KUALA LUMPUR (Jan 6): Based on corporate announcements and newsflow today, the companies that may be in focus tomorrow (Wednesday, Jan 7) could include the following: Sime Darby Bhd, SKP Resources Bhd, Oldtown Bhd, E.A. Technique (M) Bhd, Benalec Holdings Bhd, Century Logistics Holdings Bhd and Notion VTec Bhd.
Sime Darby Bhd has once again extended its offer period for the takeover of New Britain Palm Oil Ltd (NBPOL) from Jan 20 to March 20. It had first extended its offer period for the takeover from Dec 18 last year to Jan 20.
“This further extension is to accommodate the decision of the European Commission (EU Commission) being one of the conditions for the completion of the offer, which is only expected by Jan 26, 2015,” Sime Darby told Bursa Malaysia in a filing today.
“It is a precautionary measure against the possibility that the EU Commission’s decision could be delayed by any potential requests for additional information.
“In the event that the EU Commission makes any such requests, Sime Darby Plantation Sdn Bhd and/or NBPOL may require time to respond and this is likely to extend any decision by the EU Commission to beyond Jan 27, which, based on the current timetable, is the last date by which the conditions are to be satisfied,” it added.
To recap, Sime Darby had last October, proposed, via Sime Darby Plantation, to acquire NBPOL for GBP7.15 a share or GBP1.07 billion (RM5.62 billion), cash.
Sime Darby shares closed unchanged at RM9.15 today, giving it a market capitalisation of RM55.48 billion.
Plastic products maker SKP Resources Bhd is targeting an increase in revenue of 40% or RM250 million for its financial year ending March 31, 2016 (FY16), resulting from the consolidation of SKP and Tecnic Group Bhd.
For FY14, it posted a net profit of RM30.08 million on revenue of RM425.52 million.
Earlier at the extraordinary general meeting (EGM) today, SKP's shareholders approved the proposed acquisition by SKP of Tecnic Group's business for RM200 million in cash and shares by way of poll. The resolution on the proposed acquisition was passed, with 16% against it.
SKP executive director Ivan Gan Poh San said the acquisition would allow SKP to achieve economies of scale in terms of production, as well as an opportunity to expand the group's customer base.
SKP shares closed unchanged at 64.5 sen today, rising to a market capitalisation of RM571.5 million.
Oldtown Bhd saw its substantial shareholder, Canada-based Mawer Investment Management Ltd, acquire more shares in the food and beverage (F&B) outlet operator.
In a filing with Bursa Malaysia today, Oldtown said Mawer Investment had acquired a total of 2.06 million shares in the company over three market days, on Dec 31, 2014, Jan 2 and Jan 5.
Following the purchases, Mawer’s stakes in Oldtown has increased to 39.39 million shares or an 8.91% stake.
Meanwhile, US-based Franklin Resources Inc disposed of 39,600 shares in Oldtown on Jan 2. It had trimmed its interests in Oldtown slightly to 25.4 million shares, or a 5.74% stake.
Oldtown’s share price closed unchanged at RM1.51 today, with a market capitalisation of RM667.6 million.
Shipping services provider E.A. Technique (M) Bhd has allocated US$40 million (RM142.4 million) for capital expenditure this year to service its current orderbook of RM1.3 billion.
"For 2015, we hope to spend about US$40 million for our new projects," its managing director Datuk Abdul Hak Md Amin told the press today after an award ceremony for new quality certifications by the British Standards Institution today.
The company currently has a tenderbook worth RM1 billion, and is aiming to secure about 50%-60% of the projects it is bidding for.
"We hope to secure [one of] the projects in the very near future, [it is] expected to be in the first quarter, because we will be delivering the contract in 2016," he said, adding that the contract is for a period of 20 months.
On the ringgit's weakness against the US dollar, he said E.A. Technique would not be significantly affected as most of its loans and contracts were ringgit-denominated.
E.A. Technique shares closed up 0.5 sen, or 1.09% today to 46.5 sen, bringing a market capitalisation of RM234.36 million.
Marine contruction services provider Benalec Holdings Bhd said it has yet to secure an approval from the Department of Environment (DoE) for the massive land reclamation concession in Tanjung Piai, Johor.
In a filing with Bursa Malaysia today, Benalec said it is still waiting for the DoE to approve its Detailed Environmental Impact Assessment (DEIA) report submitted in October last year.
Benalec was responding to a news report that it had secured approval to commence works for its Tanjung Piai Integrated Petroleum & Petrolchemical Hub and Maritime Industrial Park project in Johor.
Benalec chief operating officer Desmond Boey was recently reported as saying the approval for the DEIA report was expected in the first quarter of 2015.
Benalec’s counter slipped 3 sen or 4.55% to close at 63 sen today, with 8.68 million shares traded. Its market capitalisation stood at RM527.3 million.
Century Logistics Holdings Bhd is in advanced talks to acquire a document management services company, said its managing director Steven Teow.
“It won't be a big acquisition and we will fund it via internal funds. We like their IP (intellectual property) and don’t want to reinvent the wheel,” he told a press conference after the group’s extraordinary general meeting today.
He said the proposed acquisition would complement existing document storage business or data management services. It holds Australia-listed Recall Holdings Ltd as its benchmark.
The supply chain management and logistics provider is targeting a revenue of RM300 million for the financial year ending Dec 31, 2015 (FY15) and RM500 million within the next two to three years, driven by organic growth and additional revenue from the proposed acquisition of the document management services company.
It posted a revenue of RM255.81 million in FY13. For the nine months period ended Sept 30, 2014, it posted revenue of RM209.55 million, up 15.2% from RM181.81 million a year ago.
Century shares closed down 1.5 sen or 2.29% to 64 sen today, bringing a market capitalisation of RM230.7 million.
Lembaga Tabung Haji (LTH) has acquired an additional 812,000 shares or 0.3% in precision parts maker Notion VTec Bhd, bringing its holding to 18.15 million shares or 6.76%.
In a filing with Bursa Malaysia today, it was revealed that the acquisition comprised three blocks. The first block involving 89,800 shares in Notion VTec, was made on Dec 29, 2014, while another block of 315,000 shares was acquired on Dec 30 and 407,200 shares on Dec 31.
Notion VTec’s largest shareholder is its managing director William Choo Wing Hong who holds a 11.98% stake, followed by its executive director John Choo Wing Onn with a 10.2% stake and its executive chairman Thoo Chow Fah who owns 9.49% in the company.
Japan’s Nikon Corp holds a 9.44% stake in Notion VTec.
Notion VTec shares were last traded down 9.89% at 41 sen on Jan 5, 2015, giving it a market capitalisation of RM110 million.