SINGAPORE (Oct 2): China Sunsine Chemical Holdings, the producer of speciality rubber chemicals and rubber accelerators, has received in-principle approval from the Singapore Exchange (SGX) for the proposed share split of one ordinary share into two shares. 

In a regulatory filing on Wednesday, the company reported that it had gotten the nod from the exchange for the listing and quotation of additional shares on the Mainboard. 

In an earlier filing on Sept 20, the company said that it had an issued and paid-up capital of $65.2 million, comprising 491.7 million shares which include 3.5 million treasury shares. The proposed split will see an additional 491.7 million shares being issued, barring any changes in the number of issued shares until the completion of the share split. 

According to the company, the share split will increase its market liquidity due to the reduction in share price and broaden the base of shareholders, which will in turn improve the accessibility of investment in the company to new investors. 

The proposed share split will be subject to shareholders’ approval at an extraordinary general meeting (EGM) to be convened.

The company says a circular containing the full details of the share split, together with a notice convening the EGM, will be despatched to shareholders in due course.  

China Sunsine requested for a trading halt during the mid-day break on Tuesday, prior to the announcement on Wednesday morning before market open. 

Following the lift of the halt, shares in China Sunsine are trading 1 cent higher, or up 0.9%, at $1.10 as at 11.59am.