This article first appeared in Capital, The Edge Malaysia Weekly on February 20, 2023 - February 26, 2023

Notable filings with Bursa Malaysia of changes in shareholding between Feb 7 and Feb 10 include those at Revenue Group Bhd, which saw its largest shareholders and co-founders taking profit.

Filings show that co-founder Dino Ng Shih Fang sold 14.13 million shares during the period under review, bringing his stake in the company to 8.1% from 10.27% previously. As at Feb 10, he remained Revenue’s second largest shareholder with 39.08 million shares after his brother and co-founder Brian Ng Shih Chiow, who held an 11.93% stake. The two collectively held a 19.497% stake in the e-payment solutions provider. (This, however, changed by Feb 13, as Brian had transferred his shareholding to Dino, who also sold more shares. Therefore, Dino had a 17.71% stake in Revenue, representing 85.38 million shares, making him the largest single shareholder.)

The co-founders, who have been suspended as directors of the company since Jan 4, are being sued by the company for allegedly violating listing rules in relation to its unaudited quarterly reports for Dec 12, 2020, to Sept 30, 2022, as well as allegedly contravening a section of the Capital Markets and Services Act 2007 that prohibits directors and officers of listed entities from doing anything with the intention of causing wrongful losses.

The brothers have filed their defence and counterclaim against the company, challenging the validity of their suspension. They were suspended after several complaints were lodged against them.

Meanwhile, the company has been temporarily restrained from holding two extraordinary general meetings fixed for Feb 17 — one called by its board to remove Brian and Dino as directors, while another was requisitioned by Brian to remove the board — following a court order granting an interim injunction sought by the two brothers to stop the EGMs from being held. The duo also sought to prevent Revenue from calling any further general meetings to remove them as directors, pending the disposal of the company’s lawsuit against them.

Over at CN Asia Corp Bhd, the steel storage tank maker on Feb 7 saw the emergence of VFive Group Sdn Bhd — which is the vehicle of Datuk Mohd Syafiq Abdullah — as a substantial shareholder with 17.76 million shares or a 7.983% stake, following a private placement.

This came after CN Asia ceased to be a shareholder of IT services company Zen Tech International Bhd, formerly INIX Technologies Bhd, after selling 2.47 million Zen Tech shares in December. The shares were sold at 3.5 sen apiece and CN Asia planned to use the proceeds for working capital. Shares of CN Asia fell 23.33% to 23 sen on Feb 15 from 30 sen on Dec 13, giving the company a market capitalisation of RM47.82 million.

At security systems services outfit Industronics Bhd, executive director Datuk Chu Boon Tiong ceased to be a substantial shareholder after selling 16.5 million shares on the open market.

Closing at 11 sen on Jan 31, Khee San Bhd’s shares climbed 59.09% to 17.5 sen on Feb 10.

On Feb 9, the candy maker saw the emergence of Ta Win Holdings Bhd managing director Datuk Seri Ngu Tieng Ung as its largest shareholder. On the same day, Khee San director Datuk Mohamad Razali Mohamad Rahim ceased to be the major shareholder after offloading all 22.8 million shares, or a 16.667% stake, by way of a direct business transaction at 13 sen apiece, or RM2.97 million in total.

Ngu bought his block of shares through Timur Enterprise Sdn Bhd, raising his stake in Khee San to 16.754%. Khee San’s second largest shareholder is Datuk Dr Ng Meng Kee, the founder of security seal manufacturer Mega Fortris Malaysia Sdn Bhd, with a 12.42% stake.

Meanwhile, shares in SMTrack Bhd — a radio frequency identification solutions provider specialist — were halved to four sen apiece from the recent peak of eight sen on Dec 5. Filings show that Gan Wen Ting @ Gan Moou Heng ceased to be a substantial shareholder in the group after she disposed of 105.88 million shares on the open market through Gan SMT Sdn Bhd on Feb 9.

Gan is the founder of beauty and wellness company V Ultimate Wellness Bhd. Last June, SMTrack announced a plan to diversify into the beauty and wellness industry by inking an agreement with Gan and GWT Wellness Sdn Bhd to acquire a 30% stake in V Ultimate Sdn Bhd for RM18 million.

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