Computer Forms slapped with UMA query as shares plunge 39% in three days

KUALA LUMPUR (March 8): Bursa Malaysia Securities Bhd has issued an unusual market activity (UMA) query on Computer Forms (M) Bhd, after its shares plunged in the last trading hour to close 29.72% lower in a single day trading.

Shares of the company traded in thin trading to close at its intra-day low of RM1.49, down by 69 sen.

Some 2.58 million shares were traded, just half of its two-month average of 4.75 million shares.

At its last close, Computer Forms had a market capitalisation of RM398.46 million.

The counter has declined 39.18% or 96 sen from RM2.45 in just the last three trading days this week, wiping off RM256.87 million in market capitalisation in the process.

Computer Forms is principally engaged in printing and distributing computer forms, stock forms and specialised forms.

In January this year, Computer Forms said it is collaborating with a unit of Thai outfit Energy Absolute (EA) Public Company Ltd (PCL) for a 50:50 joint venture to develop green technology in Malaysia, and to venture into production of electric vehicles (EVs) and related infrastructure.

Prior to that in December, its chief executive officer Lee Yu-Jin stepped down after just six months on the job.

The group’s largest shareholder is Datuk Seri Jacky Pang Chow Huat with a 54.44% stake, following a takeover offer at 60 sen per share in the second quarter of last year.

Since then, the counter rose almost five-fold to peak at RM2.92 late last year, and hovered above the RM2.50-range before the recent plunge.

Another substantial shareholder is Cita Realiti Sdn Bhd with a 7.98% stake.

The group has been swinging between profit and loss. In the nine-month period ended Dec 31, 2022 (9MFY23), the group posted a net loss of RM1.57 million from a net profit of RM61.91 million, despite revenue rising 4.2% to RM21.01 million from RM20.15 million.

Investors are advised to take note of the company’s reply to the above UMA query, Bursa Securities said in its UMA query.