Sslee

For reference:
Bursa Malaysia Listing requirement:
CHAPTER 6: NEW ISSUES OF SECURITIES

6.03General mandate for issue of securities(1)Subject to paragraph 6.06 and notwithstanding the existence of a resolution pursuant to sections 75(1) and 76(1) of the Companies Act, or in relation to a foreign corporation, a resolution of a similar nature pursuant to the relevant laws of the place of incorporation, a listed issuer must not issue any shares or convertible securities if the total number of those shares or convertible securities, when aggregated with the total number of any such shares or convertible securities issued during the preceding 12 months, exceeds 10% of the total number of issued shares (excluding treasury shares) of the listed issuer except where the shares or convertible securities are issued with the prior shareholder approval in a general meeting of the precise terms and conditions of the issue

The law said must not exceeds 10% with exception clause: Except with the prior shareholder approval in a general meeting of the precise terms and conditions of the issue. It means a controlling shareholder cum CEO/Director can legally use AGM as rubber stamp to approve whatever he wants.

Thank you

2019-04-29 15:36

qqq3

Except with the prior shareholder approval in a general meeting of the precise terms and conditions of the issue.....ok.....

So there are exceptions to the 10% rule.....

For directors and shareholders of a company whose price is 10 sen, I guess EPS dilution is the last thing on their minds.

2019-04-29 18:46