PBBank ... Nov09

A rumour that has been swirling around in the banking industry recently is that PBB’s founder and chairman Tan Sri The is looking to sell out because of poor health.

Adding spice to this is that Tan Sri Quek Ling Chan of HL group and Datuk Seri Nazir are both eyeing PBB.

While speculation about the future ownership of PBB has surfaced off and on in the past, the rumour mill has been working overtime after news in July 2009 that Teh was admitted to hospital for an operation. These rumours have remained, up till now (2009), as mere rumours.

In the case of CIMB, a more plausible explanation for the strong performance in its share price is the group’s better earnings outlook.

For HL group, there has been talk of a special dividend payout and that the bank is close to finalizing an agreement to sell its insurance arm.

Going forward … PBB is still very much Teh’s main passion. And rumours of his health deteriorating are ungrounded is said to be recovering well from the operation.

While he remains chairman of PBB, the banking group is very ably run by Tan Sri Tay Ah Lek.

02/Nov update:
PUBLIC BANK BHD's non-executive chairman Tan Sri Dr Teh Hong Piow, who owns a total interest of 24.08% in the banking group, has no plans to sell his stake.

The bank said on Monday, Nov 2 that Teh, who is the founding and single-largest shareholder, has stressed that he has absolutely no intention of selling his stake.

"He remains fully committed to Public Bank which he founded and has so passionately built to its present stature over the past 43 years.

"The market rumours on Tan Sri Dr Teh Hong Piow selling out his stake in Public Bank are totally unfounded and absolutely without basis," it said.

Public Bank also said he has fully recovered from a minor operation which he had undergone recently. It added that he was in very good health.