KUALA LUMPUR (Oct 31): Here is a brief look at some corporate announcements and news flow on Monday (Oct 31), which include Digi.Com Bhd, Axiata Group Bhd, Telekom Malaysia Bhd (TM), YTL Power International Bhd, Maxis Bhd, AirAsia X Bhd (AAX), Capital A Bhd, Bursa Malaysia Bhd, Serba Dinamik Holdings Bhd, Hextar Technologies Solutions Bhd, Pecca Group Bhd, Alam Maritim Resources Bhd, Petronas Chemicals Group Bhd (PetChem), Pharmaniaga Bhd, Eco World Development Group Bhd and Caely Holdings Bhd.

Digi.Com Bhd, Axiata Group Bhd and U Mobile Sdn Bhd have joined Telekom Malaysia Bhd (TM) in announcing that they have each executed an agreement to access Digital Nasional Bhd’s (DNB) 5G single wholesale network. In separate statements, the companies said they had entered into an access agreement with DNB to subscribe to the 5G network on Sunday (Oct 30), confirming a report by The Edge. The access agreements are for five mobile network operators (MNOs), namely Axiata’s unit Celcom Axiata Bhd, Digi’s subsidiary Digi Telecommunications Sdn Bhd, U Mobile, TM, and YTL Power International Bhd’s unit YTL Communications Sdn Bhd. Meanwhile, Maxis Bhd said it is still assessing the governance requirements for the 5G access agreement and is “committed to bringing this to a close as soon as possible”.

AirAsia X Bhd (AAX), the medium haul, low-cost affiliate of Capital A Bhd, announced the resignation of Tan Sri Tony Fernandes as its acting group chief executive officer with immediate effect, almost four months after he was appointed to the post. His resignation was “due to other commitments”.  Fernandes’ resignation came just days after AAX announced it was in the midst of formulating a comprehensive proposed plan to regularise its Practice Note 17 (PN17) condition.

Bursa Malaysia Bhd’s third quarter net profit dropped 37.29% to RM50.13 million from RM79.94 million a year earlier, as the bourse operator and regulator registered lower revenue. Its revenue for the third quarter ended Sept 30, 2022 (3QFY22) fell 19.33% to RM140.36 million from RM173.98 million a year earlier.  It attributed the drop in earnings to the drop in total segment profits for 3QFY22 to RM94.6 million, down 26% from RM127.9 million in 3QFY21, dragged mainly by lower contribution from its securities market, which saw profit fall 34.9% to RM76.5 million in 3QFY22, from RM117.6 million in 3QFY21, mainly due to lower operating revenue.

Serba Dinamik Holdings Bhd has defaulted in its payment due on Oct 6 with regards to a US$43 million invoice financing and commodity murabaha facility. The amount in default was US$5.87 million. The group said it was unable to meet its obligation to pay the due installment in a timely manner, given cash flow constraints following unfavourable conditions in the operations of the group. To recap, Serba Dinamik and its units Serba Dinamik Group Bhd (SDGB), Serba Dinamik Sdn Bhd (SDSB), Serba Dinamik Development Sdn Bhd (SDDSB) and SD Controls Sdn Bhd (SDCSB) had on May 13 filed an application to seek leave from the court to convene a court-convened creditors meeting.

For the second time in less than two weeks, Hextar Technologies Solutions Bhd received an unusual market activity (UMA) query over the sharp rise in its share price. On Oct 19, Bursa had issued a similar UMA query to Hextar Technologies — formerly known as Complete Logistic Services Bhd.

Pecca Group Bhd plans to acquire a 80% stake in an Indonesian car leather upholstery maker firm, in its bid to enlarge its foreign presence in the automotive industry by entering into the Indonesian market. Its subsidiary Pecca Leather Sdn Bhd (PLSB) signed a memorandum of understanding with five parties — PT Multi Berjaya Asindo, CSC Automotive Sdn Bhd, Tan Kim Cheang, Neo Hwee Leong and Herny Pramana — for the acquisition of the stake in PT Gemilang Maju Kencana (GMK). Post-acquisition, PLSB will emerge as the largest shareholder of GMK, with an 80% stake. The stake will cost PLSB 6.4 billion rupiah (RM1.94 million).

Alam Maritim Resources Bhd said it is deemed a PN17 issuer after its external auditor expressed a disclaimer of opinion in the group’s audited accounts announced on Monday (Oct 31). Baker Tilly Monteiro Heng PLT expressed the disclaimer of opinion in the audited financial statements for the financial period from Jan 1, 2021 to June 30, 2022.

Petronas Chemicals Group Bhd (PetChem) said the interconnecting pipes at the Pengerang Integrated Complex (PIC) in Johor, where a fire broke out last week, are not within the petrochemical facilities in which the group has a 50% direct equity. It said the plant would resume its start-up activities once all safety measures and other considerations have been undertaken.

Pharmaniaga Bhd has inked an MOU with JDMas Commerce Sdn Bhd to commercialise Pharmaniaga’s over-the-counter (OTC) and subsequently pharmaceutical products in China through JD.com, with the support of JDMas. Through the MOU, JDMas will be partnering with Pharmaniaga to import, distribute and market Pharmaniaga’s OTC and other healthcare products in China. JDMas will also support the group in terms of regulatory advisory services, commercial trade and supply chain operations in the Chinese market.

Property developer Eco World Development Group Bhd (EcoWorld) has issued its maiden RM550 million sukuk under its sukuk wakalah programme of RM1.2 billion. The funds will partly be used for working capital, capital expenditure and shariah-compliant investments of EcoWorld and its subsidiaries. The sukuk, which has a tenure of five years, will also be used for general corporate purposes of the group and/or of any joint ventures, as well as to refinance any existing borrowings.

Caely Holdings Bhd will hold its next annual general meeting (AGM), presided by its seven new directors, led by its executive chairman Ng Keok Chai on Nov 28. At the AGM, shareholders are set to deliberate on 10 resolutions, including the re-election of four existing directors: Francis Leong Seng Wui, Kenny Khow Chuan Wah, Datuk Pahlawan Mior Faridalathrash Wahid and Chong Seng Ming. Shareholders will also vote on whether to pay directors’ fees of up to RM435,000 and benefits of up to RM100,000 and to authorise the directors to allot and issue new shares, as well as to re-appoint Messrs PKF PLT as auditor of the company.