Reports » Malaysia

Malaysia stock market and companies daily report (October 18, 2012)

Contributed by Shares Investment

Perodua 9-Month Sales Up 10%
Perusahaan Otomobil Kedua (Perodua) sold 139,400 vehicles in the period from January to September this year. This was a 10 percent increase from the 127,200 units sold in last year’s corresponding period, despite a dip in the third quarter due to tighter lending guidelines. The higher sales for the nine-month period, was attributed to the new Myvi models and improved demand for the Alza, according to the company’s managing director Datuk Aminar Rashid Salleh. On a quarter-to-quarter basis, Perodua’s sales was down 3 percent to 46,500 vehicles from 47,700 units from a year ago as the tighter guidelines on lending affected sales of the Viva models. The managing director is still optimistic for higher sales in the fourth quarter based on strong bookings recorded in the third quarter which was up 32.9 percent from a year ago.
Significance: Based on the number of bookings so far, target sales of 188,000 by year-end are held within reach for the national car company. UMW is the largest shareholder of the national car company with a 38 percent interest.

Pos Malaysia Hopes To Acquire Mid-East Courier Firm This Year
Pos Malaysia hopes to finalise the acquisition of a courier company in the Middle East within this year. At the moment, acquisition is still at the negotiation stages, according to the Group Chief Executive Officer Datuk Khalid Abdol Rahman. The proposed acquisition is to diversify the company’s business portfolio in line with its five-year transformation plan. Currently, Pos Malaysia is also working with DRB-Hicom’s property development group, to redevelop its land, added the CEO. The company has land in Brickfields, Kelana Jaya and Batu Pahat. On the company’s future plans, Khalid said Pos Malaysia is open to any collaboration. The decision of the postal group being involved in mergers and acquisitions relating to the courier segment showcases the company’s commitment to gain an even bigger market share to safeguard its pole position.
Significance: The company foresees an increasing demand for the courier services in the Middle East region in view of resilient growth in its economic activities, where the regions’ most popular courier company, Aramex saw its revenue grew at a compounded annual growth rate of five per cent since 2008 to 2011 despite the financial crisis.

Ken Holdings Seeks Strategic Partners To Venture Into Hospitality Sector
Ken Holdings is seeking for the right partners to venture into the hospitality sector. The pioneering green developer which has constructed the first and highest rated green residential building in the country, has have many on-going projects spread countrywide. The company’s first green township in the southern corridor has begun construction in Johor Bahru. Now Ken Holdings are venturing into the hospitality sector and seek the right partners who can bring about their vision in creating better and greener homes for the public. Furthermore, Executive Director Sam C.S. Tan had suggested that the government should provide more incentives to reduce the cost of on-going green projects in order to promote the movement for green properties. The synergies generated between Malaysia and Singapore arising from the Iskandar Malaysia region will provide the opportunities for its business and citizens.
Significance: As the top green developer in the country, Ken Holdings will continue to push standards higher while venturing into other sectors to expand company’s growth prospects, going forward.