Elsoft proposes two-for-one share split, one-for-five bonus issue
Syahirah Syed Jaafar / theedgemarkets.com
August 28, 2018 21:30 pm +08
KUALA LUMPUR (Aug 28): Elsoft Research Bhd, which is involved in the development of test and burn-in systems, has proposed to undertake two-for-one share split and a one-for-five bonus issue at an entitlement date to be determined later.
Elsoft said the bonus issue is to reward the shareholders of the company while the share split is intended to enhance the marketability and trading liquidity of its shares.
In a filing today, the group said it is offering a bonus issue of up to 56.4 million bonus shares on the basis of one bonus share for every five existing shares. The bonus issue shall be capitalised from the share premium account.
The two-for-one share split will entail the subscription of every one existing share into two subdivided shares.
“For the avoidance of doubt, the proposed share split will be implemented upon completion of the proposed bonus issue,” it said.
The proposed bonus Issue is expected to be completed by the fourth quarter of the financial year ending December 31, 2018.
Elsoft’s shares closed up four sen or 1.26% to RM3.21, for a market capitalisation of RM888.84 million.