KUALA LUMPUR: Classic Scenic Bhd yesterday saw not only a record high in its share price, but also the resignation of its executive director and co-founder Lim Chee Khoon, 57.
His resignation is for “retirement and to pursue other interests”, according to the wooden picture frame manufacturer’s filing with Bursa Malaysia.
Chee Khoon’s exit from the boardroom leaves his three brothers, namely executive chairman and co-founder Lim Chee Keong (58), managing director Lim Chee Beng (50), and executive director Lim Chee Hwa (55) to hold the fort.
Notably, according to another filing with the exchange in early October this year, Chee Khoon had cleared his indirect shareholdings in Classic Scenic by disposing of 59 million shares or a 49% stake, leaving him with a 13.82% direct stake. His indirect shareholdings were held through Lim Ket Leng Holdings Sdn Bhd, the controlling shareholder of Classic Scenic with up to 62.82% stake, according to the latter’s 2013 annual report.
Classic Scenic, which was covered in yesterday’s The Edge Research column “Stocks with Momentum”, has a strong balance sheet with no borrowings. Its outlook is also reported to be positive as it is expected to benefit from the recovery in the United States market as well as a stronger US dollar versus the ringgit as most of its sales — 78% of total sales in 2013 — come from North America.
Shares of Classic Scenic surged to RM1.41 yesterday before closing at RM1.38, up 9 sen or 7% with 2.8 million shares transacted, giving it a market capitalisation of RM166.29 million.
This article first appeared in The Edge Financial Daily, on October 28, 2014.