Fu Yu Corporation

[dreamybear]

The original BT article has a paywall, so I am attaching another forum's post to facilitate discussion.

I don't quite get the point about young mgmt team and the longevity aspect - mgmt personnel also can quit the company. Wldn't it also depend on whether the members of the young mgmt team has substantial stake in the business and are unlikely to sell the stake for a long time ?

https://www.businesstimes.com.sg/compani...edical-bet (Paywall)

https://www.sharejunction.com/sharejunct...%20Fu%20YU
"The company has a young management team, in contrast to its founder-led industry peers that are likely to undergo leadership changes. Customers take comfort in knowing that the people they speak to now will be around for the next 15, 20, 30 years, said Seow."

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It is encouraging that the company is engaging with its shareholders. I think it wld have been even better with some photos. 

https://links.sgx.com/FileOpen/Press%20R...eID=817914
"SGX Main Board Fu Yu Corporation Limited (“Fu Yu” or the “Group”) hosted a first-ever shareholders’ and media tour of its advanced Smart Factory in Singapore, a state-of-art facility which is the centre-piece of its strategic shift to move up the value chain for high-precision plastics manufacturing targeted at the biomedical sector. "

[Big Toe]

I have written quite extensively(by my own standards) about Fu Yu since 2015. Havent been following FU YU closely since I no longer have an active interest in it. Currently I still dont.

I do not see anything new that I should be excited about. Moving to higher value chain is what ALL precision parts makers say and have been the strategy since the 90s. What is happening within the industry itself is probably much more critical than what they company plans to do or can do. Right now from what I understand, there is a bit of tail wind as more firms adopt the China + 1 Strategy. It mainly benefits ASEAN production bases. But it would also mean less biz for their china plants, Net net would be slight positive.

[weijian]

Fu Yu
Wang Shao Ren (Wang Shaoren) @ Ong Shao Jin
29.8%
Pilgrim Partners Asia (Pte.) Ltd. entered into a sale and purchase agreement with Hew Lien Lee, Ho Nee Kit, Tam Wai and Ching Heng Yang on 13 January 2021 to acquire 224,392,511 shares in Fu Yu Corporation Limited (the "Sale Shares"). Completion under the sale and purchase agreement has not taken place. Pursuant to section 4(7) of the Securities and Futures Act, Cap. 289 of Singapore, Pilgrim Partners Asia (Pte.) Ltd. is deemed to have an interest in the Sale Shares.

Pilgrim Partners Asia (Pte.) Ltd. ("Pilgrim") is a fund manager. It is intended for the 224,392,511 shares in Fu Yu Corporation Limited acquired by Pilgrim to be held by a variable capital company ("VCC") to be incorporated and established by Pilgrim as fund manager. It is intended for the VCC to be structured as a closed end fund with Wang Shao Ren (Wang Shaoren) @ Ong Shao Jin as a member holding an 85% shareholding.

Stay home and stay healthy, everyone.

So, the big boss has finally appeared. And big boss was actually working in the company......Reminds me of the Front Man in Squid Game Season 2

Fu Yu’s largest shareholder requisitions EGM to oust directors amid poor performance

The company has received a requisition notice from Victor Lim to convene the EGM to pass five resolutions in total.

Lim, who owns some 29.45 per cent of Fu Yu shares, called for the meeting as he believes a “strategic reset” and reorganisation of the board is needed amid the company’s “poor performance”.

“The net profits of the company have also deteriorated from approximately S$17.6 million in 2021 to a net loss of S$10.1 million in 2023,” added Lim, who has been employed by Fu Yu as director of strategy since 2021.

Lim previously held shares in the company via a fund, but that has since been wound down. He now holds the shares directly, said Fu Yu in a bourse filing on Dec 19.

https://www.businesstimes.com.sg/compani...erformance

[Mushy]

This company has witnessed plenty of internal drama since around 20 years ago. I don't know the history before that.
The founders had all left since they sold out (but still owns around 8%) but the drama never stop.

2 months ago the company says that Mr Victor Lim asked for a board seat and they are considering it. Now Mr Lim is taking action to kick out 2 of them and install 3 of his own recommendations. I think he will effectively be in control even if he does not get a seat himself.