KUALA LUMPUR (March 25): Three Bursa Malaysia-listed companies that are linked to businessman Datuk Keh Chuan Seng have assured investors that his resignation will not impact their business operations or strategic plans, despite recent heavy selling pressure on their shares.

In a joint statement on Tuesday, contract manufacturer Ge-Shen Corp Bhd (KL:GESHEN), waste management company Tex Cycle Technology (M) Bhd (KL:TEXCYCL), and secondary stainless steel long products maker K Seng Seng Corp Bhd (KL:KSSC) stressed that Keh’s departure would not disrupt their ongoing or future business activities.

“Keh’s resignation is due to personal circumstances as per Bursa announcement and as such, we are not in the position to provide further comment on his departure,” the three companies said in the statement, adding that they remain committed to delivering results in the best interest of all stakeholders.

Keh, 54, was previously the executive chairman of K Seng Seng Corp, Tex Cycle, and Ge-Shen, holding significant stakes of 22.98%, 26.44%, and 29.59%, respectively. The three companies announced his resignation during the lunch break on Monday, citing personal reasons.

Shares of these linked companies extended their declines on Tuesday following Monday’s heavy selling pressure.

Ge-Shen’s stock slipped two sen or 0.45% to close at RM4.38, after plunging as much as 14% the previous day. Meanwhile, Tex Cycle’s shares fell 1.5 sen or 1.68% to a one-year low of 88 sen, while K Seng Seng’s shares declined four sen or 5.41% to settle at 70 sen.

Other listed entities associated with Keh that also faced selling pressure included the newly listed ES Sunlogy Bhd (KL:SUNLOGY) and Agricore CS Holdings Bhd (KL:AGRICOR).

ES Sunlogy's spokesperson clarified that Keh is solely an investor and has no involvement in the company’s daily operations.

“Our business remains intact, and while we continue to navigate market uncertainties, our focus remains on executing our business strategy. Additionally, it would not be appropriate for us to comment on individuals with no direct role in the company,” the spokesperson said.

Keh was a key promoter and substantial shareholder in ES Sunlogy, which was listed on Feb 20, and Agricore CS Holdings, which debuted on June 21 last year.

He holds a 28% stake in ES Sunlogy but does not serve as a director.

On Monday, Keh also resigned as non-independent non-executive deputy chairman of Agricore CS Holdings, in which he owns a 4.3% direct and 33% indirect stake, citing unforeseen personal circumstances.

At Tuesday’s market close, ES Sunlogy’s shares fell half a sen or 2% to 24.5 sen, after declining as much as 11% on Monday, bringing the stock below its IPO price of 30 sen. Agricore CS Holdings’ shares dropped 3.5 sen or 8.97% to close at a historical low of 35.5 sen.

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