This article first appeared in The Edge Malaysia Weekly on November 2, 2026 - November 8, 2026

Three companies linked to businessman Datuk Ng Meng Kee took a nosedive last Thursday and Friday, prompting Bursa Malaysia to issue them with unusual market activity queries.

GIIB Holdings Bhd (KL:GIIB) received the query on Thursday, followed by Mega Fortris Bhd (KL:MEGAFB) and Ni Hsin Group Bhd (KL:NIHSIN) on Friday. GIIB has responded that it was unaware of any corporate developments or rumours that could explain the volatility in its share price. Mega Fortris said its major shareholders had obtained a court order seeking information on past share transactions, while Ni Hsin said the resale of five million treasury shares for RM2.38 million on Oct 26 may have contributed to the sharp fall in its share price.

Ng is non-executive chairman of Mega Fortris, in which he has an almost 67% stake. He also holds about 15% of GIIB and 2.22% of Ni Hsin.

The extent of the sell-off is particularly striking. GIIB plunged 24% on Thursday and another 33% on Friday, closing at 36 sen. Mega Fortris fell 21% and 19% over the same two days to RM2.22 while Ni Hsin tumbled 26% and a further 30% to 26 sen.

Prior to the plunge, GIIB had rallied from 11 sen in late April to 74 sen on Oct 26, Ni Hsin had shot up from seven sen on Aug 10 to 50 sen on Oct 28 and Mega Fortis had soared from 76.5 sen in March to RM3.45 on Oct 27.

These dramatic reversals have raised questions about the sustainability of the rallies that had driven the three stocks higher over the last three months. While there was no evidence of market manipulation, the price action bore the hallmarks of a speculative bubble that had suddenly burst.

There have been similar episodes before, where speculative buying drove share prices to unsustainable levels, only for sentiment to reverse sharply and for latecomers to be left nursing heavy losses.

The question now is, will the sell-off spill over into other stocks whose share price rallies are driven by speculative interest? This is something retail investors should watch closely.

With global equity markets facing mounting pressure, particularly from a correction in the technology sector, the risks are becoming harder to ignore. Broad indices such as the S&P 500 remain at historically elevated levels, leaving little room for complacency.

For retail investors, the lesson is clear: chasing momentum with little regard for fundamentals can prove costly. Ultimately, investors must take responsibility for their investment decisions, particularly when buying into stocks driven more by speculation than business performance.

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