05-08-2025
- Business
- New Straits Times
Alam Maritim jumps nearly 24pct in active trade
KUALA LUMPUR: Shares of Alam Maritim Resources Bhd jumped nearly 24 per cent in morning trade as the stock continued to stabilise following a price adjustment from its share consolidation exercise in early July.
The counter opened slightly higher, up one sen or 5.26 per cent, before climbing as much as 4.5 sen or 23.68 per cent to 23.5 sen in active trade.
At the time of writing, the stock had eased to 22.5 sen, still up 3.5 sen or 15.56 per cent, with over 10 million shares changing hands, its busiest trading day in more than a month.
Alam Maritim completed a 10-to-1 share consolidation on July 3, with the stock trading on an adjusted basis starting July 1, rising from 2.5 sen to 26.5 sen on that day.
Since the price adjustment, the stock has fallen 7.5 sen or 28.3 per cent from its adjusted high of 26.5 sen, closing at 19 sen yesterday after touching a low of 17.5 sen on Aug 1.
Last Friday, the company confirmed that its ongoing rights issue is part of efforts to restructure its debts and exit its Practice Note 17 (PN17) status.
The rights issue opened on July 31. Eligible shareholders have until Aug 15 to subscribe to their entitled shares or apply for excess shares. Trading of provisional rights ends on Aug 7.
Under the offer, shareholders are entitled to subscribe for three new shares for every four shares held, at 12 sen per share. For every four rights shares subscribed, they will also receive one free warrant, exercisable at 30 sen per share.
The company expects to raise about RM13.8 million, most of which will go towards settling debts with creditors under its court-approved restructuring plan.
Alam Maritim has been classified as a PN17 company since October 2022, after its auditors issued a disclaimer of opinion on its financial statements for the period ended June 30, 2022.
The company is an offshore service provider specialising in subsea services and offshore support vessel (OSV) operations for the oil and gas industry.
Its core services include underwater inspection, repair and maintenance, vessel chartering and marine construction.
For the third quarter ended March 31, 2025, Alam Maritim posted a net profit of RM20.7 million, up from RM18.5 million a year earlier, mainly due to a RM19.5 million reversal of impairment on investments in jointly controlled entities.
However, revenue for the quarter fell 22.7 per cent to RM49.3 million from RM63.8 million, primarily due to weaker contributions from the OSV and subsea segments.
