Insider Moves: Euro Holdings Bhd, Perak Transit Bhd, Naim Indah Corp Bhd, D'Nonce Technology Bhd

This article first appeared in Capital, The Edge Malaysia Weekly, on September 4, 2017 - September 10, 2017.
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Notable filings

BETWEEN Aug 21 and Aug 25, a notable filing was on the emergence of Liew Fook Meng as a substantial shareholder in furniture manufacturer Euro Holdings Bhd on Aug 23.

Liew acquired 14.58 million placement shares, or 60% of the 24.3 million placement shares that raised RM4.4 million to pay contractors, suppliers and consultants for a condominium project in Cheras, which was launched in March 2016 and is expected to be completed in 2019. The purchase increased Liew’s shareholding to 15.61 million shares, or 5.47%, making him the fifth largest shareholder.

The placement price was 18 sen, slightly below the indicative price of 18.5 sen in the July 19 announcement. It is worth noting that Liew may be the co-founder-cum-executive director of snacks and candy manufacturer Cocoaland Holdings Bhd. His registered address in Rawang corresponds with that of Cocoaland’s headquarters.

A new substantial shareholder also surfaced at Perak Transit Bhd. Tan Sri Koh Kin Lip, founder of Rickoh Holdings Bhd, bought nine million shares both directly and via Rickoh Corporation Sdn Bhd in an off-market transaction on Aug 21. The acquisition increases his total stake to 63.28 million shares, or a 5.54% stake. Koh emerged as a substantial shareholder in SCH Group Bhd on March 15 with a 10.47% stake. Koh’s acquisition of Perak Transit’s shares preceded a 30-million shares disposal by Muamalat Ventures Sdn Bhd on Aug 23, cutting its stake to 60 million shares, or 5.25%. Last Monday, the counter closed at 35 sen, marking a 118% increase from the beginning of the year.

At WZ Satu Bhd, substantial shareholder Tan Jing Xin pared down her stake by 6.04 million between Aug 21 and Aug 24. That leaves her with 37.38 million shares (10.71%) — both direct and deemed interest.

Jin Xin is the daughter of the late Tan Ching Kee, a former senior executive director of WZ Satu. Ching Kee passed away in February. The counter closed at RM1.14 between Aug 21 and Aug 24, pegging the 6.04 million block’s value at RM6.89 million.

On Aug 22, WZ Satu announced that it was selling steel trading unit Weng Zheng Trading Sdn Bhd to Jin Xin for RM22.8 million. It said the disposal is in line with the ongoing rationalisation of investments and marks its exit from steel trading.

Over at Industronics Bhd, major shareholder Zhou Qi Lin sold five million shares on Aug 16, according to an Aug 22 filing. That cuts her stake from 9.03% — the fourth largest single shareholding in the company as at March 31 — to about 4.16%.

Last Monday, the counter closed at 20 sen, having declined 18 sen or 47.4% since peaking at 38 sen on May 3.

 

Notable movements

It has been a roller-coaster ride for Naim Indah Corp Bhd shareholders this year. Having begun the year at 8 sen, the shares surged to a nearly two-year high of 12 sen on March 27 and April 7. The shares then tumbled to a multi-year-low of 5.5 sen on Aug 14 before posting a small rebound, closing at 6 sen on Aug 28.

Amid the share price weakness, managing director and CEO Datuk Seri Siaw Swee Hin has been paring down his stake since exercising options for 13 million shares on July 19. Between July 31 and Aug 25, he sold a total of 48.16 million shares, which were mainly indirectly held. That left him with 102.86 million shares (11.74%), of which 81.67 million shares (9.32%) are directly owned.

D’Nonce Technology Bhd shares declined about 13% between June 7 and Aug 11, when it closed at 28 sen. The counter then surged 14.3% to close at 32 sen on Aug 28.

Overall, the counter has increased 39% since the low of 23 sen in end-January. Despite the general rally, managing director and CEO Law Kim Choon has been steadily increasing his stake. On Aug 17 and 18, Law bought one million shares, raising his holding to 43.05 million shares, or a 23.63% stake. He started the year with 30.92 million shares (16.9%). Law is the single largest individual shareholder in D’Nonce.