KUALA LUMPUR: Datuk Clement Hii Chii Kok, a substantial shareholder and director of SYF Resources Bhd, continued to mop up SYF shares from the open market and via direct dealing yesterday, raising his stake in the company to 15%.

According to an executive familiar with the SEGi Group founder, Hii has been scouting for a listed vehicle for his privately-held property projects. Meanwhile, SYF had also stated its intention of venturing into property development.

“Hii has property projects worth RM3 billion in gross development value. These projects are in Cyberjaya and Petaling Jaya,” said a source.

In a filing with Bursa Malaysia yesterday, SYF stated that Hii had bought 5.05 million shares from the open market and another 2.5 million via direct dealing.

The purchases yesterday raised the total holdings of Hii in SYF, Malaysia’s largest rubberwood furniture maker, to 15% or 40.65 million shares.

The share price of SYF, which has been rising steadily on the back of directors’ purchases as well as a takeover rumour in the market, continued its ascend yesterday.

Since early August, the counter has been rising from 44 sen a unit. At the market close yesterday, the actively traded counter rose two sen or 2.5% to 81 sen on a turnover of 14.52 million shares.

A check with Bursa  announcements shows that Hii has been actively accumulating SYF shares before June this year.

Filings with Bursa also show that the company’s executive chairman and CEO, Ng Ah Chai, has also been purchasing company shares. Ng’s last reported stake in the company was 23.34%.

Last month, the company notified Bursa about the intention of these two directors to raise their stakes in the company.

Hii, who controls SEGi, told a local newspaper in June that he was investing in SYF because he “had confidence” in SYF’s executive chairman Ng and the outlook of the company.
Having completed a restructuring scheme, SFY said in its annual report that it would seek new opportunities for growth and to diversify into property development.

The company posted a net profit of RM3.4 million for the third quarter to April 30, compared to a loss of RM877,000 a year ago.

Hii was executive deputy chairman of Star Publications Bhd until December 2010. He emerged as a substantial shareholder of SYF on May 31 with a 10.01% stake or 27.1 million shares.

This article is appeared in The Edge Financial Daily on 19 September, 2012.