Notion VTec proposes free warrants issue

PETALING JAYA: Notion VTec Bhd proposes to undertake free warrants issue.
The precision parts maker told Bursa Malaysia that the proposed free warrants issue will entail the issuance of up to 34.31 million free warranrs on the basis of one free warrant for every 10 existing shares held.
Assuming the full exercise of the warrants at the indicative exercise price of 75 sen per warrant, it will raise a maximum of RM25.73 million, which will be utilised for the future working capital requirements, including the payment of trade and other payables, employee costs, marketing and administrative expenses.
Notion VTec noted that the free warrants issue will strengthen its financial position with enhanced shareholders' funds and enlarged capital base pursuant to the exercise of warrants into new shares.
At 3pm, Notion VTec shares were up 5.5 sen or 9.4% to 64 sen on some 8.41 million shares done.