KUALA LUMPUR, DGB Asia Bhd (KL:DGB), a provider of software and engineering solutions, has proposed a capital reduction exercise to cancel RM197 million of its issued share capital that is lost and not backed by assets.
According to a Bursa Malaysia filing, the resulting RM197 million credit from the cancellation will be applied to offset the company’s accumulated losses.
As of Sept 10, 2025, DGB Asia’s total issued share capital stood at RM240,336,110, comprising 278,243,279 ordinary shares. The company also has 52,272,900 outstanding share issuance scheme (SIS) options, and the board has committed not to grant any additional SIS options until the capital reduction is completed.
“The proposed capital reduction will help the company and group streamline their financial position by lowering accumulated losses. This is expected to strengthen credibility with bankers, customers, suppliers, and investors,” DGB Asia said.
The company added that the exercise will not have any significant impact on the group’s earnings or earnings per share for the financial year ending Dec 31, 2025.
