Tycoon Philip Ng builds Vitasoy stake nearly on par with largest shareholder

Singaporean tycoon Philip Ng Chee Tat has amassed a stake in Vitasoy International that almost matches the company’s biggest shareholder in a series of purchases since October, raising the specter of a potential takeover bid.

Via his food and drink firm Yeo Hiap Seng and his family office, Philip Ng, the younger brother of Sino Group chairman Robert Ng Chee Siong, has increased his stake in Vitasoy to 16.03 per cent, or 168 million shares. Winston Lo Yau-lai, Vitasoy’s executive chairman, owns 16.37 per cent of the company.

Ng bought 570,000 shares at an average price of HK$8.94 per share, equivalent to a total transaction value of about HK$5.1 million (US$654,906) on September 5, according to a disclosure with the Hong Kong stock exchange on Tuesday.

Yeo Hiap Seng, owned by the Ng family, is one of Singapore’s largest food and drinks companies and its main products overlap with Vitasoy’s, including soy milk and lemon tea. Ng did not disclose his intention in building his stake in a rival company, but his exchange filing puts him within striking distance of mounting a takeover bid.

Ng’s previous disclosure was on July 4, when he said he bought 1.848 million shares of Vitasoy at an average price of HK$9.20 per share, bringing his stake to 15.06 per cent.

The latest purchase came after Vitasoy reported a robust jump in its full-year net profit, driven by rising demand for its products in mainland China.