PETALING JAYA: MWE Holdings Bhd shares were higher this morning after the group decided to present its proposal for a selective capital reduction and repayment exercise (SCR) to its shareholders.
At 11.24am, its share price rose 0.61% or 1 sen to RM1.66 with 278,500 shares traded. Last Friday, the stock slipped 0.6% or 1 sen to close at RM1.65 with 113,200 shares traded.
MWE said that the proposed SCR is to provide an opportunity for the entitled shareholders to realise their investments in MWE at a premium to the prevailing market price of MWE shares. The proposed SCR will be presented to shareholders at an EGM for approval.
Last month, MWE’s substantial shareholder Pinjaya Sdn Bhd launched a plan to take the company private through the SCR exercise at RM1.75 a share. Under the proposal, a total of RM276.73 million will be paid to entitled shareholders holding 158.13 million shares in MWE.