Hot stock: Perennial shares up 12.1% after disclosure on substantial shareholders mulling options

PERENNIAL Real Estate Holdings saw its shares surge 12.1 per cent on Tuesday shortly after the market opened.

The property developer's shares rose to a high of S$0.65 as at 9.28am on Monday, up 12.1 per cent or S$0.07. This was before they retraced to 62.5 Singapore cents as at 10.14am, up 4.5 cents or 7.6 per cent from Monday's closing price of S$0.58.

The share surge comes as Perennial disclosed on Monday night that certain of its substantial shareholders are reviewing options regarding their holdings in the company.

"The company understands that a decision has yet to be made by such substantial shareholders, and there is no assurance that a transaction will take place," Perennial said in the regulatory update. 

As at March 31, Perennial chairman Kuok Khoon Hong holds the largest stake in the company at 27.9 per cent. Next is Wilmar International, which holds a 20 per cent stake, followed by Sim Chye Hock at 15.3 per cent, and chief executive Pua Seck Guan at 10.4 per cent.

The company counts Mr Kuok, vice-chairman Ron Sim, who is also chairman of V3 Group, Wilmar and Mr Pua as its key sponsors.