SBI Spectrum sold 189m shares in Scomi

by SHAHEERA AZNAM SHAH / pic source:

SBI Spectrum Sdn Bhd has ceased to be a substantial shareholder in Scomi Group Bhd after disposing of both its direct and indirect interests of 189.08 million shares at an average price of 8.3 sen per share yesterday.

The disposal was done in the open market, leaving SBI Spectrum with an indirect interest of 4.11% or 44.98 million shares, according to a Bursa Malaysia filing yesterday.

SBI Spectrum is a private vehicle of Sammy Tse Kwok Fai who is currently the CEO and ED of the Practice Note 17-status oil and gas (O&G) support service provider.

SBI Spectrum was the largest shareholder in Scomi with a 21.39% interest or 233.99 million shares, as of Nov 4, 2020, based on Scomi’s latest annual report. The block of shares was acquired from IJM Corp Bhd.

Interest in Scomi shares reignited on Tuesday as the stock price rose to hit a high of 15 sen from a low of 3.5 sen with Scomi shares and warrants accounting for 13.9% of total market volume for the day.

Scomi rose 7.5 sen or 214% to close at 11 sen on Tuesday, giving the cash-strapped O&G firm a market capitalisation of RM120.33 million.

Yesterday, its share price rose half-a-sen to six sen, bringing its market capitalisation down to RM65.63 million.

Scomi is currently in the middle of formulating a regularisation plan to address its tight financial condition, it noted in an exchange filing dated March 1, 2021.

It has six months to submit its regularisation plan to the relevant regulators for approval.

According to Bursa Malaysia’s filings, Scomi’s non-independent and non-ED Shah Hakim @ Shahzanim Zain, who stepped down as the group’s CEO in 2018, acquired one million of Scomi’s shares at 3.5 sen on March 9 from the open market.

He later acquired another 366,500 shares at a similar price the next day. At present, he has a direct interest of 2.02% or 22.08 million shares in the group and an indirect or deemed interest of 8.11% or 88.73 million shares in Scomi.

Last year, the loss-making firm borrowed RM1 million from SBI Spectrum for working capital requirements.

Scomi’s associate, Scomi Energy Services Bhd’s shares fell 2.5 sen or 15.15% to 14 sen, leaving it with a market capitalisation of RM62.84 million.