Sanichi proposes to consolidate 3 shares into 1

PETALING JAYA: Sanichi Technology Bhd has proposed to consolidate three of its shares into one in a bid to boost its trading price and market profile.
In a filing with Bursa Malaysia today, the company’s board said that following the proposed consolidation, its share price will increase three-folds from 6.5 sen to 19.5 sen while its share base, which currently stands at more than 858.91 million shares will be reduced to about 286.30 million.
The proposed exercise could also potentially see the company’s share capital remaining at RM85.95 million or enlarged to RM198.92 million.
The company is also looking to streamline the by-laws of its employee’s share option scheme to be in accordance with the amended Companies Act of Malaysia 2016, which came into effect on Jan 31.
An EGM is expected to be convened in the fourth quarter of this year to seek shareholders' approval for the proposals.
Sanichi’s shares fell 7.14% to close at 6.5 sen today.