KUALA LUMPUR, Globetronics Technology Bhd has proposed a bonus issue of up to 368.49 million warrants on the basis of one warrant for every two existing shares held.
In its filing with Bursa Malaysia, the outsourced semiconductor assembly and test (OSAT) firm said the entitlement date will be announced later, pending approvals from Bursa Securities, shareholders, and other relevant authorities.
The warrants will be exercisable at any time within three years from the date of issuance. For illustration purposes, Globetronics has assumed an exercise price of 17 sen per warrant — about 47.56% lower than its five-day volume-weighted average price of 32.42 sen as of Sept 23.
If fully exercised, the warrants could raise up to RM62.64 million, which the company plans to allocate for working capital and capital expenditure. TA Securities has been appointed as the principal adviser, and the exercise is expected to be completed by the first quarter of 2026.
Globetronics recently changed its financial year end from Dec 31 to March 31, and later to June 30. For the quarter ended June 30, the group posted a net loss of RM537,000 on revenue of RM25.75 million.
Investment in loss-making Mpire draws scrutiny
On July 18, Globetronics announced a RM45.05 million investment to acquire a 30.85% stake in Mpire Global Bhd (KL:MPIRE), along with 53.99% of its outstanding warrants — making Globetronics the largest shareholder of the company, formerly known as Sand Nisko Capital Bhd.
Mpire is involved in property development, construction, and fleet management services but has been loss-making for the past three years. Globetronics said the acquisition supports its long-term transformation plan and offers potential synergies with its core business.
Following the investment, Mpire appointed Francis Leong Seng Wui and Ang Pei Gaik — both Globetronics board members — as directors on July 24.
Leong, who also sits on the boards of Revenue Group Bhd and Hong Seng Consolidated Bhd, holds stakes of 5.38% and 5.02% in the two companies respectively. He is also a major shareholder of South Malaysia Industries Bhd (KL:SMI) via Target 1 Sdn Bhd, which currently faces legal challenges over its takeover bid for SMI.
At Wednesday’s close, Globetronics’ shares rose 1.5 sen or 4.5% to 34.5 sen, valuing the company at RM233 million. Year to date, the counter has fallen 41%.
