SINGAPORE: Hotel Properties Limited (HPL) experienced a notable rise in share price on 16 May 2025, climbing as much as 9.3 per cent to S$4.72 during morning trade. The counter closed the midday session up 8.8 per cent at S$4.70, with approximately 388,000 shares traded.
This activity marks a significant spike compared with HPL’s typical trading volumes and followed a similar upward trend that began on 15 May.
In response, Singapore Exchange Regulation (SGX RegCo) issued a query to HPL, seeking clarification over what it described as “unusual price movements”.
The regulator requested prompt disclosure of any materially sensitive, previously unannounced information that might account for the surge.
SGX RegCo also asked whether HPL was aware of any other factors that could explain the trading activity and instructed the company to affirm its compliance with listing obligations.
It further advised that, if necessary, the company could request a trading halt.
HPL responded to the query on Friday afternoon, stating it was unaware of any unannounced material developments that could explain the price movements.
The company affirmed it was in compliance with SGX RegCo’s listing rules, including disclosure obligations.
The share price spike follows recent developments involving HPL’s long-time managing director Ong Beng Seng, who stepped down from his position at the company’s annual general meeting on 29 April 2025.
While Ong did not seek re-election, he remains HPL’s controlling shareholder.
On 14 April, HPL announced that Ong would relinquish his position to manage a medical condition — multiple myeloma, a type of white blood cell cancer.
His departure has since prompted speculation over HPL’s future direction and potential interest from capital partners.
The Edge Singapore, in a report published on 5 May, suggested that with Ong’s exit, HPL — particularly due to its freehold land assets on Orchard Road — could be an attractive takeover target.
Ong, widely credited for bringing Formula One to Singapore in 2008, is currently embroiled in a legal case linked to former transport minister S Iswaran.
He was charged in 2024 with two offences under the Penal Code: abetment under Section 165 and abetment of obstruction of justice. The first charge alleges that Ong provided valuable considerations to Iswaran, a public servant, without proper payment.
According to court documents, Ong allegedly arranged for Iswaran to travel to Doha in December 2022 on a private jet, valued at US$7,700. Ong also reportedly covered Iswaran’s hotel stay costing over S$4,700 and a business class return flight worth S$5,700.
In an attempt to conceal the transactions, Ong later told Iswaran that the Corrupt Practices Investigation Bureau had seized the flight manifest, after which Iswaran allegedly asked to be retroactively billed to deflect scrutiny.
Ong’s second charge arises from this sequence, for purportedly facilitating obstruction of justice.
Iswaran, 62, was sentenced in October 2024 to 12 months’ imprisonment after facing 35 charges, most involving Ong.
Ong, 79, has declared his intent to plead guilty. Originally scheduled for 2 April 2025, his court hearing was postponed to 25 April to allow for further medical assessments.
He was granted permission to travel overseas between 28 April and 16 May for medical and work purposes. To secure this, the court increased his bail from S$800,000 to S$1.6 million.
If convicted, Ong faces up to two years’ jail and/or a fine for the first charge, and up to seven years and/or a fine for the second.
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