George Kent unaware of any intention by Tan Kay Hock to divest stake

KUALA LUMPUR (Dec 31): George Kent (Malaysia) Bhd said yesterday that it is unaware of any intention by its chairman Tan Sri Tan Kay Hock to divest his stake in the company.

The company was responding to a news report in Focus Malaysia's online portal which quoted an unnamed source as saying Tan was seeking to dispose of his entire shareholding in the company, but was unable to procure a buyer due to legacy issues.

Tan is believed to own a 4.77% direct stake in George Kent and indirectly controls an additional 37.42% stake, the report published Friday (Dec 27) said.

The report also suggested Tan was closely linked to former prime minister Datuk Seri Najib Abdul Razak and pointed out several Barisan Nasional-linked stocks including George Kent, were sold down, following the change in government in May 2018.

In a filing with Bursa Malaysia, George Kent said it has obtained confirmation from Tan that the assertion is false and has no factual basis, with the chairman affirming he has no intention to sever his ties with the company and intends to continue serving as a board member and chairman of the board.

“The article further insinuates that George Kent’s share price, its financial and operational performances have been adversely affected by various extraneous factors since May 2018.

“Reliance on the extraneous factors instead of taking into consideration the relevant economic factors and the prevailing state of the construction industry, would render the article misleading,” George Kent said.

The company added it will be seeking legal advice in relation to the report.

George Kent's share price rose 0.5 sen or 0.54% at 93 sen yesterday, translating into a market capitalisation of RM523.84 million.

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