Majuperak defers private placement exercise.
Majuperak Holdings Bhd will be deferring its proposed private placement exercise due to a longer timeframe required for submission of the additional listing application (ALA) to Bursa Securities.
KUALA LUMPUR: Majuperak Holdings Bhd will be deferring its proposed private placement exercise due to a longer timeframe required for submission of the additional listing application (ALA) to Bursa Securities.
Group chief executive offucer Nizran Noordin said the company is currently engaging with several parties with strong financial standing to potentially participate in its fundraising exercise.
"Hence, this requires a longer timeframe for finalisation.
"In view of this, we will not be proceeding with the submission of the ALA within the stipulated deadline at this juncture, and will be deferring this exercise to a later date," said Nizran.
Meanwhile, chairman Datuk Redza Rafiq Abdul Razak said the company is optimistic on the outlook ahead for Majuperak.
"We remain focused on leveraging on opportunities in our value chain to enhance our prospects and drive the sustainable long-term growth of the company.
"With the deferment of the private placement exercise, we will continue discussions with strategic parties to explore viable options to strengthen the company's financial position and capital base moving forward," said Redza.
MajuPerak aimed to raise up to RM20 million via issuance of up to 56.66 million new shares, representing not more than 20 per cent of the company's issued ordinary shares.
Proceeds are earmarked to be utilised for operating expenditure, repayment of bank borrowings and to fund facility management projects and other future projects.
The proposal entailed a two-month period for the company to submit the ALA by April 23, 2021.