Lim family of Yee Lee Corp

April 12, 2020

In April 2019 the Lim family of Yee Lee Corporation (Yee Lee Corp) teamed up with a PE (Private Equity) Fund, Dymon Asia to take Yee Lee Corp private. The minority shareholders held out and the privatisation deal was not successful. It fell a little short of the 90% that the offerors needed in order to compulsorily acquire the balance of the 10% shares. While other shareholders cashed out at the general offer price of RM2.33 per share (net asset backing of Yee Lee Corp exceeds that and it has retained earnings of above RM500 million in its coffers) a remnant felt that they deserved more perhaps. The closing date was extended twice and the Lim family and Dymon Asia as at July 12 2019 was left holding a stake of 89.96%. What next?

The co-offerors are still exploring options. The public shareholding spread of a listed company has to be 25% of the issued shares. Yee Lee Corp announced on 27 February 2020 that Bursa Malaysia granted a further extension of time to 4thJuly 2020 for the company to comply with the public shareholding requirement.

Founder

Dato’ Lim A Heng @ Lim Kok Cheong, in his mid-70s, is Chairman of Yee Lee Corp and also Chairman of Yee Lee Corp’s 30% associate company Spritzer Bhd. His son, Lim Ee Young (47) is the Group Managing Director of the Yee Lee Group since February 2019. Before that he was Group CEO. Ee Young has been with the family run business since 1993, the year Yee Lee Corp was listed on the KLSE (now Bursa Securities Malaysia). Ee Young is a Chartered accountant with MIA and a member of CPA Australia. He also holds an MBA from the University of Bath, U.K.

Chairman Dato’ Lim Kok Cheong’s brother, Dato’ Lim Kok Boon is Group Managing Director of Spritzer, and his nephew, Lim Seng Lee, 45, is Group CEO, Spritzer. Seng Lee is the eldest son of Dato’ Lim Kok Boon.

Yee Lee Corp’s founder Dato’ Lim was born in war time Malaya in 1945. He worked from youth as a salesman before joining an edible oil factory and studiously learned the ropes of the trade. In 1968 he started his own business of edible oil processing and packaging. Within a decade he had his own oil refinery and manufacturing facility. Datuk Lim launched his private label cooking oil – the Red Eagle or Helang in Bahasa Malaysiain the 1970s and today Helang is a household name in this country. The Yee Lee Group is also a major distributor of more than 50 well known brands (mostly F& B and household products). They have on their list 30,000 customers which includes hypermarkets, supermarkets, retail outlets, convenience stores, medicine halls, sundry shops, wholesalers etc. The Group has also diversified its business into manufacturing of packaging materials such as aerosol cans and corrugated carton boxes, tea and oil palm plantations and eco-tourism. The Yee Lee Group celebrated its 50thanniversary in 2018 with a turnover of RM1.12 billion.

Dato’ Lim Kok Cheong is a Life Honorary President of the ACCCIM (Associated Chinese Chambers of Commerce and Industry of Malaysia) and a well-respected member of the Chinese business community. He is also Honorary President of the Federation of Hokkien Associations of Malaysia. Together with his wife, Datin Chua Shok Tim @ Chua Siok Hoon and son, Lim Ee Young, the family is the largest shareholder (52%) of Yee Lee Corp via Yee Lee Organisation Bhd.

Spritzer Bhd

The Spritzer Group is the most integrated and largest bottled water producer in Malaysia.From its beginning in a small set-up in Taiping, Perak, in the late 1980’s, the Spritzer Group of Companies today comprises six subsidiaries which are involved in the manufacturing and distribution of natural mineral water, sparkling natural mineral water, distilled drinking water, carbonated fruit-flavoured drinks, non-carbonated fruit-flavoured drinks, functional drinks, toothbrushes, preforms and packaging bottles. Spritzer Bhd was listed on Bursa Malaysia on 1 September 2000.The mineral water comes from a vast 330-acre site of natural mineral water sources at Taiping, Perak.

Sabah Tea and Eco-tourism

The Lim family’s investment in Sabah Tea is a boon for Malaysia’s growing eco-tourism. Visitors can experience a traditional rainforest lifestyle stay at The Sabah Tea Longhouse or at colonial style cottageswhich are fully equipped to cater to the modern lifestyle deep within the wilds of Borneo. They are located in the cool foothills of Mount Kinabalu with a full view of the majestic mountain. Guests are also feted to local Borneo cuisine and English afternoon tea scones.