36. DATUK TEE ENG HO
Flagship: KERJAYA PROSPEK GROUP BHD
Net worth: RM1.25bil
OVER the course of one year, Tee, who was ranked 34th in 2018, slipped two places to 36th, following a decline of RM400mil in wealth.
Kerjaya Prospek’s share price plunged 36% during the 12-month period.
Tee controls Kerjaya Prospek through a private vehicle, Amazing Parade Sdn Bhd, which has a 70.8% stake in Kerjaya Prospek. Its clients include major property developers who see the use of the industrialised building system, which the company has been deploying since 2010, as cost- and time-effective.
Tee also has a stake in EASTERN & ORIENTAL BHD (E&O), a relationship that goes back to a time when Kerjaya Prospek was known as Fututech Bhd and was an associate of E&O. He also sits on the board of E&O.
Kerjaya Prospek is developing a mixed-development project with a gross development value of RM1.1bil at Old Klang Road, expected to be launched by the first quarter of this year.
The project, sprawled over 5.19 acres and slated for completion in 2022, will consist of the 276-room “Courtyard by Marriot,” two towers of 68-storey service apartments and offices.
According to reports, the group is expecting a “much better” year in 2019, as it is currently tendering for about RM1.5bil worth of projects with a success rate of about 20%.
Kerjaya Prospek targeted to secure RM1bil worth of jobs last year and achieved RM989.8mil.
The company’s outstanding order book stood at RM3.02bil as at end-2018.
The company’s net profit grew 19% to RM34.03mil for the fourth quarter
ended Dec 31, 2018 from RM28.58mil, while quarterly revenue during the period rose 5.2% to RM265.33mil from RM252.31mil in the previous corresponding period.
In November 2018, the group secured two contracts worth RM282.25mil from Nusmetro Group for substructure works of a commercial development comprising a three-storey basement carpark and 51-storey office building in Mont Kiara worth RM29.8mil.
The job also entails the construction of the main building of a proposed commercial development in Jalan Cheras worth RM252.4mil.
37. TAN SRI ONG LEONG HUAT
Net worth: RM1.16bil
ONG maintains his position in 37th place on the list as he did last year, although during the course of the past 12 months, the tycoon saw his earnings declining RM300mil or 19%.
His flagship OSK Holdings holds a 10.1% stake in RHB Bank, a result of the acquisition of the-then RHB Capital Bhd of OSK Investment Bank Bhd in 2012 for RM1.95bil.
In light of adverse global market conditions, OSK Holdings decided not to list its cable business, OCC Cables Ltd, on the Main Board of the Hong Kong Stock Exchange, as initially planned.
OCC manufactures power cable products for power transmission and distribution systems in Malaysia and Vietnam, namely, low voltage, medium voltage and fire-resistant power cables. The company is a registered supplier of certain power cable products for Tenaga Nasional Bhd.
During the course of 2018, OSK Holdings’ share price dropped 11.5%.
For 2019, OSK Holdings is targeting to launch four projects, namely, You City 3 in Cheras; 3A Single Storey Terrace Homes and 3C Double Storey Terrace Homes of Riyasana at the Iringan Bayu Township in Seremban; Phase 1 at Sentul, Kuala Lumpur and Precinct 3, 4 and 5 in Bandar Puteri Jaya, Sungai Petani with a total gross development value (GDV) of RM1.21bil.
As at Dec 31, 2018, the group had unbilled sales of RM1.54bil with minimal unsold completed stocks, as there were continuous effort to sell these unsold properties.
The balance land bank is about 1,734 acres with an estimated GDV of RM10.44bil, located in the Klang Valley, Sungai Petani, Butterworth, Kuantan, Seremban and Melbourne in Australia.
The company expects the property investment division to contribute steady rental income from its commercial and retail tenants. Meanwhile, the construction segment will continue to focus on delivering its current order book in a timely manner.
The group is confident it will deliver satisfactory results for 2019.
38. DATUK LEONG KOK WAH
Flagship: ECO WORLD DEVELOPMENT GROUP Bhd,
Eco World International Bhd and SALCON BHD
Net worth: RM1.06bil
LEONG saw his earnings tumble 35% or RM600mil in 2018, placing him at 38th on the list this year compared to 33 last year.
He sits on the boards of Eco World and Salcon. Leong is also a long-time associate of Tan Sri Liew Kee Sin, the prime mover behind Eco World Development and Eco World International (EWI).
EWI is an Eco World Development associate that specialises in property projects outside Malaysia, while Salcon specialises in water infrastructure. Through several private vehicles, Leong, who has a stockbroking and fund management background, holds substantial stakes in Eco World Development and EWI.
In December 2018, EWI’s 70%-owned joint venture, EcoWorld London, announced that it would let and manage over 1,000 build-to-rent (BtR) homes in London as part of a deal worth £389mil (RM2.1bil) with Invesco Real Estate.
The target for EcoWorld London is to secure 10,000 homes under this BtR programme over the next five years.
The acquisition is being made on a forward-funded basis which will enable EcoWorld London to recover about £66mil (RM348.8mil) of its land cost shortly after the exchange of contracts.
On the local front, Eco World Development announced in February that it will lease 50 houses and retail lots to Taiwan intelligent hotel operator
Dun-Qian Hotel Management Co Ltd as part of a collaboration to set up the first intelligent accommodation in the country.
The whole of 2018 saw Eco World Development dropping 35%.
Eco World Development posted a net profit of RM68.53mil in the fourth quarter ended Oct 31, more than double the sum of RM33.71mil recorded in the year-ago quarter on contributions from its joint ventures and projects.
The group’s share of unbilled sales to be carried over to 2019 stands at RM6.43bil, which is a record high for Eco World. Revenue for the quarter under review was RM607.58mil versus RM904.06mil in the 2017 quarter.
39. YONG PANG CHAUN
Net worth: RM1.03bil
YONG dropped four places to 39th this year, his wealth falling 14% or RM200mil during the past year.
He controls Padini via a 44.5% stake held through Yong Pang Chaun Holdings Sdn Bhd.
Padini started from humble beginnings in the apparel industry, with its roots in the manufacturing, trading and supplying of garments to retailers and distributors. Over the years, the group ventured into distribution and retail by creating its own brands catering to specific consumer niches.
Today, the group is a leader in the multi-billion textile and garment industry in Malaysia. It boasts nine labels in its family of brands and retailing in 330 freestanding stores, franchised outlets and consignment counters in Malaysia and around the world.
Padini was quick to see the importance of the Internet, having set up operations since 2000. The company has been busy setting up its e-commerce infrastructure and like many brick-and-mortar retailers, sees e-commerce contributing to its growth.
Today, it has a foreign presence in Bahrain, Brunei, Cambodia, Egypt, Indonesia, Kuwait, Morocco, Myanmar, Oman, Pakistan, the Philippines, Qatar, Saudi Arabia, Syria, Thailand and United Arab Emirates.
The company’s share price fell 31% throughout 2018.
Padini’s net profit grew 6.47% to RM53.2mil in the second quarter ended Dec 31, 2018, from RM49.97mil a year earlier, mainly due to higher sales generated from the opening of four new stores.
Quarterly revenue was up marginally by 0.47% to RM462.58mil from RM460.43mil previously.
Going into 2019, the group is confident of turning in another profitable period despite the challenging economic environment and rising cost.
In its notes accompanying its half-year financial earnings, the company said its management will continue to be vigilant to the changes in the external environment and take necessary action, including reviewing its cost structure to maintain long-term sustainable growth.
40. GOOI SEONG LIM & FAMILY
Net worth: RM1.01bil
THE Gooi family dropped one spot to 40, having seen their earnings dip RM200mil over the course of 12 months. They first entered the list in 2017.Kim Loong Resources’ businesses are in the plantation and milling operations. In 2018, the group successfully implemented corporate exercises involving a share split of one existing ordinary share to three subdivided shares; and a bonus issue of warrants (one warrant for every 20 subdivided shares) in April 2018.
The group is also looking for more land in the country as part of its long-term plan to increase its oil palm plantation acreage. It is focusing its search on Kelantan as it still has large tracts of land for plantation activities.
The group prefers greenfields as it considers them better, easier and more cost-effective to work on compared to a brownfield.
It has over 58,000 acres of oil palm estates in Johor, Sabah and Sarawak, of which 2,700 acres are in Kota Tinggi, Johor, Telupid (4,934 acres), Sandakan (6,748 acres) and Keningau (17,841 acres) in Sarawak and three palm oil mills in Johor and Sabah with a total processing capacity of 205 tonnes of fresh fruit bunch (FFB) hourly.
On its prospects for 2019, the group forecasts FFB production to be in the region of 90% of financial year 2018 (FY18), mainly due to replanting programmes for old palm areas, but cushioned by increasing yields from young matured areas.
For the milling operations, the group has achieved a record high processing quantity of 1.5 million tonnes of FFB in FY18.
With the recent sharp drop in the crude palm oil (CPO) price to RM1,700 per tonne, the group expects the CPO price to stabilise above RM2,000 per tonne in the first half of 2019 when production trends enter the low-yield cycle.
Kim Loong’s share price dipped more than 13% last year.
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