Gabungan AQRS plans 1-for-4 bonus issue of Warrants B

PETALING JAYA: Gabungan AQRS Bhd has proposed a bonus issue of Warrants B on the basis of one Warrant B for every four existing shares held.

The implementation of Warrants B will be after expiry of Warrants A on July 20.

The exercise price of Warrants B will be determined and announced at a later date after the receipt of all the relevant approvals but before the entitlement date.

In a statement, Gabungan AQRS said the new issuance of Warrants B was an appropriate avenue for rewarding its existing shareholders after taking into consideration several factors.

These included for their continuous support by enabling them to participate in a derivate of the group without incurring any additional cost.

It is also to provide the shareholders with an opportunity to further increase their equity participation in the group by exercising their Warrants B at a pre-determined price over the tenure of the warrants.

Gabungan AQRS said the issuance of Warrants B would allow the group to raise additional working capital when the Warrants B were exercised in the future, without incurring interest expenses compared to bank borrowings.

“Looking ahead, I am confident that the group will continue to record growth in 2018 from all fronts, including its financial position, construction order book and property sales.

“Our tall construction order book of RM2.8bil will ensure earnings visibility for the next three financial years,” group CEO Datuk Azizan Jaafar said.