MMM Group

BURSA Malaysia has rejected MMM Group Bhd’s proposed regularisation plan, citing concerns over the plan’s ability to sustain and grow the company’s business operations under Practice Note 17 (PN17) of the Main Market Listing Requirements.

In a filing today, MMM (formerly Asia Media Group Bhd) said the proposal , which included a private placement, rights issue with warrants, and a share capital reduction, did not meet the requirements under Paragraphs 5.4 and 5.5 of PN17.

Bursa Malaysia noted that the company and its adviser, M & A Securities, failed to convincingly demonstrate the viability of the plan, particularly amid MMM’s declining revenue and weak market penetration.

For the financial year ended March 31 2024 (FY2024), MMM generated RM7.41 million in revenue, representing just 0.75% of the estimated RM990 million Malaysian out-of-home (OOH) advertising market.

This comes despite the market recovering 3.66% in 2024 and projected to grow at a compound annual rate of 5.11% to RM1.27 billion by 2029.

Utilisation of MMM’s digital billboards was only at 30–40%, while its lift-up projector ads saw a similar take-up rate of around 30%.

Its order book stood at RM4.7 million as of May 31, 2025.

Bursa also highlighted that recent profitability was largely driven by one-off gains, including fair value gains from future cash flow projections, rather than core business operations.

After stripping out these items, MMM would have reported net losses of RM1.18 million in FYE2024 and RM1.14 million in FYE2025.

As at March 31 2025, the group posted negative operating cash flow of RM3.05 million.

Although the proposed capital reduction of RM40 million would have eliminated accumulated losses and improved shareholder equity to above the PN17 threshold, Bursa noted that this improvement would be accounting-based rather than operationally driven.

MMM has the right to appeal the decision under Paragraph 8.04(4) of the Listing Requirements.

Failing that, the company’s securities will be delisted from the Official List of Bursa Malaysia on a date to be announced. — TMR

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