Ibraco MD increases stake via private vehicle

KUCHING: Ibraco Bhd managing director Chew Chiaw Han has upped his stake in the property developer with the purchase of 1.8 million shares or 1.42% in a married deal.

The acquisition via his private vehicle Hiap Ghee Seng Sdn Bhd was at an average price of RM1.86 apiece or nearly RM3.35mil on June 29. On that day, Ibraco lost 13 sen and closed at RM2.05 with volume of 8,000 shares.

Chew’s total shareholding in the company has been raised to 36.9 million units or 29.14%, and he is the single largest shareholder.

Company chairman Ng Cheng Chuan is second largest shareholder with a 24.44% stake while coming in third is non-executive director Sharifah Deborah Sophia Ibrahim with a 19.8% stake as at April 13, 2015.

With a current market capitalisation of around RM276mil, Ibraco will boost its share base if shareholders give their nod to the company’s proposed renounceable rights issue of some 50.65 million new ordinary shares on the basis of two rights shares for every five existing shares held at an extraordinary general meeting (EGM) here on July 16.

The rights shares are priced at RM1.

If approved, Ibraco total number of shares will be increased to some 177.3 million units from the current 126.6 million units.

Ng, in a circular to shareholders, said the proposed rights issue would raise gross proceeds of RM50.65mil, of which RM30mil would be utilised to repay bank borrowings which stood at RM100.3mil as at Dec 31, 2014.

Another RM19.6mil would be set aside to finance a proposed mixed commercial cum residential project in Kuala Lumpur, the company’s maiden project outside Sarawak. The remaining RM1.1mil will be used to pay for the expenses of the fundraising exercise.

Meanwhile, Sarawak tycoon Datuk Amar Abdul Hamed Sepawi has resigned as a director of SMTrack Bhd after reducing his stake in the ACE Market firm.

The 66-year-old prominent corporate figure cited “heavy personal commitments” for quitting as a non-independent director. Abdul Hamed is chairman of timber/plantation firm Ta Ann Holdings Bhd, property firm Naim Holdings Bhd and plantation firm Sarawak Plantations Bhd.

Abdul Hamed, who was SMTrack chairman until May 9, 2014, sold 27.2 million company shares at 5 sen each in an off-market deal in a hefty discount on May 29.

The stock closed 12.5 sen on that day.

He is now left with 34.2 million shares of 10 sen each. SMTrack has a market capitalisation of around RM34mil.

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Business , East Malaysia , ibraco


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