KUALA LUMPUR (April 24): Dataprep Holdings Bhd said on Wednesday that Tan Sri Muhammad Ikmal Opat Abdullah has ceased to be the substantial shareholder in the IT products and services company.

Muhammad Ikmal, through Wardah Communication Sdn Bhd, sold 16.13 million shares or a 2.19% stake in the open market on April 22, according to Dataprep's filing. Wardah Communication now holds 3.79% in Dataprep — below the 5% threshold required for substantial shareholding status.

The transaction price was not disclosed. Based on Dataprep's closing price of 13.5 sen on April 22, the block of shares would be worth about RM2.18 million.

Shares of Dataprep have fallen over 26% year-to-date from 17 sen, and 52% from 2023's closing price peak of 26.5 sen. At Wednesday's noon break, the counter was unchanged at 12.5 sen, valuing Dataprep at RM88.95 million.

Muhammad Ikmal, who is also the controlling shareholder of listed construction company Widad Group Bhd, has been selling Dataprep shares since the start of this year, dumping 29.84 million shares in total between Jan 19 and April 22.

Widad is mainly known for providing building maintenance support services for Malaysia's royal palaces.

Muhammad Ikmal took over Dataprep from the controlling shareholder VXL Holdings Sdn Bhd in 2017. VXL is owned by Datuk Lim Chee Wah, the son of the late Genting group founder Tan Sri Lim Goh Tong.

Dataprep has been in the red for more than 10 years. For the financial year ended Dec 31, 2023 (FY2023), net loss widened to RM23.29 million from RM17.61 million due to expected credit loss on receivables, allowance for obsolete inventories, as well as depreciation and amortisation charge.