Nam Cheong CEO sells 13.9 mil shares; Miyoshi’s second-largest shareholder pares stake

(Sept 30): This past week has seen some notable share disposals. On Sept 23, Leong Seng Keat, CEO of Malaysia-based oil and gas shipbuilder Nam Cheong, sold 13.9 million shares at 0.6 cent apiece on the open market. This reduced his direct interest to 0.041% or 2.9 million shares in the company. His deemed interest in the company — held by his wife, Tiong Eng Ming, and Dominion Energy, of which he is a director — remained intact at 1.32%, or 94.1 million shares.

Leong’s share disposal comes after Nam Cheong posted a weak set of results in 1HFY2019 ended June 30. Revenue tumbled 23% y-o-y to RM104.6 million ($34.2 million), owing to an absence of shipbuilding revenue, though this was offset by a y-o-y revenue growth of 183% at its vessel chartering segment. Earnings plunged 99% y-o-y to RM3.3 million, even though the company recorded a higher gross profit. The company says it would have recorded a net loss of RM30.9 million, if it excluded the waiver of debts and foreign exchange gain of RM588.1 million.