deal Jacobs suspends trading to facilitate RTO

by **Cals** Fri 15 Aug 2014, 00:44

Ideal Jacobs suspends trading to facilitate RTO

Business & Markets 2014

Written by Jonathan Gan of theedgemalaysia.com

Thursday, 14 August 2014 08:59

KUALA LUMPUR: Ideal Jacobs (Malaysia) Corp Bhd announced yesterday that it will suspend trading of its securities from 9am today until 5pm next Monday.

In an announcement to Bursa Malaysia, the group said the bourse has approved its request to suspend the trading of its shares.

An industry source told The Edge Financial Daily that the company applied for the suspension as it is finalising the reverse takeover (RTO) of Cekap Technical Services Bhd and MECIP Global Engineers Sdn Bhd to facilitate the listing of the companies.

The source added that the company had requested for two additional days instead of the usual one-day suspension to avoid the possibility of market queries in the event of any erratic share price movements.

On Aug 6, Bursa issued an unusual market activity query to Ideal Jacobs when there was a sharp rise in the price and volume of its shares.

In response, the group said it was not aware of any other corporate activities apart from the RTO.

Its share price started gaining momentum after it announced its RTO plan in mid-June. Its shares had risen about 136% over the last two months from 30.5 sen to close at 72 sen yesterday.

theedgemalaysia.com was told back in June that the group is eyeing an entry into the lucrative oil and gas sector via the RTO.

“The company is going to acquire an oil and gas services company and is changing [its] focus to the oil and gas industry,” a source said.

Ideal Jacobs is currently involved in the telecommunications, electronics, banking and pharmaceutical industries, while its geographical reach spans across Asia and some parts of Europe.

This article first appeared in The Edge Financial Daily, on August 14, 2014.