Hot Stock Innoprise jumps 7.91% on share-split plan

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Innoprise jumps 7.91% on share-split plan

By Surin Murugiah / theedgemarkets.com   | October 12, 2015 : 9:46 AM MYT

KUALA LUMPUR (Oct 12): Shares of Sabah-based oil palm player Innoprise Plantations Bhd ([You must be registered and logged in to see this image.] Valuation: 0.50, Fundamental: 0.85) jumped 7.91% in early trade this morning after the company said it planned to undertake a one-to-two share split, followed by a renounceable two-call rights issue to raise up to RM36.57 million for its working capital, repayment of bank borrowings, and capital expenditure.
At 9.25am, Innoprise jumped 11 sen to RM1.50 with 10,200 shares traded.
Innoprise said in its filing last Friday that the share split is to improve the liquidity of its shares trading, as its stock prices would become more affordable and appealing to a wider group of public shareholders.
To date, the group’s issued and paid-up share capital is RM191.24 million, comprising 191.24 shares. There are also 1.22 million outstanding employees' share options granted and yet to be exercised (ESOS).
Assuming all outstanding ESOS have been exercised prior to the share split, the issued and paid-up share capital of Innoprise will rise to RM192.46 million, comprising 384.92 million split shares, on completion of the share split exercise.