SIDC Module 6 Capital raising and the Listing Requirements question: transaction to Bursa Securities

SIDC Module 6Capital raising and the Listing Requirements

Kiambang Bhd, a LEAP Market company, agrees to buy equipment from an unrelated supplier for RM2 million. The highest percentage ratio is 8%. Must it announce the transaction to Bursa Securities?

A Yes, and it also needs shareholder approval as the price exceeds RM1 million
B No, as LEAP Market announcements start at a percentage ratio of 10%
C Yes, as any transaction with a ratio of 5% or more must be announced
D Yes, as the RM2 million consideration exceeds the RM250,000 level

Show the answer and explanation

Answer: B. No, as LEAP Market announcements start at a percentage ratio of 10%

Rule 7.04(1) of the LEAP Market LR requires an announcement where any percentage ratio of a transaction is 10% or more, and Rule 7.05 adds a circular and shareholder approval at 25% or more. At 8%, no announcement is required. The 5% announcement trigger belongs to the Main Market (paragraph 10.06) and, on the LEAP Market, to related party transactions only. RM250,000 is the level below which LEAP announcements are excused, not a trigger. There is no RM1 million approval threshold. Source: Bursa Malaysia Securities LEAP Market Listing Requirements (consolidated as at 31 October 2025) Rules 7.04, 7.05, 7.06; Bursa Malaysia Securities Main Market Listing Requirements (consolidated as at 9 July 2026) para 10.06 (as at October 2026).

Common mistake

Carrying the Main Market's 5% trigger over to the LEAP Market, which uses 10% for ordinary transactions.

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Original study material mapped to the public SIDC Module 6 syllabus. Unofficial, not endorsed by SIDC or the SC. Verify figures and rules against current guidance before relying on them.