Hot Stock Spring Gallery spikes on rights issue, contract win

by **Cals** Mon 25 Apr 2016, 18:42

Hot Stock

[size=28]Spring Gallery spikes on rights issue, contract win

By Sangeetha Amarthalingam / theedgemarkets.com | April 25, 2016 : 12:59 PM MYT

KUALA LUMPUR (April 25): Spring Gallery Bhd spiked as much as 29 sen or 30% after the construction firm completed its right issue and announced its appointment as managing contractor for a Johor property project.

Spring Gallery is also eyeing a controlling stake in a company, which has clinched a civil servant housing project here.

At Bursa Malaysia today, Spring Gallery shares rose to their highest so far today at RM1.25. At 12:30pm, Spring Gallery settled at RM1.23 for a market capitalisation of RM128.54 million.

The fifth-most active stock saw some 32 million shares changing hands.

Spring Gallery has been closely watched after the company made several crucial announcements to Bursa Malaysia last week.

On Friday (April 22), Spring Gallery told Bursa Malaysia it planned to acquire an 80% stake in Klasik Ikhtiar Sdn Bhd for RM3.5 million from Annathan Sinivesan and Nurul Shahiza Muhammad Adib.

Spring Gallery said Klasik Ikhtiar received a letter of award from the 1Malaysia Civil Servants Housing Unit of the Prime Minister's Department for a proposed development at Setapak here.

On Tuesday (April 19), Spring Gallery said it completed its rights issue of irredeemable convertible preference shares (ICPS/SGB-PA), which came with free warrants (SGB-WA).

SGB-PA and SGB-WA were listed on that day.

On Monday (April 18), Spring Gallery said its wholly-owned subsidiary Profit Sunland Sdn Bhd was appointed as managing contractor for a mixed-property project in Johor.

The contract is worth RM176 million.

Today, SGB-PA was most active on Bursa Malaysia followed by SGB-WA.

At 12:30pm, SGB-PA settled flat at 11.5 sen with some 177 million units traded. SGB-WA climbed eight sen to 29.5 sen with about 115 million warrants transacted.

Spring Gallery shares and SGB-WA were Bursa Malaysia's third and 10th-largest gainers respectively.
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