General Announcement::SGX advises caution on IHC shares; review shows handful of individuals behind over 60% of volume

Issuer & Securities

Issuer/ Manager
SINGAPORE EXCHANGE LIMITED
Securities
SINGAPORE EXCHANGE LIMITED - SG1J26887955 - S68
Stapled Security
No

Announcement Details

Announcement Title
General Announcement
Date &Time of Broadcast
09-Sep-2015 18:27:18
Status
New
Announcement Sub Title
SGX advises caution on IHC shares; review shows handful of individuals behind over 60% of volume
Announcement Reference
SG150909OTHRL19G
Submitted By (Co./ Ind. Name)
Carolyn Lim
Designation
VP, Marketing & Comms
Description (Please provide a detailed description of the event in the box below)
Singapore Exchange (SGX) is advising shareholders and potential investors to exercise caution when dealing in shares of International Healthway Corporation (IHC).

The share price of IHC has remained steady between $0.29 and $0.32 since April 2015 to the present, including the period in August 2015 when the general market experienced volatility.

SGX s review of the trades in IHC revealed that a handful of individuals who seem to be connected to each other, were trading IHC shares through various trading accounts among themselves. In total, their trades constituted more than 60% of the total traded volume of IHC shares in April 2015 to the present.

SGX is working with the relevant regulatory agencies on the matter.

IHC announced a proposed acquisition of Healthway Medical Corporation (HMC) on 19 June 2015. The consideration for each HMC Share is S$0.10, to be satisfied by the issuance of new IHC shares at an issue price of S$0.45 each. The acquisition is subject to court and shareholders approval. IHC and HMC will each appoint an Independent Financial Advisor to advise their shareholders on:
- whether the transaction is on normal commercial terms
- whether it is not prejudicial to the interest of the respective companies and their independent shareholders.

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