The share price of major shareholders of KLK Batu Kawan rose 40 sen or 1.94% at the close of the Bursa market yesterday to hit a high of RM21.00 after the last share buyback.
However, today, the counter is not traded to remain at RM21.00 and according to records it has a market capitalization of RM8.39 billion.
According to a detailed report, Batu Kawan acquired 41,100 shares with a price of RM848,000 and further brought the accumulation of its total shares to 4.56 million.
Batu Kawan is one of several companies in the plantation sector that is actively undertaking share buybacks to support price movements to remain effective.
The implementation also includes IOI Corp Bhd and its Batu Kawan subsidiary owned by Kuala Lumpur Kepong Bhd (KLK).
In addition, KLK incurred expenses worth RM980,531 for the buyback of its new shares on Aug 17 to bring the total outstanding shares to 3.13 million.
Meanwhile, IOI Corp bought back 343,100 new shares on Aug 13 for RM1.27 million and recorded its total treasury shares at 52.32 million.
Meanwhile, Batu Kawan's net profit in the second quarter ended June 30, 2021 showed an increase of around 81.73% to RM386.46 million compared to RM212.65 million last year.
Earnings per share also jumped 97.51 sen from 53.74 sen which was overall contributed by its business segment.
Following the better performance from its Malaysian, Chinese and European operations, it has also supported the elochemicals division to double the profit to RM207.82 million.
