MAHB, AirAsia, T7 Global, Genting and SCH Group

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KUALA LUMPUR (Feb 2): Based on corporate announcements and newsflow today, companies in the spotlight next Monday (Feb 5) could include Malaysia Airports Holdings Bhd, AirAsia Bhd, T7 Global Bhd, Genting Bhd and SCH Group Bhd.

Malaysia Airports Holdings Bhd (MAHB) is selling its entire stake in GMR Hyderabad International Airport Ltd (GHIAL) to India's GMR Airports Ltd for US$76.05 million (RM295.34 million).

GHIAL currently manages the Rajiv Gandhi International Airport in Hyderabad, India for a concession period until 2068.

MAHB said the proposed disposal provides an opportunity for the group to unlock its investment in GHIAL at an attractive value. It will use the proceeds for general corporate purposes and expenses in relation to the exercise.

The airport operator had invested RM40.2 million to acquire the 11% stake in GHIAL back in 2002. Based on the disposal price of RM295.34 million, the gain arising from the exercise is estimated to be RM255.14 million.

Budget airline group AirAsia Bhd is looking at buying Boeing 787s to expand the fleet of its long-haul arm AirAsia X, said chief executive Tan Sri Tony Fernandes.

"AirAsia X will need more planes. We are now looking at (Airbus) 330 (and) 350s, (Boeing) 787," Fernandes told reporters on the sidelines of a business forum in Manila.

The AirAsia group, which has already ordered A330s and A350s, has been exclusively linked to Airbus planes but industry experts say Boeing 787s could fit into its long-haul operations.

Fernandes said the group was also keen on buying more of Airbus A321neo long-range jets after purchasing 100 of them. "We will certainly need more going forward," he said.

T7 Global Bhd will be investing about RM200 million in its metal treatment plant in Serendah over the next three to five years.

The plant, located in the UMW High Value Manufacturing Park and set to cater for the aerospace industry, is expected to be completed by the end of the year, said the group's executive chairman Datuk Seri Nik Norzrul Thani.

The plant is undertaken by T7 Kilgour Sdn Bhd, a 60:40 joint venture (JV) company between the group's aerospace arm T7 Aero Sdn Bhd and KOV Ltd, a wholly-owned unit of UK-based Kilgour Metal Treatments Ltd.

The RM200 million investment, to be funded internally by the JV company, covers all land development and training for the new personnel.

Genting Bhd will see the opening of the US$1.2 billion Resorts World Catskills on Feb 8 at the site of the old Concord Resort Hotel in Catskills, upstate New York, expanding its foothold in the US.

According to Bloomberg, some of Genting’s other projects in the US have been stalled due to local opposition and construction delays.

With the Catskills project, Genting is taking a big step toward overcoming those difficulties, it said.

The resort comprises a 100,000 sq ft casino with more than 150 game tables and 2,150 slot machines. It will include a 332-room hotel and 2,500-seat theatre, with plans for an 18 hole golf course and a water park.

SCH Group Bhd is entering the event equipment supply business segment to diversify its earnings base and enhance its top and bottom lines.

The group today signed an agreement with Hextar Holdings Sdn Bhd to acquire the entire equity interest in TK Tent & Air-Conditioning Rental Sdn Bhd for RM50 million.

This will help diversify SCH's income stream which is currently mainly derived from the quarry equipment business and is dependent on the cyclical nature of the construction industry, the group said in a stock exchange filing.

With the acquisition, the group’s operations can be expanded to achieve certain economies of scale, in terms of pooling of resources to increase overall operating efficiencies and productivity levels.