KUALA LUMPUR: Lay Hong Bhd's shares went down as low as 33.5 sen or 6.9 per cent in early trade after Singapore Food Agency (SFA) directed four importers to recall eggs from the company's Layer Farm Jeram, after it detected presence of Salmonella Enteritidis (SE).
On Friday, Lay Hong's shares closed at 36 sen.
In a statement on March 12, SFA explained that the eggs were recalled as a precautionary measure because SE might cause foodborne illness if food was consumed raw or undercooked.
"The recall is ongoing. The farm is also suspended and SFA will lift the suspension only when the farm has rectified the SE contamination issue," SFA said.
On Sunday, Lay Hong said it would offer full cooperation and compliance with Malaysia's Department of Veterinary Services (DVS) and formulate plans to strengthen farm control practices and monitoring.
Lay Hong executive director Datuk Yap Chor How said the company's priority was the safety of its customers.
"We are currently working closely with the DVS to investigate and monitor the alleged farm related to export Salmonella detection," he said.
Lay Hong has agreed with DVS to suspend Jeram 1 farm, whose output is primarily exported to Singapore.
The Jeram 1 farm is suspended from both the domestic and export market pending the completion of the investigation by DVS.
Lay Hong assured that no eggs would be sold from Jeram 1 farm and that it would only resume the supply of eggs from the farm once the investigation was completed.
"At the moment, all other farms in Jeram (Jeram 2-6) have been tested negative for Salmonella, and these farms are divided into smaller satellite farms and separated from one another physically despite being located in Jeram," the group said.