Shares in the Cambodia Securities Exchange (CSX)- listed, Taiwanese owned garment manufacturer Grand Twins International Cambodia rose 8.5 percent on Monday after no shares were exchanged for six consecutive trading days.
Grand Twins International Cambodia (GTI) stock price rose 290 riels from its special quotation price of 3,100 riels issued last week to close on Monday at 3,390 riels, however, only 38 shares were exchanged at a total trading volume of 129,520 riels ($31).
According to the CSX, a special quotation is the closing price of a security with no trade. “It could be the best bid [buy] if the best bid is greater than the base price, or the best ask [sell] if the best ask is lower than the base price,” it said.
The rise occurred after the company released its delayed second quarter 2020 audited report last week, and three days of market closures because of the Pchum Ben national holiday.
The delayed report listed the company made $30,886,368 in second-quarter revenue with gross profit listed at $1,743,670. The results were down from $43,532,887 in revenue and $2,452,186 in gross profit, compared with the same period last year.
The report was delayed from its regulated release date of Aug 14, citing its original delay in processing the company’s first-quarter report this year, which was blamed on COVID-19.
According to the Securities and Exchange Commission of Cambodia (SECC), despite consecutively missing two financial report release dates, “no action will be taken against the company”.
“According to our regulatory guidelines, listed companies must provide information to investors as per obligated deadlines. However, if companies find that they cannot meet this deadline they may request to delay and provide a valid reason for it,” said Sou Socheat, director-general of the SECC.
GTI’s share price has severely struggled since its initial public offering, falling 65 percent from its listing at 9,700 riels in June 2014 by chief underwriter Phnom Penh Securities.
The company currently has 40 million shares listed with a total market capitalisation of 135.6 billion riels ($33,006,396).