31. DATUK SERI CHEAH CHENG HYE
Flagship: Value Partners Group
Net worth: RM1.65bil
CHEAH’S wealth is derived from a direct 9.3% in Value Partners Group, and an indirect 21.8% via Cheah Capital Management Inc. Value Partners is listed on the Hong Kong stock exchange.
For most in the investment community, the history of Value Partners and its iconic founder has been a tale told many times. It has been an inspiring story, especially because its founder Cheah was once a journalist from Star Media Group who now owns one of the largest asset-management companies in Asia.
For the uninitiated, Cheah was born in Penang in 1954 and started working in The Star at the age of 17 as a newspaper folder before subsequently becoming a reporter. He left Malaysia for Hong Kong in 1974.
He was a journalist for 17 years, including in The Star, Asiaweek, The Far Eastern Economic Review and The Wall Street Journal (Asian Edition).
It was while he was a financial journalist that Cheah realised that he had a passion for investment. He taught himself accounting and investment through books.
Cheah felt that being good in finance was a necessity to perform well in his job as a financial journalist.
He changed his career in 1989, joining Morgan Grenfell in Hong Kong as head of research in Hong Kong and China.
In 1993, he started his own business by founding Value Partners in Hong Kong with his partner V-Nee Yeh, with less than US$5mil (RM22.12mil) under management. Today, Value Partners is one of Hong Kong’s biggest success stories.
Today, Value Partners has assets under management worth US$16bil to date. Under the leadership of co-chief investment officers Cheah and Louis So, the company has transformed from a boutique firm to one of Asia’s most respected asset managers. In addition to its Hong Kong headquarters and new office in Kuala Lumpur, Value Partners operates offices in Shanghai, Shenzhen, Singapore, London and Boston.
Value Partners Malaysia is also finally open for business. Last October, the Value Partners Malaysia office was launched after receiving an approval in principle from the Securities Commission for a capital market services licence for fund management.
32. WONG THEAN SOON AND DATUK NORRAESAH MOHAMAD
Flagship: MyEG Services Bhd
Net worth: RM1.4bil
BOTH Wong and Norraesah’s wealth is predominantly derived from their stakes in MyEG Services Bhd and Excel Force Bhd.
They own the stakes via vehicle Asia Internet Holdings Sdn Bhd, in which Norraesah has a 34% stake and Wong, 66%.
Wong, better known as TS Wong, is the managing director and single largest shareholder of MyEG. Both Wong and Norraesah hold a 20.2% stake in Excel Force via Asia Internet Holdings.
Once upon a time before the 14th general election (GE14), Wong and Norraesah were a lot wealthier, with their net wealth more than double the present amount. The mere mention of Wong’s name in any one counter would see the stock rocketing up.
Prior to GE14, MyEG seemed to do no wrong – both in terms of its business and share price.While MyEG started out as a provider of e-government services with the provision of solutions that are related to the vehicle road tax and drivers’ licence renewal, among others, it successfully diversified into commercial solutions some four years ago.
Over a five-year period (before GE14), MyEG delivered a compounded annual growth rate of 45.1% on its profits and 36.8% on its revenue. Its shareholder equity also grew 32% over that period.
All good things must come to an end though. Alas, the fall of Barisan Nasional saw Wong’s invincible status and MyEG’s fortunes reverse.
MyEG used to have a market cap close to RM10bil. Despite taking a hit, its market cap remains sizeable at roughly RM4bil, with MyEG still trading at a price earnings ratio of some 56 times.
Earlier this year, MyEG ran into problems with the Malaysia Competition Commission with regards to its online foreign worker renewal system. The issue has since been resolved with MyEG having paid penalties of RM6.41mil.In 2019, MyEG will focus on its new service – the online registration of new foreign workers, which is expected to be its new revenue growth driver for domestic operations over the next one to two years.
33. WEN CHIU CHI AND FAMILY
Flagship: Selangor Properties Bhd
Net Worth: RM1.3bil.
KAYIN Holdings Sdn Bhd, the vehicle of the Wen family, is looking to privatise Selangor Properties Bhd (SPB) at RM6.30 per share through a selectival capital reduction (SCR) and repayment exercise.
The price of RM6.30 is a revised takeover price, and while a lot higher than the RM5.70 first proposed, it is still below its book value of some RM7.17.
The Wen family, that owns 68.23% of SPB via its investment vehicle Kayin Holdings, raised its proposed SCR and repayment offer price by 30 sen for the second time earlier this year.
The plan to privatise the property company was announced on Oct 25, 2018 at RM5.70 per share. Less than two months later on Dec 17, the Wen family upped its offer price to RM6.
Just a month before that announcement, the matriarch of SPB, Puan Sri Chook Yew Chong Wen, passed away in September 2018. She was 98.
Chiu Chi, 62, the third among Chook’s four children, assumed the position of executive chairman. He was previously the managing director.
SPB is one of the oldest property companies on Bursa Malaysia.
Chook’s husband, the late Tan Sri Dr Wen Tien Kuang founded the company with her in 1963. Tien Kuang passed away in 2000.
Kayin said the decision to privatise the group via the capital reduction and repayment exercise would provide the group with greater flexibility to manage and develop its businesses and undertake corporate exercises which may otherwise require lengthy shareholder and regulatory approvals.
To recap, the proposed exercise is expected to be funded via the company’s internally generated funds and/or bank facilities to be obtained by SPB.
SPB, the major developer of Pusat Bandar Damansara in Kuala Lumpur back in the 1980s, owns several properties in Malaysia and Australia.
According to its annual report, the total book value of its properties in Malaysia – which include several plots of prime land and office buildings in Damansara Heights and Bukit Tunku in Kuala Lumpur – stood at RM1.24bil as of Oct 31, 2017.
SPB owns two properties in Claremont, Australia, with a cumulative book value of RM190.4mil.
34. WONG TEEK SON
Flagship: Riverstone Holdings Ltd
Net Worth: RM1.3bil
JOINING the glove tycoon league is 56-year-old Teek Son. Although not quite a newcomer, he is not so well known in Malaysia because his flagship company Riverstone is listed in Singapore.
He is the co-founder of Riverstone, one of the top nitrile glovemakers in the world, established since 1989.
Riverstone specialises in the production of cleanroom gloves and healthcare gloves, fingercots, face masks and packaging bags.
It has grown to become the leading latex medical examination glove manufacturer and global supplier of cleanroom and healthcare gloves.
He listed it on the main board of the Singapore Stock Exchange in 2006 and has served as its executive chairman since 2005. Co-founder Lee Wai Keong is the chief operating officer while brother Teck Choon heads the company’s business development.
Teek Son holds a Master in Business Administration from Monash University and a Bachelor of Science (Hons) degree from Universiti Malaya.
Their products are widely qualified and used in the hard disk drive semiconductor and healthcare industries in Malaysia.
It exports more than 85% of its products to key high-technology countries around Asia, Europe and the American region.
Riverstone has been growing extensively because of demand for its gloves. To cope with growing demand, it has increased its capacity by setting up a new manufacturing plant in Thailand in 2001 and another one in Wu Xi, China in 2004.
In 2010, it built a new plant in Taiping, equipped with only state-of-the-art manufacturing facilities.
Riverstone plans to add another 1.4 billion pieces of gloves by end-2019, boosting its total annual production capacity to 10.4 billion pieces of gloves. The group is completing the Phase 5 expansion plan at Taiping, Malaysia and expects to bring the group’s total annual production capacity to nine billion gloves.
In line with its expansion plans, the group has recently acquired three adjoining industrial land parcels measuring approximately 14.6 acres in the Larut Matang District for RM18.2mil.
The land will support the business expansion with the construction of new factories which house additional production lines.
35. LIM HAN WENG
Flagship: Yinson Holdings Bhd
Net Worth: RM1.3bil
NEW entrant Lim Han Weng, 67, makes it into the rich list via his 28.3% direct stake in his floating production, storage and offloading vessel (FPSO) company, Yinson.
Lim is the son of Chinese nationals who emigrated to Malaysia on a rickety boat with only the clothes on their backs and hopes of building a better life for their family.
Lim’s father started off by selling Chinese medicine in Kampung Bakar Arang, Sungai Petani, and eventually earned enough to buy a small piece of land to grow rubber and oil palm trees.
Lim built Yinson from scratch in 1983, and it started off as a small transport and logistics company in Johor Baru.
He developed and grew it over the years, and got a break into the big league – marine transportation – in 2010.
Yinson thus ventured into the marine transport business to complement its transport and logistics services.
The following year, Yinson entered the oil and gas (O&G) industry by forming a consortium with PetroVietnam Technical Services Corp, which was subsequently awarded a contract for the charter of a floating storage and offloading vessel (FSO).
This paved the way for Yinson to win a contract for the charter of an FPSO, which are essentially vessels that store and process oil.
Today, Yinson is a global company and the sixth-largest active floating FPSO provider in the world, with a fleet size of five FPSOs and one FSO.
Today, Yinson engages in the ownership and operation of ships, trading, leasing and sub-leasing of vessels on a bareboar and time-charter basis, the provision of consulting services relating to ship management, the provision of FPSO vessels for chartering and service activities incidental to O&G extraction, and shipping and vessel chartering activities.
It has operations in Malaysia, Asia, Africa and Norway.
It has been a busy 2019 for Yinson so far.
Just earlier this month, Yinson was awarded contracts for the charter, operations and maintenance of an FPSO vessel amounting to an estimated US$901.79mil (RM3.67bil) for use at the Anyala and Madu fields in Nigeria.
The FPSO contracts, awarded by First Exploration & Petroleum Development Co Ltd (First E&P), are for a firm period of seven years, followed by a two-year and six yearly extension options exercisable by First E&P.
Did you find this article insightful?