KUALA LUMPUR (July 15): Property developer KSL Holdings Bhd's share price rose to a two-month high today, amid news that its founders have been increasing their stake in the company.
At 3.44pm, the counter rose 8 sen or 10% to 88 sen, with some 1.61 million shares done, about four times its 200-day average volume of 411,201 shares. Earlier, the counter gained as much as 11% to trade at 89 sen.
A report by The Edge this week highlighted that the Ku brothers — comprising executive chairman Ku Hwa Seng, group managing director Khoo @ Ku Cheng Hai and executive director Ku Tien Sek — have increased their stake held via their private vehicle, Gorgeous Horizon Sdn Bhd, to 8.3% as at July 3 from 1.14% on March 29.
The Ku brothers also control Premiere Sector Sdn Bhd, the single largest shareholder of the group, with a direct stake of 31.81%. Collectively, the three brothers hold 41.54% in KSL as at July 3.
Quoting a source, the report said Gorgeous Horizon has been increasing its stake in the company to shore up its share price.
The recent movements have brought up questions over plans the founders may have for KSL, which has reported healthy profits over the years.
For the financial year ended Dec 31, 2018 (FY18), the group saw its net profit grow 1.6% to RM224.09 million, from RM220.31 million a year earlier, as revenue climbed to RM709.45 million from RM697.55 million.