Hot Stock Datasonic rises 2.5% on 1-for-2 bonus issue

Business & Markets 2013
Written by Kamarul Anwar of theedgemalaysia.com
Thursday, 25 April 2013 12:43
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KUALA LUMPUR (April 25): Datasonic Group Bhd's proposed bonus
issue which will enlarge its share base by 50%, has lifted the stock by
as much as 2.5%.
At 12:30pm, the information and communication TECHNOLOGY [] (ICT)
player’s shares rose three sen or 1.5 % to RM2.03.
A total of 156,800 shares changed hands. The stock had hit a high of
RM2.05 earlier.
Yesterday, Datasonic announced that it intends to undertake a bonus
issue on the basis of one bonus share for every two existing shares in
the firm.
A maximum of 45 million bonus shares will be issued, increasing
Datasonic’s share base to 135 million shares.
Datasonic’s core business is the provision of ICT solutions, specifically
smart card personalisation and customised software and hardware
solutions.
The smart card personalisation business contributed approximately 70%
towards Datasonic’s profit before tax.
Last week, Datasonic’s subsidiary Datasonic Technologies Sdn Bhd had
received a letter of award from the Home Ministry to provide
maintenance services for personalisation process at the National Registration Department.
The contract, worth RM14.95 million, was for a two-year duration commencing on May 1 this year till April 30, 2015.
Datasonic which was listed on Bursa Malaysia on September 3 last year, made a 77% leap in its audited net profit for its
financial year ended December 31, 2012.
During the year, net profit was RM28.12 million RM15.88 million a year earlier.