IDimension Consolidated plans capital reduction, 2-to-1 share consolidation

PETALING JAYA: Software developer IDimension Consolidated Bhd (ICB) proposes a capital reduction and a consolidation of every two shares held into one share.
The company told Bursa Malaysia that the proposed capital reduction will give rise to a credit of RM35 million, which will be utilised to set-off against the accumulated losses with the balance to be credited into the capital reduction reserves.
As at end-December 2016, ICB's accumulated losses stood at RM5.65 million at the group level with an impairment loss of RM18.5 million on trade receivables (RM8.61 million) and goodwill (RM9.89 million).
Following the proposed capital reduction, it will undertake the proposed share consolidation to reduce the fluctuation in its share price with the reduced number of shares.
At the noon break, ICB's share price fell half a sen or 10% to 4.5 sen, with some 162,000 shares changing hands.