Saturday 3 September 2011

A GOOD LESSON TO BE LEARNT FROM TRANSMILE GROUP BHD

Very warm welcome to this money telling blog,



This is an update from my preceding article on Transmile Group Berhad, which was made many months ago. You may refresh yourself by clicking the link below.



http://liftyouup.blogspot.com/2010/05/transmile-group-typical-case-of-not.html


We, at this blog, write to express our deepest disappointment with its latest news that Transmile Group Berhad has been delisted from the KLSE couple of months ago. Very unfortunate for me that my offer to work with them to turn around the company, made in the preceding two Annual General Meetings (AGM) ago, was declined by the existing Chief Eexecutive Officer (CEO). I recalled vividly that at that AGM, they not even put this main program of turning around the company in their agenda and that annoyed me. When I raised this issue at that time, they answered me politely that the CEO will answer my question privately after the AGM. This raised my doubts and wondered why they are so secretive.


Sidelining the main issue in the Agenda, may be due to their misplaced importance or other reason best known to them. If it is in the former case, then they should express their interest and relook at this key issue. To save their faces, they made an empty promise to answer me after the meeting privately, which never took place. Not to my surprise that they even declined my offer and were not even willing to listen to it.


As a result, it raised my doubts at that time that they intended to turn the company around, from the way they present the case to the company shareholders. That’s drove me to write and blog the article subsequently. As far as I am concern, I have tried every possible means to work with them with the hope of turning it around, which I believe it is possible. I remembered vividly that I even contacted them through phone calls after failing to hear any reply from them despite the fact that I have left my call cards with them much earlier. At that time, what struck my mind is that they might feel shame to contact me. Unfortunately my efforts were in vain. Not matter of what’s the outcome of it, I still wish them all the best and hope for the best from them.


Despite all the above had taken place, today’s outcome turn out to be in favour of my initial prediction. After I discovered that the Company had even failed to forward its financial regularisation plan to the Authorities which led them to make a painful decision to delist it from the KLSE, I was deeply hurt in my heart. No doubt, this has proven me right. But what is the point that I can’t even help them to save the company, which I have a small share in it.

Their regrettable attitude of refusing to seek appropriate help and pretending to know everything had misled the investors that they had really put their interest in the first place, that is my personal view.

Here, I felt deeply disappointed with this unfortunate outcome, which could have been avoided. Surprising to me that the Chief Financial Officer (CFO) even reassured us that there is no adverse financial impact as a result of the above decision of delisting its status from the KLSE, when one of the investors seek her clarification to her statement. I, at that time, sat silently and chose not to waste my efforts to participate in this unfruitful discussion, knowing the fact that they are not listening at all. Furthermore, the majority of the investors are in favour of the management. My contentious point here is that how could they derived their conclusion that there is no worth to its listing status. Hence, I decided to not to comment further, but with felt great disappointment silently and hope they stay awake.


To me, what is the most critical point here is to ensure the company expands its wings further so as to keep its staff and make the country’s economy prosper. With it being delisted, to make access to the public funds is no longer feasible, provided it makes a return into any Stock Exchange worldwide.


And last but least I hope they too learn from this expensive lesson, not to miss the big picture, and keep working smart and put their best efforts again to strengthen its financial footing, as expected by all investors of the Company. In this regard, I sincerely urge them to prove me wrong so as to revive the company. It is never my intention of having them to prove me right in the first place. Another great weakness I noted is in regard of lacking of confidence and belief, which needs to be eliminated from its key management teams should it seek to succeed.

Thanks and hope this serve as a good lesson for us.

 James Oh
















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