corporate

MMAG gets regulatory waiver, avoiding classification under Guidance Note 3

KUALA LUMPUR: MMAG Holdings Bhd has been granted a waiver by Bursa Malaysia Securities Bhd on Nov 155 from being classified as an affected listing company under the Guidance Note 3 (GN3). 

In a statement, the ACE Market-listed company said that the approval reaffirms its solid financial position and operational progress, highlighting the stability and growth trajectory.

It stated that this milestone comes as MMAG continues its transformation into a leading integrated supply chain service provider. 

The group's operations span first, mid, and last-mile delivery, anchored by an aviation arm based at Kuala Lumpur International Airport (KLIA) offering commercial cargo solutions, automated handling facilities, and an oceanic transshipment hub. 

Additionally, MMAG's supply chain management segment serves major telecommunications players in Malaysia, while its courier and logistics segment operates a nationwide network providing reliable last-mile delivery services for business-to-business (B2B) and business-to-consumer (B2C) clients.

To further strengthen its financial performance, MMAG said it has adopted a strategic focus on automation, service expansion, and partnerships to optimise asset utilisation, enhance efficiency, expand its network, widen its customer base, and deliver long-term value to stakeholders.

Executive director Chin Boon Long said that with strategic investments and key partnerships in place, MMAG is entering a new era of resilience and growth. 

"Significant infrastructure enhancements, coupled with our competitive advantage as the only integrated supply chain group with an aviation arm, provide a strong foundation for the future. 

"We remain focused on delivering long-term value to our stakeholders through operational efficiencies and strategic initiatives," he added.

MMAG said it is poised to achieve greater success and solidify its position as a key player in the supply chain and logistics sector, with its financial foundation strengthened and operational initiatives well underway.

MMAG was classified as a GN3 status company after triggering Paragraph 2.1(g) of GN3 of the ACE Market listing requirements in October 2024 after its external auditors expressed material uncertainty related to the going concern of the company in the audited financial statements for the financial year ended March 31, 2023.

The auditor also highlighted that the shareholders' equity of the company on a consolidated basis is 50 per cent or less of its issued share capital calculated based on the unaudited financial results as of June 30, 2024.

In response, MMAG said the group has raised funds via rights issue and warrants conversion since the audited financial statement was issued, raising RM145.34 million in January and RM92.09 million raised from warrant conversion from January to September.

At 2.55 pm, MMAG's share price rose 1.5 sen, or 3.5 per cent to 44 sen, valuing the company at RM1 billion.

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