By Khairie Hisyam
Liew Kee Sin
Property man Liew Kee Sin has tendered his resignation as chief executive officer of developer SP Setia and will leave his position on April 30, 2014, ending a journey of nearly two decades with the company.
Liew said today that he believes the time for him to step down has arrived after 18 years as CEO of SP Setia, considering the solid footing SP Setia is on at present.
“With my children all growing up and starting out on their own career paths, I am looking forward to spending more time with them, mentoring and guiding them,” said Liew.
Liew’s resignation came alongside two other resignations on the same day — that of chief financial officer Teow Leong Seng and non-independent, non-executive director Lee Lam Thye.
Teow will stay on until July 31 while Lee’s resignation is effective immediately. In separate Bursa announcements, Teow’s departure is attributed to a desire to pursue his personal goals and other career aspirations while Lee wants to focus on his role as deputy chairman of the National Unity Consultative Council.
Voon Tin Yow
In a statement today, SP Setia said current chief operating officer Voon Tin Yow will take over the helm as acting president and chief executive officer for one year effective May 1 to April 30, 2015.
Additionally, current group executive vice president Khor Chap Jen will be acting deputy president for the same period.
“The appointments of Voon and Khor as acting president and CEO and acting deputy president are consistent with the management succession plan approved by the Board of Directors of S P Setia Berhad in March 2013,” said SP Setia.
However, Liew will continue as chairman of the Battersea Project Holding Company Limited and also managing director of Qinzhou Development (Malaysia) Consortium Sdn Bhd until September 2015, which was requested by SP Setia chairman Zaki Azmi.
Zaki Azmi
“The board is thankful that (Liew) has agreed and that Teow has also agreed to remain as chairman of Battersea Power Station Development Company Limited until September 2015 to help ensure the smooth and successful implementation of these internationally prominent projects,” said Zaki.
Liew has led the developer since 1996 and is widely credited as the driving force behind SP Setia’s ascent to become the foremost developer in the country. Following a hostile takeover by Permodalan Nasional Berhad (PNB) of SP Setia in 2012, Liew and PNB stuck a deal that would let Liew retain management control for three years after the takeover.
This means Liew had until March 2015 at the latest, though there was talk that he may leave as early as March 2014 when his final put option tranche at RM3.95 per share for his remaining 2.76% shareholding in SP Setia is due.
In October last year Business Times reported that Jamaludin Osman, group managing director of I&P Group Sdn Bhd, is among the candidates for SP Setia’s top post after Liew’s expected departure, sparking speculation whether the succession plan was off.
According to the report, Permodalan Nasional Bhd (PNB), the biggest shareholder in SP Setia with a stake close to 70%, is considering either Jamaludin or another senior executive from within the PNB’s group of companies to take Liew’s place, although Jamaludin denies being aware of any such plan.
However, Zaki informed KiniBiz that he is not aware of any such plan, as did Jamaludin.
Going forward, Zaki said today that SP Setia will actively seek PNB’s views before formal terms and conditions of appointment are agreed and finalised with the identified successors.
“As the Company’s largest shareholder controlling more than 60% of S P Setia’s shares, it is critical that the persons holding the post of President and Deputy President should have the unqualified support of PNB,” said Zaki.
At 12.30pm, SP Setia was traded at RM2.90, down 3 sen.
Retirement beckons for Liew?
News of Liew’s retirement comes two weeks after Eco World Development Holdings, a company he is closely linked to, saw a surge in its share price leading to an unusual market activity (UMA) query from Bursa Malaysia.
Eco World Development Holdings was renamed from Focal Aims Holdings Berhad following a reverse take-over exercise that saw Eco World Development Holdings Sdn Bhd make an offer of RM230.7 million for 65% of the company’s shares — among the purchasers is Liew Tian Xiong, the elder Liew’s son whose purchase is financed by the elder Liew and his wife.
This sparked talk of whether the elder Liew is conflicted between his position at the helm of SP Setia and his part in Eco World’s maneuvers, especially given market speculation that Eco World is Liew’s personal vehicle as a fresh start after leaving SP Setia.
However, when pressed by KiniBiz in September Liew said: “I want to retire, enough of work!”
KiniBiz previously examined Eco World’s rapid emergence in a three-part series here.
At the date of the query, Jan 6 2014, Eco World’s shares has risen by a total of nearly 80% in just one calendar month, rising from RM2.70 on Dec 6, 2013 to RM4.84 at the noon bell of that day.
In responding to Bursa’s query, Eco World attributed the surge in part to media speculation over its future, including one report by The Star which quoted sources as saying that “announcements on the company’s corporate exercise, which might include a placement and/or asset injection, could be done in the near-term”.
Eco World closed the morning session today unchanged at RM4.14.
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