PETALING JAYA: ACE Market-listed Sanichi Technology Bhd has secured a coal supply commitment and collaboration agreement from Kalimantan-based CV Permata Al Zahra for the supply of three million tonnes of coal per annum for a two-year term from Tuesday.
Permata is involved in coal mining and the supply of coal products. Sanichi has committed to undertaking business development activities to market and distribute coal supplied by Permata.
On a separate announcement, Sanichi said it had agreed with FIRC Trade (M) Sdn Bhd to enter into a collaboration framework agreement for the purpose of forming an alliance to venture into the business of minerals mining and supply.
FIRC is principally involved in mining, trading and supply of iron ore and coal from mines in Malaysia and Indonesia.
Under this agreement, both Sanichi and FIRC shall carry out marketing, development, project bidding and project management, together with cost and profit sharing.
The agreement underlines that FIRC will provide technical expertise and dedicated engineering support to Sanichi to cater to customers’ needs and requirements. On the other hand, Sanichi will handle marketing and business development.
The contracts could kick in by early January next year and are slated for a minimum period of five years.
According to Sanichi, the pipeline of opportunities available to the alliance is significant. However, it said that it was not in the position to make a clear assessment of the potential impact on Sanichi’s earnings per share, net assets per share and gearing for the financial year ending June 30, 2012, given the early stage of the pipeline.
Sanichi’s share price has been actively traded in recent months since the entry of Datuk Md Wira Dani Abdul Daim, son of former finance minister Tun Daim Zainuddin, as a new substantial shareholder with a 6.01% stake on Aug 3 this year.
Since then, the stock has been traded heavily; it started ascending on Nov 4, with 88.5 million shares traded in the open market, pushing the stock price up by 70% to 8.5 sen.
A month later on Dec 5, Sanichi was again heavily traded with 119.5 million shares changing hands in a single trading day, which sent its share price to end at 20 sen, an increase of 73% over the previous week’s closing.
On the same day, Bursa Malaysia issued an unusual market activity query to Sanichi, to which the company replied that it was not aware of any developments relating to its subsidiaries.
The stock again saw heavy trading yesterday with 77.7 million changing hands in the open market, sending its price to a year-to-date high of 20.5 sen, an increase of 3.5 sen or 20.6% over Tuesday’s closing price of 17 sen. The stock was suspended by Bursa Malaysia with effect from 3.25 pm yesterday, and trading is to resume today.
This article appeared in The Edge Financial Daily, December 8, 2011.
Permata is involved in coal mining and the supply of coal products. Sanichi has committed to undertaking business development activities to market and distribute coal supplied by Permata.
On a separate announcement, Sanichi said it had agreed with FIRC Trade (M) Sdn Bhd to enter into a collaboration framework agreement for the purpose of forming an alliance to venture into the business of minerals mining and supply.
FIRC is principally involved in mining, trading and supply of iron ore and coal from mines in Malaysia and Indonesia.
Under this agreement, both Sanichi and FIRC shall carry out marketing, development, project bidding and project management, together with cost and profit sharing.
The agreement underlines that FIRC will provide technical expertise and dedicated engineering support to Sanichi to cater to customers’ needs and requirements. On the other hand, Sanichi will handle marketing and business development.
The contracts could kick in by early January next year and are slated for a minimum period of five years.
According to Sanichi, the pipeline of opportunities available to the alliance is significant. However, it said that it was not in the position to make a clear assessment of the potential impact on Sanichi’s earnings per share, net assets per share and gearing for the financial year ending June 30, 2012, given the early stage of the pipeline.
Sanichi’s share price has been actively traded in recent months since the entry of Datuk Md Wira Dani Abdul Daim, son of former finance minister Tun Daim Zainuddin, as a new substantial shareholder with a 6.01% stake on Aug 3 this year.
Since then, the stock has been traded heavily; it started ascending on Nov 4, with 88.5 million shares traded in the open market, pushing the stock price up by 70% to 8.5 sen.
A month later on Dec 5, Sanichi was again heavily traded with 119.5 million shares changing hands in a single trading day, which sent its share price to end at 20 sen, an increase of 73% over the previous week’s closing.
On the same day, Bursa Malaysia issued an unusual market activity query to Sanichi, to which the company replied that it was not aware of any developments relating to its subsidiaries.
The stock again saw heavy trading yesterday with 77.7 million changing hands in the open market, sending its price to a year-to-date high of 20.5 sen, an increase of 3.5 sen or 20.6% over Tuesday’s closing price of 17 sen. The stock was suspended by Bursa Malaysia with effect from 3.25 pm yesterday, and trading is to resume today.
This article appeared in The Edge Financial Daily, December 8, 2011.
