IMASPRO 益马机构 7222 IMASPRO CORPORATION BHD
Wednesday, 25 March 2015
Property developer turned investor said to be eyeing stake in Imaspro
PETALING JAYA: Datuk Dr Yu Kuan Chon, who has carved a name for himself in taking up strategic stakes in little-known companies, is once again on the prowl. His target this time around is Imaspro Corp Bhd, according to sources.
It is learnt that Dr Yu, whose flasgship company is property developer YNH Holdings Bhd, has already started accumulating minority stakes in the company and is looking at acquiring more interest in the company from some shareholders who are exiting.
Among the shareholders who have been reducing their interest in Imaspro include its non-executive chairman Mohd Shafek Isa. Filings with Bursa Malaysia show that Shafek has been steadily disposing of his shares since early March. From a 21.49% stake on March 4, he now has a 10.28% stake or 8.22 million shares in the company via his vehicle Sunbina Dunia Sdn Bhd.
Shafek has been selling the shares in tranches, in prices ranging from RM1.30 to RM1.50.
Dr Yu made his mark in the corporate scene where he emerged as the second largest shareholder in investment bank – Hong Leong Capital Bhd (HLCap) – that was a subject of privatisation by its parent company, Hong Leong Financial Group Bhd (HLFG) at RM1.71 per share. HLFG failed to get the required shares for it to take HLCap private because Dr Yu had accumulated close to 8.96% of the investment bank.
Last year, Dr Yu emerged in PM Holdings Bhd and Rapid Synergy Bhd with stakes of 20.99% and 5.33% respectively. He has proposed to increase his stake in PM Holdings.
This came about in November last year when Dr Yu proposed to acquire a 69.2% or 642.7 million shares in PM Holdings from Malayan United Industries Bhd, a company controlled by Tan Sri Khoo Kay Peng. Dr Yu is proposing to pay RM77.1mil or 12 sen per PM Holdings share. Upon completion of the sale, Yu, together with persons acting in concert with him, will increase his interest in PM Holdings from 5.33% to 74.52%.
Executives close to Dr Yu said he was keen on Imaspro because it had cash backing per share of about 64 sen each and a stable business in supplying fertilisers.
“Dr Yu feels the company is cheap. The company’s business is more or less on auto-pilot, and it also has that a cash pile of RM51.32mil,” said the executive.
A big hint of Dr Yu’s entrance arose when Chan Weng Fui, who is his close associate, was appointed as independent and non-executive director of Imaspro on Dec 4.
Dr Yu is known to work closely with Chan in past transactions. Chan has also invested in Rapid Synergy Bhd and Pan Malaysia Holdings Bhd, companies where Yu has taken major stakes Meanwhile, the single largest shareholder of Imaspro is Swiss Revenue Sdn Bhd, which is the investment vehicle of Imaspro’s managing director Tong Chin Hen.
Imaspro’s shares have risen from RM1.20 in early March to close at RM1.59 as of yesterday.
Despite the 23.2% year-to-date increase in its share price, the stock still only has a market capitalisation of RM123.2mil. At RM1.54, the stock is trading at a price earnings ratio of 14.22 times. The company regularly pays dividends and its yield is currently 2.27%.
For the second quarter to Dec 31, 2014, Imaspro’s net profit was down 7.72% to RM2.44mil on the back of a 9.35% decrease in revenue to RM25.36mil.
For the six-month period, net profit was down 10.1% to RM4.28mil on the back of an 11.04% decrease in revenue to RM44.14mil.
Dr Yu is the chairman of YNH and is its second largest shareholder with close to 15.8%. The Perak-based property developer’s prime parcel of land that has yet to developed is located along Jalan Sultan Ismail.
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