KLSE Bursa Malaysia Blog One-Stop

Gamuda: In discussion with banks to fund potential projects commentary

2012-01-17T12:20:00.001+08:00

According to sources, Gamuda (GAM MK, Sell, TP: RM2.94) has started discussion with a consortium of banks for a multi-billion ringgit facility to finance the slew of mega projects that it would be undertaking soon, which includes the Klang Valley MRT (KVMRT) and the RM7bn Electrified Double Track Railway Project (EDTP) from Gemas to Johor Baru. For the KVMRT project, Gamuda together with its

Bursa Malaysia Stock Exchange Performance by Sector 2011

2012-01-05T06:57:00.001+08:00

Bursa Malaysia Stock Exchange Sector Performance 2011 Above: Performance by Sector (click to enlarge) Consumer sector took the lead, supported by its ‘recession-resistance’ attribute. The Consumer Index was the top performer and the sole gainer among all the indices after having registered a gain of 1.5% in 2011. It is not at all surprising that the Consumer sector managed to outperform

Delisting of PLUS from Bursa Malaysia to benefit others?

2011-12-13T15:35:00.001+08:00

Delisting of PLUS will return RM9.1bn cash to minority shareholders after 14 December 2011. How this cash is reinvested will depend on the investment mandate of the shareholders. Potential beneficiaries are counters like Maybank, Maxis, Telekom, Petronas Chemicals, RHB Capital, MISC, Public Bank, Digi, YTL Power, KLK, BAT, Petronas Dagangan, Petronas Gas, LITRAK, Air Asia,

What? Rich Malaysia’s SP Setia 5.5bn Funding for 20-years dead Battersea Power Station

2011-11-29T09:54:00.001+08:00

A Malaysian property company is in discussions to take control of Battersea Power Station and fund a £5.5bn redevelopment of the site. The Daily Telegraph understands that SP Setia has agreed terms with Irish group Real Estate Opportunities to take a majority stake in the landmark power station through acquiring the bank debt that is threatening to derail the redevelopment. However, the

Bursa Malaysia Market Today Preview

2011-11-23T10:11:00.001+08:00

We expect our benchmark FBM KLCI to range-bound with slight downward bias today. On the chart, the index may be bouncing back and forth between the immediate support and resistance levels of 1,415 and 1,445. Meanwhile, key U.S. equity indices closed between -0.1% and -0.5% last night due to the lower-than-expected 3Q GDP data which was revised down to 2% from the previous estimate of 2.5%,

SELL MAS – The Worst Is Yet To Come

2011-11-22T09:27:00.001+08:00

MAS Stock code 3784 3QFY11: The worst is yet to come MAS reported another disappointing quarter with adjusted net losses of RM477.6m in 3QFY11. The main culprit was the 37% y-o-y increase in fuel cost and an unrealized foreign exchange loss of RM195.1m. We maintain a SELL recommendation while we are keeping our eyes open for the upcoming plans and initiatives to be

Singapore NODX Deeper Into The Red

2011-11-18T10:24:00.001+08:00

Worse-than-expected... Singapore’s non-oil domestic exports (NODX) in Oct ’11 plunged by -16.2% YoY (consensus: -7.8% YoY), while Sep ‘11 figure was revised slightly to -4.6% YoY (previous: -4.5% YoY). As both electronics and non-electronics exports slumped… Electronics exports fell for the ninth consecutive month (Oct ‘11: -31.2% YoY; Sep ‘11: -13.6% YoY). Non-electronics exports

FBM KLCI Daily Analysis - The calm before the storm?

2011-11-17T09:34:00.001+08:00

FBM KLCI: Downside volatility may emerge Weaker supports of 1,452 & 1,470 1,476 & 1,494 will cap the rebounds PCHEM – Sell this stock on rallies Market Review The FBM KLCI dipped marginally by 0.38-points to end at 1,476.84 yesterday. The FBM100 rose by 0.69 points but the FBMEMAS fell by 0.49 points respectively. Market breadth had a gainer-to-loser ratio

Malaysia IPO pipeline will keep flowing

2011-11-14T09:12:00.001+08:00

There is strong interest by firms wanting to be listed on the local bourse, says Bursa Malaysia Bhd chief executive Datuk Tajuddin Atan. "There's no drying up in the IPO space. The IPO pipeline is strong, I think you will see a lot of interests. I believe it is an issue of timing now, everybody is watching what's happening in Europe and so forth. "If the timing is right, and the market starts

Media Prima: In early talks with Puncak Semangat

2011-10-31T23:13:00.001+08:00

Media Prima Bhd is in preliminary talks with privately-held Puncak Semangat Sdn Bhd, which is looking at converting all analog televisions (TVs) into the digital ones by 2015. Puncak Semangat, owned by tycoon Tan Sri Syed Mokhtar Al-Bukhary, has been bidding for the conversion job from the government for the last 3 years. "We cannot comment much on that. It's still in preliminary talks. Actually

CapitaMalls Malaysia Trust - Private placement

2011-10-31T14:07:00.001+08:00

CMMT will be raising RM330m via the private placement of 261.9m new units at issue price of RM1.26. The quantum of equity fund raised exceeded our expectation as it implies that East Coast Mall will be 100% funded by equity which will result in larger than expected EPU dilution. FY11-13 earnings will be cut by between 3.6% and 7.5%. On the flipside, gearing will be lowered which allows more

MBM Resources: To take over Hirotako

2011-10-30T14:43:00.001+08:00

MBM Resources Bhd has made a takeover offer for Hirotako Holdings Bhd offering 97 sen per share, which is 9 sen above the pre-suspension price of 88 sen. Hirotako said on 27 October it had received a notice of conditional take-over offer from AmInvestment Bank Bhd on behalf of MBM Resources. MBM Resources was offering 97 sen per share for all the voting shares of 25 sen each in Hirotako and

Buy Axis REIT shares?

2011-10-29T00:09:00.001+08:00

Axis Real Estate Investment Trust (REIT) is expected to issue sukuk bonds worth RM300 million in the near-term to refinance its short-term debt, extend its debt expiry profile and lock in lower interest rate. As at Sept 30, Axis REIT short-term debt stood at RM340 million, with RM198 million due this year. However, it is likely REIT may draw down a portion first, given the

Parkson Holdings: Prices set for IPO, but size smaller

2011-10-29T00:01:00.001+08:00

Parkson Holdings Bhd has priced its regional retail arm Parkson Retail Asia Pte Ltd (PRA) at an IPO price of S$0.94 (RM2.33) per share. The IPO valued the whole of PRA at S$636.7m, which is a decent 18.2 times its net profit S$35m for FY11 ended June 30. However, the size of the IPO that will comprise the issuance of 80m new shares is smaller than previously anticipated. In a statement to Bursa

Parkson Listing PRA

2011-10-28T15:01:00.001+08:00

Parkson BUY RM5.55 KLCI : 1,470.93 Price Target : 12-Month RM 6.55 (Prev RM 7.45) Reason for Report : Listing of PRA DBSV vs Consensus: Our estimates are below consensus as we believe consensus has not factored in 32.4% MI arising from PRA listing PRA’s new pricing benchmark • PRA listing at FY12F PE of 13x • 5% earnings dilution to PHB • Twin exposure to rising

Malaysia Macroview: From de-risking to looking for trading opportunities

2011-10-20T10:31:00.001+08:00

Global de-risking saw emerging markets being sold down heavily in the month of September, especially after a downbeat statement by the US Federal Reserve which painted a rather bleak outlook on the US economy, and the spread of Eurozone sovereign debt concerns into the banking sector. This was exacerbated by talks of a split in Eurozone over terms of Greece’s second bailout and sparking fears of

Malaysia Prepaid 6% GST : the Impact To Telecommunication Stocks

2011-09-11T21:27:00.001+08:00

Telecommunications 6% Government Service Tax No Longer Absorbed From 15 Sep 2011 Service Tax. As anticipated, the telcos are passing on the 6% service tax to prepaid users effective 15 Sep. The move is positive given the positive earnings impact (already imputed into our earnings forecasts) as the telcos would no longer absorb the tax. We believe the telcos may want to preempt any further

The Return of Tun Daim Zainuddin's Monopoly Game?

2011-08-16T05:23:00.001+08:00

If there’s an award for the best dressed wolf in sheep’s skin, you can be sure of only one winner – Tun Daim Zainuddin. The former finance minister is perhaps the politician former Prime Minister Mahathir least has to worry simply because Daim was not an ambitious politician. Daim loves money and young women more than anything else and this includes power that comes with the position as Finance

Malaysia Inflation to start easing end-3Q or early 4Q2011

2011-07-22T08:06:00.001+08:00

Malaysia Inflation Rose To The Fastest Pace. Inflation is still a major concern and we expect the upward pressure to stay in 3Q2011 coming from food & non-alcoholic and clothing/footwear in view of the festive seasons. Impact from June’s electricity tariff hike is expected to continue. But the upward inflation pressure can be contained from stronger RM/USD and high base comparison.

UMW Holdings : Road blocks ahead Hold

2011-07-20T07:39:00.001+08:00

We maintain our HOLD call on UMW with an unchanged fair value of RM6.50/share –following yesterday’s analyst briefing. Our SOP-derived valuation continues to peg UMW auto at 9x PE and its O&G and equipment divisions at 10x PE. Management is optimistic that 2H11 auto sales will more than make up for the shortfall in 2Q. While we acknowledge that supply has recovered, we would bear in mind that it

FBM KLCI will plays catch down - weekly technical analysis

2011-06-27T14:08:00.001+08:00

A matter of time before the FBM KLCI plays catch down  FBM KLCI – Global malaise will eventually affect the index.  CPO Futures – Plunging to RM3,000 & lower.  DJIA – It peaked at 12,885.92. On a big plunge if it breaks below 11,862.53.  PANAMY – Resilient stock in adversity which offers high yield. FBM Weekly Chart Support: 1,536 to 1,563 Resistance: 1,564

2011 FBM KLCI Year End Target and Strategy by UOBKH

2011-06-19T22:29:00.001+08:00

STRATEGY: We maintain our end-11 FBMKLCI target of 1,654 which implies a forward PE target of 13.5x, although there could be downside to earnings forecasts as inflationary effects seep in following the recently-announced 8% effective electricity tariff hike. We envisage a scenario of a weak sentiment in 3Q11, in tandem with the ending of US Federal Reserve’s quantitative easing (QE2) in June 11,

FBM KLCI Daily Chart Tecnical Outlook Jun 11

2011-06-03T14:42:00.001+08:00

Daily Technical Outlook by MIB FBM KLCI: Key Points FBM KLCI – Resilient despite global malaise Obvious supports of 1,539 & 1,558 1,560 & 1,576 resistance levels will cap rebound The FBM KLCI closed higher by 1.62 points to close at 1,558.04 yesterday. Its resistance areas of 1,560 and 1,576 will cap market gains, whilst the support areas are located at 1,539 and 1,558. The

Wah Seong Tipped for LNG Pipe Coating Job

2011-05-30T06:12:00.001+08:00

Wah Seong Corp Bhd (RM2.29/share) Wah Seong Corp Bhd is close to bagging a pipe coating job relating to the Australia Pacific liquefied natural gas (APLNG) project. The company is said to be the front runner in the tender for the APLNG onshore concrete pipe coating contract valued at about RM122.0mil (US$40.0mil), sources said, adding that the project is expected to be given out in the

Something really fishy in Bank Islam - Bank Muamalat Merger?

2011-05-24T07:39:00.001+08:00

KUALA LUMPUR, May 20: Another bailout? This is the question summing up concerns by PAS vice president Salahuddin Ayub over the merger proposal between Bank Islam Malaysia Berhad and Bank Muamalat, involving tax payers’ money. “I am afraid this is another bailout that has been the unhealthy culture in our country and which continues to burden the people,” he told the media yesterday.