KUALA LUMPUR (Jan 2): Sungei Bagan Rubber Co (M) Bhd (Sg Bagan), Kluang Rubber Company (M) Bhd (KRCB), and Kuchai Development Bhd led Bursa Malaysia’s top gainers on 2024’s first trading day, soaring to multi-year highs after a RM275 million shares-for-assets deal was unveiled last Friday (Dec 29).

Sg Bagan’s share price, which opened at RM3.43 — 18 sen higher than its previous close of RM3.25 — jumped further to a record high of RM4.22, up 97 sen or 29.85% from its last close, making it the top gainer of the day on the local bourse. This price level gives it a market capitalisation of RM279.92 million.It saw 677,000 shares traded, 135 times the 5,000 shares the counter logged on Friday.

Meanwhile, KRCB shares, the third top gainer of the day, saw its share price rise to its highest in more than two years, with trading volume surging to 166,500 from Friday's 900 shares. The stock finished 72 sen or 19.89% higher at RM4.34, giving it a market capitalisation of RM274.17 million.

Kuchai Development, on the other hand, shot up 37 sen or 29.6% to close at RM1.62 — its highest in almost six years — valuing the group at RM200.47 million, after trading volume jumped to 564,200 shares from 6,000 on Friday.

On Friday, Kuchai said it was injecting RM275.47 million worth of assets and liabilities into Sg Bagan in a share deal, which will see Kuchai holding 29.37% in Sg Bagan in exchange for the asset injection.

The shares will then be distributed to Kuchai shareholders via a proposed capital reduction and repayment, and dividend-in-specie at a date to be determined later.

According to Kuchai, the assets include freehold commercial property in Emerald Hill Road, Singapore; freehold agriculture land in Ulu Semenyih; Singapore dollar bonds and US dollar redeemable preference shares; and equity instruments in the Singapore Stock Exchange; as well as other receivables.

The exercise is intended to streamline the assets of the two companies who share a common shareholder in KRCB. KRCB holds 42.2% of Kuchai and 43.5% of Sg Bagan.