SINGAPORE Feb 21 Shares of Singapore's
Hi-P International Ltd surged as much as 12.8 percent
on expectations of new business, although the contract
manufacturer denied it had won a large order from U.S. computer
giant Apple Inc.
By 10:19 a.m. (0219 GMT), Hi-P was up 7.8 percent at S$0.97
on volume of 3.1 million shares, 4.4 times the average volume
traded in the past 30 days. The stock has surged about 46
percent this month.
Hi-P supplies electronic parts for companies including Apple
Inc and Blackberry maker Research In Motion Ltd.
DMG & Partners Securities Pte said in a report on Friday its
checks showed Hi-P had secured a large order for its new metal
casing business, which the broker believed was from Apple.
Hi-P, however, said on Monday DMG's statement was not
accurate and that it was currently working on potential new
metal casing and parts projects with some customers.
"The group has developed new customers and secured orders
from existing and new customers for projects with different
processes," the company said.
Hi-P also said that its planned capital expenditure of
around S$100 million ($80 million) was for the acquisition of
different machinery and equipment, as well as for the expansion
of production facilities.
"The Hi-P announcement is quite vague and people may still
believe that they have orders from Apple. They are spending so
much to expand capacity, so some people expect them to have
contracts," said a local trader.