This article first appeared in Capital, The Edge Malaysia Weekly on February 12, 2018 - February 18, 2018

Notable filings

FROM Jan 29 to Feb 2, notable shareholding changes in companies listed on Bursa Malaysia included that at apparel maker Asia Brands Bhd, which saw Pembinaan Teknikhas Sdn Bhd emerge as a substantial shareholder after it acquired 5.78 million shares, or 7.31% equity interest, on Jan 30.

In December, Asia Brands entered into a conditional share subscription agreement of 37.2 million new shares — 31.99% of the company’s enlarged share capital — with Trackland Sdn Bhd, which will raise total gross cash proceeds of RM27.57 million.

For the second quarter ended Sept 30, 2017, Asia Brand’s net loss shrank to RM2.1 million from RM13.23 million a year earlier. Revenue was 1.4% higher at RM35.06 million.

At timber and concrete player Leweko Resources Bhd, executive director Abdul Aziz Jantan pared down his direct stake, disposing of 6.76 million shares during the week in review. Post disposal, his direct stake fell to 5.89% while his indirect stake remained at 6.24%.

For its first quarter ended Sept 30, 2017, Leweko’s net profit fell to RM92,000 from RM749,000 a year ago. Revenue was down 36.5% to RM6.25 million.

Over at Naim Indah Corporation Bhd, Voon Brothers Construction Sdn Bhd emerged as a substantial shareholder with 109.72 million shares, or an 8.15% stake, after it acquired Naim Indah shares through a creditors capitalisation exercise.

According to a circular by Naim Indah, its wholly-owned subsidiary, Consistent Harvest Sdn Bhd, owes RM12.61 million to Voon Brothers and half of the debt was settled via the issuance of the shares.

Executive director Datuk Sri Lee See Yang’s stake in Naim Indah has increased as a result of the debt capitalisation exercise to 119.05 million shares, or an 8.11% direct stake and a 0.74% indirect stake.

Mutiara Management Sdn Bhd, a company connected with Naim Indah’s former managing director Datuk Seri Siaw Swee Hin, had advanced Naim Indah a total of RM5.25 million. The debt was settled with 89.05 million shares. Thereafter, the shares were assigned to Lee under a deed of assignment.

Vertice Bhd saw major shareholder Vista Lestari Development Sdn Bhd pare down its stake by 1.6 million shares. Post-disposal, Vista Lestari holds 23.89% equity interest. The company is linked to Datuk Zarul Ahmad Mohd Zulkifli, who is the executive director of Consortium Zenith Construction Sdn Bhd.

Vertice has a 13.21% stake in Consortium Zenith, which was recently reported to be one of the companies raided by the Malaysian Anti-Corruption Commission over its involvement in the Penang underwater tunnel project.

Notable movements

Inari Amertron Bhd’s share price has seen some weakness this year. Between Jan 8 and Feb 6, the technology counter fell 17.6% to RM3.13 apiece. It rebounded slightly, by 5.11% to RM3.30, on Feb 7.

During the week in review, filings with Bursa showed that Ho Phon Guan disposed of one million Inari Amertron shares through a direct business deal on Jan 25, while the Employees Provident Fund Board acquired 1.5 million shares, raising its stake to 110.86 million shares or 5.37% equity interest.

On Jan 29, the company announced a proposed one-for-two bonus issue of up to 1.12 billion bonus shares.

Meanwhile, Sumatec Resources Bhd’s share price surged 140% between Jan 2 and Jan 16 from 5 sen to 12 sen but it fell 37.5% from 12 sen to 7.5 sen between Jan 16 and Feb 5.

Filings with Bursa reveal that substantial shareholder, Tan Sri Halim Saad, disposed of 127 million shares during the week in review. Post disposal, Halim’s stake has been reduced to 12.7%.

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