded.
Bursa has suspended the short selling of SCIB shares under its intraday short selling (IDSS) facility for the rest of the day after the stock dropped more than 15% or 15 sen from the reference price.
In a statement, the stock exchange said the IDSS facility would only be activated at 8:30am today.
Meanwhile, shares of Leform dived 28.5 sen or 58.16% yesterday, ending a three-month rally that saw the steel products manufacturer more than double its value.
Two counters which hit limit down yesterday, Rapid Synergy and YNH, are linked to Datuk Dr Yu Kuan Chon. The counters have been on a downtrend since last month.
It is unclear as to the reasons for three stocks linked to Yu to experience severe declines in the last few trading days.
The stocks linked to Yu are Rapid Synergy, YNH Property and IMASPRO Corp Bhd.
“There has been no recent fundamental change in the stocks to explain the gravity of the selldown with the exception of them being richly valued in terms of price-to-earnings ratio,” said an analyst.
The selldown, which appears to have begun first with a gradual decline early last month, has cumulated in staggering losses for the three stocks in the past few trading days.
Rapid Synergy shares had hit limit down for a couple of days in the past trading week as well.
When the three companies were queried by Bursa through an UMA if there were any corporate developments that may have cause these sharp share price falls, Rapid Synergy and YNH gave the same responses that it was considering an asset sale.“The management is currently considering proposals to sell certain landed properties of the company and its subsidiaries. However, these proposals are still under discussion,” both Rapid Synergy and YNH said in their statements.
Both companies then said they consider that it would be more appropriate to release any announcement pertaining to this matter to Bursa once the terms of the offers have been finalised and agreed to by both parties.
But Imaspro said there was no corporate development relating to the group’s business and affairs that has not been previously announced which may account for the unusual trading activity recently.
Until yesterday, YNH had experienced close to a 70% fall in its share price, Rapid Synergy an almost 80% decline while Imaspro has dropped by 73% since December 2023.Yu is the single largest shareholder in YNH with a 32.58% stake, while he owns a substantial stake in the other two companies.
