HRnetGroup's largest shareholder raises stake

FOR the five trading sessions that spanned June 25 to July 1, the Straits Times Index (STI) ended 0.2 per cent higher in line with the FTSE China A50 Index, Hang Seng Index and FTSE Bursa Malaysia KLCI that also averaged a 0.2 per cent gain.

Within the STI, DBS, Keppel Corporation, Venture Corporation, Sembcorp Industries and OCBC received the highest net institutional inflows from June 25 to July 1.

Outside the STI, AEM Holdings, UMS Holdings, Nanofilm Technologies International, ISDN Holdings and Suntec Reit received the highest net institutional inflows over the five sessions.

Overall, institutions were net sellers over the five sessions, to the amount of S$84 million, led by Singapore Airlines with S$39 million in net institutional outflow.

Share buybacks

There were 14 primary-listed stocks conducting share buybacks over the five sessions with a total consideration of S$5,086,207, compared to the preceding week's consideration of S$4,553,547.

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Singapore Technologies Engineering led the consideration tally, buying back 500,000 shares at an average price of S$3.85 per share. This took the cumulative number of shares purchased by ST Engineering on the current mandate to 2.3 million shares or 0.07 per cent of its issued shares excluding treasury shares.

Director and substantial shareholder transactions

The five trading sessions saw 130 changes in director interests and substantial shareholdings filed for more than 40 primary-listed stocks. This included nine company director acquisitions with four disposals filed, while substantial shareholders filed eight acquisitions and seven disposals.

HRnetGroup

On June 30, SIMCO Global acquired 25,838,000 shares of HRnetGroup for a consideration of S$16,148,750, at 62.5 Singapore cents per share.

This increased SIMCO Global's total interest in HRnetGroup from 75.12 per cent to 77.70 per cent, while increasing the deemed interests of founding chairman Peter Sim, executive director and chief executive officer of Recruit Express JS Sim, and executive director and chief legal officer Adeline Sim.

Mr Peter Sim founded the company in 1992 and has over 40 years of expertise in social work, human resource management, and talent acquisition.

With over 900 consultants spread across 13 Asian cities, the leading recruitment and staffing firm in Asia noted that it is continuing to build out its digital staffing platform in 2021.

For its FY20 (ended Dec 31), HRnetGroup reported a record-breaking year in revenue at S$433.0 million, up 2.4 per cent from FY19.

For the whole year, HRnetGroup helped 42,998 people secure employment in contract and temporary roles, an increase of 6.4 per cent from FY19.

The company also noted that revenue continues to be diversified across many sectors and specialisations and is not dependent on any single sector with its top 10 clients contributing 22.0 per cent to its FY20 revenue.

RH Petrogas

On June 30, RH Petrogas (RHP) executive director and chief executive officer Francis Chang Cheng-Hsing exercised 3.5 million share options in accordance with the RHP Share Option Scheme 2011.

This comprised 500,000 new shares with an exercise price of 8.4 cents each, one million new shares with an exercise price of 7.4 cents each and 2 million new shares with an exercise price of 4.4 cents.

The new shares are expected to be listed and quoted on the Singapore Exchange on July 12.

Mr Chang has served as group chief executive officer and executive director of the independent upstream oil and gas explorer and producer since Jan 1, 2014.

Previously, he held the position of vice-president of exploration & production of the group, and prior to RHP, he held management and executive positions with GNT International Group, Texas American Resources and Kerr McGee/Anadarko Petroleum.

For its Q1FY21 (ended March 31), RHP recorded revenue of US$18.7 million, an increase of 40 per cent from Q1FY20.

The increase in revenue was mainly attributable to the higher volume of crude oil lifted in both the Kepala Burung production sharing contract (PSC) and the Salawati PSC, with a 9.3 per cent increase in the average realised oil price for the period from US$54 per barrel in Q1FY20 to US$59 per barrel in Q1FY21.

With the cost of sales decreasing by 15.4 per cent in Q1FY21 compared to Q1FY20, the gross profit for the quarter increased from US$1.3 million in Q1FY20 to US$8.5 million in Q1FY21.

Leader Environmental Technologies

On June 28, Leader Environmental Technologies (LET) executive director Lin Baiyin disposed of 10 million shares of the company at a consideration of 10.5 cents per share to private investors via married deals.

This decreased his total interest in the technology driven environmental solutions provider from 3.85 per cent to 3.09 per cent.

It followed his disposal of 14.3 million and 8.0 million shares at considerations of S$0.113 and S$0.115 per share respectively to private investors on June 7.

Mr Lin began his career in wastewater treatment in 1994.

In 2005, he established Anjie Environmental, before he was appointed chief executive officer of LET from 2006 to 2020.

During 2020, the group underwent a strategic review to re-organise its group structure and de-registered two dormant companies, divested a loss-making subsidiary, and incorporated three new wholly owned subsidiaries to engage, invest and partake in the new environmental-related businesses in respect of sludge treatments, industrial wastewater, production of high performance membrane, and green tech investments.

Lin Yucheng took on the role of LET executive chairman and chief executive officer on Jan 1, 2021.

During that same month, LET acquired Bituo Environmental Technologies (Tianjin), an environmental technology company specialising in municipal sludge treatment with nine patents covering different technologies and processes.

The month of January also saw the group enter into a joint venture investment with Nanosun to set up high performance membrane manufacturing facilities in Singapore and China.

LET's renounceable non-underwritten rights issue at an issue price of 10 cents for each rights share, on the basis of one rights share for every two existing ordinary shares, will be trading ex-rights on July 8.

PropNex

On June 28, PropNex executive director Kelvin Fong Keng Seong acquired 44,600 shares of the company, for a consideration of S$66,900 at S$1.50 per share.

This took his deemed interest in PropNex from 8.48 per cent to 8.50 per cent.

The acquisition also followed his acquisition of 118,400 shares on June 21; 28,500 shares on June 15 and 200,000 shares on June 14, also at S$1.50 per share.

Mr Fong has gradually increased his deemed interest in PropNex from 7.63 per cent in February 2019.

He oversees the group's training development curriculum and administers the development of IT strategies and technology innovations to improve the group's competitive edge in the industry.

Southern Alliance Mining

On June 23, Remparan Sdn Bhd acquired 25,000 Shares in Southern Alliance Mining via a market transaction at an average price of 97.4 cents per share.

Remparan Sdn Bhd is wholly owned by Multiline Sdn Bhd, which is 70 per cent owned by Southern Alliance Mining chief executive officer and executive director Pek Kok Sam and 30 per cent owned by his brother, Pek Kok Hua.

The transaction increased Mr Pek Kok Sam's total interest in the Catalist-listed stock from 70.32 per cent to 70.33 per cent.

His preceding transaction was an acquisition of 65,000 shares at 60.0 cents per share on 17 March.

With more than 18 years of experience in the mining and exploration of iron ore, tin and limestone industry he is responsible for the group's business operations, including quality analysis and control, safety and environment, and site management aspects.

Sing Investments & Finance

On June 25, Sing Investments & Finance (SIF) managing director and chief executive officer Lee Sze Leong acquired 16,500 shares of the company for a consideration of S$23,925.

At S$1.45 per share, this increased his total interest in the licensed finance company, from 30.41 per cent to 30.42 per cent.

Mr Lee has served as director of SIF since February 1989 and was appointed to his current role in January 1997.

He also serves as the non-executive chairman of Sing Holdings.

Back on April 22, SIF reported a net profit after tax of S$8.0 million for its Q1FY21 (ended March 31), an improvement of 94.3 per cent compared to the same period last year, primarily attributed to lower funding costs, a decrease in operating expenses as well as write back of loan allowances.

GYP Properties

A filing on June 29 detailed that Sam Goi Seng Hui recently increased his substantial shareholding in GYP Properties above 17 per cent.

The transaction of 170,000 shares for a consideration of S$22,100 at 13.0 cents per share increased Mr Goi's total interest in GYP Properties from 16.96 per cent to 17.02 per cent.

For its H1FY21 (ended 31 Dec), GYP Properties posted a net profit of S$4.0 million compared to S$0.8 million for H1FY20 due mainly to recognition of completion of sales of townhouses in Stage 1 of the group's Remarkables Residences project in New Zealand.

Mr Goi has gradually increased his total interest in the real estate company from 14.55 per cent as of Sept 16, 2019.

• The writer is the market strategist at Singapore Exchange (SGX). To read SGX's market research reports, visit sgx.com/research.