INSTITUTIONS were net sellers of Singapore stocks over the five trading sessions through to Nov 9, with S$313 million of net institutional outflow, as 18 primary-listed companies conducted buybacks with a total consideration of S$4.3 million.

Sembcorp Industries led the share buyback consideration tally, buying back 357,000 shares at an average price of S$4.85 per share. On Nov 6, the company announced its 2023-2028 strategic plan, reaffirming its commitment to transform its portfolio from brown to green and drive energy transition.

Raffles Medical Group acquired 1.35 million shares at an average price of S$1.05 between Nov 7 and Nov 9. This represented 0.07 per cent of its issued shares (excluding treasury shares). These were the first buybacks conducted by the company since June 2022. On Nov 6, Raffles Medical Group provided a business update, noting that its financial performance moderated in Q3FY23 (ended Sep 30) with profit after tax at S$12.4 million, as compared to the exceptional result of S$38 million in Q3FY22. The group added that its core operations in Singapore remain strong and profitable. Raffles Medical Group executive chairman Dr Loo Choon Yong also highlighted that the group plans to grow and expand its patient base by offering integrated healthcare services solutions that are tailored to meet client needs. He added the group is focused on growing in a value accretive manner and improving the operational leverage of its existing businesses.

Digital Core Reit Management also bought back units of Digital Core Reit between Nov 6 and Nov 9.

Leading the net institutional outflow were DBS Group Holdings, Yangzijiang Shipbuilding, Singtel, Singapore Airlines, Genting Singapore, Seatrium, UOB, Keppel Reit, CapitaLand Integrated Commercial Trust, and City Developments.

Meanwhile, OCBC, Venture Corporation, UOL Group, Frasers Logistics & Commercial Trust, Sembcorp Industries, iFast Corporation, ComfortDelGro, Sheng Siong, Sats and SIA Engineering led the net institutional inflow.

The five trading sessions saw 65 changes to director interests and substantial shareholdings filed for more than 30 primary-listed stocks. Substantial shareholders filed eight acquisitions and six disposals.

Wing Tai Holdings

Wing Tai Holdings chairman and managing director Cheng Wai Keung has continued to build his deemed interest in the company, through his spouse Helen Chow acquiring shares. From Nov 3 through to Nov 8, Cheng has increased his deemed interest in the leading real estate developer and lifestyle retailer by 115,000 shares. Cheng maintains a 61.34 per cent total interest in the company. This has increased from 60.92 per cent, prior to Chow’s recent sequence of acquisitions beginning Sep 8. Appointed to the board of Wing Tai Holdings in 1973, Cheng plays a pivotal role in the growth and success of the group’s business.

Wilmar International

Between Nov 7 and 8, Wilmar International chairman and CEO, Kuok Khoon Hong, increased his deemed interest in the global agri-business from 13.46 per cent to 13.49 per cent. This saw Longhlin Asia acquire 683,560 shares and Hong Lee Holdings acquire 683,560 shares and Jaygar Holdings acquire 341,780 shares. The 1,708,900 shares were all acquired at an average price of S$3.59 per share. Kuok has been gradually increasing his total interest in Wilmar International from 12.94 per cent in October 2022.

Back on Oct 26, Wilmar International reported an executive summary for its Q3FY23 (ended Sep 30). The group recorded lower core net profit of US$323.6 million for Q3FY23 compared to US$796.7 million Q3FY22. At the same time, Q3FY23 sales volumes for Asia’s leading agribusiness group was reported to grow across all business segments from Q3FY22. Food products sales volume was up 7.9 per cent and feed & industrial products rose 12.8 per cent. Within the feed & industrial products segment, sugar sales volume grew 18.3 per cent to 3.6 million tonnes. The group highlighted that Q3 saw continued strong performance from the sugar milling and merchandising businesses, and improved crushing margins arising from tightness in availability of soybean in China. However, this could not fully offset compressed refining margins from the tropical oils business, in line with industry wide trends, and weaker performance by its fertiliser operations.

The group noted that operating conditions in China were better in Q3FY23 and will likely remain positive for the rest of the year. Management added that sugar merchandising, milling, and refining will remain good with higher sugar prices while tropical oils refining margins will continue to normalise after exceptional conditions last year. Wilmar International has over 500 manufacturing plants and an extensive distribution network covering China, India, Indonesia and some 50 other countries and regions. The stock has ranked as Singapore’s fifteenth most traded stock this year, while also booking the ninth highest net institutional inflow across the local stock market. Kuok remains in charge of the management of the group with a particular focus on new business developments. He has extensive experience in the industry and has been involved in the grains, edible oils and oilseeds businesses since 1973.

Union Steel Holdings

Lian Bee Metal has been increasing its direct interest in Union Steel Holdings. Its substantial shareholding came to 5.4 per cent on Nov 1, following the acquisition of 8,000 shares at S$1.02 per share. Lian Bee Metal’s direct interest in Union Steel Holdings crossed the 5 per cent substantial shareholder threshold on Sep 4. Union Steel Holdings is a multi-business investment holding company, with three primary business drivers – metals, scaffolding and engineering. The group started operations in 1984 as YLS Steel, which was involved in the trading of ferrous scrap metal and since 1991, and has since expanded to provide steel rental, distribution, and storage services as well as metal recycling. The group’s revenue increased by 34 per cent to S$107.3 million in FY23 (ended June 30), from S$80.1 million in FY22. The revenue increase was mainly attributable to the growth of the Engineering segment and the Scaffolding segment.

LY Corporation

On Nov 8, LY Corporationfounder and executive director Tan Kwee Chai acquired 460,000 shares of the Catalist-listed company via an off-market transaction. At $0.04 per share, the consideration of the acquisition was S$18,400. This took his total interest in the manufacturer and exporter of wooden bedroom furniture from 73.27 per cent to 73.36 per cent. His preceding acquisition was in May with 490,000 shares acquired at S$0.06 per share and prior to that, November 2022, with 200,000 shares acquired at 7.8 cents per share.

Substantial shareholder Tan Kwee Lim also acquired 345,000 shares at S$0.04 per share in a married deal on Nov 8. Tan Kwee Lim is deemed to be interested in the shares of the company held by Lian Yu Holdings through his 22.37 per cent interest held in Lian Yu Holdings.

LY Corporation is one of Malaysia’s leading manufacturers and exporters of wooden bedroom furniture. The group is organised into two operating segments which firstly incudes manufacturing of all kinds of furniture and secondly manufacturing of any type of woodwork or building product. The furniture segment comprised 80 per cent of the group’s H1FY23 (ended June 30) revenue, with the millwork comprising the remaining 20 per cent of the H1FY23 revenue. As reported back on Aug 10, the group’s H1FY23 revenue decreased by RM48 million (S$13.9 million), or 35.6 per cent from H1FY22. This was mainly attributable to the decrease in the number of 40-ft containers sold, from 1,882 40-ft containers in H1FY22 to 1,085 40-ft containers in H1FY23.

In the industry outlook, the group noted the demand for its products had declined due to the high inventories build up by most furniture importers in the US over the past year. Accordingly, any future demand will be dependent on the inventory reduction by its customers in the US as well as the economic conditions in the US in the coming months. LY Corporation highlighted that as a resilient group with a proven track record, it was confident that it will be able to navigate the uncertainty in these volatile times and adapt its strategies to capture new business opportunities for growth and sustainable profitability. As one of Malaysia’s leading manufacturers, the group operates from 24 factories and warehouses, occupying a combined built-up area of about two million square feet.