Asia Media rises despite facing legal suit

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KUALA LUMPUR (Sept 11): Asia Media Group Bhd (Asia Media) share price rose to a high of 9 sen this morning before settling back at 8.5 sen.

The counter saw some 8.8 million shares traded despite news that the company was sued by its former chief financial officer (CFO) for irregularities in the group’s statutory declarations in its financial statements for the financial year end Dec 31, 2012 (FY12) and FY13.

A trader with RHB Investment Bank said that the lack of movement in the stocks showed that investors had already priced in the news and were not affected by it.

“A civil suit against the company by the CFO is of course, negative. But, the share price for Asia Media has been quite tepid for a few months now. If the share price is already so low, it is hard to see a stock like this going any lower,” he said.