KUALA LUMPUR (Sept 23): Three directors have stepped down from APB Resources Bhd’s (KL:APB) board amid a sharp fall in the company’s share price.
The trio — independent and non-executive chairman Datuk Seri Abd Rahim Jaafar, independent and non-executive directors Chuah Seong Eng and Tan Teik Hsiung — did not seek re-election at the company’s annual general meeting held on Monday.
Chuah, who was appointed to the board on March 1, 2024, holds a 0.34% stake in the company.
Meanwhile, Abd Rahim and Tan were appointed to the board on June 14 and 15 last year respectively.
APB Resources is involved in the fabrication of specialised design process equipment for the petrochemical, oleochemical, oil and gas, power as well as food and beverages industries.
The stock, which succumbed to heavy sell-down, has lost 59% this month alone. Year to date (YTD), the stock has fallen 79% to 55 sen on Monday, a level it has not seen since February 2021.
The sharp sell-down in APB share price was said to be triggered by the heavy selling in Globetronics’ (KL:GTRONIC) shares recently since APB is the largest shareholder in Globetronics with a 10.37% stake.
APB acquired its 70 million shares or a 10.36% stake in Globetronics for RM140 million or RM2 per share back in February. This was already a premium to the RM1.50 trading range of Globetronics shares at the time.
APB executive director and Globetronics executive chairman Kent Liaw Way Gian claimed that investors had associated Globetronics with the fate of Serba Dinamik following its auditor's resignation, which sent its stock tanking, erasing 38% of the company's market value in the past one month.
APB’s major shareholders include Kenanga Growth Fund with a 6.96% stake, while Datuk Koon Poh Tat, co-founder and executive director of Press Metal Aluminium Holdings Bhd (KL:PMETAL), has a 5.72% stake in APB and Chan Yok Peng has 3.79%.
APB's share price settled at four sen or 6.8% lower at 55 sen on Monday, valuing the group at RM62 million.
Globetronics' share price, however, rose eight sen or 13.1% to 69 sen, bringing the group a market capitalisation of RM466 million. YTD, the stock has dropped 57%.
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