KUALA LUMPUR (Oct 22): Globetronics Technology Bhd (KL:GTRONIC) said its chief executive officer (CEO) Heng Charng Yee and executive director Kang Wei Luen have resigned from their positions.

Both of them cited personal matters and other commitment as the reason for the resignation, according to the group's filings with Bursa Malaysia on Tuesday.

Heng's last day of employment will be Dec 31, while Kang is vacating his post with immediate effect.

Globetronics said its chief operating officer (COO) Yip Wai Chee, 56, will be re-designated as the CEO effective Jan 2 next year.

Heng, 40, who holds an electronics engineering degree, joined Globetronics in 2013 as quality and strategic business manager where she oversaw operating and planning activities and established system, procedures and control.

She then advanced to various senior roles, including as vice president of business and operations in 2018 and then COO in 2021. She was then appointed as CEO in July 2021.

Kang, 37, a lawyer by profession, was appointed to the group’s board in February 2024. He was also on the board of APB Resources Bhd (KL:APB), which is Globetronic’s second largest shareholder with a 10.36% stake.

Kang is also a director of Sarawak Consolidated Industries Bhd (KL:SCIB) and Artroniq Bhd (KL:ARTRONIQ).

On Sept 10, Globetronics’ share price plunged 32.5% after announcing that its external auditor KPMG PLT had resigned "on a voluntary basis".

On the same day, both the Employees Provident Fund and Lembaga Tabung Haji had sold big blocks of shares and ceased to be substantial shareholders.

Globetronics’ executive chairman Kent Liaw Way Gian had previously commented that investors had wrongly associated the group with the fate of Serba Dinamik Bhd.

Serba Dinamik ran into controversy in May 2021 when KPMG, its external auditor then, flagged audit discrepancies in its books amounted to at least RM3.5 billion, which led to investigations by the authorities and several executives being arrested and charged for providing false information in its financial statements.

At that time, both Liaw and Kang had assured that Globetronics’ operations were sound.

Liaw had also said that Globetronics had been frank to the institutional funds about the group’s need to enter a new capital expenditure cycle which might affect dividend-paying capabilities.

Back in February, APB acquired its 70 million shares in Globetronics for RM140 million or RM2 per share, which was already a premium to the RM1.50 trading range of Globetronics shares at the time.

As of Tuesday’s closing, Globetronics’ share price has recovered slightly from its nadir of 52.5 sen reached on Sept 17.

The closing price of 65 sen is however down 59.8% year-to-date. At this price, the group is valued at RM439 million.

Based on the closing price, APB’s paper loss position stood at about RM94.5 million. 

https://www.theedgemarkets.com/node/731173