Worst is over for FGV, chairman says

KUALA LUMPUR, Nov 28 — The worst is over for FGV Holdings Bhd as it has survived and gone through the most difficult part of a transformation exercise, including a major change in management, says Chairman and Interim Chief Executive Officer Datuk Wira Azhar Abdul Hamid.

Speaking to reporters after the announcement of FGV’s third quarter financial results here today, he said the future would be brighter for the home-based global agricultural and agri-commodities company.

“I am the ‘heart patient who is slowly coming out of the operation theatre’ and I am going to the Intensive Care Unit for recovery and I should be up and running again over the next one week”.

“And personally, I strongly believe that our share price will not stay below RM1,” he said, in response to a question if FGV shares would become a penny stock.

Shares of the plantation company declined to an all-time low yesterday, finishing nine sen or 8.26 per cent easier to RM1, hence erasing another RM330 million in market capitalisation.

Azhar explained that with the ongoing transformation programme, investors would start seeing value in what FGV is doing.

“(And) hopefully the confidence level will improve but I also believe that trust needs to be earned.

‘‘So looking at what we are doing, the objective that we have in mind and remaining transparent would see us moving forward, I believe the trust level will also improve and that will be reflected in the better share prices in the future ,” he added.

In the last 12 months FGV undertook several changes including changing the composition of the board of directors which now includes industry and other relevant subject matter experts.

The board is also in the process of appointing new candidates for various key positions within the company. — Bernama