Chairwoman Joanna Yong on Jan. 9 stepped down as chairwoman and executive director after shareholders voted to remove her as a director in an extraordinary general meeting, according to The Business Times.
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Inside a factory of Nam Lee Pressed Metal Industries. Photo courtesy of the company |
Although the reason for her removal was unclear, the meeting itself was demanded by her two uncles and major shareholders: Yong Kin Sen and Yong Poon Miew, who founded the company with her father, Yong Koon Chin.
Joanna’s withdrawal implied cracks in the management of the family enterprise, which is one of Singapore’s oldest companies, with a history dating back to the 1950s.
At the time Yong Kwong Fae, the father of the three, began producing galvanized metal household items such as buckets and bathtubs.
The three sons later incorporated Nam Lee in 1975 and listed it on the Singapore Exchange in 1999. It mainly produces aluminum, stainless steel and glass for buildings.
Now in their 80s, the three brothers have handed day-to-day leadership to the next generation. Joanna, 55, is the daughter of Koon Chin.
Despite this transition, the elder Yongs remain major shareholders, each holding more than 19% of the listed company.
Last year Nam Lee’s share price jumped 108%, with gains underpinned by Singapore’s construction boom and a government-led push to revitalize the equities market.
This marked a sharp turnaround. From 1999 to the end of 2024, Nam Lee’s share price had fallen nearly 35%.
But the escalating family dispute that has spilled into corporate governance has raised the risk of that progress being reversed.
While there is little information about why did the uncles of Joanna called a meeting to remove her as a director, some speculate that it had connection to an event last year.
In October, Eric Yong, son of Kin Sen and managing director of the company, was interviewed by the Corrupt Practices Investigation Bureau, following a whistleblowing report lodged with the bureau.
Internal auditors in 2024 identified some “procedural lapses and control gaps in operational matters” but concluded there was no indication that a more extensive investigation was required.
These lapses and control gaps were reported to the audit committee and flagged to management.
For some shareholders, the proximity of the probe into Eric and the move to remove Joanna suggested a possible connection.
But the company never confirmed this link. In response to repeated queries, Nam Lee said that it did not know the actual rationale for the major shareholders’ calling of the extraordinary meeting, and that no reasons had been provided for the decision to remove Joanna as a director.
So far, the share price has remained resilient. Still, investors cannot overlook the risk that the gains of last year could be eroded if boardroom uncertainty persists.
