By Chong Sin Hao
KUALA LUMPUR (Jun 29) -- Here's a round-up of latest news from Malaysia so far on Thursday:
*Singapore To Lift 2H Land Sales Amid Signs Of Revival In Property Market
Singapore will sell more land to developers during the second half of 2017, a move that could damp the nascent revival in the residential property market.
*MARKET BUZZ: Hong Leong Keeps Buy Call On Malaysia's UEM Edgenta; Lowers TP
Hong Leong Investment Bank keeps Buy call on UEM Edgenta, as share price decline of 28% year-to-date presents opportunity to accumulate; cuts target price to MYR3.34 from MYR3.52 on higher cost assumption. Shares now +1.7% at MYR2.40, after hitting over 2-year low last Friday.
*MARKET BUZZ: Malaysia KLCI Edges Higher Tracking US Gains, 1796 Resistance Tipped
KLCI opens higher tracking a rebound in US shares and higher oil prices, now +0.2% at 1775.15 in line with most Asian stock markets. Genting companies lead index gainers, recovering after yesterday's heavy profit taking; Genting Malaysia +1.1% at MYR5.65, Genting +0.7% at MYR9.57. In broader market, gainers outpace laggards 262 to 120; about 243 million shares changed hands so far in deals worth MYR125 million.
*Resources Prima Seeks Suspension Of Trading On Operating Unit's Bleak Outlook
Coal miner Resources Prima Group on Thursday requested its shares be suspended from trading because it was "currently unable to demonstrate it is able to continue as a going concern or reasonably assess its financial position and inform the market accordingly."
*UOB Merges Wholly Owned Unit Far Eastern Bank With Itself
United Overseas Bank is merging with its wholly owned unit Far Eastern Bank, UOB said in an exchange filing late Wednesday. All of Far Eastern Bank's assets and liabilities will be absorbed by UOB, it said.
*MARKET BUZZ: Malaysia KLCI Likely Higher Tracking US; 1770-1796 Band Tipped
KLCI likely to open higher tracking overnight rebound in U.S. shares; index down 0.5% at 1771.23 yesterday. Dow Jones rose 0.7% overnight led by banks and tech stocks; Standard & Poor's 500 index up 0.9%, largest one-day gain in two months. Crude rose 1.1% on Wednesday as U.S. government data revealed weekly decline in domestic crude production.
Top Stories On Wednesday, Jun. 28:
*Malaysia's Guan Chong To Buy Koko Budi For 17 Million Ringgit
Malaysia's Guan Chong, a chocolate and cocoa products maker, said Wednesday it has signed an agreement to buy Koko Budi for 17 million ringgit ($3.95 million), in a bid to boost its grinding capacity.
*ASIA MARKETS: Nikkei Asia300 Index Falls Amid Losses In Technology Stocks
Asian stocks outside of Japan fell Wednesday, undermined by declines in heavyweight technology stocks following overnight losses on the Nasdaq.
*2nd UPDATE: Malaysia's U Mobile Asks Maxis To Scrap 3G Radio Access Network Pact
Maxis, Malaysia's second-largest mobile telecom firm by revenue, said today rival U Mobile has asked to end a network sharing deal that was billed as a "landmark multi-billion ringgit agreement" when it was signed six years ago.
Unwinding of the so-called network sharing and alliance agreement for Maxis' 3G radio access network will be staggered over 18 months, and is expected to be completed on Dec. 27 in 2018, the company said in an exchange filing.
*ASIA MARKETS: Hong Kong Shares Drop On Developers, Tencent As Penny Stocks Grab Focus
Hong Kong shares fell the most in almost two weeks Wednesday, with weak global cues and worries over a selloff in local penny stocks encouraging investors to lock in profits in one of Asia's best-performing markets this year. The Hang Seng Index closed 0.6% lower at 25,683.50.
*ASIA MARKETS: Malaysia, Singapore Stocks Fall Tracking Wall Street Losses
Stocks in Malaysia and Singapore fell Wednesday, tracking overnight losses in Wall Street after the U.S. Senate delayed a vote on a healthcare bill, causing new doubts about President Donald Trump's economic agenda. U.S. indexes declined overnight, with the S&P 500 chalking up its worst single-day performance in about six weeks.
*Malaysia's Magni-Tech Industries 4Q Net Profit Doubles To 38.49 Million Ringgit
Magni-Tech Industries, a Malaysian apparel maker, said Wednesday its net profit more than doubled in the fiscal fourth quarter, driven by higher revenue. Net profit for the three months through Apr. 30 stood at 38.49 million ringgit ($8.95 million) from 18.84 million ringgit a year ago, according to its exchange filing.
*Singapore's CapitaLand Sells Somerset Whitefield Hospitality Stake For S$7.4 Mln
Singapore-based property company CapitaLand Ltd. said Wednesday it has divested its stake in India-based Somerset Whitefield Hospitality for S$7.4 million ($5.34 million).
*Malaysia's Ikhmas Jaya Group Gets MYR36 Mln Piling Job From Greenhill Resources
Ikhmas Jaya Group, a Malaysia piling company, said Wednesday it has won a piling job worth 36 million ringgit ($8.37 million) for the proposed Setia City Mall Phase 2 Retail Development from Greenhill Resources.
*Malaysia's Sunsuria Inks JV With China's CITIC Construction For Construction, Property Jobs
Sunsuria, a Malaysian property developer, said Wednesday it has signed a deal with a unit of Chinese rival CITIC Construction Co. Ltd. to jointly undertake construction and property jobs in Malaysia.
*Singapore's ComfortDelGro To Buy Remaining CityFleet Networks Stake For S$14 Mln
Singapore's ComfortDelGro Corporation, a transport operator, said Wednesday it has entered into an agreement to acquire the remaining 49% stake in UK-based CityFleet Networks for approximately S$14 million ($10.10 million).
*Malaysia's Bermaz Auto To Defer Listing Of Unit On Philippine Stock Exchange
Malaysia's Bermaz Auto, a vehicles and spare parts distributor for Japanese automaker Mazda, said Wednesday it plans to defer the listing of its unit in Philippines.
*Singapore's Keppel Corporation Unit Wins 4 Contracts Worth S$85 Million
Singapore-based conglomerate Keppel Corporation said Wednesday its unit Keppel Offshore & Marine (Keppel O&M) has won four contracts worth total S$85 million for conversion, repair and modification of vessels.
*Malaysia's Bintai Kinden Gets S$10.44 Mln Job In Singapore
Malaysia's Bintai Kinden Corporation, an engineering firm, said Wednesday it has secured a contract worth S$10.44 million (32.38 million ringgit) from Singapore's Ministry of National Development.
*MARKET BUZZ: Malaysia's Pasukhas Hits 19-Month High On Rumor Of New Investor
Pasukhas Group surges 15.1% to MYR0.19, highest since November 2015, on rumor about stake purchase by new investor. "There are talks of a new strategic investor buying stake in the company soon," says dealer at local brokerage.
*Malaysia Karex To Spend Hefty Sum Next FY To Bolster Own-Branded Products-CEO
Malaysia's Karex Bhd., the world's largest condom maker by capacity, expects to incur hefty operational expenses through the next fiscal year starting Jul. 1 as the company ramps up marketing campaigns and expands distribution network to propel its own-branded products, its chief executive said.
*MARKET BUZZ: Malaysia's Bumi Armada Surges As Client Meets First Oil
Malaysia's Bumi Armada up 4.9% at MYR0.76 after its client for Armada Kraken floating production storage and offloading (FPSO) vessel - EnQuest - announced achievement of first oil from Kraken Development. UOB Kay Hian raises target price to MYR1.01 from MYR0.92, keeps Buy.
*UPDATE: Cyrus BidCo To Buy Singapore's Croesus Retail Trust For S$900.6 Million
Singapore's Cyrus BidCo is seeking to buy Singapore-listed Croesus Retail Trust and will pay S$1.17 a unit, the companies said in an exchange filing Wednesday. The acquisition offer, which values Croesus at S$900.6 million ($649.69 million), will be via a trust scheme.
*MARKET BUZZ: USD/CNY Extends Fall To 2-Week Lows; Lower Fixing, Intervention Cited
USD/CNY slips as lower than expected daily fixing leads to further losses. Pair now down 0.2% to 6.8030, adding to yesterday's 0.4% slide. People's Bank of China sets midpoint for pair at 6.8000 against 6.8292 previous close.
*ASIA MARKETS: Hong Kong Stocks Slide As US Tech Selloff Adds To Small-Cap Concerns
Hong Kong stocks headed toward a sixth day of losses in seven days Wednesday, dragged down by Tencent Holdings after an overnight selloff in U.S. technology shares. Companies on a board for start-ups tumbled for a second day. The Hang Seng Index shed 0.4% to 25,747.90 by midday.
*MARKET BUZZ: Kenanga Ups Malaysia's SCGM Target On Positive Long-Term Outlook
Kenanga Research raises SCGM target price to MYR3.35 from MYR3.05 on positive long-term outlook; keeps Market Perform rating. "Despite slight margin compression in FY17, growth is driven by increased capacity in FY18 from a newly rented factory in the Klang Valley riding on increased demand for both F&B packaging and plastic cups, while we also expect lower tax rates in FY18," house says in investor note.
*MARKET BUZZ: TA Securities Ups Malaysia's Gamuda To Buy; Shares Hit Record High
TA Securities upgrades Gamuda to Buy from Sell, raises target price to MYR6.00 from MYR5.49 amid plenty of opportunities in construction industry for next 2 to 3 years. Shares now +0.9% at record high of MYR5.50. "Going forward, we expect stronger contribution from the construction division as construction activities at MRT line 2 and Pan Borneo Highway package accelerate," says house in investor note.
*MARKET BUZZ: Malaysia KLCI Edges Higher Led By Banks; 1800 Resistance Tipped
KLCI opens higher tracking a rebound in oil prices and gains in banking stocks, now +0.1% at 1781.69, in contrast with most Asian stock markets that are trading lowerfollowing overnight losses in U.S. and European markets. Bursa Malaysia Finance Index rises 0.4% to 16903.18 on banks' improving earnings prospects.
*MARKET BUZZ: Malaysia KLCI Likely Lower Tracking US, Europe; 1763-1800 Tipped
KLCI likely to open lower tracking overnight fall in U.S. shares; index up 0.1% at 1779.45 on Friday, with markets closed on Monday and Tuesday for Hari Raya holiday. Dow Jones fell 0.5% overnight after Senate Republicans delayed vote on health care legislation; IMF cut U.S. growth outlook due to policy uncertainties. European shares also dip after ECB President Mario Draghi said they may adjust policy of sub-zero interest rates and bond purchases, as economic prospects improve in Europe.
- By Chong Sin Hao; Dave.Chong@nikkeinewsrise.com; +60320267363
- Edited By Shreejay Sinha
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