Silverlake Axis halts trading after stock falls 27% on short-seller report

SINGAPORE - Mainboard-listed software solutions provider Silverlake Axis called for a trading halt "with immediate effect" pending an announcement, after its stock sank as much as 27 per cent on Friday (Aug 21).

This followed the release of a 42-page report, authored by a "razor99", that recommended shorting the stock, the Business Times reported.

The report, which placed a 29 cents target price on the company, was released on Thursday night and continued making its rounds around broking houses on Friday, the paper added.

By 1.20pm just before they were halted, Silverlake Axis shares were trading down 24 per cent at 63.5 cents, after hitting an earlier low of 61.5 cents

The stock was among the top 10 most heavily traded counters with 22.9 million shares changing hands on Friday, compared to just 6.4 million on Thursday.

The Singapore Exchange also queried its "unusual price movements" earlier on Friday and asked the company if it was aware of any information not previously announced that might explain the trading.