BILLIONAIRE Sam Goi has made two headline-grabbing investments in food-related companies recently --- and quietly accumulated shares in a semiconductor distributor, Serial System.
First, the food investments which were made through his company, Tee Yih Jia Food Manufacturing Pte Ltd. This is the world’s leading manufacturer of 'popiah' skin and a wide range of Asian frozen convenience foods. It has production facilities in more than 10 countries including China, Europe, Malaysia and USA.
> On Dec 6 last year, Malaysia-based Etika International announced that Tee Yih Jia Food would acquire a substantial stake of 12.3% of the enlarged issued share capital of Etika.
The purchase consideration for the new shares was about S$16 million.
Etika's main activity is the manufacture and distribution of sweetened condensed milk and evaporated milk.
> On 23 Jan this year, it was announced that Tee Yih Jia Food would invest in one of Malaysia's leading cocoa ingredients producer, JB Foods, by buying 80 million new shares for $21.6 million.
While making maiden investments into these two Singapore-listed companies, Mr Goi has been quietly adding significantly to his long-time holding of Serial System.
As a result, he now owns 12.48% of Serial System, and is firmly entrenched as the second largest shareholder of the company.
The No.1 owner is the chairman and CEO, Derek Goh, who also has been a regular buyer of Serial shares.
Serial has two key business segments - the electronic components distribution business registered a net profit of S$2.3 million in 3Q2012 as compared to S$2.1 million in 3Q2011.
Serial's other businesses posted a loss of S$0.01 million in 3Q2012 as compared to a profit of S$0.2 million in 3Q2011. That's mainly attributable to lower profit earned by wholly-owned subsidiary, Contract Sterilization Services Pte Ltd.
News of Mr Goi's investments in Etika and JB Foods has sent the 2 stocks surging. Will investors take a shine to Serial System too?
Click on the above 54-second video for the where and who of Serial System's 3Q2012 results briefing in November 2012.
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