S2Y stock tumbles as ban takes effect
Stock in teen-culture information-technology (IT) company Siam2you (S2Y) slumped almost 30 per cent yesterday, following a ban on intra-day and margin-loan trading for 30 trading days imposed by the Stock Exchange of Thailand (SET).
The stock, which is listed on the Market for Alternative Investment, opened at Bt3.90, down from Bt4.90 at the close of trading on Tuesday, and continued to tumble to close at the day's trough at Bt3.04. The ban on intra-day and margin-loan trading took effect yesterday and will remain until May 15. "There were extraordinary changes in both the price and value of Siam2you securities between March 21 and March 27, compared with the previous period," the SET announced. Siam2you's stock chalked up a climb of almost 238 per cent from Bt1.45 at the market close on March 8 to Bt4.90 at the market close on Tuesday. It reached its highest point of Bt5.35 during intra-day trading last Thursday. Several weeks ago, the SET asked Siam2you to explain the dramatic rise in the company's stock price and trading volume, and the company said it was not aware of any reasons for the irregular movement, except that it was planning a capital increase and asset acquisition. Earlier this month, Siam2you announced that it would float 446.3 million shares to five investors - Nezu Capital, Sphinx Capital, Kudu Developments, Simon Gerovich and MR Assets Corp - for Bt1 apiece. If the deal goes ahead, the five investors will later launch a tender offer for Siam2you's remaining shares at Bt1.50 apiece. The company's registered capital would be raised from Bt40.93 million to Bt487.27 million. Proceeds from the share allocation will be used to acquire assets from the group of investors, so that the company's core business can shift from IT to real estate. The Nation
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