Chan’s legacy continues

THE shareholding rumblings in Apex Equity Holdings Bhd appear to be over.

Two weeks ago, the prime mover behind the standalone stock-broking company, Chan Guan Seng, passed away. He, however, appeared to have passed the baton to a new leadership team in September last year, at his own terms.

A seasoned stock broker who had a proven track record of reading market trends well ahead of the pack, Chan resigned from his position as executive chairman of Apex Equity in September last year. It was a position he had held for the last 36 years.

In the last five years, Chan was having problems with some shareholders who wanted to see him out. During the June 2012 shareholders’ meeting, Chan was voted out. But that was only temporary as he was re-appointed to the board two days after his ouster.

With some 20% of equity, Chan managed to hang on to the position and continued to manage the stock-broking company. He finally appeared to have exited on his own terms in September last year.

There were no announcements of Chan disposing his block of shares. The only shareholder that has exited Apex Equity is Endau Suria Sdn Bhd, a privately owned entity that used to control 7.54% of the stock broker.

However, a new shareholder has emerged with a 25% stake – Ace Investment Bank Ltd.

Being a standalone stock-broking company is not easy. The standalone brokerages have lost clients to banks who offer cheaper financing terms. The volume of stocks traded has also dropped.

Under such circumstances, having a shareholder problem is not going to help any stock broker, let alone Apex Equity. Although Chan is no longer with the brokerage, his legacy will continue as a person who managed to survive the worst of downturns and kept a stock-broking company well alive.