YFG plunges 42% on PN17 status, broader losses

by **Cals** Wed 23 Sep 2015, 20:38

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[size=28]YFG plunges 42% on PN17 status, broader losses

By Chen Shaua Fui / theedgemarkets.com | September 23, 2015 : 11:00 AM MYT

KUALA LUMPUR (Sept 23): YFG Bhd ([You must be registered and logged in to see this image.] Financial Dashboard) plunged as much as 2.5 sen, after the electrical and mechanical engineering entity said it became a Practice Note 17 (PN17) company under Bursa Malaysia's listing rules.

Yesterday (Sept 22), YFG announced that its PN17 status followed auditors' concern over the company's business sustainability. This is because YFG's shareholders’ equity as at June 30, 2014 was less than 50% of its issued and paid-up capital.

Today, YFG shares also fell against broader market losses, amid Malaysian political uncertainties and China's weaker economic data.

Shares of YFG fell to its lowest so far today at 3.5 sen. At 10.24am, the stock pared losses at four sen, with 9.5 million shares having changed hands.

The FBM KLCI fell 21.27 points or 1.3% to 1,614.10 at 10:30am, as investors reacted to China's purchasing managers' index (PMI) data.

Reuters reported the preliminary Caixin/Markit China Manufacturing PMI fell to 47.0 in September, the worst since March 2009 and below market expectations of 47.5 and August's final 47.3. Levels below 50 signify a contraction.

(Note: The Edge Research's fundamental score reflects a company’s profitability and balance sheet strength, calculated based on historical numbers. The valuation score determines if a stock is attractively valued or not, also based on historical numbers. A score of 3 suggests strong fundamentals and attractive valuations.)
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