KUALA LUMPUR: Prinsiptek Corp Bhd’s controlling shareholder Datuk Foo Chu Jong was caught by surprise when the trading volume of the company’s shares swelled to 95.59 million units last Friday — the highest level ever since the company was listed in 2004.

When contacted, Foo, who is also the company’s managing director and founder, said he was “totally unaware” of what triggered the frenzy buying of the shares.

He also stressed that he did not have any transactions last Friday.

“I did not buy or sell a single share today (last Friday). I do not want to comment further,” Foo told The Edge Financial Daily in a brief phone conversation last Friday.

The number of shares changing hands last Friday was equivalent to 27% of Prinsiptek’s share capital, making it the third most actively traded stock in terms of volume.

The sudden surge in volume did raise eyebrows. Some quarters might not rule out the possibility of a hostile bid. As at press time, the company did not make any announcement to Bursa Malaysia.

The stock increased two sen to 17.5 sen, with a market capitalisation of RM61 million. Year to date, shares in Prinsiptek have climbed 75%. They are currently trading at a trailing 12-month price-earnings ratio of 18.4 times, and a price-to-book value of 0.3 times.

Likewise, trading volume of the company’s warrant Prinsiptek-WA also ballooned to 20.25 million units. It went up 1.5 sen, or 16% to 11 sen.

In an earlier interview with The Edge Financial Daily in June, Foo attributed the significant increase in the company’s share price in recent months to rising investor confidence.

The company does not have much undervalued land bank that might have sparked investing interest, according to its annual report.

That said, the company has fared well in terms of earnings. Its net profit more than doubled to RM4.33 million in its financial year ended Dec 31, 2016, from RM1.87 million the year before mainly due to the recognition of higher profit margin projects and better control of its operating expenses and finance costs.

Prinsiptek’s unbilled sales stand at RM469 million, which will be reflected in its financial results in the next two to three years.

The 60-year-old Foo was the single largest shareholder of the company with a 44% equity interest — of which 11.67% was direct interest and 32.33% was deemed interest through Daya Setempat Sdn Bhd — as at March 31.

Daya Setempat is a private vehicle co-owned by him and his younger brother Chu Pak, who also sits on the board as executive director.

Foo started his career in the construction industry in the early 1980s when he was involved in the development of commercial buildings, condominiums, hotels and housing estates.

Prinsiptek’s ongoing construction projects in Malaysia include TTDI Sentralis in Shah Alam and Penang Sentral. Its unbilled construction order book totals RM700 million and it is expected to keep the group busy for the next two to three years.

Foo then revealed that Prinsiptek is bidding for new projects worth a total of RM1.5 billion, including affordable homes and government jobs, to replenish its order book.