November 27, 2014, Thursday
Brahim’s Holdings, together with Quantum Angel, has purchased the Burger King franchise from Ekuiti Nasional for RM95 million. Malayan Banking’s (Maybank) net profit fell 7.9 percent to RM1.6 billion in the third quarter ended 30 September, weighed down by its insurance and takaful unit, despite an 8.3 percent lift in gross interest income to RM4.5 billion. Texchem Resources has proposed to sell 1.4 million shares, or a 28 percent stake, in Sushi Kin to Asia Yoshinoya International for RM102.2 million in cash.
November 26, 2014, Wednesday
For the third quarter ended 30 September, BIMB Holdings reported a 7 percent rise in revenue to RM744.5 million while net profit surged 66 percent to RM125.3 million, boosted by its acquisition of 49 percent interest in Bank Islam Malaysia (BIM). Malayan United Industries (MUI) announced that it is in “serious discussions” to explore the possibilities of selling certain substantial assets, to realise the values of these assets.
November 25, 2014, Tuesday
For the third quarter ended 30 September, Affin Holdings recorded a 22.7 percent increase in turnover to RM937.2 million, while net profit slid 17.9 percent to RM142 million, due to lower profit from the group’s banking arm. For the third quarter ended 30 September, Axiata Group’s net profit eased 11.7 percent to RM631 million, in tandem with a 2 percent dip in revenue to RM4.7 billion. CIMB Equities Research states that Westports Holdings’ share price may be driven up in the months ahead by three potential catalysts, the start of the Ocean Three (O3) alliance, the renewal of the investment tax allowance and the government approval to raise port tariffs.
November 24, 2014, Monday
For the third quarter ended 30 September, 7-Eleven Malaysia Holdings posted a 11.7 percent rise in revenue to RM487.3 million, driven by growth in new stores, improved merchandise mix and consumer promotion activity. For the nine-month ended 30 September, Genting recorded a 7.8 percent contraction in bottom line to RM1.2 billion, despite a 7 percent rise in top line to RM13.6 billion and was below expectations of analysts at CIMB Equities Research. Lower oil prices are stoking demand for mergers and acquisitions (M&A) in the oil and gas (O&G) industry and for UMW Oil & Gas Corporation (UMW O&G), opportunities to expand are opening up amid falling prices.
November 21, 2014, Friday
Carimin Petroleum’s wholly-owned subsidiary, Carimin Engineering, has entered into a collaboration agreement (COA) with Bermuda Subsea, to pursue selective opportunities involving hook-up and commissioning (HUC), topside and subsea services. Eco World Development Group has exceeded its sales target of RM2 billion, hitting RM3.2 billion in its financial year ended 30 September (FY14), largely boosted by projects launched under Eco World Development. For the third quarter ended 30 September, RHB Capital recorded a 2.6 percent fall in net profit to RM544.6 million, despite a 10.8 percent rise in total revenue to RM2.7 billion.
November 20, 2014, Thursday
For the third quarter ended 30 September, AirAsia reported a 84.8 percent fall in net profit to Rm5.4 million, despite revenue edging up 2.9 percent to RM1.3 billion. Minetech Resources, whose core business is quarry mining, announced plans to pursue new mining projects, particularly gold mining in Indonesia. For the third quarter ended 30 September, Star Publications (Malaysia) posted a 6.4 percent and 22.1 percent decline in top and bottom lines, to RM247.2 million and RM 34.3 million respectively.
November 19, 2014, Wednesday
For the third quarter ended 30 September, CIMB Group Holdings recorded a 16.1 percent fall in net profit to RM890.3 million largely due to higher loan impairments at PT Bank CIMB Niaga, despite a 1.3 percent increase in net operating income to RM3.5 billion. For the third quarter ended 30 September, Sunway recorded a 6.4 percent rise in revenue to RM1.1 billion, while net profit surged 54.3 percent to RM143.7 million. Telekom Malaysia (TM) has inked a framework agreement with MyTV Broadcasting to provide digital terrestrial television (DTTV) services in Malaysia in the near future.
November 18, 2014, Tuesday
For the three months ended 30 September, Deleum saw a 17.3 percent rise in earnings to RM16.8 million. Business outsourcing company Scicom (MSC) is aiming to penetrate new markets in the region. For the third quarter ended 30 September, Tune Ins Holdings posted a 10.8 percent rise in operating revenue to RM109.5 million.
November 17, 2014, Monday
Dialog Group’s wholly-owned subsidiaries, Dialog LNG and Pengerang LNG (Two), have entered into a shareholders’ agreement with Petronas Gas for the development of liquefied natural gas (LNG) regasification facilities at Pengerang, southern Johor. Globetronics Technology plans to release three-dimensional (3D) sensors in mid-2015 to tap into the market that is projected to be worth about US$3.4 billion (RM11.4 billion) in 2020. CIMB Equities Research notes RM1.30 will form a floor support for Tomypak Holdings’ shares, after the firm’s new major shareholder Yong Kwet On acquired a 25.4 percent stake at that price.
November 14, 2014, Friday
RHB Research remains upbeat on Genting Plantations, on the back of strong fresh fruit bunches (FFB) production. For the third quarter ended 30 September, I-Berhad’s net profit surged more than four-fold to RM14.2 million as revenue expanded 117.8 percent to RM77.4 million, on the back of higher contributions from the group’s property development division. For the third quarter ended 30 September, Maxis posted a 4.9 percent decline in net profit to RM449 million, in tandem with a 7.8 percent fall in revenue to RM2.1 billion.
November 13, 2014, Thursday
AirAsia X, is expected to record a core net loss of RM73 million in 3Q14 compared with a modest RM16 million profit in the same period last year, due to lower yields, a weak market and impact of new routes, according to Maybank Investment Bank. For the third quarter ended 30 September, Gas Malaysia recorded a 16.5 percent increase in net profit to RM53.8 million, due to higher gas sales and the upward revision of natural gas tariff, as revenue expanded 25.8 percent to RM734.4 million.
November 12, 2014, Wednesday
Malaysia’s industrial production index (IPI) grew 5.4 percent year-on-year in September, underpinned by growth in all its indices. Malaysian Resources Corporation (MRC) will construct a RM115 million overhead bridge to connect Jalan Klang Lama with the New Pantai Expressway. Minetech Resources has proposed to acquire Glamour Heights for RM27.5 million, giving it access to two ongoing property development projects in Perak, Malaysia.
November 11, 2014, Tuesday
DRB-Hicom’s unit, KL Airport Services (KLAS), will acquire local cargo air service player Gading Sari Aviation Services, for RM72 million. Malaysia Airports Holdings (MAHB) has proposed a one-for-five rights issue to fund its acquisition of the remaining 40 per cent stake in two Turkish airport ventures. Private equity firm Creador and listed education provider SMRT Holdings have expressed intent to make a buyout offer for Masterskill Education Group (MEGB) at RM0.60 per share, subject to due diligence to be done.
November 10, 2014, Monday
AT Systemization, which is on the lookout for new business under a diversification plan, is eyeing an ideal revenue contribution of 20 percent from new businesses in the financial ending 28 February 2016 (FY16). For the third quarter ended 30 September, MISC’s net profit expanded 17.4 percent to RM470.8 million, on the back of a marginally higher revenue at RM2.2 billion. For the third quarter ended 30 September, Supermax Corporation recorded a 22.3 percent decline in net profit to RM27.9 million due to realised and unrealised forex losses of RM5.9 million.
November 7, 2014, Friday
For the fourth quarter ended 30 September, Fraser & Neave Holdings reported a 22.3 percent fall in net profit to RM62.2 million, despite a 7.5 percent increase in revenue to RM964.5 million. For the third quarter ended 30 September, Media Prima reported a 33.6 percent contraction in net profit to RM42.2 million, as revenue declined 13.6 percent to RM379.6 million. Westports Holdings has earmarked RM1 billion over the next three years from 2015 to 2017, for its container terminal 8 (CT8) expansion plan as it gears up for increasing volume and higher utilisation rate.
November 6, 2014, Thursday
For the third quarter ended 30 September, Boustead Heavy Industries Corporation (BHIC) reported a 34.8 percent contraction in net profit to RM10.4 million, due to share of losses from associates and higher losses reported from the chartering segment. Mitrajaya Holdings’ wholly-owned subsidiary, Pembinaan Mitrajaya, has been awarded a RM401.9 million property job by Sunrise Pioneer, a member of UEM Sunrise Group.
November 5, 2014, Wednesday
Global Oriental expects to record net gain of RM85.2 million from the sale of 15.6 acres of leasehold land in Seri Kembangan, Selangor to Singapore incorporated Qingdao Investment for RM142.4 million. For the third quarter ended 30 September, Petronas Gas recorded a 10.2 percent increase in net profit to RM418.6 million, in line with a 9.8 percent rise in top line to RM1.1 billion.
November 4, 2014, Tuesday
Celcom Axiata, one of the members of Axiata’s group of companies, has entered into a joint venture (JV) with South Korea’s SK Planet to pursue e-commerce opportunities in Malaysia. For the third quarter ended 30 September, Malaysia Building Society (MBSB) reported a 44.9 percent increase in net profit to RM192.4 million, attributable to higher operating income from Islamic banking operations and conventional business as well as lower impairment losses on loans, advances and financing.
November 3, 2014, Monday
IOI Properties Group may emerge as the key beneficiary for the mass rapid transit Sungai Buloh-Serdang-Putrajaya line (MRT2), given that it has 200 hectares of landbank in Putrajaya, that houses IOI Resort City. Management of Perisai Petroleum Teknologi has shared that mobile offshore production unit Rubicone and pipelay barge Enterprise 3 (E3) are unlikely to be put to work this year, given that the monsoon season has started in Southeast Asia.
October 31, 2014, Friday
AirAsia, Asia’s largest low-cost carrier by passenger number, has proposed to set up a Sukuk Mudharabah programme to raise up to RM1 billion. For the third quarter ended 30 September, Press Metal recorded net profit of RM82.7 million, in contrast to net loss of RM1.6 million in 3Q13, with quarterly revenue surging 29.5 percent to RM1 billion. JF Apex Securities has nudged up QL Resources earnings forecast for FY15 by 1.8 percent after imputing the income contribution from marine white prawn aquaculture.
October 30, 2014, Thursday
Gamuda’s and MMC Corporation’s joint venture (JV) has been appointed as the project delivery partner (PDP) for the Mass Rapid Transit (MRT) Line 2 from Sungai Buloh to Serdang and Putrajaya. For the third quarter ended 30 September, IGB Real Estate Investment Trust (IGB REIT) posted an 8.8 percent increase in net property income (NPI) to RM80.1 million, on the back of a 4.2 percent rise in gross revenue to RM112.6 million.
October 29, 2014, Wednesday
For the third quarter ended 30 September, Globetronics Technology’s net profit rose 16.5 percent to RM17.7 million, on the back of improved revenue, which grew 14.3 percent to RM91.1 million. For the third quarter ended 30 September, NCB Holdings reported a net loss of RM2.3 million (3Q13: RM27.3 million net profit), bringing 9M14’s net profit to RM5.3 million, down 90.7 percent and substantially below estimates by the street and Maybank Investment Bank (Maybank IB).
October 28, 2014, Tuesday
With weaker crude oil prices expected to persist, not to mention increasing competition in the fabrication space, AllianceDBS Research has adjusted its valuations on Malaysia Marine and Heavy Engineering Holdings (MMHE). For the third quarter ended 30 September, Nestle (Malaysia) reported a 9.9 percent jump in net profit to RM150.1 million. Tenaga Nasional (TNB) is expected to register a strong finish for its financial year ended 31 August, with its fourth-quarter earnings projected to rise significantly on an annual basis due to lower electricity-generation costs.
October 27, 2014, Monday
Hock Seng Lee (HSL) is eyeing new jobs in the Pan Borneo Highway project, which is expected to be accelerated by big funding under the federal budget 2015. OCK Group, Malaysia’s leading telecommunications network services provider, has received approval from the respective authorities for its proposed transfer from the Ace Market to the Main Market of Bursa Malaysia Securities. UMW Holdings wholly-owned unit, UMW Lubricant International (ULI), aims to grow its lubricant market share to double digits by 2019 up from about 7 percent currently.
October 24, 2014, Friday
Kulim (M) expects to record a gain of RM1.6 billion from the sale of its 49 percent stake in New Britain Palm Oil (NBPOL) for GBP525.4 million (RM2.8 billion) to Sime Darby, stating there were no superior offers from other parties. Malaysia Airports Holdings (MAHB) has exercised its right of first right refusal to acquire the remaining 40 percent stake in Istanbul Sabiha Gokcen International Airport Investment Development and Operation as well as LGMHavalimani Isletmeleri Ticaret ve Turizm.
October 23, 2014, Thursday
CIMB Equities Research noted that Axis Real Estate Investment Trust (Axis REIT) ‘s performance is in line, after recording a core net profit of RM61.9 million in 9M14, which makes up 62 percent its full-year estimates. For the three-month period ended 30 September, Daibochi Plastic and Packaging Industry’s revenue declined 4.8 percent to RM83.1 million, due to lower contributions from its property business, which is being phased out.
October 21, 2014, Tuesday
Amalgamated Industrial Steel (AIS), which has been in the red for six years, is hopeful of narrowing loss this year as it sells its pipes at higher prices, following the government’s slapping of anti-dumping tax on select imported hot-rolled coils (HRC). For the three-month period ended 30 September, Bursa Malaysia’s revenue and net profit came in 8 percent and 14.9 percent higher at RM121 million and RM53.1 million respectively, backed by an increase in both trading and non-trading revenues.
October 20, 2014, Monday
RHB Research has maintained its ‘Buy’ call on Datasonic Group with a reduced target price of RM2.10 based on an unchanged 25 times FY16F price to earnings. CIMB Equities Research has maintained its assumptions that Muhibbah Engineering may secure RM600 million infrastructure job wins for FY14 and RM1 billion for FY15, driven by domestic oil & gas infrastructure. JF Apex Securities said that investors could flock to telecommunication companies’ (telco) stocks in the current market slump, due to the sector’s defensive nature and stable dividends.
October 17, 2014, Friday
For the third quarter ended 30 September, British American Tobacco (M) (BAT) posted a 9.9 percent increase in net profit to RM241.1 million as revenue for the quarter rose 3.3 percent to RM1.2 billion. Eco World Development Group has proposed to acquire a 30 percent stake in Eco World International (EWI), a real-estate special purpose acquisition company (SPAC), for RM562.5 million.
October 16, 2014, Thursday
RHB Research has maintained its ‘Neutral’ recommendation on Caring Pharmacy, as it expects Caring’s earnings growth to be capped by its expansion plans and operating cost pressures. OSK Holdings (OSKH) aims to become a stronger property player through the proposed acquisition of OSK Property Holdings and PJ Development Holdings for a combined RM584.7 million. For the third quarter ended 31 August, Zhulian Corporation’s earnings fell 73.8 percent to RM10.4 million, as revenue fell 53.9 percent to RM57.2 million.
October 15, 2014, Wednesday
Euro Holdings shareholders have rejected the mandatory general offer by its three major owners to buy the remaining shares they do not own in the company for RM0.44 each, with none of the remaining shareholders accepting the offer. PublicInvest Research is of the view that IGB Corporation’s revalued net asset value (RNAV) should be worth RM6.90 per share, justifying a higher target price of RM4.80. For the fourth quarter ended 31 August, Top Glove Corporation posted a 5.2 percent decline in net profit to RM45.9 million, despite a 5.8 percent rise in revenue to RM580.2 million.
October 14, 2014, Tuesday
CIMB Research has initiated coverage on software solutions provider IFCA MSC that focuses particularly on property development, golf clubs, hotels and the construction sector, with around 70 percent market share of the domestic property sector. Sasbadi Holdings has sealed a deal with one of Indonesia’s largest book publishers, PT Penerbit Erlangga (PPE), granting PPE an exclusive and non-transferable licence to use its interactive online learning system i-LEARN, and sell its online learning materials under the platform in Indonesia.
October 13, 2014, Monday
Analysts are positive on Sime Darby’s proposal to acquire all shares in New Britain Palm Oil (NBPOL) for GBP1.1 billion (RM5.6 billion) as it would be value enhancing for the conglomerate in the long term. MIDF Research stated that the offer price of GBP7.15 per share is fair, although it represents a premium of 85 percent to NBPOL’s last closing price on 8 October, due to the quality of NBPOL’s assets which has made it one of the best performing palm oil companies in the world.
October 10, 2014, Friday
In what is by far the largest corporate deal in Malaysia, RHB Capital will buy CIMB Group Holdings under their proposed mega merger with Malaysia Building Society (MBSB) in a deal valued at more than RM94 billion. Sarawak Cable has won a 40-month contract worth RM493million from Shanghai Electric Group Co, the main contractor of the Balingian coal-fired power plant in Sarawak, with the contract sum subjected to the final scope of work.
October 9, 2014, Thursday
Ireka Corporation’s infrastructure arm, Ireka Engineering and Construction, has bagged an RM276.8 million construction contract from KL Eco City. Garment and packaging products manufacturer Magni-Tech Industries, is toying with the idea of diversifying into sectors such as property or manufacturing, amid rising costs and increased competition from India and China in the garment industry. For the third quarter ended 30 September, LPI Capital’s operating revenue rose 6.3 percent to RM301.2 million and net profit jumped 6.4 percent to RM64.2 million.
October 8, 2014, Wednesday
Axis Real Estate Investment Trust (Axis REIT) is buying a 10.9 hectares industrial site with the factory in Nusajaya, Johor, for RM153.5 million. CIMB Research says KPJ Healthcare’s move to inject assets into Al-Aqar, through the sale of the new extension at the main campus of its education arm, KPJ University College for RM77.8 million will have limited impact on its earnings. Alliance Research initiated coverage on Pantech Group Holdings, noting that the group stands a good chance to win up to RM1.7 billion worth of jobs in relation to the oil and gas (O&G) downstream activities at the Pengerang Integrated Petroleum Complex (PIPC).
October 7, 2014, Tuesday
MIDF Investment Research noted that the potential valuation of the possible spin off and listing of AirAsia’s leasing operations could reach US$1 billion, half of AirAsia’s current market capitalisation. CIMB Equities Research has initiated coverage on Berjaya Food with an ‘Add’ call, saying that the key re-rating catalysts include strong earnings growth from Starbucks, the recovery of Kenny Rogers Roasters (KRR) performance, and the injection of Starbucks fast-moving consumer good (MFCG) and other franchise businesses into the group.
October 3, 2014, Friday
Instacom Group has proposed the acquisition of a 35 percent stake in construction firm Neata Aluminium (M) for RM58.8 million, in a move to diversify the company’s earnings base. Malaysian Resources Corporation (MRCB) is planning an indoor theme park at its new township in Sungai Buloh, Selangor, which it says is going to be fun, wholesome and family-oriented. Sanichi Technology, a precision plastic injection mould maker, will be making its maiden foray into the property sector with its first project in Malacca next year.
October 2, 2014, Thursday
Axiata Group’s 66.5 percent-owned Indonesian unit, PT XL Axiata, has picked PT Solusi Tunas Pratama (STP) over 14 others to sell a portion of its towers in a deal worth US$460 million (RM1.5 billion), cash. Maybank Investment Bank (Maybank IB) is convinced that Genting Malaysia will win the upstate New York commercial casino licence because it offers the highest rate of investment, licensing fees as well as jobs and salaries into the project. As part of a move to liberalise the banking sector in the Myanmar, the Central Bank of Myanmar has granted Malayan Banking (Maybank) a banking licence to open a branch office in the country.
October 1, 2014, Wednesday
Goh Ban Huat (GBH) has not given up on securing a new asset after its plan to venture into the oil and gas (O&G) industry via a reverse takeover (RTO) was surprisingly aborted. Given its steady recurring income from the power business coupled with decent earnings prospects from its resources arm, Public Investment Bank (PIB) said it believes that Mega First Corporation investors is currently getting both businesses for nearly free at the current share price. Sime Darby has walked away from buying a 49 percent stake in New Britain Palm Oil (NBPOL) from Kulim (M).