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Globetronics Technology most active after "business as usual" assurance

KUALA LUMPUR: Semiconductor assembly and test firm Globetronics Technology Bhd was the most actively traded stock today after it took pains to reassure investor all was well with the company after its external auditor, KPMG PLT,  resigned.

The company's share price plunged 33 per cent on Tuesday after the announcement on the resignation was made.

As at 10.39am, the company' share price rose 4.6 per cent or 2.5 sen to 56.5 sen from its closing price of 54 sen on Tuesday. Some 78 million shares changed hands.

In a statement issued last night, Globetronics said the resignation of  its auditors, were in line with the company's new strategic direction.

Globetronics announced on Tuesday that KPMG PLT submitted a notice to the company for a voluntary resignation. KPMG PLT's resignation will be effective on September 25, which is 21 days after the notice was submitted on September 4.

"This change is in line with the group's new strategic direction, influenced by newly emerged shareholders and management. We extend our gratitude to KPMG for their long service and look forward to maintaining a positive relationship as we transition."

"It is important to note that the financial reports so far have not been audited by KPMG for this year, ensuring there is no impact on our financial integrity from this transition," it said.

The company added that it is "actively enhancing" its auditing processes to meet the highest standards of accuracy and transparency.

It has also shortlisted UHY Malaysia as its new auditor, pending the completion of official documentation.

Globetronics' share price drop affected substantial shareholder APB Resources Bhd as well yesterday. It however failed to rebound today, continuing its downtrend.

It was trading 9 per cent lower at RM1.18 a share today.

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