Stocks to watch: SingPost, First Reit, Fu Yu, Disa

THE following companies saw new developments that may affect trading of their securities on Tuesday (Jan 14):

Singapore Post (SingPost): Former group chief executive Vincent Phang has resigned from his role as a non-executive, non-independent director with effect from Jan 12. Phang and two other SingPost senior executives were fired last year as they were found to have been negligent in the handling of internal investigations over a whistle-blower’s report and in subsequent probes. Shares of SingPost ended Monday 1.9 per cent or S$0.01 lower at S$0.53, before the news.

First Real Estate Investment Trust (First Reit): It has received a preliminary non-binding letter of intent from Siloam International Hospitals to acquire its portfolio of hospital assets in Indonesia. The board of First Reit’s manager will conduct a strategic review to assess the letter of intent and explore all strategic options for the trust. Units of First Reit ended Monday flat at S$0.255, before the announcement.

Fu Yu : The precision plastic parts maker and its board have appointed lawyers to advise on the extraordinary general meeting (EGM) requisitioned by substantial shareholder Victor Lim, which aims to remove two independent directors (IDs) from their posts. Fu Yu also said the IDs are not involved in the day-to-day operations of the company. This comes after the IDs on Monday told The Business Times that they were surprised at Lim’s EGM requisition. Shares of Fu Yu closed flat at S$0.128, before the news.

Disa : It has signed a non-binding term sheet with a rheumatism and arthritis medical company and its sole shareholder, proposing to buy a 50 per cent stake in the medical company for S$5.5 million. The purchase will be funded through cash and the issuance of new ordinary shares in the Catalist-listed company. Disa’s shares tumbled 50 per cent or S$0.001 to S$0.001 on Monday, before the news.

Trading halt: Embattled cord-blood bank Cordlife called for a trading halt on Tuesday morning, pending the release of an announcement. Its shares ended Monday 3.3 per cent or S$0.005 lower at S$0.145.