Another one bites the dust

TIS the season for removing directors from the boards of companies.

Industrial chemicals distributor Samchem Holdings Bhd earlier in the week received a special notice from seven of its shareholders, who collectively hold 19.8 % in the company, asking for the removal of Ng Soh Kian as an executive director of the company.

Soh Kian was appointed as an executive director in February 2009, just four months before the company was listed. Interestingly, Samchem’s CEO Datuk Ng Lian Poh, the brother of the company’s founder and executive chairman, Thin Poh, resigned earlier this month. He resigned due to personal reasons.

Thin Poh, who has stepped in as acting CEO, holds a 44.14% stake in the company. Soh Kian has been steadily whittling down his stake in the company and now has only 0.26%.

No reasons were given for wanting to remove Soh Kian from the board by the seven, Samchem has not made the news much and when it does, it has not been negative. Besides Malaysia, it has a presence in Vietnam and Indonesia. Petronas Chemicals Group Bhd has awarded the company distribution rights representing it in Singapore, Pakistan, Bangladesh, southern India, Sri Lanka and New Zealand.

Among the seven shareholders were Samchem’s recently appointed chief operating officer Eugene Chong Wee Yip and executive director Chooi Chok Khooi, who respectively hold 1.55% and 3.43% stakes. Chooi is also a long-time executive director, serving alongside Soh Kian. The company’s second-largest shareholder, Tan Teck Beng, who hold a 5.08% stake, is another that has requested for Soh Kian’s removal.

Samchem has called for an EGM to be held on June 23 to vote on the removal of Soh Kian from the board.