Guess KPSCB will rebound tomorrow.
KPS said it would realise a gain of about RM7.1 million from the proposed disposals, and the proceeds would be put towards working capital for the group.
The proposed disposals are expected to be completed within three months.
The proposed disposals are expected to be completed within three months.
Business & Markets 2014
Written by Liew Jia Teng of theedgemalaysia.com
Wednesday, 08 October 2014 22:00
KUALA LUMPUR (Oct 8): Based on news flow and corporate announcements today, the stocks that may be in focus tomorrow (Oct 9) could include Ireka, CAB Cakaran, KPS Consortium, Bina Puri, Seacera and Supermax.
Infrastructure and real estate firm Ireka Corp Bhd has secured a property construction contract worth RM276.79 million from SP Setia Bhd’s unit, KL Eco City Sdn Bhd.
In a filing with Bursa Malaysia today, Ireka said the contract, which involves main building work for the retail podium, office Block A and basement levels, would commence next Wednesday (Oct 15) and is expected to be completed in 29 months.
This is Ireka’s second contract from KL Eco City, the developer of a mixed real estate project near the Mid Valley Megamall.
Ireka is now constructing two blocks of serviced apartments under the RM298.24 million Vogue Suites Tower 1 component for KL Eco City. The group now has an order book of about RM1.44 billion.
Shares of Ireka climbed 0.5 sen to settle at 69.5 sen today, giving it a market capitalisation of RM118.8 million.
Food producer CAB Cakaran Corp Bhd plans to buy a 51% stake in Singapore-based Tong Huat Poultry Processing Factory Pte Ltd to tap into the country’s poultry industry.
In a filing with the bourse this afternoon, CAB said the indicative price for the stake purchase is S$7.5 million (RM19.2 million), which would be satisfied by the issuance of 9.2 million CAB shares to the vendors at 90 sen apiece, as well as S$4.3 million (RM10.9 million) in cash.
The acquisition in Singapore is to expand its business geographically and improve its presence regionally, said CAB.
CAB closed 4 sen lower at RM1.03 today, with a market capitalisation of RM135.5 million.
Tissue paper and plywood products manufacturer KPS Consortium Bhd (KPSCB) plans to sell a land and building together with machinery to Latitude Tree Holdings Bhd for RM22 million.
The purchasers, namely Uptown Promenade Sdn Bhd and Rhong Khen Industries Sdn Bhd, are wholly-owned subsidiaries of Latitude Tree Holdings, a listed company in the Main Market of Bursa Malaysia.
KPSCB’s wholly-owned unit, Hai Ming Industries Sdn Bhd, proposed to dispose a freehold industrial property at Klang, Selangor, for RM19 million in cash, a filing to the stock exchange revealed this evening.
Meanwhile, its sub-subsidiary, I'Kranji Industries Sdn Bhd also plans to sell all machinery attached with the property for RM3 million.
The disposal is substantial given KPSCB’s market capitalisation of RM73.9 million. The counter closed 2 sen lower at 50 sen today, with some 2.051 million shares traded.
Builder Bina Puri Holdings Bhd expects lower construction revenue in its current financial year ending Dec 31, 2014 (FY14), as several projects, including klia2, have been completed, while new projects awarded are still at their early stages.
However, Bina Puri’s construction order book of RM2 billion will keep the group busy over the next five years, said the group's executive director Matthew Tee.
For FY13, construction segment accounted for 81.5% and 54% of the group’s revenue and profit before tax, respectively.
Going forward, Tee expects the construction’s contribution to revenue to decrease to 40-50% in the next five years.
Bina Puri was unchanged at 65 sen today, with a market capitalisation of RM115.6 million.
Tiles manufacturer and property developer Seacera Group Bhd has been prequalified to bid for the main contractor works of Warisan Merdeka Project in Kuala Lumpur.
Seacera told the stock exchange today that the group and its joint-venture (JV) partners are now invited to participate in the tendering process to construct the tower structure comprising of reinforced raft foundation, concrete core walls and mega columns, inclusive of multi story basement car park and also responsible for management of nominated subcontractors.
To recap, Seacera had on June 6 this year signed a memorandum of understanding (MoU) with Sinohydro Corp Ltd, Shanghai Construction Group Co Ltd and SPAZ Sdn Bhd, to form a JV to bid for the Warisan Merdeka Project, which is owned by Permodalan Nasional Bhd.
Seacera closed 5 sen lower at RM1.01 today, with a market capitalisation of RM177.8 million.
The Employees Provident Fund (EPF), who first emerged as a substantial shareholder of Supermax Corp Bhd four years ago, has again ceased to be a substantial shareholder of the rubber glove maker after dumping 1 million shares last Thursday (Oct 2).
In January, EPF’s shareholding in Supermax was less than 5%, but the retirement fund reemerged as its substantial shareholder in March with a 5.11% stake.
Notably, EPF had sold down its stake just a month before the 13th general election in April last year before returning to Supermax in December that year with a 5.04% stake.
It was believed that the initial selldown was because Supermax executive chairman and managing director Datuk Seri Stanley Thai Kim Sim had criticised the Barisan Nasional government.
The counter closed 4 sen lower at RM2.25 today, bringing its market capitalisation to RM1.52 billion.