Cosmosteel’s CEO and executive director, Jack Ong Tong Hai, has resigned from his position due to “personal reasons”.
Ong, who has been with the company since 1998, was appointed to his current position in July 2019. His last day will be on Dec 31.
Ong’s departure comes after 3HA Capital’s revised offer was declared unconditional in all respects on July 7. 3HA Capital had received valid acceptances of 50.23% of the total number of shares on the day of the announcement.
On May 15, 3HA Capital offered 20 cents per share for the Mainboard-listed piping steel supplier. 3HA Capital comprises a group of investors including a wholly-owned subsidiary of Cosmosteel Holdings’ controlling shareholder Hanwa Co.
On May 21, Ong increased his stake in the company by buying shares from the open market. Ong had bought 5.55 million shares for over $1.2 million from May 20, bringing his total stake to 43.4 million shares or 16.62% up from 14.5% previously.
Per Cosmosteel’s annual report as at Dec 11, 2024, Ong’s brother, Ong Tong Yang, holds another 7.63% of the shares.
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On May 22, CEO Ong bought another 500,000 shares, bringing his total stake to 43.9 million shares equivalent to 16.81%, up from 16.62% before.
3HA Capital upped its offer price to 25 cents after the independent financial advisor (IFA) deemed the offer “not fair” on June 23.
Ong had tendered all 47.44 million of his shares in acceptance of the cash offer on July 8. His brother, Ong Tong Yang, also tendered all 19.95 million shares to accept the offer on the same day.
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According to Cosmosteel’s filing dated July 11, the company will make an announcement should a new CEO and executive director be “confirmed and finalised”.
Shares in Cosmosteel closed flat at 24.5 cents on July 11.
