KUALA LUMPUR: Seni Jaya Corporation Bhd has received its shareholders' approval to issue 24.3 million bonus warrants at its extraordinary general meeting (EGM) today.
The issuance will be based on one bonus warrant for every two existing Seni Jaya shares held on the entitlement date to be determined and announced later.
Chief executive officer Cheah See Heong said the free warrants would allow shareholders the opportunity to further increase their equity participation in the company by exercising the warrants at a pre-determined price over the five-year tenure of the warrants.
"From Seni Jaya's standpoint, this would potentially provide additional funds to the group for capital expenditure and future business expansion," he said in a statement.
The bonus issue of warrants is expected to be completed by the fourth quarter of 2021.
Moving forward, Cheah said the company would continue to focus on its transformation plan to reposition and solidify Seni Jaya as the leading out-of-home (OOH) advertising services provider in Malaysia.
"We will be leveraging on technology to adapt to the rapidly changing landscape while simultaneously adopting digitalisation strategy.
"One of the plans include upgrading our existing advertising inventories with digital elements such as LED displays, which would help expand our profit margins going forward.
"On the other hand, we are also actively exploring business expansion opportunities either via acquisition, collaboration, or both with strategic partners," he said.
