KUALA LUMPUR (Dec 5): PublicInvest Research has maintained its “Neutral” rating on Media Prima Bhd with a lower target price of RM1.96 (from RM2.08) and said it had met with the management of Media Prima recently to get updates on the Group’s mutual separation scheme (MSS) and business strategies moving forward.
In a note Friday, the research house said Media Prima had announced a group-wide MSS exercise on Nov 8, targeting to trim its workforce by about 10% from its current headcount of approximately 4,600 employees.
It said successful number of applications will be announced in the next few days.
“On its business strategy, the Group will focus on leveraging its multiple platforms to enhance revenue streams with focus on content creation and digital space as its key growth drivers moving forward.
“We maintain our Neutral call on Media Prima but lower our target price to RM1.79, from RM2.08 previously as we trim our earnings assumptions to adequately reflect the challenges affecting the Group in the near to medium term,” it said.