KUALA LUMPUR (April 12): Based on corporate announcements and news flow today, companies in focus on Thursday (April 13) may include the following: S P Setia, MNC Wireless, M3Tech, CCK Consolidated, NetX, Zhulian, GHL, Alcom, Heineken, Lion Industries, Berjaya Assets, PDZ, MAA Group and AsiaBio.
Property developer S P Setia Bhd confirmed that it has submitted a bid to acquire a residential plot of land at Toh Tuck Road in Singapore, but said it has yet to receive the official notification on the final result of the tender award.
S P Setia said its wholly-owned subsidiary S P Setia International (S) Pte Ltd had submitted the bid to the Urban Redevelopment Authority, Singapore (URA) at the tender closing on Tuesday.
MNC Wireless Bhd is going to work with M3 Technologies (Asia) Bhd (M3Tech) to develop an inclusive e-commerce platform with integrated payment gateway solutions and end-to-end logistics support, to operate in the newly-launched Malaysia Digital Free Trade Zone (DFTZ).
Both ACE market-listed companies said they have inked a memorandum of understanding (MoU) to bring about the planned collaboration.
The project will comprise a business-to-business trading platform for manufacturers to connect with international buyers, and a consumer-to-consumer trading platform supporting smaller-scale entrepreneurs to sell through online platforms, according to the companies.
CCK Consolidated Holdings Bhd has recommended a first and final dividend of two sen for the year ended Dec 31, 2016 (FY16).
CCK said the dividend is payable on June 30. The ex-date is May 29 and the entitlement date is May 31.
NetX Holdings Bhd has teamed up with XOX Bhd to develop an electronic payment mobile exchange that enables XOX subscribers to be e-commerce merchants and have interconnectivity with both local and international payment gateways.
NetX’s subsidiary PayAllz Sdn Bhd and XOX’s unit XOXWallet Sdn Bhd have signed a one-year technology collaboration agreement – which can be renewed annually – to facilitate the collaboration.
NetX said the project is expected to contribute positively to its earnings for the financial year ending June 30, 2018 onwards.
Zhulian Corp Bhd's net profit more than doubled in its first financial quarter ended Feb 28, 2017 (1QFY17) to RM14.56 million from RM7.08 million a year ago, as results from operating activities improved.
Notably, the group incurred some RM3.5 million of separation employment benefit expenses in the same quarter last year, which was absent in 1QFY17.
The 1QFY17 quarter also saw a marginal improvement in revenue, which grew 0.4% to RM48.38 million from RM48.16 million previously.
Zhulian declared a first interim single tier dividend of 1.5 sen, totalling RM6.9 million, in respect of the financial year ending Nov 30, 2017 (FY17), to be paid on June 2.
GHL Systems Bhd is purchasing a licence from Mastercard that will help the group offer electronic payment services and enhance card acceptance infrastructure for Mastercard products and solutions.
GHL said under the licence agreement, GHL's wholly-owned subsidiary GHL CardPay Sdn Bhd will be able to offer an e-payment solution to everyone who needs it.
"By providing a simplified online registration process, the initiative looks to encourage many of the approximately 500,000 Tier 4 merchants (with a turnover of less than RM12 million per year) to utilise the e-payment offerings," it added.
“Malaysia has an enormous small merchant segment that remains untapped for card payments. We intend to tap into that segment using an entirely differentiated underwriting and sign-up process. As for the larger merchant segments, we will continue to work synergistically with banks, as we have done for years,” said GHL group chief executive officer Danny Leong.
Aluminium Company of Malaysia Bhd (Alcom) has proposed a capital reduction and repayment exercise to improve its capital structure.
The group wants to cancel its share capital by up to RM42.99 million, reducing its share capital from RM142.44 million to between RM99.46 million and RM100.12 million.
What is to be cancelled will be distributed to Alcom’s shareholders through a cash distribution of 32 sen per share. It intends to fund the repayment through external borrowings.
Heineken Malaysia Bhd’s net profit slid 3.7% to RM48 million in the first quarter ended March 31, 2017 (1QFY17) from RM50 million a year ago, on lower revenue.
Quarterly revenue declined 12.5% to RM401.1 million from RM458 million in 1QFY16, mainly due to the timing of festive Chinese New Year sales and the effect of subdued demand from soft market sentiment.
“Global economic uncertainties combined with currency volatility continue to exert pressure on the market, adversely impacting consumer sentiment. The earlier sell-in for the 2017 Chinese New Year, which mainly took place in the previous quarter, also contributed to the lower revenue in this quarter (under review)," Heineken Malaysia managing director Hans Essaadi.
Lion Industries Corp Bhd (LICB) is selling an industrial property in Kapar, Klang, to Yinson Corp Sdn Bhd for RM45 million to partly settle some outstanding debts owed by its 99%-owned Amsteel Mills Sdn Bhd, after which it will lease back the asset from Yinson Corp.
LICB said its wholly-owned subsidiary Lion Metal Industries Sdn Bhd (LMI) had on April 12 entered into a sale and purchase agreement with Yinson Corp for the disposal of the property. Yinson Corp, previously owned by Yinson Holdings Bhd, is now wholly-owned by Liannex Asia Pacific Sdn Bhd.
The industrial premises, which sits on a 3.23ha plot, comprises a three-storey office building with an annexed single-storey factory, two blocks of single-storey factory and a guard house. It is currently used for the manufacturing of metal steel products and storage.
Berjaya Assets Bhd’s (BAssets) wholly-owned unit Berjaya Times Square Sdn Bhd now holds 1.62% equity interest in 7-Eleven Malaysia Holdings Bhd, after acquiring the stake from Berjaya Retail Bhd (BRetail).
Tycoon Tan Sri Vincent Tan Chee Yioun, the executive chairman of Berjaya Times Square, is a major shareholder of both BAssets and BRetail.
BAssets said the stake was acquired on April 12 via a direct business transaction at a price of RM1.50 per share, for 18 million shares or RM27 million in all.
PDZ Holdings Bhd is pursuing legal action over the arrest of its vessel after negotiations to secure its release failed.
The group said that upon obtaining legal advice, it has resolved to take steps to defend the arrest of PDZ Mewah and any claims that may subsequently be filed and set it aside.
PDZ said the vessel was served with a writ in action in rem and warrant of arrest on Feb 21 by Continental Platform (M) Sdn Bhd (CPSB).
MAA Group Bhd signed a conditional subscription agreement today to acquire an additional 4.14% stake in Altech Chemicals Ltd for A$2 million (RM6.64 million), raising its shareholding in the Australian listed firm to 7.52%.
Altech, a mineral and chemical processing company, is fast-tracking the construction of a high purity alumina (HPA) plant in Tanjung Langsat, Johor, with a capacity to process 4,000 tonnes per annum of kaolin clay.
“The proposed subscription provides MAA with an opportunity to participate in the future growth of Altech, as well as to enjoy the potential capital appreciation in the value of its investment in Altech upon operation of the HPA plant,” MAA said.
Asia Bioenergy Technologies Bhd has upped its stake in loss-making Focus Dynamics Group Bhd by an additional 3.38% to 19.28%.
Asia Bioenergy said its wholly-owned subsidiary Asiabio Capital Sdn Bhd (ACSB) acquired 26.24 million shares of the ACE Market-listed company between March 10 and April 11 for a combined RM2.57 million via the open market.