KUALA LUMPUR (Jan 2): Velocity Capital Partner Bhd (KL:VELOCITY) sees the emergence of a new majority shareholder yet again.

Datuk Fam Chee Way is now the single largest shareholder of Velocity Capital, formerly known as CSH Alliance Bhd, after he bought a 28.79% stake.

Fam’s vehicle DB Atlantic Capital (M) Sdn Bhd bought out Datuk Liu Han Ming’s entire 229.5 million shares or 16.61% stake in Velocity Capital and executive director Tan Yip Jiun’s 168.17 million shares or 12.17% stake via a direct business transaction on Thursday, according to the company’s bourse filings.

Bloomberg’s off-market data showed some 229.5 million shares changed hands at 9.5 sen per share or RM21.8 million in total, while another block of 168.17 million shares traded at six sen per share or RM10.09 million.

On aggregate, the blocks were traded for RM31.89 million.

Against Velocity Capital’s closing price on Thursday of 6.5 sen, the 9.5 sen price tag represents a 46.15% premium, while the six sen valuation was at a 7.69% discount.

Liu emerged as Velocity Capital’s largest shareholder with his 16.61% stake back in September 2023. Meanwhile, Tan bought into the company in March 2021 with a 6.09% stake, which he later raised to 12.17% in January 2022.

Besides hauling and money lending, Velocity Capital is also involved in the manufacturing and retail of ceramic wares.

Velocity Capital had a net cash pile of RM112.7 million as at June 30, 2022. Slightly more than two years later, the company’s cash balance shrank to RM8.8 million as at Sept 30, 2024.

For the first quarter ended Sept 30, 2024 (1QFY2025), Velocity Capital posted a net loss of RM1.48 million versus a net profit of RM1.14 million in the same period a year earlier, dragged by its loss-making ceramic and logistics divisions.

Quarterly revenue fell 30% to RM11.15 million from RM15.93 million previously.

Shares in Velocity Capital gained 1.5 sen to 6.5 sen on Thursday, valuing the company at RM89.79 million.