AIZO cuts share capital to RM50.11M

KUCHING: AIZO Group Bhd’s issued share capital has been cut to about RM50.11 million comprising some 2.143 billion shares following the completion of share capital reduction on October 13.

The exercise involved the cancellation of the company’s issued share capital of RM75 million to set off the accumulated losses incurred over the past several financial years.

As at September 30, 2025, AIZO’s accumulated losses was RM70.31 million at company level and RM47.89 million at group level.

The share capital reduction did not involve any adjustment to AIZO share price.

Meanwhile, AIZO’s independent director Lo Ling has acquired additional 6.77 million shares in the open market, all at 3.5sen per share, in the open market over the past two weeks.

On October 6, he bought 883,500 shares and 1.5 million shares two days later. He accumulated 3,889,900 shares on October 9 and another 500,000 shares on October 12, according to the company’s filings with the local bourse.

Lo has increased his equity interest in AIZO to 11,888,500 shares (0.555%).

Currently, AIZO is in the process of implementing another fund-raising exercise via a private placement and renounceable rights issue to raise money to finance its large-scale solar project and construction projects.

The proposed private placement involves the issuance of up to about 763.88 million ordinary shares, representing up to 30 per cent of the company’s total number of issued shares (excluding treasury shares, if any) to certain company directors and major shareholders as well as independent third-party investors.

The proposed renounceable rights issue entails the issuance of up to 3.31 billion new ordinary shares on the basis of one rights share for every one existing share holder by shareholders, together with up to about 1.655 billion free detachable warrants on the basis of one warrant for every two rights shares subscribed.

The latest tranche of private placement involving 122.5 million new ordinary shares at 2.99sen apiece were listed on September 30. 

AIZO has applied to Bursa Securities for an extension of time up to April 15, 2027 to complete the fund raising proposals.