Written by Joseph Chin
Tuesday, 12 October 2010 08:12
KUALA LUMPUR: Blue chips may trade in a tight range on Tuesday, Oct 12, despite the firmer overnight close on Wall Street as investors await the US corporate earnings.
Of course, interest would be focused on sectors and stocks which could benefit or be affected by the Budget 2011 proposals to be announced on Friday, Oct 15. Sectors to watch would be the banks, property companies and “sin” sectors like gaming and brewery.
Stocks to watch include WCT BHD [], PJ DEVELOPMENT HOLDINGS BHD [] (PJD), SUNWAY HOLDINGS BHD [] and MCM TECHNOLOGIES BHD []. Also in focus would be PROTON HOLDINGS BHD [].
The Edge FinancialDaily reports that CONSTRUCTION [] outfit WCT is eyeing water concessions, and looking to expand its existing retail and hotel portfolio, to grow its recurring income asset base, over the next five years.
WCT managing director Taing Kim Hwa said the plan was in line with the company's expansion in Middle Eastern markets such as Oman and Saudi Arabia, besides fast-growing Southeast Asian economies such as Vietnam.
PJ Development is expected to launch an integrated development project with gross development value (GDV) of about RM750 million in Cheras in mid-2011, said its managing director Wong Ah Chiew.
He said PJD had obtained the green light from the authorities for the development order of the project and was currently awaiting approval for its building plans, adding that the project would be on a 20-acre (8ha) area.
Sunway Holdings Bhd has terminated the joint venture agreement with Monty PROPERTIES [] Sdn Bhd to undertake a property development project known as “Puncak Jalil”. The earlier plan was to have a joint venture company Geneba Dua Sdn Bhd to undertake the development in Selangor.
In MCM Technologies, Gek Seng Assets Limited has emerged as a substantial shareholder in MCM Technologies Bhd after acquiring 18.09 million shares or 5.66% on Oct 7.
The Edge FinancialDaily also reports that Proton’s share price has remained largely muted despite the big splash its UK sports car unit Lotus made at the Paris Motor Show two weeks ago with the unveiling of five new models scheduled for production in stages by 2015.
Judging from the stock's performance, investors have largely ignored the significance of the project, which management has billed as one of the important pillars of the Proton group's five-year plan that has ambitious cash flow projection.