Mirach Energy

[cyclone]

SGX RegCo urges caution when dealing in shares of Mirach Energy Limited

Singapore Exchange Regulation ("SGX RegCo") urges investors and potential investors to exercise caution when dealing in the shares of Mirach Energy Limited ("Mirach").

The share price of Mirach had climbed steadily from $0.130 on 8 February 2019 to $0.290 on 3 September 2019, an increase of $0.160 or 123%. In particular, between 29 April 2019 and 15 May 2019, when the STI declined 188.25 points or 5.53%, the closing price of Mirach shares rose from $0.163 to $0.197, an increase of $0.034 or 21%.

SGX's review of the trades in Mirach between 8 February 2019 and 3 September 2019 showed that a small group of individuals was responsible for over 69% of the buy volume of Mirach shares. These individuals appear to be connected to each other.

It is further observed that since 8 February 2019, Mirach's market capitalization has increased approximately $18 million to reach $44.5 million on 20 September 2019.

Mirach is currently on the Watch-List under both the Financial Entry Criteria and the MTP Entry Criteria.

SGX RegCo is reviewing the trades in Mirach shares and will take the necessary actions including referring the case to statutory authorities where warranted.

[wsreader]

The trades between a small group of seemingly connected individuals were done over 7 months, before SGX RegCo raises the alarm. SGX RegCo seriously needs to hire more data scientists. The trade data are already there in CDP's databases. Just need to run some predictive screenings algorithms at appropriate intervals to fish out similar manipulations.

[cyclone]

SGX RegCo urges caution when dealing in shares of Mirach Energy Limited

Singapore Exchange Regulation ("SGX RegCo") urges investors and potential investors to exercise caution when dealing in shares of Mirach Energy Limited ("Mirach").

SGX RegCo issued a Trade with Caution on trading in Mirach shares on 24 September 2019. The share price fell shortly after, but has increased significantly since then.

Between 25 September 2019 and 5 November 2019, the share price of Mirach rose from S$0.140 to a high of S$0.370, an increase of 164%. During this time, SGX RegCo issued trading queries to Mirach for unusual share price movements. The first query was on 18 October. Despite Mirach s negative response to the query, the share price of Mirach continued to climb. A second query was issued on 5 November 2019, and they have responded negatively to that as well.

That the unusual share trading in Mirach has continued relatively unabated is of concern to SGX RegCo.

In our review of the trading activities in Mirach shares, SGX RegCo determined that a single omnibus trading account accounted for 88.7% of buy volume in Mirach between 7 October 2019 and 5 November 2019. SGX RegCo understands that 4 individual trading accounts were behind the omnibus trading account. SGX RegCo has directed the relevant trading member to place trading restrictions on these accounts in respect of shares of Mirach.

SGX RegCo has also referred the matter to the authorities for their necessary actions.