Notable filings
BETWEEN Feb 20 and 24, notable changes in shareholding filed with Bursa Malaysia included Oregon Technology Sdn Bhd’s mandatory takeover offer for Denko Industrial Corp Bhd at 60 sen a share.
Recall that Oregon had emerged as a substantial shareholder in Denko on Feb 15 after acquiring 34.1 million shares between Feb 2 and 15, giving it a 32.65% stake. It would go on to acquire another 15.397 million shares by Feb 17, which would increase its stake in Denko to 47.4%. On Feb 20, Oregon acquired another five million shares, bringing its stake to 52.18%, making the takeover offer unconditional.
It is interesting to note that executive director and group CEO Tan Chen Wei disposed of a 12.5 million block of shares on the same day at 60 sen a piece. At the same time, senior independent non-executive director Tan Sri Tan King Tai disposed of 6,600 shares at 66 sen apiece.
Denko’s share price surged to a high of 71 sen apiece before settling at 63 sen last Wednesday.
At Jaks Resources, meanwhile, Khoon Yew Yin emerged as a substantial shareholder on Feb 16, with a 5.45% stake or 23.88 million shares. He has continued to increase his holdings in Jaks, acquiring another 19.6 million shares to gain a 9.92% stake in the company.
Based on filings with Bursa, Khoon paid as much as RM1.34 per share.
Interestingly, Jaks saw its share price drop as much as 22 sen or 18% on Feb 28 to RM1.06 after posting a 4Q2016 net loss of RM24.03 million due to losses in its property development arm. Recall that Jaks is in the process undertaking a 10% private placement as well.
It is interesting to note that another substantial shareholder, Ang Lam Poh, increased his stake in the company from 8.7% to 9.16% in the same period.
Separately, PUC Founder (MSC) Bhd saw its largest shareholder, Resources Holding Management Ltd, dispose of 274.89 million irredeemable convertible unsecured loan stocks off market at 4.5 sen apiece. Resources Management has another 35.83% of the outstanding ICULS, as well as a 41.6% stake in the company’s ordinary shares. Resources Management is controlled by the estate of the company’s late managing director, Cheong Chia Chou.
Notable movements
Sterling Progress Bhd (formerly known as 1 Utopia Bhd) saw substantial shareholder Leong Sheng Wui increase his stake to 15.08% from 9% previously. His vehicle, FNS Avenue Sdn Bhd, acquired 20.16 million shares on the open market on Feb 21 and 24.
Leong is an executive director of the company, which has not appointed a CEO or managing director.
Against this backdrop, Sterling Progress has seen a sharp increase in trading activity leading to a 75% surge in its share price from 12 sen to 21 sen since early February.
Note that Sterling Progress lists information, communication and technology, and hydraulics as its core businesses.
Meanwhile, Innofarm Sdn Bhd ceased to be a substantial shareholder in O&C Resources Bhd (formerly known as Takaso Resources Bhd).
Innofarm is better known as the investment vehicle of the Yap family, which controls another listed company, Lay Hong Bhd.
Innofarm held a 10.35 stake in O&C in November last year but in the past few months, it has been actively disposing of its shares. Innofarm cased to be a substantial shareholder on Feb 23 after disposing of 761,000 shares at 51 sen apiece on the open market.
O&C’s share price has gained 50% in the past six months, closing at 52.5 sen last Wednesday.
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