Wie brothers emerge as largest shareholders of Takaso

by **Cals** Wed 20 Aug 2014, 22:20

Business & Markets 2014

Written by Adrian Wong of theedgemalaysia.com

Wednesday, 20 August 2014 09:31

KUALA LUMPUR: The controlling shareholders of construction firm Pesona Metro Holdings Bhd recently emerged as the largest shareholder of Takaso Resources Bhd, with a 20.04% stake in the babycare accessories and condoms company.
Brothers Wie Hock Beng and Wie Hock Kiong, who are managing director and non-independent non-executive director of Pesona Metro respectively, have been steadily acquiring shares in Takaso on the open market through their private vehicles Kombinasi Emas Sdn Bhd and Sincere Goldyear Sdn Bhd since Aug 12. The stock was trading at a price of 26 sen in early August before rising to its one-year peak of 37 sen yesterday.
Through the two vehicles, the Wie brothers also control 55.28% of Pesona Metro.
A check on Bursa Malaysia filings revealed that the previous second-largest shareholder, Chin Boon Long, held up to 16.02% of Takaso Resources as at June 24. However, an announcement two days ago showed that he ceased to be a substantial shareholder on Aug 13, with his stake dipping to 11.4%.
It is believed that a large portion of Chin’s disposal was acquired by the duo on the open market.
It is unclear what the duo’s intentions are for the purchase.
Previously, Chin also held stakes in Ingenuity Consolidated Bhd as well as Minetech Resources Bhd.
Before the Wie brothers entered the picture, the largest shareholder of Takaso was its executive chairman and managing director Tee Tze Chern, who held 15.55%. Minister in the Prime Minister’s Department Datuk Seri Shahidan Kassim is also a shareholder of Takaso.
Takaso, which counts the UK’s Japlo babycare brand and Playsafe condoms among its portfolio, has been recording losses for the past six consecutive quarters stretching back to October 2012, with the latest being a net loss of RM840,000 on revenue of RM8.8 million for its third quarter ended April 30, 2014.

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The company’s net assets per share stood at 26 sen, and it recorded a negative net operating cash flow position of RM4.48 million as of April 30, 2014. Its borrowings were RM6.14 million.
It has two pieces of freehold land in Johor totalling 10.85 acres (4.39ha) worth a combined RM5.2 million, which were last valued in September 2009.
Takaso closed up 2.78% at 37 sen yesterday, giving it a market capitalisation of RM59.48 million.

This article first appeared in The Edge Financial Daily, on August 20, 2014.
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