20100629 0931 Malaysia Corporate News.

Malaysian Mosaics to be privatized
Main Board-listed maker and trader of mosaic and ceramic tiles Malaysian Mosaics may soon be taken private, according to sources. While details of the price or terms of a privatization exercise were not available at press time, it is worth noting that the stock is currently trading at about half of its net tangible asset value. Sources say that a privatization makes sense due as the stock is tightly held. (Financial Daily)

Sunway wins RM129m job from PML Dairies
Sunway Holdings wholly-owned unit Sunway Construction SB has won a RM129m contract from PML Dairies SB to build a dairy product factory in Klang, Selangor. “The proposed project is targeted to be fully completed on 11 July, 2011. It is expected to contribute positively to group earnings for the financial year ending 31 Dec, 2010 onwards,’’ it said. (StarBiz)

UMW denies that oil and gas division sitting on huge losses
UMW told the exchange yesterday that it viewed the RM19.23m losses incurred by its oil and gas operations in the first quarter as a “temporary setback’’. It said the group had a number of greenfield projects that it expected to “show positive results upon commencement in the second half of this year’’. The group categorically denied a report that implied that the division was sitting on huge losses which had not been accounted for and which needed provisions in the next few years. It viewed the report as “baseless allegation and irresponsible’’. (StarBiz)

Atlan : To list in Singapore via RTO. Atlan Holdings Bhd will assume control of Singapore-listed Esmart holdings Ltd in a reverse takeover  (RTO) valued at SGD285.4m (RM662.6m). Atlan would inject 2 subsidiaries, publicly listed DFZ Capital Bhd and private enterprise Darul Metro Sdn Bhd into Esmart in exchange for Esmart shares and warrants. (Source: The Edge Financial Daily)

RHB Capital : EPF to reduce stake in RHB Cap by mid-2011. The Employees Provident Fund (EPF) will pare down its stake in RHB Capital Bhd to 40% from its existing 57% share by mid-2011, said CEO Tan Sri Azlan Zainol. He said they have yet to identify potential buyers. (Source: The Star)

Media Prima : Extends offer for remaining NSTP shares. Media Prima Bhd has extended its voluntary general offer for the remaining shares of subsidiary The New Straits Times Press (Malaysia) Bhd at the same terms (offer price of RM2.40 per NSTP share). Media Prima now owns 89.6% of NSTP. Shareholders of NSTP approved the group's delisting at an extraordinary general meeting (EGM) in Kuala Lumpur yesterday, and NSTP is due to be delisted in 3Q10. (Source: Business Times)

Markets : New blueprint for corporate governance. The Securities Commission (SC) is in the midst of preparing a new blueprint with a 5-year action plan to further enhance corporate governance (CG) standards. The announcement comes in the wake of cases like Kenmark Industrial Co (M) Bhd, which is being investigated following its rapid financial decline, and Linear Corp Bhd's revelation that almost all of its cash was taken out by one director. (Source: Business Times)

Transport : PKFZ bond payments in limbo. Payments to Port Klang Free Zone (PKFZ) bondholders are in jeopardy as the Inland Revenue Board (IRB) has directed the Port Klang Authority (PKA) to remit RM328.4m that is allegedly owed by Kuala Dimensi Sdn Bhd (KDSB) in backdated taxes. (Source: The Edge Financial Daily)