Tracking The World Economy...
The World Economy... - 30/04/2010
Friday, April 30, 2010
Mandarin Version - Market Technical Reading - Lack Of Positive Confirmation, Stay Cautious...- 30/04/2010
Local Market Leads:
♦ Bursa Malaysia kicked off a mild rebound early Thursday, after the US Federal Reserve pledged to maintain the current easy money policy for an extended period.
♦ However, in line with most of the Asian markets, the local bourse turned lower in the mid-day amid concerns that the sovereign-debt problem might spread to other Eurozone members after Standard & Poor’s downgraded the credit rating on Spain, where the size of its GDP is about five times that of Greece and Portugal.
Mandarin Version - Market Technical Reading - Lack Of Positive Confirmation, Stay Cautious...- 30/04/2010
♦ Bursa Malaysia kicked off a mild rebound early Thursday, after the US Federal Reserve pledged to maintain the current easy money policy for an extended period.
♦ However, in line with most of the Asian markets, the local bourse turned lower in the mid-day amid concerns that the sovereign-debt problem might spread to other Eurozone members after Standard & Poor’s downgraded the credit rating on Spain, where the size of its GDP is about five times that of Greece and Portugal.
Mandarin Version - Market Technical Reading - Lack Of Positive Confirmation, Stay Cautious...- 30/04/2010
Corporate Highlights - 30/04/2010
♦ Taking Stock
Market Update : Position For More Volatility Ahead
♦ CSC Steel
Results Preview : 1QFY12/10 Results To Beat Expectations
Corporate Highlights - 30/04/2010
Market Update : Position For More Volatility Ahead
♦ CSC Steel
Results Preview : 1QFY12/10 Results To Beat Expectations
Corporate Highlights - 30/04/2010
Market Technical Reading - Lack Of Positive Confirmation, Stay Cautious...- 30/04/2010
Local Market Leads:
♦ Bursa Malaysia kicked off a mild rebound early Thursday, after the US Federal Reserve pledged to maintain the current easy money policy for an extended period.
♦ However, in line with most of the Asian markets, the local bourse turned lower in the mid-day amid concerns that the sovereign-debt problem might spread to other Eurozone members after Standard & Poor’s downgraded the credit rating on Spain, where the size of its GDP is about five times that of Greece and Portugal.
Market Technical Reading - Lack Of Positive Confirmation, Stay Cautious...- 30/04/2010
♦ Bursa Malaysia kicked off a mild rebound early Thursday, after the US Federal Reserve pledged to maintain the current easy money policy for an extended period.
♦ However, in line with most of the Asian markets, the local bourse turned lower in the mid-day amid concerns that the sovereign-debt problem might spread to other Eurozone members after Standard & Poor’s downgraded the credit rating on Spain, where the size of its GDP is about five times that of Greece and Portugal.
Market Technical Reading - Lack Of Positive Confirmation, Stay Cautious...- 30/04/2010
Notion Vtec Berhad : Proposes Private Placement and Warrants Issue - 30/04/2010
2QFY10 results in line. 1HFY09/10 net profits were in line with our expectations and market consensus, accounting for 47% and 50% of our full-year and market consensus respectively. While 2QFY09/10 revenue remained resilent qoq, net profit dropped arginally qoq due to: 1) seasonal factors; and 2) higher expenses incurred from the capacity ramp up coming into 2Q.
Notion Vtec Berhad : Proposes Private Placement and Warrants Issue
Notion Vtec Berhad : Proposes Private Placement and Warrants Issue
RHB Equity 360° - 30 April 2010 (Market, CSC Steel, Notion Vtec; Technical: Perisai)
Top Story : Taking Stock – Position for more volatility ahead
Market Update
- We expect the market volatility to continue due to changing external factors including rising interest rates, fluctuating exchange rates, rising commodity prices, and balanced against the global economic recovery.
- We caution that May has tended to be volatile with the FBM EMAS and FBM KLCI showing a decline for end-May vs. end-Apr prices in six out of the last 10 years. The 2010 FIFA World Cup in South Africa in Jun/Jul could also have a negative impact. Price charts for the last five World Cup years indicate the FBM EMAS and FBM KLCI generally having a downswing in the early part of each event
RHB Equity 360° - 30 April 2010 (Market, CSC Steel, Notion Vtec; Technical: Perisai)
Market Update
- We expect the market volatility to continue due to changing external factors including rising interest rates, fluctuating exchange rates, rising commodity prices, and balanced against the global economic recovery.
- We caution that May has tended to be volatile with the FBM EMAS and FBM KLCI showing a decline for end-May vs. end-Apr prices in six out of the last 10 years. The 2010 FIFA World Cup in South Africa in Jun/Jul could also have a negative impact. Price charts for the last five World Cup years indicate the FBM EMAS and FBM KLCI generally having a downswing in the early part of each event
RHB Equity 360° - 30 April 2010 (Market, CSC Steel, Notion Vtec; Technical: Perisai)
CSC Steel Berhad : 1QFY12/10 Results To Beat Expectations - 30/04/2010
1QFY12/10 results to beat expectations. We believe CSC Steel’s 1QFY12/10 results (due out on next Friday evening) is likely to beat our as well as market expectations, driven by higher input prices (in particular, iron ore and metallurgical coke) and improved downstream demand that boost demand and prices of flat steel products.
CSC Steel Berhad : 1QFY12/10 Results To Beat Expectations
CSC Steel Berhad : 1QFY12/10 Results To Beat Expectations
Market Update - Taking Stock - Position For More Volatility Ahead
More volatile market ahead. We expect the market volatility to continue due to changing external factors including rising interest rates, fluctuating exchange rates, rising commodity prices, and balanced against the global economic recovery. Athough the benchmark FBM KLCI is still positive (+4.7%) YTD, we note that most of the top 30 stocks (including banks, plantation, power and telecom) have been relatively lacklustre over the last two months, as investors focused on the smaller caps.
Market Update - Taking Stock - Position For More Volatility Ahead
Market Update - Taking Stock - Position For More Volatility Ahead
Economic Highlights - Economic Activities Improved In April
♦ Vietnam’s industrial production moderated to 13.0% yoy in April, from +14.0% in March, indicating that industrial activities remained resilient underpinned by an improvement in exports.
♦ Exports, on the other hand, rebounded to increase by 8.9% yoy in January-April, from -1.6% in January-March, underpinned by a strong pick-up in exports of multinational companies. This was reflected in a pick-up in the exports of wooden products, clothing, machinery equipment & parts and electric wires & cables. Stronger growth in the exports of other manufactured goods and smaller declines in the exports of agriculture products and crude oil also helped. Although imports moderated to 35.6% yoy in January-April, from +37.6% in January-March, it remained strong, indicating that domestic demand and exports will likely remain resilient
Economic Highlights - Economic Activities Improved In April
♦ Exports, on the other hand, rebounded to increase by 8.9% yoy in January-April, from -1.6% in January-March, underpinned by a strong pick-up in exports of multinational companies. This was reflected in a pick-up in the exports of wooden products, clothing, machinery equipment & parts and electric wires & cables. Stronger growth in the exports of other manufactured goods and smaller declines in the exports of agriculture products and crude oil also helped. Although imports moderated to 35.6% yoy in January-April, from +37.6% in January-March, it remained strong, indicating that domestic demand and exports will likely remain resilient
Economic Highlights - Economic Activities Improved In April
Thursday, April 29, 2010
Corporate Highlights - 29/4/2010
Sime Darby
Visit Note : Short-Term Weakness In FFB Production,But Long-Term Sustainability Intact
Media
Sector Update : Another Strong Month For Print and TV Adex Neutral
Construction
Sector Update : Prasarana Pre-qualifies Contractors For LRT Line Extension Project
Corporate Highlights - 29/4/2010
Visit Note : Short-Term Weakness In FFB Production,But Long-Term Sustainability Intact
Media
Sector Update : Another Strong Month For Print and TV Adex Neutral
Construction
Sector Update : Prasarana Pre-qualifies Contractors For LRT Line Extension Project
Corporate Highlights - 29/4/2010
Mandarin Version - Market Technical Reading - Investors Likely To Stay At The Trading Bay...
Local Market Leads:
In tandem with the global selloff amid the credit-rating downgrades on Greece and Portugal, the local market extended its selling activities on Wednesday.
Mandarin Version - Market Technical Reading - Investors Likely To Stay At The Trading Bay...
In tandem with the global selloff amid the credit-rating downgrades on Greece and Portugal, the local market extended its selling activities on Wednesday.
Mandarin Version - Market Technical Reading - Investors Likely To Stay At The Trading Bay...
Market Technical Reading - Investors Likely To Stay At The Trading Bay...- 29/4/2010
Local Market Leads:
♦ In tandem with the global selloff amid the credit-rating downgrades on Greece and Portugal, the local market extended its selling activities on Wednesday.
♦ Standard & Poor’s on Tuesday downgraded Greece's debt rating to “junk” status and cut Portugal's rating by two levels, triggering a sharp correction in the overnight US and European markets on fears of possible contagion effect from Greece and uncertainties over the outlook of other indebted Eurozone members.
♦ Coupled wth the powerful selloff in early European markets, most Asian bourses stayed deep in the negative territories. The Nikkei 225 led yesterday’s selldown with a 2.57% slump for the day.
Market Technical Reading - Investors Likely To Stay At The Trading Bay...- 29/4/2010
♦ In tandem with the global selloff amid the credit-rating downgrades on Greece and Portugal, the local market extended its selling activities on Wednesday.
♦ Standard & Poor’s on Tuesday downgraded Greece's debt rating to “junk” status and cut Portugal's rating by two levels, triggering a sharp correction in the overnight US and European markets on fears of possible contagion effect from Greece and uncertainties over the outlook of other indebted Eurozone members.
♦ Coupled wth the powerful selloff in early European markets, most Asian bourses stayed deep in the negative territories. The Nikkei 225 led yesterday’s selldown with a 2.57% slump for the day.
Market Technical Reading - Investors Likely To Stay At The Trading Bay...- 29/4/2010
YNH Property Berhad : Stronger 2HFY12/10 Ahead
Within expectations. 1QFY12/10 net profit made up 22-23% of our and consensus estimates. We consider the results within expectations as we expect stronger 2H on the back of new property launches and as construction works of Fraser Residence and Kiara 163 commence. The company’s unbilled sales currently stand at about RM890m, or 2.9x of our FY10 revenue forecast.
YNH Property Berhad : Stronger 2HFY12/10 Ahead
YNH Property Berhad : Stronger 2HFY12/10 Ahead
Fajarbaru Builder Group Berhad : 9MFY06/10 Net Profit Jumps 42% YoY
No issue. 9MFY06/10 net profit came in within our expectation at 76% of our full-year forecast.
Better job flow in FY06/11. Among the new projects Fajarbaru is currently eyeing/tendering are the RM400m teaching-hospital in Kuantan based on the private finance initiative (PFI) model, the remaining work packages of the new LCCT including parking apron (RM200m), taxiway (RM100m) and runway (RM400-500m), a bridge/road project in Peninsula Malaysia and the LRT line extension project. The winning bids for these jobs are likely to be announced from 2H2010.
Fajarbaru Builder Group Berhad : 9MFY06/10 Net Profit Jumps 42% YoY
Better job flow in FY06/11. Among the new projects Fajarbaru is currently eyeing/tendering are the RM400m teaching-hospital in Kuantan based on the private finance initiative (PFI) model, the remaining work packages of the new LCCT including parking apron (RM200m), taxiway (RM100m) and runway (RM400-500m), a bridge/road project in Peninsula Malaysia and the LRT line extension project. The winning bids for these jobs are likely to be announced from 2H2010.
Fajarbaru Builder Group Berhad : 9MFY06/10 Net Profit Jumps 42% YoY
Ann Joo Resources Berhad : Near-Term Outlook Remains Positive
Below our expectation, but above market consensus. 1QFY12/10 net profit came in below our expectation, accounting for only 19.2% of our full-year forecast. We believe the variance against our forecast came largely from higher-than-expected raw material costs (in particular,scraps). As against the market expectations, the results came in above,accounting for 27.7% of the full-year market consensus.
Ann Joo Resources Berhad : Near-Term Outlook Remains Positive
Ann Joo Resources Berhad : Near-Term Outlook Remains Positive
Sunway Holdings Berhad : Acquires 33-Acre Land In Taman Equine For RM37.8m
RM250m GDV. Sunway is acquiring from Equine Capital 33.4 acres of leasehold land in Taman Equine, Bandar Putra Permai, Selangor, for RM37.8m or RM26 psf. Sunway plans to build high-end residential properties on the land comprising semi-detached houses and bungalows with a total GDV of RM250m, targeted for launching in 2011.
Sunway Holdings Berhad : Acquires 33-Acre Land In Taman Equine For RM37.8m
Sunway Holdings Berhad : Acquires 33-Acre Land In Taman Equine For RM37.8m
Allianz Malaysia Berhad : Subscribe For The ICPS
Briefing highlights. AMB held an analysts’ briefing yesterday to discuss the proposed ICPS issue. Although the company had explored various capital raising options, management decided the ICPS was the best option to address the RM490m inter-company loan from Allianz SE, as well as the internal capital requirement under the RBC framework. More details on the ICPS will be given closer to the EGM which is scheduled for 24 Jun.
Allianz Malaysia Berhad : Subscribe For The ICPS
Allianz Malaysia Berhad : Subscribe For The ICPS
Construction - Prasarana Pre-qualifies Contractors For LRT Line Extension Project
Contractors pre-qualified. Syarikat Prasarana Negara Bhd (Prasarana), the national public transport system holding company, has published the lists of main contractors and segmental box girder subcontractors for the RM7bn Ampang and Kelana Jaya LRT line extension project. Those who made it to the lists include familiar names such as Gamuda, IJM, WCT, Sunway, MRCB, Fajarbaru, Ranhill, Muhibbah, UEM, MMC, Zelan, Mudajaya, Loh & Loh, Ahmad Zaki, Bina Puri, as well as some private companies (see Table 2).
Construction - Prasarana Pre-qualifies Contractors For LRT Line Extension Project
Construction - Prasarana Pre-qualifies Contractors For LRT Line Extension Project
Media - Another Strong Month For Print and TV Adex
Mar’s adex for print and TV media rose 25.3% yoy. According to Nielsen Media Research (NMR), Mar’s gross ad spend for print and TV media rose 25.3% yoy with both print and TV media reporting yoy growth of 25.8% and 24.6% respectively.
Media - Another Strong Month For Print and TV Adex
Media - Another Strong Month For Print and TV Adex
Sime Darby Berhad : Short-Term Weakness In FFB Production,But Long-Term Sustainability Intact
Six key takeaways from our recent visit:
(1) Slower FFB production in Indonesia now;
(2) Longer-term FFB growth sustainable;
(3) CPO price view unchanged;
(4) Production costs to decline, but not as significantly as seen in 1HFY10;
(5) Property division picking up speed; and
(6) Capex higher than expected.
Sime Darby Berhad : Short-Term Weakness In FFB Production,But Long-Term Sustainability Intact
(1) Slower FFB production in Indonesia now;
(2) Longer-term FFB growth sustainable;
(3) CPO price view unchanged;
(4) Production costs to decline, but not as significantly as seen in 1HFY10;
(5) Property division picking up speed; and
(6) Capex higher than expected.
Sime Darby Berhad : Short-Term Weakness In FFB Production,But Long-Term Sustainability Intact
RHB Equity 360° - 29 April 2010 (Sime Darby, Construction, Media, Allianz, Sunway, Ann Joo, Fajarbaru, YNH; Technical: WCT)
Top Story : Sime Darby – Short-term weakness in FFB production, but LT sustainability intact. Outperform.
Visit Note:
Six key takeaways from our recent visit:
1) Slower FFB production in Indonesia now;
2) Longer-term FFB growth sustainable;
3) CPO price view unchanged;
4) Production costs to decline, but not as significantly as seen in 1HFY10;
5) Property division picking up speed; and
6) Capex higher than expected.
RHB Equity 360° - 29 April 2010 (Sime Darby, Construction, Media, Allianz, Sunway, Ann Joo, Fajarbaru, YNH;...
Visit Note:
Six key takeaways from our recent visit:
1) Slower FFB production in Indonesia now;
2) Longer-term FFB growth sustainable;
3) CPO price view unchanged;
4) Production costs to decline, but not as significantly as seen in 1HFY10;
5) Property division picking up speed; and
6) Capex higher than expected.
RHB Equity 360° - 29 April 2010 (Sime Darby, Construction, Media, Allianz, Sunway, Ann Joo, Fajarbaru, YNH;...
Wednesday, April 28, 2010
Corporate Highlights...- 28/04/2010
♦ Media Prima
Company Update : Strong Start For TV and Print Adex
♦ Carlsberg Brewery
News Update : Raising Prices
♦ Market Technical Reading
Daily Trading Strategy : Sentiment Deteriorating...
Corporate Highlights...- 28/04/2010
Company Update : Strong Start For TV and Print Adex
♦ Carlsberg Brewery
News Update : Raising Prices
♦ Market Technical Reading
Daily Trading Strategy : Sentiment Deteriorating...
Corporate Highlights...- 28/04/2010
Mandarin Version - Market Technical Reading - Sentiment Deteriorating...- 28/04/2010
Local Market Leads:
♦ Fears of further tightening measures from the Chinese government on its property sector have dampened sentiment in the regional markets. Bursa Malaysia closed weaker on Tuesday.
♦ Apart from that, uncertainties arose from the Greek bailout deal and the upcoming US FOMC meeting kept investors in a defensive mood. German Chancellor Angela Merkel said that the Greek bailout isn’t a done deal.
♦ Shanghai Composite slumped more than 3.5% at one point, before narrowing losses to 2.07% to end at 2,907.93. Hang Seng index tumbled 325 pts or 1.5% to 21,261.79.
♦ Selling was strong throughout the day, but the late support on local bluechips, BAT (+50sen), Digi (+18sen) and Genting (+3sen) saved the FBM KLCI from the day’s low. It eased 0.35pt or 0.03% to 1,339.72.
♦ Turnover increased to 975m shares from Monday’s 800m shares, but mostly dominated by the lower liners. KNM that led the active list yesterday contributed more than 15% of the day’s turnover. It plunged 6sen or 10.3% to RM0.525. Market breadth was bearish with decliners overwhelming advancers by a ratio of nearly 3 to 1.
Mandarin Version - Market Technical Reading - Sentiment Deteriorating...- 28/04/2010
♦ Fears of further tightening measures from the Chinese government on its property sector have dampened sentiment in the regional markets. Bursa Malaysia closed weaker on Tuesday.
♦ Apart from that, uncertainties arose from the Greek bailout deal and the upcoming US FOMC meeting kept investors in a defensive mood. German Chancellor Angela Merkel said that the Greek bailout isn’t a done deal.
♦ Shanghai Composite slumped more than 3.5% at one point, before narrowing losses to 2.07% to end at 2,907.93. Hang Seng index tumbled 325 pts or 1.5% to 21,261.79.
♦ Selling was strong throughout the day, but the late support on local bluechips, BAT (+50sen), Digi (+18sen) and Genting (+3sen) saved the FBM KLCI from the day’s low. It eased 0.35pt or 0.03% to 1,339.72.
♦ Turnover increased to 975m shares from Monday’s 800m shares, but mostly dominated by the lower liners. KNM that led the active list yesterday contributed more than 15% of the day’s turnover. It plunged 6sen or 10.3% to RM0.525. Market breadth was bearish with decliners overwhelming advancers by a ratio of nearly 3 to 1.
Mandarin Version - Market Technical Reading - Sentiment Deteriorating...- 28/04/2010
Market Technical Reading - Sentiment Deteriorating...
Local Market Leads:
♦ Fears of further tightening measures from the Chinese government on its property sector have dampened sentiment in the regional markets. Bursa Malaysia closed weaker on Tuesday.
♦ Apart from that, uncertainties arose from the Greek bailout deal and the upcoming US FOMC meeting kept investors in a defensive mood. German Chancellor Angela Merkel said that the Greek bailout isn’t a done deal.
♦ Shanghai Composite slumped more than 3.5% at one point, before narrowing losses to 2.07% to end at 2,907.93. Hang Seng index tumbled 325 pts or 1.5% to 21,261.79.
♦ Selling was strong throughout the day, but the late support on local bluechips, BAT (+50sen), Digi (+18sen) and Genting (+3sen) saved the FBM KLCI from the day’s low. It eased 0.35pt or 0.03% to 1,339.72.
Market Technical Reading - Sentiment Deteriorating...
♦ Fears of further tightening measures from the Chinese government on its property sector have dampened sentiment in the regional markets. Bursa Malaysia closed weaker on Tuesday.
♦ Apart from that, uncertainties arose from the Greek bailout deal and the upcoming US FOMC meeting kept investors in a defensive mood. German Chancellor Angela Merkel said that the Greek bailout isn’t a done deal.
♦ Shanghai Composite slumped more than 3.5% at one point, before narrowing losses to 2.07% to end at 2,907.93. Hang Seng index tumbled 325 pts or 1.5% to 21,261.79.
♦ Selling was strong throughout the day, but the late support on local bluechips, BAT (+50sen), Digi (+18sen) and Genting (+3sen) saved the FBM KLCI from the day’s low. It eased 0.35pt or 0.03% to 1,339.72.
Market Technical Reading - Sentiment Deteriorating...
Carlsberg Brewery (M) Berhad : Raising Prices
Raising prices by 3.6% in May. Malaysia’s two brewers will raise prices of their beer and stout products by about 3.6% in May to offset higher raw material costs, particularly malt. According to Carlsberg’s management, raw material prices have escalated by an average of about 10% per year over the last five years, making current product prices unsustainable.
Carlsberg Brewery (M) Berhad : Raising Prices
Carlsberg Brewery (M) Berhad : Raising Prices
Media Prima Berhad : Strong Start For TV and Print Adex
1Q10 adex for TV and print off to a good start. According to Nielsen Media Research (“NMR”), 1Q10 adex for Media Prima’s TV channels jumped 34.6% yoy while the print media saw gross adex grow by 7.5% yoy. For the TV segment, 1Q adex growth was led by TV9 (+62% yoy) while for the print media, the growth mainly came from Harian Metro (18% yoy). Generally the stronger TV adex growth is consistent with past trends, where we note that TV adex has historically had a higher leverage to GDP growth, vis-Ã -vis print adex.
Media Prima Berhad : Strong Start For TV and Print Adex - 28/04/2010
Media Prima Berhad : Strong Start For TV and Print Adex - 28/04/2010
RHB Equity 360° (Media Prima; Technical: KNM) - 28/04/2010
Top Story : Media Prima – Strong start for TV and print adex Outperform
Company Update
♦ According to Nielsen Media Research (NMR), 1Q10 adex for Media Prima’s TV channels jumped 34.6% yoy while the print media saw gross adex grow by 7.5% yoy. For the TV segment, 1Q adex growth was led by TV9 (+62% yoy) while for the print media, the growth mainly came from Harian Metro (18% yoy). Generally the stronger TV adex growth is consistent with past trends, where we note that TV adex has historically had a higher leverage to GDP growth, vis-Ã -vis print adex.
♦ For FY09, average discounts for the TV segment was 68.8% (FY08: 61.6%) as the weaker economic conditions then meant that higher discounts were required to secure commitments from advertisers. For FY10, management expects discounts for the TV segment to average around the 65%-level as economic conditions improve. The bulk of the increase in discount should flow down to Media Prima’s bottomline.
♦ NSTP’s print adex market share grew to 31.5% in 1Q10 from 29.2% in 1Q09. This was largely due to the growth in adex from the malay dailies, partly offset by NST’s market share loss. Management, however, remains positive on the adex outlook for NST given improving economic conditions and major sporting events in FY10.
♦ We have revised up our FY10 and FY11 ad revenue growth projections for the TV segment to +8% and +5% respectively and for print segment, to +4.9% and 4.6% respectively. Overall, our FY10-11 net profit forecasts have been raised by 9.9%-13.5%.
♦ Our indicative fair value has been revised upwards to RM2.55 (fully diluted) from RM2.23 based on unchanged target FY10 PER of 15x. We reiterate our Outperform call on the stock.
RHB Equity 360° (Media Prima; Technical: KNM)-28/04/2010
Company Update
♦ According to Nielsen Media Research (NMR), 1Q10 adex for Media Prima’s TV channels jumped 34.6% yoy while the print media saw gross adex grow by 7.5% yoy. For the TV segment, 1Q adex growth was led by TV9 (+62% yoy) while for the print media, the growth mainly came from Harian Metro (18% yoy). Generally the stronger TV adex growth is consistent with past trends, where we note that TV adex has historically had a higher leverage to GDP growth, vis-Ã -vis print adex.
♦ For FY09, average discounts for the TV segment was 68.8% (FY08: 61.6%) as the weaker economic conditions then meant that higher discounts were required to secure commitments from advertisers. For FY10, management expects discounts for the TV segment to average around the 65%-level as economic conditions improve. The bulk of the increase in discount should flow down to Media Prima’s bottomline.
♦ NSTP’s print adex market share grew to 31.5% in 1Q10 from 29.2% in 1Q09. This was largely due to the growth in adex from the malay dailies, partly offset by NST’s market share loss. Management, however, remains positive on the adex outlook for NST given improving economic conditions and major sporting events in FY10.
♦ We have revised up our FY10 and FY11 ad revenue growth projections for the TV segment to +8% and +5% respectively and for print segment, to +4.9% and 4.6% respectively. Overall, our FY10-11 net profit forecasts have been raised by 9.9%-13.5%.
♦ Our indicative fair value has been revised upwards to RM2.55 (fully diluted) from RM2.23 based on unchanged target FY10 PER of 15x. We reiterate our Outperform call on the stock.
RHB Equity 360° (Media Prima; Technical: KNM)-28/04/2010
Tuesday, April 27, 2010
Axiata Group Berhad : Mixed Outlook For Regional Cellcos - 22/04/2010
Celcom. Having addressed congestion issues late-2009, management remains positive on the growth potential in the mobile broadband segment. This is mainly due to:
(1) Broadband penetration in Malaysia remains fairly low, suggesting that there is still tremendous room for this segment to grow;
(2) Different market segmentation (not all players are focusing on the mobile broadband segment); and
(3) Marketing activities for Celcom has started to intensify following the recent network upgrade.
Axiata Group Berhad : Mixed Outlook For Regional Cellcos-22/04/2010
(1) Broadband penetration in Malaysia remains fairly low, suggesting that there is still tremendous room for this segment to grow;
(2) Different market segmentation (not all players are focusing on the mobile broadband segment); and
(3) Marketing activities for Celcom has started to intensify following the recent network upgrade.
Axiata Group Berhad : Mixed Outlook For Regional Cellcos-22/04/2010
Mandarin Version : Market Technical Reading : Sustainability Of This Recovery Remains Questionable...-27/04/2010
Local Market Leads:
♦ The local market staged a mild rebound on Monday, as bargain-hunting support picked up in the afternoon session following Asian markets’ positive closing and a rally in European markets amid easing concerns on Greece’s debt problem.
♦ Regional investors scooped up stocks on the view that Greece's activation of EU-IMF bailout plan on last Friday would shrug off near-term worries of a possible serious debt default by the country. Also, another rally on the US DJIA on last Friday, to a fresh 19-month high aided spice to the trading sentiment.
♦ Nikkei 225 rallied the most by soaring 2.31%, followed by Taiwan Weighted (+1.91%) and Hang Seng (+1.61%). In fact, investors also ignored news that China might introduce an annual property tax to cool down surging prices in the property sector.
♦ Upon closing, the FBM KLCI was up 3.29 pts or 0.25% to 1,340.07, closer to its day high of 1,340.37.
♦ Despite that, the overall sentiment appeared dull with 800m shares transacted. Market breadth turned positive with 362 gainers leading 306 losers for the day.
Mandarin Version : Market Technical Reading : Sustainability Of This Recovery Remains Questionable...-27/04...
♦ The local market staged a mild rebound on Monday, as bargain-hunting support picked up in the afternoon session following Asian markets’ positive closing and a rally in European markets amid easing concerns on Greece’s debt problem.
♦ Regional investors scooped up stocks on the view that Greece's activation of EU-IMF bailout plan on last Friday would shrug off near-term worries of a possible serious debt default by the country. Also, another rally on the US DJIA on last Friday, to a fresh 19-month high aided spice to the trading sentiment.
♦ Nikkei 225 rallied the most by soaring 2.31%, followed by Taiwan Weighted (+1.91%) and Hang Seng (+1.61%). In fact, investors also ignored news that China might introduce an annual property tax to cool down surging prices in the property sector.
♦ Upon closing, the FBM KLCI was up 3.29 pts or 0.25% to 1,340.07, closer to its day high of 1,340.37.
♦ Despite that, the overall sentiment appeared dull with 800m shares transacted. Market breadth turned positive with 362 gainers leading 306 losers for the day.
Mandarin Version : Market Technical Reading : Sustainability Of This Recovery Remains Questionable...-27/04...
Corporate Highlights - 27/04/2010
♦ Genting Singapore
Visit Note : The Competition Starts Now
♦ Manufacturing
Sector Update : Highlights From Timber & Furniture Day
♦ Building Materials
Sector Update : Higher Cement Prices Effective 1 May 10
♦ Top Glove Corporation
News Update : Proposes 1-For-1 Bonus Issue
♦ EPIC
Results Note : No Surprises
Corporate Highlights - 27/04/2010
Visit Note : The Competition Starts Now
♦ Manufacturing
Sector Update : Highlights From Timber & Furniture Day
♦ Building Materials
Sector Update : Higher Cement Prices Effective 1 May 10
♦ Top Glove Corporation
News Update : Proposes 1-For-1 Bonus Issue
♦ EPIC
Results Note : No Surprises
Corporate Highlights - 27/04/2010
Allianz Malaysia Berhad : Proposed Rights Issue Of ICPS - 27/04/2010
Rights issue proposed. Allianz yesterday proposed a renounceable rights issue of new irredeemable convertible preference shares (ICPS). Other than the targeted gross proceeds of RM611m, and the preferential dividend rate of 1.2x the declared dividend for Allianz shares in the same year, other terms of the proposal have yet to be determined.
Allianz Malaysia Berhad : Proposed Rights Issue Of ICPS -27/04/2010
Allianz Malaysia Berhad : Proposed Rights Issue Of ICPS -27/04/2010
Building Materials : Higher Cement Prices Effective 1 May 10...-27/03/2010
Higher cement prices effective 1 May 10. Various sources have confirmed that cement prices will increase effective 1 May 10 to reflect escalating energy prices, in particular, thermal coal, the price of which has increased by 12.4% YTD. We gathered that selling prices of both 50kg bagged cement and bulk cement will be raised by approximately 9-10% to RM15.50-16.50/bag and RM300/tonne respectively effective 1 May 10.
Building Materials : Higher Cement Prices Effective 1 May 10...-27/03/2010
Building Materials : Higher Cement Prices Effective 1 May 10...-27/03/2010
Eastern Pacific Industrial Corporation Berhad : No Surprises - 27/04/2010
No surprises. Results were in line with our expectations. Although core net profit accounted for only 21.5% of our full-year forecast, the 1Q is seasonally a weak quarter for the core business under Kemaman Supply Base (KSB) with offshore activity slowing down during monsoon season. 12% and 27% yoy growth in 1QFY12/10 revenue and pre-tax profit respectively were mainly attributed to stronger contribution from Kemaman Port East Wharf (+74% yoy) arising from the pick-up in Perwaja’s activities as well as cost-cutting measures. Overall 1QFY12/10 operating margin increased 6.1%-pts qoq to 30.4% mainly due to lower operating expenses as well as higher contribution from Kemaman Port East Wharf and liquid chemical berth.
Eastern Pacific Industrial Corporation Berhad : No Surprises - 27/04/2010
Eastern Pacific Industrial Corporation Berhad : No Surprises - 27/04/2010
Genting Singapore Plc : The Competition Starts Now...-27/04/2010
Marina Bay Sands opening today. Marina Bay Sands (MBS) will open its first phase with 963 out of 2,560 hotel rooms, a portion of its shopping mall, restaurants and the Sands Expo and Convention Centre, the event plaza and the casino today. The Casino Regulatory Authority issued a casino licence to MBS yesterday, 26 April 2010. Although the casino licence has been awarded to MBS, recall that RWS needed a few days to reset the systems back to zero and to get the real “chips” ready before it could officially open, and the casino only opened a full 8 days after the licence was awarded. If we assume a like-for-like scenario, it could be possible that MBS may only be able to open the casino in a few days time.
Genting Singapore Plc : The Competition Starts Now...-27/04/2010
Genting Singapore Plc : The Competition Starts Now...-27/04/2010
Manufacturing : Highlights From Timber & Furniture Day - 27/04/2010
RHBRI Timber and Furniture Day. We hosted a Timber and Furniture day last week, which we invited two furniture companies, which are Latitude Tree Holdings Berhad (“Latitude”) and Jaycorp Berhad (“Jaycorp”). The following are the key highlights from the companies’ corporate presentations:
Manufacturing : Highlights From Timber & Furniture Day - 27/04/2010
Manufacturing : Highlights From Timber & Furniture Day - 27/04/2010
Top Glove Corporation Berhad : Proposes 1-For-1 Bonus Issue-27/04/2010
Bonus issue of 1-for-1. Top Glove yesterday declared a 1-for-1 bonus issue. Assuming all existing 6.6m treasury shares are resold in the open market (maximum scenario), up to 348.0m bonus shares will be issued, bringing Top Glove’s total issued share capital to 696.0m upon completion. The entitlement date will only be announced later.
Top Glove Corporation Berhad : Proposes 1-For-1 Bonus Issue-27/04/2010
Top Glove Corporation Berhad : Proposes 1-For-1 Bonus Issue-27/04/2010
Market Technical Reading : Sustainability Of This Recovery Remains Questionable...-27/04/2010
Local Market Leads:
♦ The local market staged a mild rebound on Monday, as bargain-hunting support picked up in the afternoon session following Asian markets’ positive closing and a rally in European markets amid easing concerns on Greece’s debt problem.
♦ Regional investors scooped up stocks on the view that Greece's activation of EU-IMF bailout plan on last Friday would shrug off near-term worries of a possible serious debt default by the country. Also, another rally on the US DJIA on last Friday, to a fresh 19-month high aided spice to the trading sentiment.
♦ Nikkei 225 rallied the most by soaring 2.31%, followed by Taiwan Weighted (+1.91%) and Hang Seng (+1.61%). In fact, investors also ignored news that China might introduce an annual property tax to cool down surging prices in the property sector.
♦ Upon closing, the FBM KLCI was up 3.29 pts or 0.25% to 1,340.07, closer to its day high of 1,340.37.
♦ Despite that, the overall sentiment appeared dull with 800m shares transacted. Market breadth turned positive with 362 gainers leading 306 losers for the day.
Market Technical Reading : Sustainability Of This Recovery Remains Questionable...-27/04/2010
♦ The local market staged a mild rebound on Monday, as bargain-hunting support picked up in the afternoon session following Asian markets’ positive closing and a rally in European markets amid easing concerns on Greece’s debt problem.
♦ Regional investors scooped up stocks on the view that Greece's activation of EU-IMF bailout plan on last Friday would shrug off near-term worries of a possible serious debt default by the country. Also, another rally on the US DJIA on last Friday, to a fresh 19-month high aided spice to the trading sentiment.
♦ Nikkei 225 rallied the most by soaring 2.31%, followed by Taiwan Weighted (+1.91%) and Hang Seng (+1.61%). In fact, investors also ignored news that China might introduce an annual property tax to cool down surging prices in the property sector.
♦ Upon closing, the FBM KLCI was up 3.29 pts or 0.25% to 1,340.07, closer to its day high of 1,340.37.
♦ Despite that, the overall sentiment appeared dull with 800m shares transacted. Market breadth turned positive with 362 gainers leading 306 losers for the day.
Market Technical Reading : Sustainability Of This Recovery Remains Questionable...-27/04/2010
RHB Equity 360° (Genting Singapore, Cement, Furniture, Allianz, Top Glove, EPIC; Technical: Measat) - 27/04/2010
Top Story : Genting Singapore – The competition starts now Outperform
Visit Note
♦ The Casino Regulatory Authority issued a casino licence to Marina Bay Sands (MBS) yesterday, 26 Apr. Nevertheless, recall RWS needed a few days to reset the systems back to zero and to get the real “chips” ready before it could officially open, and the casino only opened a full 8 days after the licence was awarded. If we assume a similar scenario, MBS may only open in a few days time.
♦ We believe MBS would likely face similar teething issues and would also take some ime to ramp up the hotel rooms and gaming tables to full capacity. As such, while we do expect to see some shift in visitors to MBS, we believe the effect could be short term. In addition, we expect MBS’ opening to actually enlarge, rather than shrink, the gaming market, as more visitors would likely come through Singapore once both casinos are open, as the “pull factor” would be greater.
♦ Seven takeaways from recent RWS visit: 1) >60% of tables operating currently; 2) no significant drop in visitor numbers since CNY; 3) table drops in line with expectations, mass table limits raised; 4) still waiting for junket approvals; 5) hotels still fully occupied; 6) Universal Studios Singapore tickets doubled up
already; and 7) pre-operating losses to be lower qoq in 1QFY10.
♦ Post-visit, we have tweaked our FY10-12 forecasts slightly, by +0.4-0.8%. No change to our S$1.35 fair value, based on blended average of EV/EBITDA (12x FY11 based on regional average) and DCF methodologies. At current price levels, GS’ FY11 EV/EBITDA of 11.8x is now at a 6.3% discount to FY11 regional peers average of 12.6x and 20% discount to Macau peers average. As such, while we expect some potential downside in share price upon opening of MBS, we believe downside risk is limited at these levels and advise investors to take this opportunity to buy the shares on weakness. Maintain Outperform.
RHB Equity 360°(Genting Singapore, Cement, Furniture, Allianz, Top Glove, EPIC; Technical: Measat) - 27/04/...
Visit Note
♦ The Casino Regulatory Authority issued a casino licence to Marina Bay Sands (MBS) yesterday, 26 Apr. Nevertheless, recall RWS needed a few days to reset the systems back to zero and to get the real “chips” ready before it could officially open, and the casino only opened a full 8 days after the licence was awarded. If we assume a similar scenario, MBS may only open in a few days time.
♦ We believe MBS would likely face similar teething issues and would also take some ime to ramp up the hotel rooms and gaming tables to full capacity. As such, while we do expect to see some shift in visitors to MBS, we believe the effect could be short term. In addition, we expect MBS’ opening to actually enlarge, rather than shrink, the gaming market, as more visitors would likely come through Singapore once both casinos are open, as the “pull factor” would be greater.
♦ Seven takeaways from recent RWS visit: 1) >60% of tables operating currently; 2) no significant drop in visitor numbers since CNY; 3) table drops in line with expectations, mass table limits raised; 4) still waiting for junket approvals; 5) hotels still fully occupied; 6) Universal Studios Singapore tickets doubled up
already; and 7) pre-operating losses to be lower qoq in 1QFY10.
♦ Post-visit, we have tweaked our FY10-12 forecasts slightly, by +0.4-0.8%. No change to our S$1.35 fair value, based on blended average of EV/EBITDA (12x FY11 based on regional average) and DCF methodologies. At current price levels, GS’ FY11 EV/EBITDA of 11.8x is now at a 6.3% discount to FY11 regional peers average of 12.6x and 20% discount to Macau peers average. As such, while we expect some potential downside in share price upon opening of MBS, we believe downside risk is limited at these levels and advise investors to take this opportunity to buy the shares on weakness. Maintain Outperform.
RHB Equity 360°(Genting Singapore, Cement, Furniture, Allianz, Top Glove, EPIC; Technical: Measat) - 27/04/...
Monday, April 26, 2010
Corporate Highlights... - 26/04/2010
♦ Fajarbaru Builder Group
Results Preview : 9MFY06/10 Results To Beat Our Expectation
♦ Construction
Sector Update : Twelve Bidders Shortlisted For Langat 2?
♦ Hong Leong Bank
News Update : Proposing Capital Raising Exercise Of Up To RM3.4bn
♦ Genting Malaysia
News Update : Another MGM Notes Investment of US$48m
♦ Notion Vtec
Results Preview : Stronger Demand Ahead
Corporate Highlights...-26/04/2010
Results Preview : 9MFY06/10 Results To Beat Our Expectation
♦ Construction
Sector Update : Twelve Bidders Shortlisted For Langat 2?
♦ Hong Leong Bank
News Update : Proposing Capital Raising Exercise Of Up To RM3.4bn
♦ Genting Malaysia
News Update : Another MGM Notes Investment of US$48m
♦ Notion Vtec
Results Preview : Stronger Demand Ahead
Corporate Highlights...-26/04/2010
Mandarin Version : Commodities & Currencies : Potential Technical Rebound On The Commodities This Week…
Light Sweet Crude Oil futures (Crude)
♦ Instead of registering another negative candle, the US Light Sweet Crude Oil futures recorded a positive candle after touching a low of US$80.53 in early last week.
♦ The positive candle has saved the commodity from falling straight towards the US$78 support level.
♦ Although the weekly stochastics renewed its “sell” signal, last week’s recovery has refreshed hope for a technical rebound in the near term.
Commodities & Currencies : Potential Technical Rebound On The Commodities This Week…-26/04/2010
♦ Instead of registering another negative candle, the US Light Sweet Crude Oil futures recorded a positive candle after touching a low of US$80.53 in early last week.
♦ The positive candle has saved the commodity from falling straight towards the US$78 support level.
♦ Although the weekly stochastics renewed its “sell” signal, last week’s recovery has refreshed hope for a technical rebound in the near term.
Commodities & Currencies : Potential Technical Rebound On The Commodities This Week…-26/04/2010
Mandarin Version : Market Technical Reading : Uncertainties Remain For The Near-term Trend...-26/03/2010
Local Market Leads:
♦ In line with the weaker regional sentiment, the FBM KLCI finished slightly lower on Friday amid rekindled fears over Greece’s higher deficit and constant debt problem.
♦ Although the US markets managed to engineer an impressive turnaround overnight, regional investors remained cautious, worrying that Greece’s worse-than-expected deficit problem could pose a threat to global economic recovery pace.
♦ Hang Seng dropped for a third consecutive day by another 0.98% on poor regional sentiment and fears of more tightening measures ahead. The SET (-0.87%) and Shanghai Composite (-0.53%) also closed lower.
♦ On the local front, the FBM KLCI eased 0.23 pts or 0.02% to 1,336.78, despite selective heavyweights like MISC (+20sen) and CIMB (+12sen) shining on strong buying support.
♦ But as investors turned defensive ahead of the weekend, turnover eased further to 818m shares. Market breadth turned negative for the first time in four trading days, as 352 losers topped 305 gainers.
Mandarin Version :Market Technical Reading :Uncertainties Remain For The Near-term Trend...-26/04/2010
♦ In line with the weaker regional sentiment, the FBM KLCI finished slightly lower on Friday amid rekindled fears over Greece’s higher deficit and constant debt problem.
♦ Although the US markets managed to engineer an impressive turnaround overnight, regional investors remained cautious, worrying that Greece’s worse-than-expected deficit problem could pose a threat to global economic recovery pace.
♦ Hang Seng dropped for a third consecutive day by another 0.98% on poor regional sentiment and fears of more tightening measures ahead. The SET (-0.87%) and Shanghai Composite (-0.53%) also closed lower.
♦ On the local front, the FBM KLCI eased 0.23 pts or 0.02% to 1,336.78, despite selective heavyweights like MISC (+20sen) and CIMB (+12sen) shining on strong buying support.
♦ But as investors turned defensive ahead of the weekend, turnover eased further to 818m shares. Market breadth turned negative for the first time in four trading days, as 352 losers topped 305 gainers.
Mandarin Version :Market Technical Reading :Uncertainties Remain For The Near-term Trend...-26/04/2010
Commodities & Currencies : Potential Technical Rebound On The Commodities This Week…-26/04/2010
Light Sweet Crude Oil futures (Crude)
♦ Instead of registering another negative candle, the US Light Sweet Crude Oil futures recorded a positive candle after touching a low of US$80.53 in early last week.
♦ The positive candle has saved the commodity from falling straight towards the US$78 support level.
♦ Although the weekly stochastics renewed its “sell” signal, last week’s recovery has refreshed hope for a technical rebound in the near term.
♦ If the buying momentum recovers further, Crude may retest the recent high of US$87.09 and the key resistance of US$87 this week.
♦ Crossing US$87 will boost its short-term outlook, and aim its target at US$100 next.
Commodities & Currencies : Potential Technical Rebound On The Commodities This Week…-26/04/2010
♦ Instead of registering another negative candle, the US Light Sweet Crude Oil futures recorded a positive candle after touching a low of US$80.53 in early last week.
♦ The positive candle has saved the commodity from falling straight towards the US$78 support level.
♦ Although the weekly stochastics renewed its “sell” signal, last week’s recovery has refreshed hope for a technical rebound in the near term.
♦ If the buying momentum recovers further, Crude may retest the recent high of US$87.09 and the key resistance of US$87 this week.
♦ Crossing US$87 will boost its short-term outlook, and aim its target at US$100 next.
Commodities & Currencies : Potential Technical Rebound On The Commodities This Week…-26/04/2010
Malaysian Pacific Industries Berhad : An Oppurtunity To Collect On Weakness…-26/04/2010
MPI removed RM6.82 successfully before closing at RM7.07 on Friday. MPI kicked off a strong rally from below the RM5.47 level in early Jan 2010, surpassing numerous resistance levels before reaching a high of RM7.50 on the dot of the resistance of RM7.50. However, the stock consolidated in the following months to RM6.15 support area. Slowly, the stock rebuilt its momentum and finally broke out from the RM6.82 level in mid Apr. It touched a high of RM7.33 recently, before pulling back slightly to end last Friday at RM7.07. It registered a small “shooting star-like” candle on the chart to indicate mild weakness in the near term.
Malaysian Pacific Industries Berhad : An Oppurtunity To Collect On Weakness…-26/04/2010
Malaysian Pacific Industries Berhad : An Oppurtunity To Collect On Weakness…-26/04/2010
Market Technical Reading : Uncertainties Remain For The Near-term Trend...-26/04/2010
Local Market Leads:
♦ In line with the weaker regional sentiment, the FBM KLCI finished slightly lower on Friday amid rekindled fears over Greece’s higher deficit and constant debt problem.
♦ Although the US markets managed to engineer an impressive turnaround overnight, regional investors remained cautious, worrying that Greece’s worse-than-expected deficit problem could pose a threat to global economic recovery pace.
♦ Hang Seng dropped for a third consecutive day by another 0.98% on poor regional sentiment and fears of more tightening measures ahead. The SET (-0.87%) and Shanghai Composite (-0.53%) also closed lower.
♦ On the local front, the FBM KLCI eased 0.23 pts or 0.02% to 1,336.78, despite selective heavyweights like MISC (+20sen) and CIMB (+12sen) shining on strong buying support.
♦ But as investors turned defensive ahead of the weekend, turnover eased further to 818m shares. Market breadth turned negative for the first time in four trading days, as 352 losers topped 305 gainers.
Market Technical Reading : Uncertainties Remain For The Near-term Trend...-26/04/2010
♦ In line with the weaker regional sentiment, the FBM KLCI finished slightly lower on Friday amid rekindled fears over Greece’s higher deficit and constant debt problem.
♦ Although the US markets managed to engineer an impressive turnaround overnight, regional investors remained cautious, worrying that Greece’s worse-than-expected deficit problem could pose a threat to global economic recovery pace.
♦ Hang Seng dropped for a third consecutive day by another 0.98% on poor regional sentiment and fears of more tightening measures ahead. The SET (-0.87%) and Shanghai Composite (-0.53%) also closed lower.
♦ On the local front, the FBM KLCI eased 0.23 pts or 0.02% to 1,336.78, despite selective heavyweights like MISC (+20sen) and CIMB (+12sen) shining on strong buying support.
♦ But as investors turned defensive ahead of the weekend, turnover eased further to 818m shares. Market breadth turned negative for the first time in four trading days, as 352 losers topped 305 gainers.
Market Technical Reading : Uncertainties Remain For The Near-term Trend...-26/04/2010
Notion Vtec Berhad : Stronger Demand Ahead - 26/04/2010
2QFY10 results preview. Notion Vtec (NVB) will release its 2QFY10 results on 29 April. We estimate net earnings to fall marginally 5-7% qoq vs. +9.2% qoq) to around RM13m due to:
1) seasonal factors;
2) strengthening of RM against the USD (+4.3% qoq); and
3) higher expenses stemming from the capacity ramp up in 2Q.
This would bring 1HFY10 net profit to around 54-55% of our full-year net profit forecast and around 53- 54% of consensus estimates. However, we expect a strong qoq growth in 3Q-4Q10, driven mainly by:
1) higher volume loading of base plates from Samsung and strong contribution from higher margin spindle motor hub.
Notion Vtec Berhad : Stronger Demand Ahead-26/04/2010
1) seasonal factors;
2) strengthening of RM against the USD (+4.3% qoq); and
3) higher expenses stemming from the capacity ramp up in 2Q.
This would bring 1HFY10 net profit to around 54-55% of our full-year net profit forecast and around 53- 54% of consensus estimates. However, we expect a strong qoq growth in 3Q-4Q10, driven mainly by:
1) higher volume loading of base plates from Samsung and strong contribution from higher margin spindle motor hub.
Notion Vtec Berhad : Stronger Demand Ahead-26/04/2010
Hong Leong Bank Berhad : Proposing Capital Raising Exercise Of Up To RM3.4bn - 26/04/2010
The proposals. HL Bank announced on 23 Apr details on the proposed acquisition of the entire assets and liabilities of EON Cap for RM5.06bn (Proposed Acquisition). This is essentially the same as the revised offer HL Bank made on 1 Apr 2010 and appears to put to rest EON Cap’s request that the offer includes some element of equity. HL Bank also announced two capital raising exercises to strengthen its balance sheet, i.e.:
1) a renounceable rights issue to raise gross proceeds of up to RM1.6bn (Proposed Rights Issue); and
2) the issuance of up to RM1.8bn of capital qualifying securities. The entitlement basis for the Proposed Rights Issue and the issue price will only be announced at a later date.
Hong Leong Bank Berhad : Proposing Capital Raising Exercise Of Up To RM3.4bn-26/04/2010
1) a renounceable rights issue to raise gross proceeds of up to RM1.6bn (Proposed Rights Issue); and
2) the issuance of up to RM1.8bn of capital qualifying securities. The entitlement basis for the Proposed Rights Issue and the issue price will only be announced at a later date.
Hong Leong Bank Berhad : Proposing Capital Raising Exercise Of Up To RM3.4bn-26/04/2010
Construction : Twelve Bidders Shortlisted For Langat 2? - 26/04/2010
Down to 12? Business Times, quoting “a source familiar with the plan”, reported that national water asset holding company Pengurusan Aset Air Bhd (PAAB) has shortlised 12 bidders for the Langat 2 water treatment plant (that is the downstream portion of the Pahang-Selangor Inter-state Raw Water Transfer project), from 30 bidders originally. The 12 shortlisted bidders may include Gamuda-Biwater International, MMCSalcon, Loh & Loh-UEM, WCT-Sinohydro, LGB Engineering, Gent Kent, Taliworks, LBH Group, Puncak Niaga, IJM, Kumpulan Perangsang Selangor, Hati Muda S/B, Mewah Kota S/B and Asia Baru Construction S/B. It was reported that PAAB will call for the tender for the RM2bn project in May/June 2010 (We believe the value of the project is higher at RM4.1bn).
Construction :Twelve Bidders Shortlisted For Langat 2?-26/04/2010
Construction :Twelve Bidders Shortlisted For Langat 2?-26/04/2010