KUALA LUMPUR (Sept 25): The conditional voluntary takeover offer made by QL Resources Bhd for shares it does not own in Lay Hong Bhd is still at its 'early stage', according to QL Resources managing director Chia Song Kun.

But Chia, who is also the non-independent and non-executive chairman of QL Resource’s 40.51%-owned associate Boilermech Holdings Bhd, declined to elaborate further on the matter.

"We cannot comment now. We think that at this stage, we can't go beyond that [announcement to Bursa Malaysia on the takeover]," he said after the conclusion of Boilermech's AGM and EGM today.

"When we need to make further clarification, we will do so. So you have to be patient," he added.

QL Resources, one of Asia’s largest egg producers and surimi manufacturers, presently holds a 26.81% stake or 13.4 million shares in Lay Hong.

Yesterday, QL Resources told the stock exchange that it had made a conditional voluntary takeover offer for the shares it does not control in Lay Hong for about RM128 million or RM3.50 per share.

The firm explained that the move was to safeguard the interests of its shareholders and to realise synergies between QL and Lay Hong, following the unsuccessful re-election of former director Chia Mak Hooi to Lay Hong's board of directors.

Chia Mak Hooi, who is also an executive director of QL, was the sole QL representative in Lay Hong.

QL Resources slid 0.58% or two sen at midday break to RM3.42 with 406,800 shares traded, while Lay Hong went up 2 sen to RM3.46 with 934,900 shares done.