PETALING JAYA: Scope Industries Bhd has subscribed to 20 million cumulative non-convertible redeemable preference shares in Malacca Securities Sdn Bhd at RM1 each, amounting to a RM20mil investment.
In a filing with Bursa Malaysia, Scope said the investment is aimed at generating a fixed dividend return of 10% per annum, in line with its capital allocation strategy.
“The investment forms part of Scope’s capital allocation strategy to generate stable income from surplus funds through investments that offer consistent and predictable returns,” it noted.
The investment will be fully funded through internally generated funds, it added.
The preference shares have a 12-month maturity but may be redeemed at Malacca Securities’ discretion after the first three months.