Insider Moves: Barakah Offshore Petroleum Bhd, Destini Bhd, Priceworth International Bhd, Pelikan International Corp Bhd, Unimech Group Bhd, Seremban Engineering Bhd, Uchi Technologies Bhd, Yong Tai Bhd

TheEdge Tue, Oct 01, 2019 02:00pm - 1 year ago

Notable filings

BETWEEN Sept 6 and 12, notable filings on shareholder changes in companies listed on Bursa Malaysia included those at Barakah Offshore Petroleum Bhd. Its group president and CEO Nik Hamdan Daud disposed of 8.31 million shares or a 0.99% stake on the open market to rectify a shortfall in his personal margin account. He is still the largest shareholder of the offshore oil and gas service provider with 76.53 million shares or a 9.16% stake.

In July, Petroliam Nasional Bhd (Petronas) suspended a licence issued to Barakah’s unit, PBJV Group Sdn Bhd, for a three-year period over the non-performance of a contract. In response, PBJV sued the national oil company for RM1.02 billion for loss of future profits and reputation and decline in share price.

In May, Barakah slipped into Practice Note 17 status after it received a notice of demand from Export-Import Bank of Malaysia for millions in defaulted payments. Thus, it was forced to abort a debt-restructuring plan following the suspension of PBJV’s licence by Petronas. The financially distressed company has eight months to submit its new regularisation plan to the relevant authorities.

Over at Destini Bhd, president and group CEO Datuk Rozabil @ Rozamujib Abdul Rahman — through his private investment vehicle BPH Capital Sdn Bhd — disposed of 97.14 million shares or an 8.41% direct stake in the integrated engineering solutions provider via an off-market transaction. Post-disposal, BPH Capital owns 95.24 million shares or an 8.25% stake in Destini.

RHB Group founder Tan Sri Abdul Rashid Hussain ceased to be a substantial shareholder of Priceworth International Bhd after disposing of 58.4 million shares in the timber and forest plantation group in the open market. The shares were sold in two blocks: 23.57 million shares on Sept 4 and 34.83 million shares on Sept 5. Post-disposal, Abdul Rashid has a 4.45% direct stake and a 0.62% indirect stake held by his wife, Puan Sri Emilahani Yang Mohd Yatim.

Abdul Rashid and Emilahani Yang first appeared as substantial shareholders of Priceworth in June 2017 following a special issuance of new shares.

Ikhlas Capital Singapore Pte Ltd, a private equity firm partly owned by former banker Datuk Seri Nazir Razak, surfaced as a substantial shareholder of stationery maker Pelikan International Corp Bhd on Sept 12 after the completion of a private placement to subscribe for 54.84 million shares or a 9.09% stake in the company. Placed through Merit Plus Ventures Ltd, the private placement raised RM21.39 million, which will be used as working capital and to repay bank borrowings.

Filings with Bursa show the appointment of Datuk Indera Syed Norulzaman Syed Kamarulzaman, Najuuwa Sabli, Fong Wai Leong and Ahmad Al Farouk Ahmad Kamal to the company’s board of directors and the resignation of independent non-executive director Datuk Lua Choon Hann following the exercise.

At Unimech Group Bhd, Japanese valvemaker Kitz Corporation emerged as a substantial shareholder after acquiring 37.15 million shares or a 24.83% stake in the company on Sept 4. A day later, Kitz acquired 403,000 shares, bringing its total holding to 37.55 million shares or a 25.1% stake.

On Sept 11, Unimech founder and CEO Datuk Seri Lim Cheah Chooi increased his total holding to 39.85 million shares or a 26.63% stake after acquiring 1.39 million shares via an off-market transaction.


Notable movements

Success Transformer Corp Bhd ceased to be a shareholder of loss-making Seremban Engineering Bhd (SEB) on Sept 3 after it sold 52 million shares to MIE Industrial Sdn Bhd following a mandatory takeover offer. At the same time, SEB non-independent non-executive director Tan Ah Bah @ Tan Ah Ping, his wife Pan Kim Foon and daughter Tan Chung Ling ceased to be shareholders of SEB by virtue of their substantial interest in Success Transformer Corp.

SEB’s share prices rose 11.1% from 45 sen on Sept 3 to 50 sen on Sept 12. The company specialises in the fabrication of process equipment and metal structures.

Uchi Technologies Bhd saw the Employees Provident Fund (EPF) emerge as a substantial shareholder after the latter acquired 22.56 million shares or a 5.03% stake. The following day, the EPF acquired 86,800 shares, raising its total holding to 22.64 million shares or a 5.05% stake. Year to date, Uchi’s share price has risen 10.2% from RM2.54 on Dec 31.

Meanwhile, Falcon Pace Sdn Bhd surfaced as a substantial shareholder of Yong Tai Bhd after acquiring 46 million shares or a 6.67% stake for RM9.83 million via an off-market transaction on Sept 11. Falcon is the private vehicle of Datuk Wira Boo Kuang Loon, who is CEO and executive director of Yong Tai.

On Sept 13, Falcon acquired 18.8 million shares in Yong Tai, taking its total holding to 64.8 million shares or a 9.4% stake.

Post-acquisition, Boo holds a 9.32% direct stake and a 9.4% indirect stake in Yong Tai. Year to date, Yong Tai’s share price has fallen 40.5% from 37 sen on Dec 31.


Related Stocks

BURSA 8.880
PWORTH 0.025
SEB 0.850


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