By Azril Annuar / theedgemarkets.com | October 1, 2015 : 10:27 PM MYT
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KUALA LUMPUR (Oct 1): Based on corporate announcements and news flow today, the companies that may be in focus tomorrow (Fri, Oct 2) could include the following: Lii Hen, Media Prima, EcoWorld ( Valuation: 0.90, Fundamental: 0.85), Mega First, Halex, Aemulus, MBSB ( Valuation: 3.00, Fundamental: 1.20), DRB-Hicom, ManagePay, Atlan, Genting and GenM.
Furniture maker Lii Hen Industries Bhd ( Valuation: 2.10, Fundamental: 2.50), whose shares were trading at all-time high today, has fixed the ex-date of its one-for-two bonus issue of 30 million new shares and share split on Oct 15.
In a filing with Bursa Malaysia today, Lii Hen said the bonus shares and the split shares will be credited into entitled shareholders' account on Oct 19.
Lii Hen had on July 1 announced the corporate exercise to reward the shareholders.
The share split is meant to increase the number of Lii Hen shares held by shareholders while maintaining their percentage of equity shareholding.
Media Prima Bhd ( Valuation: 2.00, Fundamental: 1.95)'s wholly-owned subsidiary Synchrosound Studio Sdn Bhd is buying radio services company Copyright Laureate Sdn Bhd, for RM20 million.
Copyright Laureate is principally engaged in the operation of two radio broadcasting stations currently known as Ultra FM and Pi Mai FM.
In a Bursa filing today, Media Prima said that Synchrosound had entered into a conditional share purchase agreement with the vendors of Copyright Laureate for the purchase, to add to its existing portfolio.
Media Prima currently operates three radio stations, namely Hot.fm, Fly.fm and One.fm.
Property developer Eco World Development Group Bhd (EcoWorld) told Bursa Malaysia today that all the conditions precedent (CP) set out in its agreements in relation to its joint development of the RM8 billion Bukit Bintang City Centre project at the former Pudu Jail site have been met.
As such, its subscription and shareholders agreement (SSA) with Uda Holdings Bhd (UDA), the Employees Provident Fund (EPF) and BBCC Development Sdn Bhd that was entered into on Feb 4 — whereby EcoWorld, UDA and EPF agree to invest and fund BBCC as the vehicle to undertake the proposed joint development — has become unconditional.
Under the SSA, UDA and EcoWorld will each own a 40% stake in BBCC, with the remaining 20% held by EPF.
Similarly, the joint-development agreement (JDA) inked between BBCC and UDA that same day to jointly develop the 19.4 acre land into a mixed residential and commercial development has also become unconditional.
The project will have a mix of residential and commercial development comprising a retail mall, an entertainment block, strata offices, office towers, a hotel and serviced residences.
Mega First Corp Bhd ( Valuation: 3.00, Fundamental: 2.70)'s 80%-owned indirect unit Don Sahong Power Company Ltd (DSPC) signed a 25-year power purchase agreement (PPA) with Laos' state-own utility Electricité Du Laos (EDL) for Don Sahong Hydropower Project on a take-or-pay basis.
In its Bursa filing, Mega First said that DSPC shall construct a 230kV transmission line from the project's switchyard to interconnect with the existing EDL Grid System.
On Sept 15, Mega First said DSPC sealed a concession agreement with the Laos government whereby the latter has granted, on a build, operate and transfer basis, the concession rights to DSPC for the development of a 260MW hydropower project commonly referred to as the Don Sahong Hydropower project located in the Hou Sahong Channel of the Mekong River, in Khong District, Laos.
The project, which is a 260MW run-of-river hydropower project capable of generating about 2,000 GWh of electricity per year, is expected to achieve commercial operation in early 2020.
The project cost is about US$500 million, which is expected to be funded by internally generated funds and long-term debt.
Halex Holdings Bhd ( Valuation: 1.10, Fundamental: 1.55) has appointed Chan Yee Keen as group chief executive officer of the company.
Prior to joining Halex, he headed the business improvement transformation programme for the Batu Kawan Chemical Group.
In a Bursa filing, Halex said Chan, 45, has over 25 years of experience predominantly in the management role in sales and operational with various multinational and public listed corporations.
Aemulus Holdings Bhd ( Valuation: N/A, Fundamental: N/A), which was listed on the ACE Market of Bursa Malaysia on Sept 15, received its first unusual market activity (UMA) query from Bursa Securities ( Valuation: 2.10, Fundamental: 2.30) on the sudden rise in volume and price of the Penang-based semiconductor company's shares today.
Aemulus' shares rose as much as 14% to an all-time high of 57 sen in early trades, before closing 13.13% or 6.5 sen higher at 56 sen today, with 84.21 million shares done, for a market capitalisation of RM245.76 million.
Aemulus announced on Sept 18 that Khazanah Nasional Bhd had become the second largest shareholder of Aemulus after the sovereign wealth fund's wholly-owned unit Bombalai Hill Ventures Sdn Bhd purchased a 15% equity stake in Aemulus on Sept 11.
Malaysia Building Society Bhd (MBSB) said it will commence its merger talks with Bank Muamalat Malaysia Bhd's shareholders — Khazahnah Nasional Bhd and DRB-Hicom Bhd ( Valuation: 2.00, Fundamental: 0.00) — in relation to the proposed merger between the two financial institutions.
In a Bursa filing today, MBSB said Bank Negara Malaysia (BNM) has no objection in principle for MBSB to commence negotiations with Bank Muamalat's shareholders.
DRB-Hicom holds a 70% equity stake in the Islamic bank while Khazanah Nasional has a 30% stake.
"BNM has informed us via a letter dated Sept 30," MBSB said, adding the central bank has requested that the negotiations must be completed within three months from the date of the letter.
Should the talks proceed, it will pave the way for MBSB to obtain its full-fledged Islamic banking licence.
ManagePay Systems Bhd has been appointed the managing operator of the local retail chains' electronic wallet (e-wallet) and cash-back loyalty card programme.
In a statement, ManagePay said its wholly-owned unit ManagePay Services Sdn Bhd (MPSB) will be responsible for issuing, acquiring and operating the Malaysia Retail Chain Association's (MRCA) Ringgit Rewards Card — a MasterCard co-branded prepaid card — programme.
The appointment is subject to approvals from all relevant authorities and participating merchants.
However, ManagePay did not say what the potential financial benefits of the partnership are.
With the Ringgit Rewards Card, consumers can load cash value to be used in lieu of cash at participating MRCA outlets and get purchase benefits such as immediate discounts or cash back.
The accumulated cash back earned will be used to redeem their desired reward or next purchase at participating MRCA outlets.
Atlan Holdings Bhd ( Valuation: 1.50, Fundamental: 1.40) declared a second interim single tier dividend of 7.5 sen per share for the financial year ending Feb 29, 2016 (FY16).
Atlan is another associate of Berjaya Corp Bhd (BCorp) that has declared a dividend recently, after Magni-Tech Industries Bhd. BCorp owns a 26.3% stake in Atlan.
Atlan’s Bursa filing today said the dividend will be paid on Oct 30.
The second interim dividend brings the amount declared by the duty-free shop operator to 17.5 sen so far for FY16.
For the financial quarter ended May 31, Atlan posted a net profit of RM12.9 million compared with RM10.86 million in the previous corresponding quarter. Revenue grew to RM186.46 million from RM179.5 million a year ago.
Genting Bhd and the Lim family are disposing of their online gaming business in the UK to cash-rich Genting Malaysia Bhd (GenM), Genting's 49.3%-owned subsidiary, for £7.2 million (approximately RM48.09 million) cash, to streamline the group's gaming business there under one management.
The online gaming business is currently parked under Genting Alderney Ltd, which is wholly-owned by RWI International Investments Ltd, in which Genting and its chairman and chief executive Tan Sri Lim Kok Thay each has a 50% indirect interest.
Currently, GenM operates land-based casinos in the UK through Genting UK Plc (GUK), its indirect wholly-owned unit.
GenM's indirect wholly-owned unit Nedby Ltd entered into a conditional sale and purchase agreement today with RWI International for the acquisition, according to GenM's filing on Bursa Malaysia.
The disposal, which does not require any regulatory or shareholders' approval, is expected to be completed in the fourth quarter of the year.
GenM intends to finance the purchase using internally-generated funds of the group and/or its subsidiaries. As at June 30, GenM's cash and cash equivalents stood at RM2.75 billion.
Genting Alderney's presently offers live online casino, casino games, sports betting and poker over the Internet.