Cypark unaware of reason for UMA

The company is not aware of any unannounced corporate development relating to the group’s business and affairs for the UMA

CYPARK Resources Bhd, which received an unusual market activity (UMA) query from Bursa Malaysia yesterday, said it is unaware of any reason for the sharp rise in its share price and trading volume recently.

In a reply to the UMA query, Cypark said it is not aware of any corporate development relating to the group’s business and affairs that has not been previously announced that may account for the trading activity including those in the stage of negotiation/discussion.

“The board is not aware of any possible explanation to account for the trading activity, other than the recent completion of the company’s private placement exercise and emergence of a new substantial shareholder, Jakel Capital Sdn Bhd, which may have increased the confidence among the investors,” it said.

Earlier this year, textile wholesaler Jakel Group invested RM67.13 million into the renewable energy player which was previously affected by cash flow and debt concerns.

Via its investment arm Jakel Capital, Jakel acquired a 23.08% stake in Cypark at 38 sen per placement share, making it the single largest shareholder.

Cypark closed one sen lower at RM1.03 with 29.95 million shares done. The counter has risen over 98% so far this year. — TMR