In a number of SGX-listed companies, second-gen leaders are being groomed or are running the show.

 

At Wee Hur Holdings, the son of the executive chairman has been taking charge of a number of business streams.

 

At Eneco Energy (previously known as Ramba Energy), a similar story is playing out.

 

After Union Steel Holdings acquired a 29.4% stake via married trades in Nov 2024, the chairman' s son, Ang Jun Long, 33, was brought in as an executive director. 

(Union Steel' s chairman, Ang Yu Seng, has taken over the chairman' s seat at Eneco also).

 

" If I want to make a positive change with meaningful contributions, I have to understand the employees at a more personal level, and be willing to reward them for their efforts and dedication when the targets are met. That&rsquo s the kind of leader I want to be as I take Eneco forward.&rdquo

 

&bull Before Union Steel (where Sam Goi is a substantial shareholder, incidentally) came into the picture, Eneco was restructuring its debt, and streamlining things.

 

The group exited its oil and gas ventures (notably with the sale of PT RichLand Indonesia in February 2023) and doubled down on logistics. 

 

Now, with a market cap of S$20 million, Ang Jun Long wants to take things further -- he&rsquo s looking to diversify, snap up new companies, and make the business more resilient.

 

The plan? Build a mix of profitable, cash-generating businesses that can be improved and scaled up.

 

&bull Read below a SGX Research interview with Mr Ang -- who the man is and his vision....

 

kopi-C with Eneco Energy&rsquo s Executive Director: " We' re expanding beyond our expertise in airport cargo logistics to build a diversified portfolio of companies."

 

With an established position and track record in Singapore&rsquo s logistics sector via its subsidiary Richland Logistics, Eneco Energy&rsquo s new executive director Ang Jun Long plans to boost operations to beat the pack and harness acquisitions for growth. 

 

Under the leadership of new executive director Ang Jun Long, Eneco has big moves planned for a future that aligns with its core competencies.

 

&ldquo The goal is to have a diversified portfolio of profitable, cash flow-generative businesses that we can optimise and improve to create new value for shareholders,&rdquo he shares.

 

To enhance the competitive strengths of its logistic business unit, RichLand Logistics Services, the Group is looking to acquire its own warehouse to have greater control in costs and undertake longer-term customer contracts, enhance the utilisation rate of its fleet of about 150 vehicles via leasing to earn recurring income and reduce costs, as well as expand its value chain in the logistics business to complement its edge as an airport cargo specialist. 

 

At the same time, Eneco will strategically expand into new areas and markets through mergers and acquisitions.

 

Leveraging on Ang&rsquo s team&rsquo s core competencies and expertise to identify promising opportunities and forge strategic partnerships in high-potential industries, Ang aims to drive greater resiliency, synergy and diversification within Eneco&rsquo s business model.

 

&ldquo Our logistics business, under Richland Logistics, has built up a strong brand name in airport cargo services logistics with a clientele of MNC customers. With expertise and knowledge in the logistics business, I believe Richland&rsquo s management team can support our organic business growth endeavours.&rdquo

 

Each of the new strategies&mdash from improving RichLand&rsquo s operations to diversification&mdash supports this ambition. 

 

BIG MOVES

&bull Eneco wants to buy its own warehouse, which would help cut costs and allow for longer-term contracts.

 

&bull Get more out of its 150-vehicle fleet by leasing out trucks and expanding its logistics services, especially in airport cargo.

 

&bull Tech is a big part of the strategy too. Eneco&rsquo s in-house app, Revo, gives real-time cargo tracking and helps keep customers happy.

 

The IT team customizes the app for clients and is looking to sell more tech services outside the company

Take the forthcoming IT services team, under RichLand Logistics, which currently counts a large range of multinational corporations as users.

 

This is due to the strength and unique selling points of its in-house developed Revo app that complements the logistical services rendered. 

 

The app provides real-time visibility and tracking of time-sensitive air cargo shipments, from flights&rsquo arrival until handover to appointed forwarders.

 

The IT services team also works closely with its clients to customise the app, adapting this technology tool to better suit the needs of its clients.

 

  &ldquo The REVO app has proven to create a seamless, integrated experience that keeps customers engaged and loyal to our logistics services. With the capabilities of our IT services team, we are well-positioned to unlock cost savings internally among affiliated companies, and explore new opportunities to upsell more IT services to external customers."

 

In addition, strategic mergers and acquisitions will help speed up growth and business performance of the Group, organically and inorganically. 

 

A leader with empathy 

 

Ang honed this instinct for business by watching and learning from his father, the co-founder, executive chairman and chief executive officer of Union Steel Holdings, which bought a 29.4 per cent stake in Eneco in November 2024.

 

&ldquo Although Union Steel has always been predominantly in the steel industry, my father was forward-thinking and diversified for resilience and growth.&rdquo

 

Before Ang joined Eneco in December last year, he was an executive director of Union Steel Holdings Limited&rsquo s engineering division, taking the leading role in integrating, restructuring and synergising acquisitions.

 

There, he was the driving force that turned around Union Steel&rsquo s engineering acquisitions, boosting their business performance within just one to two years. 

 

To succeed, he adopted a boots-on-the-ground approach. 

 

&ldquo For each of the acquired companies, I attend their meetings, visit their customers, take part in site walks and do what I need to better understand the business. It is very critical   for the new management   to take the time to understand the business, the employees, how they think, where they&rsquo re coming from and what they&rsquo re facing. Only then will the employees think of me as one of them, and support my strategies to transform and optimise the business.&rdquo

 

His father also shaped a crucial tenet of his leadership style: leading with empathy.

 

&ldquo When I look at how he runs Union Steel, it&rsquo s not just about having   forward-thinking mentality and strategies. It&rsquo s also about empathy. He treats his staff well and rewards them well. They, in turn, have supported him through good times and rough times.&rdquo

 

&ldquo Employees are the backbone of any business. I&rsquo m not just managing the business&mdash I&rsquo m leading the people who drive its success. If I want to make a positive change with meaningful contributions, I have to understand the employees at a more personal level, and be willing to reward them for their efforts and dedication when the targets are met. That&rsquo s the kind of leader I want to be as I take Eneco forward.&rdquo

 

A horizon of possibilities 

 

For its latest results during the 6 months ended 31 Dec 2024, Eneco delivered resilient business performance with net cash of S$3.0 million generated from operations.

 

Total equity stood at S$19.40 million with cash and cash balances of S$12.35 million as at 31 Dec 2024. 

 

While Eneco&rsquo s revenue is still generated from its logistics business unit, Ang is already exploring M& A targets with synergistic possibilities.

 

With a broader base of companies in a varied portfolio under Eneco&rsquo s business model, it can also reap economies of scale to further curb costs. 

 

Since he became part of Eneco&rsquo s senior management, he has been engaging with its general managers, team leaders and other staff, going through contracts and projects to gain a deeper understanding of them, including their costing, and immersing himself in the firm&rsquo s operations and clients.

 

&ldquo If I can help to secure a project by talking to a customer, I do that.&rdquo

 

He plans to maintain this level of involvement with each of Eneco&rsquo s acquisitions.

 

He explains: &ldquo When we go into an acquired company, I try to put myself into the top management&rsquo s shoes. Of course they will have their guard up, but from my actions, I want to send the message that I&rsquo m there to learn from them, to help them improve the business and reward them for their contributions.&rdquo

 

Like his father&rsquo s staff sticking with the former through thick and thin, his own efforts have borne fruit.

 

Ang highlights: &ldquo I&rsquo ve seen the people that I work with become positive over time and gradually think like a business owner. They&rsquo re coming up with innovative ideas to save costs and grow the business. This is exactly what Eneco needs as we progress ahead.&rdquo