KUALA LUMPUR: Berjaya Food Bhd has proposed a bonus issue of 1.56 billion shares on the basis of four bonus shares for every one share held.

       In a bouse filing on Monday, the F&B chain operator said the entitlement date is yet to be determined, and will be announced at a later date.

       As at June 9, 2020, the issued share capital of the company stood at RM257.82mil comprising 389.53 million shares including treasury shares.

       The group noted that Main Market listing requirements dictate that the adjusted price for the bonus shares will not be less than 50 sen based on the daily volume weighted average market price (VWAMP) of during the three-month period before the date of the application

       Based on the group's calculation, the theoretical ex-bonus price of Berjaya Food shares calculated based on the five-day and lowest of the three-month VWAMP up to June 9 are 94.35 sen and 59.63 sen.

       Berjaya Food said in its rationale for the bonus issue that it will serve to increase the number of shares held by entitled shareholders and potentially increase the marketability of its shares.

       The group noted that the proposed bonus issue is subject to approvals from Bursa Securities, shareholders, and other relevant parties if required.

       "Barring any unforeseen circumstances and subject to all the requisite approvals being obtained, the proposed bonus issue is expected to be completed in the third quarter of 2022," it added.