TCS Group proposes 20% share placement, diversification into property development

PETALING JAYA (July 16): Construction group TCS Group Holdings Bhd has proposed a private placement of up to 152.72 million new ordinary shares, alongside a proposed diversification of its existing principal activities to include property development-related activities.

It said in a Bursa Malaysia filing on Wednesday that the proposals will be tabled for shareholders’ approval at an extraordinary general meeting (EGM) on Aug 5, according to the company’s circular to shareholders dated July 15.

The proposed private placement involves the issuance of up to 152,724,425 new shares, representing approximately 20% of the total number of issued shares of the company, subject to the final issue price and implementation scenario.

TCS said the placement shares would be issued to third-party investors, with the issue price to be determined later in accordance with the applicable pricing requirements.

Based on an illustrative issue price of RM0.0687 per placement share, the proposed placement is expected to raise gross proceeds of approximately RM10.49 million.

The proceeds will be used mainly for working capital requirements for the group’s existing construction projects, as well as to defray expenses relating to the exercise.

Separately, TCS is seeking approval to diversify its existing principal activities to include the property business, which is defined in the circular as property development-related activities.

The group said the proposed diversification is intended to create an additional earnings base for TCS, although it has not secured or entered into any property development projects as at July 3, 2026, being the last practicable date of the circular.

No specific land acquisitions, development projects or property pipeline were disclosed.

TCS’ existing business comprises the provision of construction services for buildings, infrastructure, civil and structural works, as well as transportation support activities involving the movement of building materials between project sites.

The proposed private placement has received approval-in-principle from Bursa Malaysia Securities Bhd for the listing and quotation of up to 152.72 million placement shares on the ACE Market, subject to the fulfilment of relevant conditions.

The EGM will be held on Aug 5, 2026 at 10am at Level 4, No 1 & 3, Bangunan TCS, Jalan SP 1/1, Bandar Saujana Putra, Jenjarom, Selangor.

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