Ishak makes exit from Kenmark

By Francis Fernandez

Datuk Ishak Ismail appears to have sold out of Kenmark Industrial Co (M) Bhd, (7030) a financially troubled furniture maker, in about 10 days, which was also when the stock surged by more than 600 per cent.

As early as June 1, Kenmark was trading as low as 3.5 sen a share, after it emerged that its chief was missing and it was late with its financial results.

But by June 4, Kenmark was trading at 26 sen a share, powered by news that Ishak had bought a 32 per cent stake.

Kenmark told the stock exchange yesterday that it received verbal confirmation from Ishak and BHLB Trustee Bhd, a trust for his family, that nearly 60 million shares linked to him were sold on June 9 and 11.

Unioncity Enterprises Ltd, in which Ishak has an indirect stake, informed Bursa Malaysia that it sold some 27.69 million Kenmark shares on the open market.

With the sale, Unioncity ceases to be a substantial shareholder.

BHLB Trustee owned 30 million shares, or 16.83 per cent, in Kenmark as at June 2, filings to the stock exchange show.

"A representative of BHLB for a discretionary trust for the family of Ishak has verbally confirmed to the company that the trust on June 10 acquired one million Kenmark shares and on June 11 disposed of a total of 31 million Kenmark shares," Kenmark said in a statement yesterday.

Ishak, when asked about the share sale by Business Times, merely answered with a question himself: "Are you sure?"

As at press time, there was no filing to the stock exchange on BHLB selling Kenmark shares.

It is not clear who bought the shares from Ishak. Kenmark also did not mention it in its short statement to Bursa Malaysia yesterday.

Meanwhile, Kenmark executive chairman Datuk Abd Gani Yusof told Business Times that he was still the chairman of the company.

"I was appointed by the company," Abd Gani said when asked if he was representing Ishak or Taiwanese shareholder James Hwang Ding Kuo, who owns 8.41 per cent of Kenmark.

Abd Gani, who is the major shareholder and executive vice-chairman of Metronic Global Bhd, said he did not know who bought the shares from Ishak.

Source