Insider Moves:AE Multi Holdings, Destini, Key Alliance Group, Focus Lumber, O&C Resources

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This article first appeared in The Edge Malaysia Weekly, on September 5 - 11, 2016.


Notable filings

THERE were several changes in shareholding in Bursa Malaysia-listed companies between Aug 22 and 26.

On Aug 23, Chang Choon Ming emerged as a substantial shareholder in AE Multi Holdings Bhd (AEM) with 8.19% equity interest and went on to buy another 7.3 million shares the next day — for a 10.2% stake — at an undisclosed amount. Prior to his emergence as the largest shareholder of the printed circuit board manufacturer, several substantial shareholders pared down their holdings.

Taiwanese executive chairman Yang Wu-Hsiung ceased to be a substantial shareholder in the company (his stake fell below 5%) after disposing of four million shares on July 18. He continued to pare down his holding, the latest being the disposal of two million shares at 17.5 sen apiece. This reduced his holding to a 1.66% stake or 4.45 million shares. 

According to filings with Bursa, Yang emerged as a substantial shareholder in AEM with a 6.35% direct and deemed stake on June 17 after he bought 4.45 million shares in an employee share option scheme at 10 sen apiece.

Tan Chin Seoh ceased to be a substantial shareholder on April 13 after disposing of 312,000 shares. According to AEM’s 2015 annual report, Tan was the group’s largest shareholder as at March 31 with a 5.1% stake, followed by Peninsular Accord Sdn Bhd with 5.06%. At the time, Yang had a 3.49% direct and deemed stake in AEM.

An Aug 23 filing shows that Datuk Freddy Lim Nyuk Sang ceased to be a substantial shareholder of Destini Bhd on Aug 17 after disposing of 

31 million shares or 3.04% equity interest at 62 sen apiece.

Prior to the disposal, Lim held an 8.1% stake in the marine, aviation and oil and gas engineering service provider, which, according to the group’s 2015 annual report, made him the fifth largest shareholder of the company.

Destini’s largest shareholder is Datuk Rozabil Abdul Rahman who held a 27.2% stake as at June 29.

On Aug 25, Key Alliance Group Bhd (KAG) announced that Digital Paper Sdn Bhd had acquired 100.17 million of its shares or 13.55% equity interest on May 4. It is not known why KAG took more than three months to make the announcement. 

The acquisition makes Digital Paper the third largest shareholder of the ICT solution provider and home appliance distributor after Datuk Goh Kian Seng who has 14.7% equity interest and KGI Asia Ltd, which owns a 14.66% stake.

On Aug 18, Bank Kerjasama Rakyat Malaysia Bhd emerged as a substantial shareholder of Malaysian Resources Corp Bhd with 172 million shares or an 8.27% stake after participating in a private placement.

At Wong Engineering Corp Bhd, its largest shareholder, Wong Engineering Holdings Sdn Bhd, disposed of 34.5 million shares or a 37.7% stake at 65 sen apiece on Aug 23. The shares were likely sold to TNTT Realty Sdn Bhd and Yong Loy Huat, who, on Aug 23, made a mandatory general offer to all remaining shareholders after buying 39.43 million shares or a 43.07% stake for RM25.63 million.


Notable movements

During the period under review, Focus Lumber Bhd lost 10.53% of its market value to RM1.53 per share, contributing to the 49.3% drop in the wood product manufacturer’s share price year to date. Focus Lumber’s share price settled at RM1.46 last Tuesday.

On Aug 24, Koon Yew Yin was no longer a substantial shareholder after disposing of his 2.16 million shares or 3.04% stake. Back in May, the retired civil engineer, who was responsible for the founding of IJM Corp Bhd, Gamuda Bhd and Mudajaya Group Bhd, emerged as a substantial shareholder in Focus Lumber after acquiring a 6.71% stake.

Rubber product manufacturer and property developer O&C Resources Bhd’s (OCR) share price closed at 36.5 sen on Tuesday, which was some 27% lower since the start of the year. 

On Aug 23, Teoh Hwa Peng acquired 1.07 million shares or a 0.46% stake in OCR for an undisclosed amount, increasing his holding to 14.2 million shares or 6.22%.

OCR’s shares were trading at 36.5 sen and 37.5 sen that day.