Jati Tinggi shares drop as much as 29%, triggering short-selling suspension
The counter recovered to RM1.31 by the midday break, with more than five million shares traded.
Jati Tinggi Group Bhd shares slid as much as 29% to RM1.00 on Oct 13, prompting an automatic suspension of intra-day short selling. The electrical engineering firm had more than doubled in value since the start of the year.
Trading began at RM1.40, matching the previous closing price, before the counter briefly reached RM1.41. It dropped to RM1.00 around 10.00am, approaching its limit-down price of 98 sen, then recovered some ground before the midday break.
The automatic short-selling restriction is triggered when the last traded price falls by more than 15% or 15 sen against the reference price.
In its latest announcement, dated Oct 5, Jati Tinggi said it had secured two contracts from Tenaga Nasional Bhd totalling RM15.7 million. They cover underground cable work in Selangor and a monitoring system for submarine power cables in Perlis.
According to AskEdge data, Jati Tinggi traded at 34 times trailing earnings, within the range of its peers. Its valuation of nearly six times net asset value was below that of most peers.
