Posted on 01 Jul 2015
99.69% shareholder voted for the re-election of Liew at LGS's adjourned AGM yesterday. The nomination of two new directors - Chua Tia Bon and Ee Beng Guan were also passed, with 77.36% and 77.31% respectively.
The duo is said to be linked to Chew Meu Jong, the eldest daughter of the late founder Chew Kar Heing. Meu Jong is also the sister-in-law of Liew.
Disagreements between Meu Jong and Liew reportedly started last year when LMSB rejected LGS' plan to undertake a corporate exercise involving a share split and bonus issue. Meu Jong is the managing director of LMSB, which holds a 55.14% stake in LGS.
Following yesterday's AGM however, Meu Jong stressed in a press statement that there is "no family tussle as rumoured", saying Liew is her brother-in-law after all.
"Of course, in any business, there are differing views which are healthy in any successful businesses. As some would like to feed on the perceptions of power struggle and family feud, this is a non-event," she noted.
Despite her assurances however, Meu Jong was quick to point out that the company will help Liew to find a suitable candidate, as part of his succession plan.
She said Liew had recently committed to working closely with board and put in place a succession plan should he be re-elected.
Meu Jong said this is to ensure that there is no disruption to the continuity of the business.
Liew, who met the press after LGS' AGM, meanwhile, declined to comment on the election of Chua and Ee, except to say that "he never had an issue working with people". Liew joined the LGS board in Feb 26, 2003 and was promoted to managing director in March 2004.
"I have been in the company since 2003, there is no issue with myself," he added.
On LGS' future direction, he said it will depend on the new board, which will meet soon.
"The board will chart the direction and the MD (managing director) will execute it," Liew explained.
Meanwhile, Liew expressed disappointment at the departure of Datuk Hamzah Hasan, who failed to be re-elected as independent non-executive director.
LGS specialises in the production of steel poles, power transmission masts, decorative poles, high masts and antenna poles. For the first quarter ended March 31, 2015, it reported a 120.76% surge in net profit to RM6.76 million against RM3.06 million in the previous corresponding period.
The stock went up 4 sen to close at RM3.92 yesterday.
