KUALA LUMPUR (April 7): K Seng Seng Corporation Bhd (KL:KSSC) saw the emergence of Samuel Ng Heng Hong as a substantial shareholder after he bought a block from the company’s former executive chairman Datuk Keh Chuan Seng and Chiau brothers.
In a filing with Bursa Malaysia on Tuesday, KSSC said Euro Chain, a vehicle of Ng, acquired 65 million shares or a 30.1% stake in the group including from the company’s largest shareholder Frazel Group Sdn Bhd. Frazel Group is the investment arm of Keh and Datin Cheong Kai Meng.
Keh resigned as executive chairman of KSSC in March last year “due to personal circumstances”.
Ng’s acquisition of the 30.1% stake is estimated to be worth about RM58.5 million based on the company’s latest closing price at 90 sen apiece on Tuesday.
In a separate filing, Enrich Signature Sdn Bhd, a private vehicle of Chiau Haw Loon and Chiau Haw Yew sold a 5.05% stake in KSSC. The brothers first emerged in KSSC in February last year after they bought 10 million shares at 83 sen or RM8.3 million.
The brothers are sons of Chin Hin Group founder Datuk Seri Chiau Beng Teik.
Following the changes, the second largest shareholder in K Seng Seng is still Lai Sin Cheong, who holds an 18.85% equity interest.
The shareholding reshuffle comes a day after two members of K Seng Seng’s board resigned, citing personal commitments.
It should be noted that Ng is also the largest shareholder of home furnishing manufacturer Eurospan Holdings Bhd (KL:EUROSP) with an 84.11% stake. He launched a mandatory general offer (MGO) for Eurospan back in October last year after acquiring a 74.14% stake for RM75.75 million from Han Chuan and Ching Ching, children of businessman Tan Sri Robert Tan Hua Choon, famously known as the “Casio King”.
Ng also holds a stake of about 1.66% in frozen seafood provider PT Resources Holdings Bhd (KL:PTRB).
Based on its closing price, KSS has a market value of RM194.1 million. Over the past year, the group’s shares have gone up by 34.8%.