The Enigma of GOB: Unraveling Corporate Ties and Desmond Lim Connection

On October 19, 2023, $GOB / 1147 (GLOBAL ORIENTAL BERHAD) proposed acquiring 550,000 ordinary shares, equivalent to 55% ownership, of Edisijuta Parking Sdn Bhd (EPSB) for RM27.5 million in cash from Cahaya Impian Sdn Bhd. Initially, this news seemed routine until I discovered that Edisijuta Parking provides valet parking services across Tan Sri Desmond Lim's malls. This realization led me to reconsider GOB, as it appears to be more than just a property development company, but closely linked to Tan Sri Desmond Lim.

Beginning with the Edisijuta Parking acquisition, it's essential to note that Edisijuta Parking is a subsidiary of Edisijuta Group, which has two subsidiaries: one providing parking services (Edisijuta Parking) and the other, Edisijuta Services, offering cleaning and maintenance services to malls and buildings. Since $GOB / 1147 (GLOBAL ORIENTAL BERHAD) acquired only a 55% stake in Edisijuta Parking, Edisijuta Services remains unrelated. Edisijuta Parking specializes in parking management, valet services, and consultancy & design for car parks, serving major customers such as Pavilion Kuala Lumpur, Pavilion Bukit Bintang, Pavilion Damansara Heights, Damen USJ, Pavilion Hotel, Signature Office at BJC, Farenheit 88 etc. Notably, Pavilion-related entities constitute a significant portion of their clientele. This isn't enough to say that GOB is closed-linked to Tan Sri Desmond Lim.

Beyond this acquisition, the 2023 annual report reveals that Dato' Tan Eng Beng is GOB's largest shareholder, yet Lim's name doesn't appear. However, suspicions persist that Lim might be the actual force behind GOB. This suspicion isn't unfounded; historical instances, such as the 2015 deal between $PAVREIT / 5212 (PAVILION REAL ESTATE INVESTMENT TRUST) and GOB for Damen Mall's purchase and the 2017 joint venture between $MALTON / 6181 (MALTON BERHAD) and GOB for a mixed-use development in Cheras, point to a close association. Additionally, GOB employs several of Lim's Pavilion brands, including Pavilion Embassy and Pavilion Genting Highlands.

In conclusion, this raises intriguing questions: Is Lim the de facto controller of GOB, or are they merely business partners? The interconnectedness between GOB and Lim's Pavilion-related ventures invites speculation about the extent of Lim's influence within GOB.