Ge-Shen saw its share jump more than 20% today when it closed at 4.00 from opening at 3.22 at 9.00 am, the sudden spike prompted Bursa Securities to issue an Unusual Market Activity query on the company to explain on the surge.
While the company has yet to respond to the notice, Ge-Shen did release a statement today on its 60% equity stake acquisition of an E&E consultation and management company for RM13.5 million. It entered into a non-binding term sheet to acquire the stakes in Amity Research & Development Sdn Bhd (ARD), an engineering and consultancy services provider in the E&E industry and Amity Technical Services & Consultancy (M) Sdn Bhd (ATSCM), a manufacturer specializes in printed circuit board assembly (PCBA), product box building, and cable and wire assembly.
The move will see the company divesting into a new business areas that could potentially offer more value to its shareholders.
