PETALING JAYA: Clarity has emerged on the distribution of shares in Hong Kong-listed NagaCorp Ltd according to the wishes of its late founder Tan Sri Dr Chen Lip Keong.
Filings by NagaCorp Ltd in Hong Kong reveal that eldest son Chen Yiy Fon is entitled to around 368 millions shares, which have a worth of some RM1bil and represents around 8.3% in NagaCorp.
Yiy Fon was made the group’s chief executive officer following the demise of Lip Keong on Dec 8 last year. The tycoon was 75 years old.
The other four sons are entitled to around 291 million shares each, which work out to around a 6.6% stake each in NagaCorp. Each block is valued at around RM800mil. However, the wording of the stock exchange filings do not indicate if the shares have already been transferred to the five sons.
“After the passing away of (Dr) Chen Lip Keong, in total 1,531,773,577 shares held under The Sakai Trust can be distributed pursuant to its terms,” the filing on May 3 stated.
In July 2022, Lip Keong had transferred his controlling stake in NagaCorp to the Sakai Trust – a family trust established by him for the purposes of succession planning.
The trust controls 69.26% of NagaCorp.
The filings also stated that another 1,531,773,583 shares in NagaCorp will continue to be held in trust for which all five sons are beneficiaries.
The tycoon’s other sons are Chen Yiy Hwuan, Chen Yepern, Chen Cien Then and Chen Cherchi.
Prior to setting up the family trust, Lip Keong undertook a leadership change at NagaCorp, bringing in some of his sons into the management of the company to inject “new vitality into the management”.
This was the start of the tycoon’s eventual handover and in a statement issued by NagaCorp, Lip Keong stated that he had hoped his sons would “work together as a team to lead and manage the group to bring it to the next level of success”.
It saw the tycoon moving from the position of CEO to senior CEO, while three of his sons took up joint CEO positions, responsible for various aspects of the business.
Yiy Fon, who sat on the board as executive director, was tasked to oversee operations.
Meanwhile, Cherchi oversaw finance and treasury, and Yiy Hwuan was given the mandate to oversee its hotels.
NagaCorp, which was founded in 1995, operates NagaWorld – Cambodia’s largest and most prestigious casino.
The stock is valued at HK$20.2bil or RM12.2bil. Lip Keong’s other business interests in Malaysia are also likely to be divided among his sons.
The Chen family has business interest in Malaysia via shareholdings in FACB Industries Incorporated
Bhd, which is listed on Bursa Malaysia with a market capitalisation of RM101.3mil and is in manufacturing mattresses, bedding-related products and furniture.
The company also has investments in China.
The family owns property and resort developer Karambunai Corp Bhd and Petaling Tin Bhd, another property developer with some residual landbank in the country. The latter two companies have been delisted from the stock exchange.
