Nexgram shares rise despite facing claims totalling RM2.83m

PETALING JAYA: Nexgram Holdings Bhd's share price rose 14.29% this morning despite news of its unit being served with 10 writ of summons and statement of claims for a total of RM2.83 million.
At 11.03am, its share price rose 14.29% or 0.5 sen to 4 sen with a total of 212,500 shares traded. The stock closed unchanged at 3.5 sen on Friday with a total of 105,000 shares traded.
Last Friday, Nexgram told Bursa Malaysia that its 70%-owned subsidiary Blue Hill Development Sdn Bhd (BHD) has been served with 10 writ of summons and statement of claims, with all the plaintiffs claiming for the long outstanding debts in respect of several causes of action including non-payment of building/construction materials sold and delivered, non-payment for leasing of plastering machinery and breach of credit guarantee.
The writs date as far back as Nov 1, 2016. Nexgram said it did not make any announcement before because individually, the writ of summons and statement of claim is below the materiality threshold of Nexgram in respect of its obligation to make immediate disclosure.