Five directors of a fire protection equipment company have been fined RM400,000 each for breaching Bursa Malaysia Securities Bhd’s main market listing requirements for failing to make an immediate announcement of an acquisition.
The directors, who were named as Sok One Esen, Hoo Swee Guan, Gan Chow Tee, Wong Kok Seong and Kho See Yiing, had also allowed a misleading and false statement to be made that the acquisitions were not subject to shareholder approval.
The company, Fitters Diversified Bhd, was also publicly reprimanded by the stock exchange for failing to make an immediate announcement in March 2023 regarding the acquisitions by its wholly owned subsidiary, Fitters Development Property Sdn Bhd.
The acquisitions involved the purchase of 12.14 million ordinary shares, or 4.54%, of Computer Forms (Malaysia) Bhd for RM26.44 million in cash, and 6.18 million units, or 4.78%, of Warrants A for RM8.33 million in cash via the open market.
Bursa also reprimanded the company for failing to ensure that the announcement on these acquisitions was made in a timely manner.
It said the statement claiming the acquisitions were not subject to shareholders’ approval was inaccurate, false and misleading, and that all five directors at the material time had breached the listing requirements by permitting the company to commit the violations.
“Bursa Malaysia views the contraventions seriously as the requirements…are fundamental to aid investors in making informed investment decisions and protect the interests of shareholders.
“These requirements also allow shareholders the opportunity to consider, in a timely manner, transactions that have the potential of adversely affecting their interests,” it said in a statement.
