KUALA LUMPUR (April 20): A total of 1.75 million shares, or 2.65%, of loss-making Len Cheong Holding Bhd were traded off-market at 35 sen apiece today, a 4.48% premium to the 33.5 sen price it had been stuck at for the past three days.
Bloomberg data showed the shares were crossed at 3:12 pm. Len Cheong, a rubberwood furniture manufacturer, has not seen its shares close past the 35-sen mark on the open market for the past 10 years.
Len Cheong, which has proposed to be renamed to Sand Nisko Capital Bhd, saw a turnaround in the fourth quarter of its financial year ended Dec 31, 2015 (4QFY15) with a net profit of RM1.39 million, as sales improved by 29.5% year-on-year to RM8.78 million — thanks to the weaker ringgit against the US dollar.
Yet for the full FY15, it was still at a net loss of RM4.98 million.
Its stock began to rally in March, from Feb 29's closing of 17.5 sen. Last year, Len Cheong's counter saw daily transacted volumes that only ranged in the thousands, except for a few days where it reached 2.55 million. But since March, its daily shares transacted often went past the 5-million mark.
Bursa Malaysia posed an unusual market activity (UMA) query to Len Cheong on March 7, to which the company said it was not aware of any corporate development that could have excited the market.