Latest news with #SCIB
Borneo Post
27-06-2025
- Business
- Borneo Post
SCIB launches rights issue, capital reduction to strengthen financial position
Chong Loong Men. KUCHING (June 27): Sarawak Consolidated Industries Berhad (SCIB) has proposed a rights issue to raise up to RM53.45 million, alongside a share capital reduction to address accumulated losses and strengthen its financial footing. In a statement yesterday, SCIB said the rights issue will involve up to 763.62 million new ordinary shares, accompanied by an equal number of free detachable warrants. It said the offer is on the basis of one rights share for every existing SCIB share held with one free warrant for each rights share subscribed. The indicative issue price is RM0.07 per rights share. Executive Chairman and major shareholder Datuk Chong Loong Men has committed to subscribing to 143 million rights shares. The group said the corporate exercise is aimed at strengthening its financial position, optimising its capital structure, and supporting future expansion. Proceeds from the rights issue will go towards constructing a new factory, acquiring machinery, repaying part of the group's bank borrowings, meeting working capital needs, and covering expenses related to the corporate proposals. 'The fresh capital injection will reinforce SCIB's liquidity and operational capacity, particularly in its core manufacturing and EPCC (engineering, procurement, construction and commissioning) segments, as it scales participation in major infrastructure projects across East Malaysia and beyond,' the group said. At the same time, SCIB has proposed a reduction of its issued share capital by RM110 million under Section 117 of the Companies Act 2016. The proposed capital reduction, according to the group, will help to rationalise its financial position by cancelling part of its issued share capital that is lost or unrepresented by assets. This move is expected to reflect the actual value of the group's assets and financial position more accurately. Chong said the rights issue with warrants allows shareholders to take part directly in SCIB's growth path while reinforcing its capital base. He said the capital reduction also shows the company's commitment to transparency and restoring its balance sheet strength. 'We are laying a solid foundation for long-term growth and operational scalability, especially as we align ourselves with the robust infrastructure agenda in Sarawak and the wider region. 'These corporate initiatives will allow us to be more agile financially and create sustainable value for all stakeholders,' he said. A circular with full details will be issued to shareholders ahead of the upcoming extraordinary general meeting. corporate news Sarawak Consolidated Industries Berhad
The Star
26-06-2025
- Business
- The Star
SCIB seeks to raise RM53mil with rights issue
PETALING JAYA: Sarawak Consolidated Industries Bhd (SCIB) is undertaking a corporate exercise comprising a renounceable rights issue with free detachable warrants that is expected to raise proceeds of up to RM53.45mil. Concomitantly, the company has proposed to reduce its issued share capital by RM110mil. This will allow the company to rationalise its financial position and reflect more accurately the value of its underlying assets and finances. The proposed rights issue – with an indicative issue price of seven sen per share – will entail the issuance of up to 763.62 million new shares with up to 763.62 million free detachable warrants on the basis of one rights share for every one existing SCIB share held, and one free warrant for every one rights share subscribed. SCIB said the funds raised will be allocated towards the construction of a new factory, acquisition of factory machinery, partial repayment of bank borrowings, working capital requirements, and expenses related to the proposed corporate exercises.
The Star
26-06-2025
- Business
- The Star
SCIB undertakes rights issue with warrants, capital reduction
KUALA LUMPUR: Sarawak Consolidated Industries Bhd (SCIB) is undertaking a corporate exercise comprising a renounceable rights issue with free detachable warrants that is expected to raise proceeds of up to RM53.45mil. Concomitantly, the company has proposed to reduce its issued share capital by RM110mil. It said this will allow the company to rationalise and reflects its financial position and reflect more accurately the value of its underlying assets and finances. The proposed rights issue - with an indicative issue price of seven sen per share - will entail the issuance of up to 763.62 million new shares with up to 763.62 million free detachable warrants on the basis of one rights share for every one existing SCIB share held, and one free warrant for every one rights share subscribed. SCIB said the funds raised will be allocated towards the construction of a new factory, acquisition of factory machinery, partial repayment of bank borrowings, working capital requirements, and expenses related to the proposed corporate exercises. "The fresh capital injection will reinforce SCIB's liquidity and operational capacity, particularly in its core manufacturing and engineering, procurement, construction and commissioning (EPCC) segments, as it scales participation in major infrastructure projects across East Malaysia and beyond," it said in a statement. SCIB executive chairman and major shareholder Datuk Chong Loon Men said he is undertaking to subscribe to 143 million rights shares as a demonstration of his continued confidence in the company's prospects "We are laying a solid foundation for long-term growth and operational scalability, especially as we align ourselves with the robust infrastructure agenda in Sarawak and the wider region. "These corporate initiatives will allow us to be more agile financially and create sustainable value for all stakeholders," he said .
New Straits Times
26-06-2025
- Business
- New Straits Times
SCIB unveils dual proposals to strengthen financial position
KUALA LUMPUR: Sarawak Consolidated Industries Bhd (SCIB) has proposed a rights issue with free detachable warrants and a capital reduction exercise to strengthen its capital base and support future growth initiatives. The industrialised building systems specialist said the rights issue could raise up to RM53.45 million through the issuance of up to 763.62 million new shares with an equal number of free warrants. The indicative issue price for the rights shares is seven sen apiece, on the basis of one rights share and one free warrant for every existing SCIB share held. Executive chairman and major shareholder Datuk Chong Loong Men has committed to subscribe to 143 million rights shares under the exercise. Proceeds from the rights issue will be used for the construction of a new factory, purchase of machinery, partial repayment of bank borrowings, working capital and to cover related expenses. SCIB has also proposed to reduce its issued share capital by RM110 million. The move is aimed at rationalising its financial position by offsetting accumulated losses. Chong said the dual proposals would help bolster shareholder value and reinforce SCIB's financial flexibility. "The rights issue with warrants provides an opportunity for our shareholders to participate directly in SCIB's growth trajectory, while simultaneously reinforcing our capital base," he said in a statement. "Meanwhile, the proposed capital reduction reflects our commitment to enhancing transparency and restoring balance sheet strength." He added the initiatives are part of efforts to lay a solid foundation for long-term growth, especially as the group aligns itself with Sarawak's infrastructure development agenda. A circular on the proposals will be sent to shareholders ahead of an upcoming extraordinary general meeting.
The Star
12-06-2025
- Business
- The Star
Trading ideas: Binastra, Tower REIT, Capital A, VS Industry, Bertam Alliance, SCIB
KUALA LUMPUR: Binastra Corp Bhd, Tower Real Estate Investment Trust (Tower REIT), Capital A Bhd , V.S. Industry Bhd (VSI), Sarawak Consolidated Industries Bhd (SCIB) and Bertam Alliance Bhd are among the stocks to watch today. Binastra has secured a RM268mil construction contract from TNJ Development Sdn Bhd for the proposed development of a 45-storey suite apartment block. Tower REIT said its chief executive officer (CEO), Martin Kung Boon Keat, has resigned from the company to pursue other career opportunities. Reuters reported that AirAsia is in advanced discussions to place an order for at least 100 Airbus jets at next week's Paris Airshow, a deal likely to mark the introduction to its fleet of the planemaker's smallest jet, the A220, industry sources said. In the third quarter ended April 30, VSI's net profit fell more than half to RM23.8mil, or 0.62 sen per share, compared with RM54.4mil, or 1.43 sen, in the same quarter a year ago. Revenue for the quarter fell to RM909.4mil against RM1.01bil previously. Bertam Alliance has regularised its financial condition and no longer triggers any of the Prescribed Criteria under Paragraph 2.1 of Practice Note 17 (PN17) and Paragraph 8.03A of the Main Market Listing Requirements of Bursa Malaysia. Bertam said it will be uplifted from being classified as a PN17 company effective from 9 am today. SCIB has announced a reshuffling of its board of directors to reinforce corporate governance, enhance leadership depth and support the company's strategic growth initiatives. Datuk Chong Loong Men has been appointed as the new executive chairman of SCIB. The company also announced the resignations of independent non-executive chairman, Datuk Seri Zaini Jass, and independent non-executive directors Kang Wei Luen, Ooi Hoot Kuang and Ng Cheng Shin.
