ASL Marine (A04.SG) +6.5% at 2-week high of $0.905 on shipbuilder’s bonus issue of up to 120.6 million new shares to investors on basis of 4 for every 10 ordinary shares held.

Size represents about 40% of existing share capital.

Move deemed positive for historically thinly-traded stock. Average daily volume for last 200 days merely 233,000 shares, for past 50 days at 193,000 shares.

“This will enable the company to increase the free float and improve the trading liquidity of its shares,” says Kim Eng Securities analyst Eric Ong. Move already approved by shareholders, but still subject to regulatory nod.

News helping shares recoup 5.6% loss since release of September-quarter results on Nov. 10.