Director filings subside as earnings come into focus

FOR the five trading sessions spanning April 17 to 23, the Straits Times Index (STI) declined 2.7 per cent with the Nikkei 225 Index, Hang Seng Index and S&P/ASX 200 Index averaging a 0.9 per cent decline.

This has brought the STI's decline in total return for 2020 through to April 23 to 20.7 per cent.

Share buybacks

There were 13 primary-listed stocks conducting share buybacks over the five sessions ended April 23 with a total consideration of S$3.4 million, compared to the S$2.3 million for the preceding week.

Hong Fok Corporation led the consideration tally, with 1,639,000 shares bought for a total consideration of S$1,165,560, at an average price of 71.1 cents per share.

As at April 23, Hong Fok Corporation had bought back 1.35 per cent of its issued shares excluding treasury shares since the current buyback mandate was approved on April 30, 2019.

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Director and substantial shareholder transactions

The five trading sessions spanning April 17 to 23 saw 42 changes in director interests and substantial shareholdings, filed for 20 primary-listed stocks. This included 14 company director acquisitions, with no disposals filed, and substantial shareholders filing six acquisitions with three disposals. Filings have declined significantly over the past fortnight, as earnings season takes focus.

Sasseur Reit

On April 16, Sasseur Asset management Pte Ltd (SAMPL) non-executive and non-independent director Yang Xue acquired 4.3 million units of Sasseur Reit at 70 cents per unit. The consideration of the married deal was S$3.01 million. This increased the total direct and deemed interest of Ms Yang and Mr Xu Rongcan (the spouse of Ms Yang and non-executive and non-independent chairman of SAMPL) in Sasseur Reit from 58.20 per cent to 58.56 per cent.

In the prior acquisition on Apr 15, Ms Yang also acquired 700,000 units of Sasseur Reit at 70 cents per unit.

In an investor presentation via webinar delivered on April 9, Sasseur Reit noted a number of FY19 milestones and awards.

These include outperforming IPO forecast and projections of EMA Rent (in RMB) and DPU for FY18 and FY19 and its inclusion in FTSE EPRA NAREIT Global Emerging Index.

In addition, Vito Xu, chairman of Sasseur Group and SAMPL was awarded 2019 Asia's Top Entrepreneur by Fortune Times. The Reit was also awarded Reit Company of The Year by International Investor Magazine, Best Retail Reit (Platinum) and Best Investor Relations (Gold) and Best CEO (Platinum) at the 6th Asia Pacific Reits Awards 2019.

GSS Energy

On April 17, executive director and group CEO Sydney Yeung Kin Bond acquired 23.5 million shares of the Catalist-listed company for a consideration of S$1.41 million. At 6 cents per share, the married deal increased his total interest in GSS Energy from 18.65 per cent to 23.38 per cent.

Mr Yeung has many years of experience in the financial industry, starting his career in the institutional equity division at Morgan Stanley New York and also as the managing director of international trading at Van der Moolen, a US securities specialist firm.

Mr Yeung noted in the FY19 Annual Report (which was released on April 16) that In FY19, that the group had made a strategic change in its twin business model by farming out its oil and gas asset to an established business partner and re-focusing its attention to the promising precision engineering business.

Mr Yeung also highlighted that in late FY19, the group entered into partnership with a South Korea company to build and distribute mobility vehicles in Thailand and Vietnam.

Parkway Life Reit

The deemed interest of Cohen & Steers Inc in Parkway Life Reit rose above the 7 per cent threshold interest, with its wholly owned subsidiary, Cohen & Steers Capital Management, Inc, purchasing 399,500 units on April 15.

The open market acquisition involved 399,500 units for a consideration of S$1,348,632, at an average price of S$3.38 per unit. Cohen & Steers Capital Management is not the registered holder of any shares of Parkway Life Reit.

Riverstone Holdings

Between April 16 and 17, Riverstone Holdings founder, executive chairman & CEO Wong Teek Son acquired 150,000 shares for a consideration of S$177,600. At an average price of S$1.14 per share, this increased his total interest in the Malaysian-based cleanroom gloves manufacturer from 51.02 per cent to 51.04 per cent.

His preceding acquisitions were between April 9 and 15, with 240,000 shares acquired at an average price of S$1.14 per share.

Mr Wong's executive responsibilities include developing business strategies and overseeing the group's operations. The company specialises in the production of cleanroom and healthcare gloves, finger cots, cleanroom packaging bags and facemasks.

Mr Wong noted in the FY19 Annual Report (released on April 14) that Riverstone Holdings made the strategic decision to embark on a new three-year expansion plan beginning in FY20.

To support this initiative, it acquired a total of 7.5 hectares of landbank in Perak, Malaysia at the end of 2018 and 2019, which will house its new facility and production lines.

Moreover, having consistently maintained a utilisation rate of approximately 90 per cent, the three-year roadmap will enable the company to raise its capacity further by up to 1.4 billion pieces of gloves per year, bringing its total projected capacity to 14 billion to 15 billion pieces of gloves once the plan reaches completion in FY22.

JEP Holdings

Between April 20 and 22, JEP Holdings executive director Zee Hoong Huay acquired 237,500 shares of the Catalist-listed company for a consideration of S$42,495.

At an average price of 17.9 cents per share, the acquisition increased his total interest in JEP Holdings from 15.28 per cent to 15.34 per cent. His preceding acquisition was on April 15, with 250,000 shares acquired at 16.5 cents per share, and before that 390,000 shares acquired at 14.9 cents per share on April 2.

Mr Zee is a veteran in the metal tooling and precision engineering industries. He has over 30 years of industrial experience and capabilities.

Katrina Group

Between April 16 and 17, Katrina Group founder, executive chairman and CEO Alan Goh Keng Chian acquired 268,700 shares of the Catalist-listed company at an average price of 13.5 cents per share.

The consideration of the transaction totalled S$36,253. This took his total interest in the F&B group, with multi-cuisine concepts, from 88.13 per cent to 88.24 per cent.

He has gradually increased this total interest from 84.60 per cent as of the IPO on July 26, 2016.

Mr Goh heads the formulation of the group's strategic directions and expansion plans both in Singapore and overseas markets, and manages the overall business development of the group.

The acquisition also increased the total interest of Madaline Catherine Tan Kim Wah in Katrina Group.

Ms Tan is the co-founder, executive director of the group and spouse of Mr Goh.

Hwa Hong Corporation

Between April 21 and 22, Hwa Hong Corporation (Hwa Hong) substantial shareholder David Ong Eng Hui acquired 74,800 shares of the listed company for a consideration of S$21,031 at an average price of 28.12 cents per share.

Dr Ong has gradually increased his total interest in Hwa Hong from 5.32 per cent at the end of 2018, to 6.19 per cent as at April 22.

The acquisition also increased the deemed and hence total Hwa Hong interest of Dr Ong's father, Steven Ong Kay Eng, to 16.07 per cent.

Uni-Asia Group

On April 17, Uni-Asia Group executive director, Kenji Fukuyado acquired another 30,000 shares of the listed company for a consideration of S$16,052.

At an average price of 53.5 cents per share, this took his total interest in the group from 1.17 per cent to 1.21 per cent.

His preceding acquisition was made on April 15 with 30,000 shares acquired at an average price of 50.5 cents per share.

Mr Fukuyado has more than 30 years of experience in the finance industry, including structured finance such as tax lease, asset finance, loan syndication, corporate finance and asset management.