Green Ocean share trading suspended after price surge

KUALA LUMPUR: Trading of Green Ocean Corp Bhd shares were suspended towards the end of the trading session yesterday, after it replied to an Unusual Market Activity query by Bursa Malaysia.
Its shares, which was suspended at 4.34pm yesterday, closed 11 per cent higher at 25 sen, its highest closing since June 2008. It was the most actively traded counter yesterday with more than 58.81 million shares changing hands.

The company, in its reply to Bursa's query, said it is not aware of any corporate developments, or rumours, or any other possible explanation that caused a "sharp" rise to its share price and volume.

However, it reiterated that the company's unit, Ace Edible Oil Industries Sdn Bhd, is in advanced stage of negotiations to supply the entire premium cooking oil production to a conglomerate.

"We are still in negotiations stage on the intended supply agreement," Green Ocean said in a statement yesterday.

In a Business Times report early this month, citing Green Ocean managing director Lee Byoung Jin, the company is banking on its exclusive technology to push the company back to profitability.

The technology was developed by the Malaysian Palm Oil Board (MPOB), and Green Ocean pays the board a royalty for 20 yearsof exclusive use of the tech-nology.

The technology, known as Novelin, allows Green Ocean to produce cooking oil which has cold stability at zero celcius, which means it can be used during the cold winter period.

Palm-based products tend to solidify at about 24.1 degree celcius, which means palm oil-based cooking oil cannot be used during winter.


Green Ocean share trading suspended after price surge