Tan Chong Group co-founder Tan Kim Hor is now a major shareholder of Greatpac Holdings Bhd following the completion of the acquisition of a 28.7% stake in the Second Boarder by his family-held Wawasan TKH Sdn Bhd for RM18.45 million.
The stake comprising 41 million shares was transacted at 45 sen each in off-market deals yesterday. A total of 55 million shares representing a 38.56% stake in Greatpac were done off-market on Aug 23, including the 28.7% by Wawasan TKH.
The development on Aug 23 could see some changes in the board of Greatpac, whose core business is in the manufacturing of disposable food and beverage packaging containers. Greatpac has a paid-up share capital of RM142 million.
In a statement late on Aug 23, Greatpac announced the completion of the transaction between Wawasan TKH, Focus Matrix Sdn Bhd and Stargard Resources Sdn Bhd.
Replying to a FinancialDaily query on Aug 23, Kim Hor’s son, Boon Pun said: “Wawasan TKH would be appointing representatives to Greatpac’s board.”
Greatpac is the first acquisition by Kim Hor’s family in a listed outfit after having gradually left the Tan Chong Group in 2002.
Observers expect more exciting times for Greatpac as the new major shareholder will be looking at creating value for the listed company. For the second quarter ended June 30, 2005 Greatpac posted a net profit of RM882,000, up 15% from the RM766,000 in the previous corresponding quarter.
Over the past one year, Wawasan TKH has moved into motor-related ventures besides acquiring several companies in the travel industry and lingerie manufacturing business with the objective of re-establishing the family’s name in the local corporate scene.
An analyst says Wawasan TKH is expected to review the operations in Greatpac with talk that some of the businesses under the former could be injected into the listed entity to boost the value of the company.
The Edge weekly had reported in July that three years after giving up managing key operations in the Tan Chong Group, the family was making a comeback to the corporate scene.
Yesterday, Greatpac closed 2.5 sen higher at 53 sen with 916,900 shares done.