Hot stock Patimas up on “rescue”, new business reports

Hot stock Patimas up on “rescue”, new business reports
Business & Markets 2013
Written by Kamarul Anwar of theedgemalaysia.com
Monday, 14 January 2013 11:54

KUALA LUMPUR (Jan 14): PATIMAS COMPUTERS BHD [] became the most actively-traded stock in morning trades amid reports that a prominent figure may rescue this PN17 company and that it is in
preliminary talks to get new business.

As at 11:22 am today, Patimas rose one sen or 6.9% to 15.5 sen on volume of some 68 million shares, after hitting a high of 16 sen earlier.

Quoting Datuk Seri Abdul Azim Zabidi, a newspaper report today said this prominent politician-businessman indicated his intention to “rescue” the company and raise his stake.

For the third quarter to September 2012, Patimas incurred net loss of RM8.57 million. Its net value per share was -3 sen (negative 3 sen).

Azim, who has been in the limelight recently for his plan of a hostile takeover of Tiger Synergy Bhd, purchased 45 million shares of Patimas, or 5.44% of the company’s stake via his company Syawaras Sdn Bhd on January 11, according to Bursa Malaysia announcement.

Azmi was also quoted by the newspaper as saying he wants to meet the Patimas board and has no hostile intention on the company, and he had been negotiating with several outside parties on how to rescue Patimas.

"If the company’s management agrees to our proposal, I will consider increasing my stake in Patimas," Abdul Azim said.

Shares of Patimas began to surge on January 10 from 6.5 sen.

SJ Securities Sdn Bhd senior remisier Goh Kay Chong said some parties are now riding on this development to stir up interest and create activity in Patimas’ share.

He said a local Chinese daily reported on Saturday that Patimas is in preliminary talks with another company to provide 4G services but this plan might not materialise.

“Nothing is confirmed for now. It is highly speculative at this juncture,” he told theedgemalaysia.com in a telephone interview.