Over the five trading sessions from Jan 17 to Jan 23, institutions were net sellers of Singapore stocks, leading to net institutional outflow of S$393 million, adding to the S$184 million net outflow over the preceding five sessions.
Institutional flows
Stocks that led the net institutional outflow over the five sessions were DBS, CapitaLand Investment, OCBC, CapitaLand Ascendas Reit, Yangzijiang Shipbuilding, Sats, Keppel, Mapletree Industrial Trust, CapitaLand Integrated Commercial Trust and Singtel.
Meanwhile, UOB, Seatrium, Suntec Real Estate Investment Trust, Parkway Life Reit, Singapore Technologies Engineering, Golden Agri-Resources, Top Glove Corporation, Jardine Matheson Holdings, Wee Hur Holdings and Sembcorp Industries led the net institutional inflow.
Consequently, over the five sessions, financial services and Reits again experienced the highest net institutional outflow, while healthcare and utilities saw the most net institutional inflow.
As at Jan 23, Top Glove recorded the eight-highest net institutional inflow in the Singapore stock market for the month. The group had a bump up in trading turnover this year, with the stock hitting S$2.4 million in average daily trading turnover for the first 16 sessions of the year, doubling the S$1.2 million in 2024 and 2023.
This has also enhanced a key liquidity metric of the dual listing in Singapore, with the average bid-ask spread over the past five sessions being 30 per cent tighter than it was six months ago.
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Top Glove reported on Dec 20 sales revenue of RM886 million (S$272.1 million) for Q1 FY2025 (ended Nov 30), marking growth of 80 per cent compared to the same period last year, with sales volume surging by 104 per cent. The group noted the rebound was driven by robust order inflows, ongoing quality enhancement and cost optimisation initiatives, and the strengthening of the US dollar against the ringgit.
Top Glove said it would continue to diversify risks across its operations in Malaysia, Thailand and Vietnam; integrate sustainable practices; and leverage quality and cost efficiency initiatives to sustain its upward momentum and deliver stronger results in the coming quarters.
Share buybacks
Thirteen primary-listed companies conducted buybacks with a total consideration of S$25 million in the five sessions. The consideration tally was led by OCBC, which bought back 1.4 million shares, at a marginally higher average price of S$17.13 a share. This brings the total shares repurchased under the current mandate to 0.33 per cent of its issued shares (excluding treasury shares).
Zheneng Jinjiang Environment Holding Company bought back 745,200 shares at an average price of S$0.45 a share. In doing so, the China waste-to-energy operator increased the total shares repurchased under its current mandate to 0.74 per cent of its issued shares (excluding treasury shares).
Director transactions
More than 40 director interests and substantial shareholdings were filed for 30 primary-listed stocks in the five trading sessions. Directors or chief executive officers filed 10 acquisitions and one disposal, while substantial shareholders filed two acquisitions and three disposals.
Huationg Global
Between Jan 20 and 22, Huationg Global CEO and executive director Patrick Ng acquired 650,800 shares at an average price of S$0.162 a share. This increased his direct interest from to 7.89 per cent to 8.26 per cent.
Ng also has a 68.7 per cent deemed interest in Huationg Global by virtue of his 25 per cent shareholding interest in Dandelion Capital, which is the immediate and ultimate holding company of Huationg. The acquisition brings his total interest in the Catalist-listed company to 76.96 per cent.
Huationg Global provides civil engineering services, inland logistics support and sells construction materials, including liquefied soil stabiliser and recycled concrete aggregate.
Ng’s previous acquisitions were in July 2024, with 255,000 shares acquired at S$0.129 a share, and April 2024, with 12.5 million shares acquired in a married deal at S$0.142 a share. This means his total interest in Huationg Global has grown by 7.6 per cent over the past 10 months.
With more than 20 years of experience in the civil engineering construction industry, Ng has been responsible for the overall management, operations, strategic planning and business expansion of Huationg Global since 2000.
Over the past 30 years, the group has worked on major infrastructure projects in Singapore, such as the Downtown Line, Circle Line, Kallang-Paya Lebar Expressway and Marina Coastal Expressway, and has built a strong reputation in civil engineering.
In August, Huationg Global leveraged its civil works expertise to secure public infrastructure projects and sustain a robust order book for continued growth. Despite rising construction material costs, the group’s order book was approximately S$500 million as of the release of its H1 FY2024 results, with projects slated for completion within four years.
Additionally, the group anticipates that increased construction activities will enhance its inland logistics business, generating recurring income. Huationg Global is expected to report its FY2024 results by Mar 1.
LHT Holdings
On Jan 23, LHT Holdings managing director and CEO Yap Mui Kee acquired 34,500 shares at an average price of S$1.01 a share. With a consideration of S$35,014, this took her direct interest in the home-grown pallet manufacturer from 18.39 to 18.45 per cent. Yap has been increasing her direct interest in LHT from 14.12 per cent since August 2021.
On Jan 21, Lan Ruilong acquired 9,671,205 shares, representing an 18.16 per cent substantial shareholding in the company, from Tan Kim Sing through a married deal.
LHT Holdings, established in 1977, has been in the timber industry for more than 40 years, growing into one of Singapore’s largest manufacturers of high-quality wooden pallets, boxes and crates. It is scheduled to report its FY2024 results after the Feb 27 close.
Niks Professional
Between Jan 15 and 16, Niks Professional chairman and CEO Cheng Shoong Tat acquired 200,000 shares, with president and chief medical officer Dr Ong Fung Chin acquiring 300,000 shares. This increased Cheng’s total interest in the Catalist-listed dermatology and aesthetic medical services provider from 82.2 per cent to 82.5 per cent.
Cheng is responsible for the overall management, strategic planning and business development of the group, while Dr Ong oversees the strategic direction, management and operations of the family practice’s clinics and retail outlets.
Hong Lai Huat Group
On Jan 20, real estate and property developer Hong Lai Huat Group announced it will seek to issue and allot 40,503,000 new ordinary shares to group general manager and executive director Dylan Ong at the market price of the company’s shares, to be determined on placement date based on a formula as disclosed in its bourse filing.
These shares will represent approximately 7.82 per cent of the existing issued share capital and 7.25 per cent of the enlarged share capital. The rationale for the proposed placement is to provide Ong with an equity stake in the group, aligning his interests with the long-term interests of the company and its shareholders.
Ong was appointed to the board in September 2020, and currently does not own any shares in the company. He is responsible for the strategic direction, operation planning, sales and marketing, as well as business development for the group’s agriculture division in Cambodia. Additionally, he plays a crucial role in strengthening the group’s market penetration and business presence in the Indochina region and beyond.
Ong’s father and brother also hold board positions and interests in Hong Lai Huat. His father, deputy chairman and CEO Dr Ong Bee Huat, has a 43.3 per cent total interest, while his brother, Ryan Ong, maintains a 3.98 per cent interest.
With Dylan Ong acting in concert with his family, their collective holdings will increase from 47.28 per cent to 51.10 per cent of the enlarged issued and paid-up share capital of the company. If the proposed placement is completed, Dylan Ong and the concert parties would be required to make a general offer for the company under Rule 14 of the Singapore Code on Takeovers and Mergers.
However, the group general manager has obtained a waiver from the Securities Industry Council exempting him from this mandatory obligation arising from the proposed placement. This is subject to certain conditions, which includes the approval by a majority of the group’s independent shareholders at a general meeting waiving their rights to receive a general offer from Dylan Ong before the placement.
The writer is the market strategist at Singapore Exchange (SGX). To read SGX’s market research reports, visit sgx.com/research.
