KUALA LUMPUR: Shares of Konsortium Transnasional Bhd (KTB) are down more than 18% Thursday morning after the company announced a placement of 67 million shares.

       The transport group fell 18.18%, or four sen to 18 sen with 25 million shares. In the past six months, the counter has risen 25%.

       KTB has proposed placement of 67 million new ordinary shares, representing 16.63% of its existing issued shares, to Doh Properties Sdn Bhd at an issue price of 10 sen per unit.

       KTB said it had also proposed 233 million redeemable convertible preference shares (RCPS) in KTB at an issue price of 10 sen per RCPS via a subscription agreement with Doh Properties.

       "The proposed placement is crucial for its survival as the group has been hindered by its inability to raise external borrowings given that it is in a net liability position and Practice Note 17 classification and an injection of funds was urgently required to meet its immediate financial obligations and to sustain the transport business," it said.