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MNC-WA: Speculative Interest Ahead of ICPS and Warrant B Debut

MNC Wireless Berhad attracted some interest lately with the mother share price surging from 6 sen to 9 sen so far in the month of August 2019.  This may be attributed to the on-going rights issue exercise the company is implementing.  MNC Wireless is in the midst of completing its rights issue of Irredeemable Convertible Preference Shares (ICPS) to raise up to RM113.08 million.  According to the company’s announcement, it is offering shareholders to subscribe up to 3.77 billion ICPS at an issue price of 3 sen per ICPS on the basis of 50 ICPS together with 1 free warrant for every (warrant B) for every 10 shares held on the entitlement date of 7th August 2019.  The surge in interest in MNC Wireless securities happened after the ex-date for the rights issue and the share price has risen to close at 9 sen on 27th August while the company existing warrant MNC-WA closed at 2 sen.

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