KUALA LUMPUR: AmBank (M) Bhd has issued six new call warrants over the ordinary shares of BIMB Holdings Bhd, Eastern & Oriental Bhd, MMC Corp Bhd, Petronas Dagangan Bhd, Time dotCom Bhd and UOA Development Bhd.

In a statement yesterday, AmBank said the new European style cash-settled structured warrants will have tenures of about eight months each and will be listed today with issue size of up to 100 million each.

“The Malaysian stock market registered strong gains after the Chinese New Year holidays as the FBM KLCI hit new highs above the 1,560 level. As the KLCI continues on its uptrend, these counters are also expected to benefit from potential merger and acquisition activities,” said AmInvestment Bank director/head of equity derivatives Ng Ee Fang.

AmBank said the warrants are aimed at sophisticated traders who want to trade on the direction and volatility of the six counters.

“The new call warrants have gearings ranging between 4.87 and 8.44 and are targeted at investors who want leveraged exposure to the underlying counters,” it added.

This article appeared in The Edge Financial Daily, February 22, 2012.