At 9.15am, Top Glove rose 11 sen to RM5.43 with 1.09 million shares done.
Under the proposal, a shareholder holding Top Glove shares listed on Bursa Malaysia may transfer such shares to SGX-ST and vice versa for trading on the respective stock exchanges. The proposed secondary listing will not involve any issuance of new Top Glove shares.
The transfer is subject to the fulfilment of transfer conditions and criteria, Top Glove told Bursa Malaysia today.
Top Glove also intends to explore with its substantial shareholders the possibility of selling a portion of their shareholdings in the company of approximately S$20 million, or RM59.4 million, in value on the open market in Singapore.
The glove maker said the proposal "is expected to enhance Top Glove's investor reach and diversify its investor base as well as allow direct participation by investors in Singapore in the equity of Top Glove".
With the proposed secondary listing, it enables Top Glove to tap into a new platform for potential future fundraising as well as merger and acquisition exercises.
"It enhances the visibility of Top Glove's profile among international investors, analysts and media, thereby potentially resulting in stronger brand awareness for Top Glove," it said.
The proposals are conditional upon approvals from the relevant authorities and the group's shareholders.
TOPGLOV (7113) - Top Glove gains 2.07% on plans for secondary listing on SGX-ST
http://www.theedgemarkets.com/my/article/top-glove-gains-207-plans-secondary-listing-sgx-st
