KUALA LUMPUR: Newly-incorporated private company KOM2 Holdings Sdn Bhd has emerged as hydraulic products manufacturer Tejari Technologies Bhd’s single largest shareholder after acquiring an 18.91% direct stake.

According to filings with Bursa Malaysia last Friday, KOM2 acquired 25.49 million shares or 15.64% in ACE Market-listed Tejari via off-market and open market transactions on Dec 9.

KOM2 had acquired the bulk of the shares from Komsama Holdings Sdn Bhd, which had ceased to become Tejari’s substantial shareholder after selling 24.6 million shares, or a 15.09% direct stake, in the hydraulic products maker on Dec 9.

The following day, KOM2 accumulated another 5.34 million shares in Tejari, bringing its stake to about 30.83 million shares, or 18.91% of the company.

According to information obtained from the Commission of Companies, KOM2 is an investment holding company that had just been registered on Dec 4. The company is owned by its director Ooi Chai Huat, who is also the managing director and executive director of Tejari.

Subsequently, Ooi’s stake rose to 44 million shares or 27% of the company. Filings showed that Ooi owns a 4.31% direct stake and a 22.69% indirect stake in Tejari.

Tejari’s annual report for the financial year ended Nov 30, 2008 (FY2008) showed that Ooi held an 8% stake in the company, of which 4.3% was a direct stake and 3.7% was held indirectly via his wife H’ng Sok Kheng.

In May this year, Tejari’s substantial shareholder Chan Ah Ba resigned as chairman and executive director of the company and disposed of 13.8 million shares representing an 8.5% stake in the open market.

The exercise reduced his direct stake to about 6.5 million shares or 3.98%, and indirect stake to 7.36 million shares or 4.51%, filings with Bursa Malaysia showed.

Tejari’s main businesses include designing and manufacturing of electro-hydraulic automation systems and products to the marine and oil and gas industries.

The company posted a net loss of RM116,000 for the third quarter ended Aug 31, 2009 compared with a net profit of RM586,000 a year earlier, mainly due to a 36.1% decline in revenue to RM4.68 million from RM7.33 million.

Commenting on the financial results, Tejari said uncertainties existed in its business prospects for FY2009, given the global economic slowdown. Yesterday, Tejari closed 0.5 sen lower to 13.5 sen with 572,600 shares changing hands.


This article appeared in The Edge Financial Daily, December 15, 2009.