This article first appeared in Capital, The Edge Malaysia Weekly, on October 26 - November 1, 2015.
Between Oct 15 and 20, a total of 629.9 million shares worth RM639.7 million changed hands off market in blocks of at least 450,000 shares.
Notable transactions included those at MCT Bhd, which saw 317.59 million shares or a 23.79% stake traded off market on Oct 15 in direct deals worth RM378.8 million.
That day, 144.74 million shares changed hands at RM1.16 apiece and another 172.85 million shares were done at RM1.22 apiece — a 0.9% and 6% premium respectively to the then prevailing market price of RM1.15.
Formerly known as GW Plastics Holdings Bhd, MCT (fundamental: NA; valuation: NA) is a property developer and construction firm that completed a reverse takeover of GW Plastics in April.
According to MCT’s filing with Bursa Malaysia on Oct 20 and 21, deputy executive chairman Tan Sri Barry Goh Ming Choon disposed of 206.435 million shares for RM246.206 million, while CEO and executive director Datuk Seri Tong Seech Wi offloaded 111.157 million shares at RM132.572 million.
It is learnt that the duo exercised the call option issued by Hong Kong-based Regent Wise Investments Ltd — a subsidiary of Ayala Land Inc — which surfaced as a substantial shareholder of MCT in April. With the latest transactions, Regent Wise has raised its stake in MCT from 9.17% to 32.95%, just below the 33% threshold for a mandatory general offer.
After divesting their shares, Goh and Tong remain as substantial shareholders of MCT with a 27.2% and 14.6% stake respectively. The counter has gained 41% year to date and settled at RM1.13 last Wednesday.
Over at Pasukhas Group Bhd, some 56.48 million shares or a 19.14% stake changed hands off market on Oct 15 and 19 at RM11.29 million.
On Oct 15, 475,000 shares were traded at 18.5 sen apiece or RM88,000 in total. Then, on Oct 19, a huge block of 56 million shares were transacted at 20 sen apiece or a total of RM11.2 million. The stock closed at 18.5 sen on Oct 15 and 18 sen on Oct 19. Filings show that Pasukhas executive director and chief operating officer Teng Yoon Kooi ceased being a substantial shareholder after disposing of 56 million shares or a 18.98% stake last Monday.
The buyer could be Tara Temasek Sdn Bhd, which has emerged as a substantial shareholder with 18.98% equity interest. A search on Companies Commission of Malaysia’s website shows that Tara Temasek is co-owned by Fatimah Sulaiman and Shairah Begum Kadar Bashah. It is worth noting that the duo had in late 2012 emerged as substantial shareholders of Protasco Bhd with a 27% stake via Kingdom Seekers Ventures Sdn Bhd.
Pasukhas (fundamental: 0.95; valuation: 0.30) specialises in mechanical and electrical engineering solutions. The company provides services to water treatment and sewerage, oil palm and oil and gas firms.
Also worth noting was the 9.9% stake or 19.9 million shares of CAM Resources Bhd (fundamental: 0.80; valuation: 1.70) that were transacted off market on Oct 15 for RM3.78 million or 20 sen apiece. CAM Resources chairman Lee Chin Yen bought 9.47 million shares on Oct 15 and another 9.42 million shares on Oct 19, raising his stake to 23.5%.
Meanwhile, Ideal Sun City Holdings Bhd (fundamental: 3; valuation: 0.30) saw 16.87 million shares or a 9.08% stake traded off market on Oct 19 and 20 at RM6.75 million or 40 sen per share — a 12% discount to the closing price of 45.5 sen on both days. Datuk Lim Tek Lin ceased to be a substantial shareholder after selling 7.17 million shares on Oct 19.
Elsewhere, Sycal Ventures Bhd (fundamental: 1.50; valuation: 2.10) saw 18.178 million shares or 5.68% equity interest traded off market on Oct 19. The shares were transacted at RM5.09 million or 28 sen apiece in a direct deal. Filings show that the buyer was Fantastic Hallmark Sdn Bhd, a private vehicle jointly owned by Suzanna Mohd Nor and Mohd Wazir Khalid. The duo, who surfaced as Sycal’s substantial shareholders in early October, now have a 16.66% stake.
Note: The Edge Research’s fundamental score reflects a company’s profitability and balance sheet strength, calculated based on historical numbers. The valuation score determines if a stock is attractively valued or not, also based on historical numbers. A score of 3 suggests strong fundamentals and attractive valuations. Visit www.theedgemarkets.com for more details on a company’s financial dashboard.