KUCHING: Serba Dinamik Holdings Bhd’s newly issued free warrants hit limit-up price of 30.5 sen in its debut on Bursa Malaysia yesterday.
At the opening bell, 152, 600 warrants were transacted at 30.5 sen, which is a 44.09 percent premium from the exercise price of RM2.62 to mother share. Serba Dinamik shares opened at RM2.03 yesterday following price adjustment to the bonus issue.
The warrants have tenure of five years.
To reward shareholders, Serba Dinamik issued 881.1 million free warrants on the basis of two warrants for every five subdivided shares. The company has undertaken a share split involving the subdivision of every two existing ordinary shares.
It has also carried out a bonus issue on the basis of two bonus shares for every five subdivided shares.
The warrants have tenure of five years.
If all the warrant holders exercise their warrants at the exercise price of RM2.62, this will enable Serba Dinamik to raise gross proceeds of more than RM2.3 billion.
In a recent circular to shareholders, Serba Dinamik has said that such proceeds, if raised, as and when the warrants are exercised, shall be utilised for the group’s working capital and repayment of the group’s borrowings which totalled RM2.484 billion as at June 30, 2019.
“For illustration purposes, on the assumption that 50 percent of the potential maximum gross proceeds amounting to approximately RM1,154.2 million is used to repay our group’s borrowings, the expected savings from the interest cost, computed based on our group’s average interest rate of 6.50 percent, is approximately RM75.0 million,” said Serba Dinamik.
Meanwhile, Sarawak Consolidated Industries Bhd’s (SCIB) wholly-owned subsidiary SCIB Concrete Manufacturing Sdn Bhd (SCIBCM) has completed the acquisition of two units of industrial buildings in Sejingkat Industrial Park from Reignvest Sdn Bhd for RM8.236 million.
SCIB said the final balance of the purchase price for the buildings was released to the seller on Nov 29.
SCIBCM has been renting the buildings for its manufacturing operations before the acquisition.
In another development, DRBHicom Bhd has made its inaugural issuance of Sukuk Wakalah amounting to an aggregate of RM1.5 billion in nominal value under its Sukuk Wakalah Programme.
The issuance are of RM250 million (tenure of three years), RM300 million (five years), RM250 million (seven years) and RM700 million (10 years).
“The Sukuk Wakalah Programme has been assigned a final credit rating of A+IS with positive outlook by Malaysia Rating Corporation Bhd,” DRB-Hicom told Bursa Malaysia.
The company said the proceeds from the Sukuk Wakalah issuance would be utilised to refinance the group’s existing financing/borrowings, to finance the company’s capital expenditure and working capital requirements and/or investments as well as for general corporate purposes as well as to pay for all fees and expenses in connection with the Sukuk Wakalah Programme.
DRB-Hicom, which is involved in the entire automotive value ecosystem and owns national car company Proton, has proposed to issue up to RM3.5 billion of Sukuk Wakalah.
Maybank Investment Bank Bhd and RHB Investment Bank Bhd are the joint principal advisers, joint lead arrangers and joint lead managers for the Sukuk Wakalah Programme.
