Stocks to watch* Kumpulan Europlus,Trinity Corp, Cybertowers, MCIL, OCK Group

KUALA LUMPUR (July 18): The FBM KLCI could trend higher for a fourth day running on Wednesday, but gains could be limited as investors may take some profit after the recent rally during which the index has broken all previous records and jumped to a fresh high of 1,646.97 on Tuesday.

The focus at the regional markets would continue to remain on Federal Reserve Chairman Ben Bernanke as makes his congressional testimony on Tuesday and Wednesday.

European shares rose and the euro firmed on Tuesday in line with a broad rally in riskier assets due to talk that Federal Reserve Chairman Ben Bernanke may signal more monetary stimulus in testimony to the U.S. Congress later in the day, according to Reuters.

Investors have been positioning for a more dovish tone from the Fed chairman following weak U.S. retail sales data and a cut in the International Monetary Fund's global growth forecast, which have added weight to the view that the world economy is slowing, it said.

Among the stocks that could be in focus on Bursa Malaysia are KUMPULAN EUROPLUS BHD [], Trinity Corporation Bhd, CYBERTOWERS BHD [], MEDIA CHINESE INTERNATIONAL LT []d and OCK Group Ltd.

Kumpulan Europlus Bhd is set to ink the concession agreement for the West Coast Expressway within the next two months.

Its chairman Datuk Abdul Hamid Mustapha said on Tuesday the draft agreement was ready to be signed.

"CONSTRUCTION [] work will begin in the second quarter of 2013 while tender will be called in the early part of 2013," said Abdul Hamid.

He said work on the Banting to Taiping stretch will take five years with the first three years in works will take place in the Selangor stretch.

Trinity Corporation Bhd is set to launch a series of joint venture development next year which expects to bring in over RM100 million in the next 2 years.

Speaking after the company's annual general meeting on Tuesday, its non-independent non executive director Tan Sri Chan Ah Chye said the group will complete its remaining stalled projects by the end of this year.

"Of the 13,000 houses stalled, we have only a few hundreds to go which we hope to complete by end of this year," said Chan.

Cybertowers Bhd was issued with an unusual market activity (UMA)  query for the second time within a space of five markets days by Bursa Malaysia Securities Bhd on Tuesday over the limit down in the Company’s shares.

However, the company said it was unaware of the reason for the unusual market activity (UMA) involving its shares.

In a reply to Bursa Malaysia Securities Bhd on Tuesday after it was issued an UMA query over the limit down of its shares, Cybertowers said there were no were no corporate developments relating to the company and its subsidiaries’ business and affairs that have not been previously announced that may account for the UMA, including those in the stage of negotiation/discussion

MCIL shares are likely to extend their gains after the company proposed a distribution via a proposed special dividend of about RM700.00m or 41 sen per share.

The announcement by MCIL late Monday confirmed a report by The Edge Financial Daily earlier on Monday that the company was undertaking a capital management programme that will see its shareholders rewarded with a bumper dividend.

Citing industry executives, the Edge Financial Daily said the leading Chinese media company that publishes four newspapers, including the widely circulated Sin Chew Daily, was looking at paying out more than RM680 million, or close to 40 sen per share, to shareholders.

The company has seen a strong cash fl ow from operations in recent years that has allowed it to undertake the capital management programme. “Its strong positioning in the Chinese media segment has allowed it to have a predictable cash flow to facilitate the capital management exercise,” said an executive.

MCIL rose 30 sen to RM1.65 on Tuesday.

Meanwhile, OCK Group which made a firm debut on the ACE Market on Tuesday is likely to continue to read on investors’ positive overall sentiment on the stock.

OSC was among the most actively traded stocks on Tuesday with 47.8 million shares done. The stock closed 8.5 sen higher at 44.5 sen.