PETALING JAYA: Home furniture manufacturer Wegmans Holdings Bhd is looking to transfer its listing on the ACE Market to the Main Market of Bursa Securities by the fourth quarter of 2019.
In a filing with Bursa Malaysia, the company said that the proposed transfer will enhance its credibility, prestige and reputation, and accord it with greater recognition and acceptance among investors while reflecting its current scale of operations.
“This will in turn enhance the attractiveness and marketability of Wegmans shares and warrants,” it said.
The company was listed on the ACE Market on March 6, 2018. As at June 3, 2019, the issued share capital of Wegmans is RM51.95 million comprising 500 million ordinary shares. The company has 125 million outstanding warrants.
Wegmans said that it, together with its subsidiaries, have met the requirements for the proposed transfer in accordance with guidelines issued by the Securities Commission Malaysia (SC) and Bursa Securities.
For the financial year ended Dec 31, 2018, Wegmans achieved a consolidated adjusted net profit of RM11.82 million and an aggregate consolidated adjusted net profit of RM40.55 million for the past three financial years ended Dec 31, 2016 till 2018.
Under the SC’s Equity Guidelines, the consolidated adjusted net profit of the company must meet the prescribed minimum of RM20 million for the past three full financial years and RM6 million for the most recent financial year.
In terms of its financial position, Wegmans’ current assets and current liabilities stood at RM52.29 million and RM31.6 million respectively as at Dec 31, 2018, representing a current ratio of 1.65 times.
Based on its audited consolidated statement of financial position as at Dec 31, 2018, Wegmans’ cash and bank balances stood at RM11.17 million and it has no accumulated losses.