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Businessman Wong Teek Son has all the time been excited about the interactions between atoms that produce distinctive states of count number and chemicals.
His love for this department of natural science spurred him to turn into a chemist and laid the foundation for the creation of Singapore-listed glove brand Riverstone Holdings decades later.
"Chemistry became my regularly occurring discipline in faculty - I enjoyed experimenting with components to provide chemical reactions and create new compounds," spoke of Mr Wong, 54, who changed into born in Malaysia's Cameron Highlands hill station.
The Bachelor of Science with honours graduate from the institution of Malaya labored as a research and development chemist in an organization imparting cleanroom items before constructing his personal company within the late Nineteen Eighties.
His sole proprietorship - primarily based in Selangor, Malaysia - offered glove chlorination, laundry and packaging capabilities to glove makers. In 1990, together with accomplice Lee Wai Keong, he shaped Riverstone substances to center of attention on the manufacture of cleanroom natural rubber and nitrile gloves the use of advanced construction strategies.
"I never deliberate to enter company. The probability presented itself simplest since the business I worked for shut down, and we have been in a position to use their production strains," he pointed out.
competition within the business, although, became excessive. there were as a minimum 300 glove factories in Malaysia. Most discovered it complicated to live to tell the tale and a lot of closed down. "We realised we mandatory to give a carrier to our clients," pointed out Mr Wong, who additionally holds a master's diploma in company administration from Monash college.
due to the fact 1994, Riverstone resources has pioneered the manufacture of gloves the usage of nitrile latex in Malaysia, brought on-line glove chlorination expertise and developed nitrile finger cots the usage of its own proprietary creation method.
"Nitrile generates a really low static can charge and has decent dissipative homes, however plastic, which is an insulator, has high static discharge. So, customers all started inquiring for nitrile gloves," he mentioned.
Nitrile, an artificial rubber, is protected for these allergic to latex and is resistant to a wide array of chemicals. Nitrile disposable gloves are probably the most durable on the market.
For Mr Wong, formulating the chlorination manner - treating newly shaped gloves with chlorine to keep away from adhesion on the production line - turned into yet another milestone.
This way of life of steady innovation is the linchpin of Riverstone, which boasts a 20-robust R&D and technical crew and an annual output of billion gloves. It has two factories in Malaysia, one in Thailand and a fourth in Wuxi, China, with a total of forty creation traces.
It has embarked on a 5-stage ability enlargement approach on its 12ha web page in Taiping, in Perak state, between 2014 and 2018.
below the third section, total annual output is anticipated to upward push to billion gloves through the conclusion of the September quarter. It goals to enhance total output via 1000000000 gloves on the conclusion of each and every expects to finished the fifth stage of its Taiping expansion plan by using 2018.
To insulate revenues, Riverstone different into healthcare gloves. while cleanroom gloves command greater margins, demand for healthcare gloves is more resilient. Pharmacies, hospitals and clinics continue to use gloves even in a downturn, pointed out Mr Wong.
Riverstone, which listed on the main board of Singapore trade in 2006, has a market capitalisation of about $780 million. It become the top of the line performer among the many 29 part stocks within the SGX All Healthcare Index closing year, chalking up a total return of 151 per cent closing yr and 472 per cent over the final three years. This compares with the commonplace complete return of per cent for the 29 index materials in the past 12 months.
CAPPING expenses, BOOSTING MARGINS
Margin drive is a constant in the industry, Mr Wong mentioned. Riverstone will curtail costs by increasing automation, streamlining construction procedures and enhancing economies of scale.
Its new choices encompass gloves with reduce surface resistance, which enables the electrostatic cost to be dissipated without damaging delicate gadget or parts worried within the manufacturing method. Riverstone also presents nitrile gloves with a reduce electrostatic discharge voltage than these in the market.
Customisation is a further strategy. "Given our bendy equipment and huge adventure, we're capable of deliver bespoke products to satisfy customer wants in the shortest feasible time," he said.
The company is additionally broadening its consumer base. With hard disk drives becoming a sundown business, it is offering gloves to other sectors within the technology sector, such as photo voltaic, battery and flat-panel screen makers.
searching ahead, the group expects better income from its US-primarily based healthcare purchasers this yr. "North america will be the market so that it will enjoy the strongest increase this yr," he stated.
The share of sales from healthcare gloves is rising as demand from the pharmaceutical and medical sectors outpaces that of the electronics business.
Healthcare gloves are anticipated to make a contribution more than 50 per cent of ordinary revenues, with cleanroom accounting for only half, compared with a 50:50 cut up within the fiscal yr ended Dec 31, 2014.
Mr Wong spoke of: "Our precedence is to allocate creation means for cleanroom gloves, given their higher promoting expenditures and margins compared with healthcare gloves, and we're capable of accomplish that as a result of our creation strains are interchangeable."
don't be anxious, BE positive
outdoor of labor, Mr Wong enjoys walking and ferrying his son, 15, and daughter, sixteen, to and from their lessons courses and additional-curricular eldest in a family of 4 brothers and 5 sisters, he tries to instil the values of optimism and hard work in his babies.
Mr Wong, who misses the rolling tea plantations and funky climate of Cameron Highlands, returns to his domestic town a few times a 12 months to capture up with childhood friends and basketball teammates. a number of these teammates at the moment are his colleagues in Riverstone, handling operations starting from marketing to human supplies and creation. An MBA classmate additionally runs Riverstone's Thai operations.
What weighs on Mr Wong's intellect, although, is Riverstone's succession plan. "most of the administration and senior positions are held by friends - they've a extremely potent feel of loyalty and dedication to the business, and are in the older age neighborhood of forty to 50 years historical," he referred to.
"The question is: Can the more youthful generation continue this way of life within the business? this is an unknown, and remains to be seen."