Corporate the proposed Group Wide Restructuring Scheme (GWRS) or

Corporate Strategy of The Lion Group

The Lion Group is a conglomerate company. Lion Group
Company uses conglomerate strategy not simply because they just involve on
their business which is steel manufacturing. Therefore, the core business of
the Group is steel manufacturing business. But they have also diversified into development,
mining, agriculture and computer sector. The Lion Group has four companies that
listed on Bursa Malaysia. One in Malaysia, two in Singapore and one in Hong
Kong. It has an annual group turnover of approximately RM 15.76 billion and
provides employment for more than 19,200 people. The companies’ name of Lion
Group is Lion Industries (LICB), Silverstone (SCB), Amsteel Corp Berhad (ACB),
Lion Corporation (LCB), Lion Forest Industries (LFI), and Lion Diversified
Holding Berhad (LDH).   (Appendix 1)

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The Board of Directors of the Lion Group had announced
the proposed Group Wide Restructuring Scheme (GWRS) or Proposed Corporate Restructuring
(PCR) to provide the Lion Group the ability to meet their financial commitments
to creditors as increase the portfolio globally. These groups will help Lion
Group to continue operations on an ongoing concern basis, and in the long-term
to regain a position of profitability. The Lion Group had earned RM 15763
million of revenue from
01
July 2016 to 30 June 2017.   (Appendix 2)

How to improve the business

In
year 2005, Secom (M) launched its DX-I Control panels with new and to improve
the security features of the company. Therefore, it will increase the workforce
of the employees. Parkson Corporation Berhad had already launched ‘Parkson
Cares’, which is a public service project to improve the quality of life. The
‘Parkson Cares’ also improve for the community in areas of health and
environment.

 

 

 

 

 

Core Business

Lion Corporation Berhad

There is only one core business of
The Lion Group which is manufacturing of flat steel product. The steel product
is undertaken by Megasteel Sdn Bhd, that located in Banting, Selangor.
Megasteel which commenced operations in 1999 is the only integrated flat steel
mill in Malaysia to produce hot rolled and cold rolled coils. The Megasteel Sdn
Bhd is the top company of steelmaking in Malaysia. The Lion Group alone
accounting for more than half of Malaysia’s total steelmaking capacity of 10.6
million metric tons in year 2015. The profit making in year 2015 which is RM
1998 million. For example, The Lion Group have one of the investment in Suzuki Motor
Corporation such as the motorcycle parts, machinery parts and processing plants
that needed to generate the motor vehicles and cars. (Appendix 3, 4, 5)

Other Business

Parkson Holdings Berhad

Other than that, in Malaysia, The
Lion Group also be able for investment in the retailing industry which the name
of the company is Parkson Holdings Berhad. The company is through its chain of
115 Parkson department stores in Malaysia, China, Vietnam, Indonesia and
Myanmar. Parkson department store is selling various types of male and female
clothing, cosmetic products, kids clothing etc. All employees in PHB Group have
access to the Lion Group’s policies and procedures which are available on the
Lion Group’s intranet. (Appendix 6)

Lion Forest Industries
Berhad

Besides than that, Lion Forest Industries
Berhad is one of the member of Lion Group. Lion Forest Industries Berhad is a
Company with diversified business in steel manufacturing, retails & trading
and property development. Lion Forest Industries Berhad offering the building
materials, petroleum-based products that including automotive and industrial
lubricants under the Hi-Rev and T-Trax brands, and automotive components. For
example, HI-REV offering the premium Motorcycle Oil and Motor Oil and a full
line of lubrication solutions for Industrial and Commercial users. HI-REV wide
distribution network includes automotive and motorcycle service workshops (High
Street), and distributions centers (Industrial and Commercial) in strategic
locations. The big news of HI-REV is the HI-REV’s motor rider get the third win
in ARRC 2017. Once again, the HI-REV rider has revved it up in the
international arena! (Appendix 7)

Lion Diversified Holdings
Berhad (LDHB)

Furthermore, The Lion Group also
diversified in computer business. The name of the computer business is Lion
Diversified Holdings Berhad and incorporated under the name of Chocolate
Products Berhad. The computer business is undertaken by Likom Group of Companies
that involved in integrated one-stop original equipment manufacturing (OME)
services to produce the personal computer casings and enclosures, assembly of
computer peripherals and electrical components such as audio-visual equipment,
telecommunication, security-alarm and electrical switching product. Moreover, Lion
Diversified Holdings Berhad also involved in property development via a 35%
joint venture high-end condominium development. The condominium known as Twins,
located in the prestigious residential enclave of Damansara Heights, Kuala
Lumpur, comprising two iconic towers.