Under the leadership of new executive director Ang Jun Long, Eneco has big moves planned for a future that aligns with its core competencies. “The goal is to have a diversified portfolio of profitable, cash flow-generative businesses that we can optimise and improve to create new value for shareholders,” he shares.
To enhance the competitive strengths of its logistic business unit, RichLand Logistics Services, the group is looking to acquire its own warehouse to have greater control in costs and undertake longer-term customer contracts, enhance the utilisation rate of its fleet of about 150 vehicles via leasing to earn recurring income and reduce costs, as well as expand its value chain in the logistics business to complement its edge as an airport cargo specialist.
At the same time, Eneco will strategically expand into new areas and markets through mergers and acquisitions. Leveraging on his team’s core competencies and expertise to identify promising opportunities and forge strategic partnerships in high-potential industries, Ang aims to drive greater resiliency, synergy and diversification within Eneco’s business model.
“Our logistics business, under Richland Logistics, has built up a strong brand name in airport cargo services logistics with a clientele of MNC customers. With expertise and knowledge in the logistics business, I believe Richland’s management team can support our organic business growth endeavours.” Each of the new strategies — from improving RichLand’s operations to diversification — supports this ambition.
Take the forthcoming IT services team, under RichLand Logistics, which currently counts a large range of multinational corporations as users. This is due to the strength and unique selling points of its in-house developed Revo app that complements the logistical services rendered.
The app provides real-time visibility and tracking of time-sensitive air cargo shipments, from flights’ arrival until handover to appointed forwarders. The IT services team also works closely with its clients to customise the app, adapting this technology tool to better suit the needs of its clients. “The REVO app has proven to create a seamless, integrated experience that keeps customers engaged and loyal to our logistics services. With the capabilities of our IT services team, we are well-positioned to unlock cost savings internally among affiliated companies, and explore new opportunities to upsell more IT services to external customers.”
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In addition, strategic mergers and acquisitions will help speed up growth and business performance of the group, organically and inorganically.
A leader with empathy
Ang honed this instinct for business by watching and learning from his father, Ang Yu Seng, the co-founder, executive chairman and CEO of Union Steel Holdings , which bought a 29.4% stake in Eneco in November 2024. “Although Union Steel has always been predominantly in the steel industry, my father was forward-thinking and diversified for resilience and growth.”
Before Ang joined Eneco in December last year, he was an executive director of Union Steel’s engineering division, taking the leading role in integrating, restructuring and synergising acquisitions. There, he was the driving force that turned around Union Steel’s engineering acquisitions, boosting their business performance within just one to two years.
To succeed, he adopted a boots-on-the-ground approach.
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“For each of the acquired companies, I attend their meetings, visit their customers, take part in site walks and do what I need to better understand the business. It is very critical for the new management to take the time to understand the business, the employees, how they think, where they’re coming from and what they’re facing. Only then will the employees think of me as one of them, and support my strategies to transform and optimise the business.”
His father also shaped a crucial tenet of his leadership style: leading with empathy. “When I look at how he runs Union Steel, it’s not just about having a forward-thinking mentality and strategies. It’s also about empathy. He treats his staff well and rewards them well. They, in turn, have supported him through good times and rough times.
“Employees are the backbone of any business. I’m not just managing the business — I’m leading the people who drive its success. If I want to make a positive change with meaningful contributions, I have to understand the employees at a more personal level, and be willing to reward them for their efforts and dedication when the targets are met. That’s the kind of leader I want to be as I take Eneco forward."
A horizon of possibilities
For its latest results during the six months ended Dec 31, 2024, Eneco delivered resilient business performance with net cash of $3.0 million generated from operations. Total equity stood at $19.40 million with cash and cash balances of $12.35 million as at Dec 31, 2024.
While Eneco’s revenue is still generated from its logistics business unit, Ang is already exploring M&A targets with synergistic possibilities. With a broader base of companies in a varied portfolio under Eneco’s business model, it can also reap economies of scale to further curb costs.
Since Ang became part of Eneco’s senior management, he has been engaging with its general managers, team leaders and other staff, going through contracts and projects to gain a deeper understanding of them, including their costing, and immersing himself in the firm’s operations and clients. “If I can help to secure a project by talking to a customer, I will do that.”
He plans to maintain this level of involvement with each of Eneco’s acquisitions. He explains: “When we go into an acquired company, I try to put myself into the top management’s shoes. Of course they will have their guard up, but from my actions, I want to send the message that I’m there to learn from them, to help them improve the business and reward them for their contributions.”
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Like his father’s staff sticking with the former through thick and thin, his own efforts have borne fruit. Ang highlights: “I’ve seen the people that I work with become positive over time and gradually think like a business owner. They’re coming up with innovative ideas to save costs and grow the business. This is exactly what Eneco needs as we progress ahead.”
About Eneco Energy
Eneco Energy is an investment holding company that aims to build a diversified portfolio of profitable, cash flow-generative businesses. The group’s current core business is in the logistic sector in Singapore, which operates under RichLand Logistics Services that has been established since 1992 and has grown into an integrated logistics provider with a diversified group of blue-chip customers. The company’s website is www.enecoenergy.com
About kopi-C: The Company Brew
kopi-C is a regular column by SGX Research in collaboration with Beansprout (https://growbeansprout.com), a MAS-licensed investment advisory platform, that features C-level executives of leading companies listed on SGX. These interviews are profiles of senior management aimed at helping investors better understand the individuals who run these corporations
