Hong Fok Corporation Limited (H30) has released detailed responses to questions from the Securities Investors Association (Singapore) and a shareholder concerning its FY2025 annual report, covering unsold residential units at Concourse Skyline, a recent asset acquisition, board independence and its share-buyback mandate.
The board said sales of Concourse Skyline units remain “well supported,” noting no adverse price impact from the pace of disposals despite the project’s declining lease tenure. Over FY2021-FY2025 the group sold 39 strata units for a total of about 153.3 million Singapore dollars. Thirty-eight units remain and most are currently leased, providing rental income while management balances price optimisation with sell-through speed. No fixed timeline has been set for full monetisation.
On Feb, 12 2025 the group closed the 27.8 million Singapore dollars purchase of five strata units (162 sq m) in International Building, incurring a further 1.77 million Singapore dollars of capitalised costs. Management confirmed the all-in price of roughly S$16,000 per square foot, describing the move as a strategic step that secures 100 % ownership and positions the freehold Orchard Road property for future enhancement or redevelopment.
Governance questions focused on the re-election of non-independent non-executive chairman Adrian Chan, who crossed the nine-year independence threshold in Apr 2024. The board acknowledged that it does not yet meet Code provision 2.2 requiring a majority of independent directors when the chair is non-independent, but highlighted the presence of a lead independent director and said it continues to review board composition.
Regarding capital management, the company defended its long-running 10 % share-purchase mandate, citing its role in smoothing price volatility. While buybacks were lower in FY2024, purchases resumed in the twelve months preceding the upcoming Apr, 30 2026 AGM. The board said future repurchases will depend on share price relative to net asset value, available cash and prevailing market conditions, adding it has no immediate plans to raise funds or cancel treasury shares.
Public float stands at 30.4 %, and the company pledged to avoid breaching Singapore Exchange free-float requirements when exercising future buybacks.