Excel Force MSC Berhad Annual Report 2016

EXCEL FORCE MSC BERHAD ANNUAL REPORT 2016 85 Notes to the Financial Statements 31 December 2016 (cont’d) 15. SHARE CAPITAL (cont’d) (b) Warrants On 18 July 2014, the Company issued 103,384,031 2014/2019 free Warrants (‘the Warrants 2014/2019’) on the basis of one (1) free warrant for every two (2) existing ordinary shares held of RM0.10 each. The Warrants are constituted under a Deed Poll dated 1 July 2014 (‘Deed Poll’). The Warrants 2014/2019 were listed on Main Market of Bursa Malaysia Securities Berhad on 24 July 2014. The salient features of the Warrants 2014/2019 are as follows: (i) the Warrants 2014/2019 entitle its registered holders to subscribe for one (1) new ordinary share of the Company of RM0.10 each at the exercise price during the exercise period; (ii) the exercise price of each Warrant has been fixed at RM0.68 per Warrant; (iii) the Warrants 2014/2019 may be exercised at any time during the tenure of the Warrants of five (5) years including and commencing from the issue date of the Warrants dated 18 July 2014 and ending on the expiry date to be dated 17 July 2019 (‘exercise period’). Any Warrants which have not been exercised by the expiry of the exercise period will lapse and therefore cease to be valid for any purpose; and (iv) the new shares will, upon allotment and issue, rank pari passu in all respects with the then existing shares save and except that they will not be entitled to any dividends, rights, allotment or other forms of distributions for which the relevant entitlement precedes the date of allotment and issuance of the new shares arising from the exercise of the Warrants. As at 31 December 2016, unexercised warrants of the Company are as follows: Date granted Exercise price No. of warrants over Warrant ordinary shares expiry date 18 July 2014 RM 0.68 103,286,156 17 July 2019 During the financial year, 97,875 new ordinary shares of RM0.10 each were issued pursuant to the exercise of warrants for the equivalent numbers by the registered holders. There were no other warrants exercised into ordinary shares during the financial year ended 31 December 2016. 16. RESERVES Group Company 2016 2015 2016 2015 RM RM RM RM Share premium 56,768 - 56,768 - Retained earnings 24,757,733 23,263,333 25,071,929 23,356,211 24,814,501 23,263,333 25,128,697 23,356,211