PETALING JAYA: Revenue Group Bhd has proposed to transfer its listing from the ACE Market to the Main Market of Bursa Malaysia Securities after satisfying the requirements for the transfer, which include profit requirements, healthy financial position and public shareholding spread.
The group’s aggregate profit after tax (PAT) attributable to owners of the company for the past three financial years ended June 30, 2018 to 2020 after adjusting for non-recurring items and not in the ordinary course of Revenue’s business is RM22.9 million with PAT attributable to owners of the company of RM7.7 million for FY20, being the most recent financial year.
As at June 30, 2020, its current assets stood at RM74.9 million while its current liabilities were at RM48.4 million. The group’s current ratio of 1.5 times as at June 30, 2020 reflects its ability to meet short-term obligations. In addition, it has cash and short-term deposits of RM35.5 million and had generated positive cash flow from operating activities during FY18, FY19 and FY20.
The board is confident that, after taking into account its gearing level and cash flow position as well as the banking facilities currently available to the group, its working capital will be sufficient for its existing and foreseeable requirements for a period of 12 months. Accordingly, the group is in a healthy financial position with no accumulated losses based on its latest audited consolidated statement of financial position.
As at Nov 4, 2020, the issued share capital of the company is RM55.7 million comprising 394.81 million shares and 66.19% of the shares is held by 15,254 public shareholders holding not less than 100 shares each.
“The proposed transfer is expected to enhance the group’s prestige and reputation, and will accord the group with greater recognition and acceptance amongst investors, in particular, institutional investors. In addition, it will also promote the group’s corporate image leading to greater recognition and confidence to clients, subcontractors, business partners, bankers, employees and shareholders,“ Revenue said.
Revenue was listed on July 18, 2018 at a market capitalisation of RM82.5 million. Currently, its market capitalisation is RM430.3 million, reflecting investors’ confidence in and acceptance of the group’s business and operational model.
The exercise is expected to be completed in the first half of 2021.