Alliance Bank Malaysia said its CEO Datuk Bridget Lai had not resigned as speculated, but admitted to carrying out an internal probe. It did not say what the probe was about, except that it was "part of its due diligence on corporate governance and board oversight". The lender also said there was no change in its operations and that it was business as usual. (BT, BMSB)
Genting Singapore will open the first phase of Resorts World Sentosa on January 20, starting with four hotels. “RWS is working closely with the authorities to obtain approvals for Universal Studios Singapore, which will open next,” it said. The opening date for the casino will be announced when Genting Singapore receives its casino licence. (Reuters, BT)
We are not surprised by the 20 Jan opening date given that it is within the group’s earlier indicative timeline to open in January. While we are slightly surprised by the phased opening, we do not expect there to be a significant interval between the opening dates for the other two key components i.e. Universal Studios Singapore and the casinos. All-in, we are still expecting all three components to be accessible before Chinese New Year which falls on 14 February.
Aircel is in talks with three potential buyers to sell all its 17,500 telecoms towers, COO Gurdeep Singh said. Aircel is 74% owned by Maxis Communications. (Reuters)
Construction Industry Development Board of Malaysia and the National Highway Authority India are expected to sign a MOU to strengthen cooperation on highway management and development. Works Minister Datuk Shaziman Abu Mansor said the proposed MOU will be a testimony of Malaysia's cooperation and participation in the development of the highways in India.
- In terms of roads, highways and bridges, Malaysian construction companies have completed 40 projects to the tune of RM6.02bn. "They are currently implementing nine projects with a total value of RM1.05bn (US$300m), making the total value of RM7.07bn for roads infrastructure projects in India", says Shaziman. (BT)
Scomi Group's first monorail car for the Mumbai Monorail project is on its way to India after leaving its manufacturing plant in Kuala Lumpur last Saturday, says Scomi India country president Suhaimi Yaacob. He said the first monorail car is crucial in the preliminary systems interface testing to ensure the smooth running of the monorail system.
- The company, which had just completed its recruitment drive in India recently, has begun the second stage of expansion. Scomi Engineering and its consortium partner Larsen & Toubro (L&T) won the US$545m Mumbai Monorail Project in Nov-08.
- Both Scomi Engineering and L&T have 30 months to complete the first monorail project in India. Under this contract, Scomi will deliver 60 cars to make up 15 sets of four car trains. All the monorail cars are being manufactured at Scomi's plant in Kuala Lumpur. (BT)
Cabinet will mull over the long-awaited new rules that will govern the lucrative business of foreign hypermarkets in the country, as early as today, sources say. The new rules would be crucial because the government froze licences for new stores for foreign retailers like Tesco, Giant and Carrefour last year. Foreign retailers make up about 13% of the total retail industry revenue, collectively posting about RM9bn sales a year.
- "It is not certain if the recommendations will be approved in totality by the Cabinet," says the source. The Ministry of Domestic Trade, Co-operatives and Consumerism will present the revised guidelines to the Cabinet.The source said he was unable to reveal the changes and recommendations, but said that the 30% Bumiputera equity for foreign hypermarkets remains.
- Based on the 2004 guideline of one hypermarket for every 350,000 people, the ministry has given out more than the 75 licences it should have. Last year, the government capped the number of foreign hypermarket licences at 107 until the end of the year to address the issue of unused licences. Foreign hypermarket operators were instead allowed to swap old or unused hypermarket licences for new ones. (BT)
Foreign investors will now have more "right choices" with the government's move to list 17 companies owned by the Ministry of Finance Incorporated on Bursa Malaysia this year. "It is a very good move. We were accused before that we are closing our doors for them to invest in these big and good quality companies. By doing this, they will now have more choices,” said former president of then Bursa Saham Kuala Lumpur (now Bursa Malaysia) Datuk Muhammad Salleh Majid.
- Second Finance Minister Datuk Seri Ahmad Husni Hanadzlah had said on 21 Dec 09, that the government had identified prospective companies to be listed or privatised this year. Listing of the companies is part of the government's strategy to increase liquidity and velocity in the local bourse besides adding to the number of listed firms, he said.
- Salleh said currently the "breadth and depth" of the market seem lopsided as these big companies signify only 20% of the total public-listed entities but they represent 80% of the market capitalisation.
- "The second wave of privatisation will involve some of these companies being sold to private initiatives," said the minister. (BT)
Firefly may take delivery of three new planes this year as demand for travel could recover. The three planes were supposed to arrive last year but were deferred as a recession took its toll on business. FlyFirefly MD Datuk Eddy Leong said the airline will make a decision by the end of February.
- When asked on the outlook of the aviation industry this year and how Firefly is expected to fare, Leong said: "Most industry players and observers expect 2010 to be more stable than 2009, although we may not necessarily see a drastic upswing. (BT)
Kurnia Insurans (Malaysia) MD and CEO Captain K.H. Chia has resigned, after just 17 months on the job. Chia said that he had tendered his resignation, which will be effective at the end of this month. Kurnia Asia, which owns the country's number one motor insurer, has not decided who will take over from Chia.
- "My resignation is on my own accord. It's a new year and I want to pursue my own aspirations," he said. Chia hinted that his next move might be in the life insurance segment. (BT)
AmInvestment Bank has listed four call warrants (CWs) on the stock exchange. The warrants are over Tan Chong Motor Holdings, IJM Land, Singapore Exchange (SGX) and Wilmar International. "These call warrants are targeted at short-term traders who want a leveraged bet on the underlying stocks," the bank said. (BT)
Toyo Ink Group is assessing financing options to fund the construction of a coal-fired thermo-electric plant in Vietnam, which is now awaiting the final green light from the Vietnamese PM’s office. MD Steven Song said the company was considering a rights issue for the proposed US$2.5bn plant. Given the massive outlay involved, Toyo Ink may consider “looking for JV partners or captains of the industry who are prepared to take some equity.” (Starbiz)
Tanjung Offshore has won a RM70m contract to provide wellhead maintenance services for Petronas Carigali. The contract, which is effective Sep 09, is for three years with an option to extend it for another two years. (BT)
Ho Hup Construction's two substantial shareholders, Low Chee & Sons Sdn Bhd and Choo Soo Har have sent a notice for an EGM on 4 Feb, to to remove the current board of directors and appoint new ones. Both shareholders plan to remove seven directors, which also include MD Lim Ching Choy and deputy executive chairman Datuk Lye Ek Seang.
- They plan to appoint six new directors. Both shareholders hold 25.1m shares or almost 25% in Ho Hup. This news comes after minority shareholders approved the company's plan to sell two plots of freehold land last week, which was at the centre of a dispute between two camps, one lead by former MD Datuk Low Tuck Choy and the other by Lye's management. (BT)
Tower REIT will post a RM5.8m surplus from the revaluation of its three prime land commercial properties here. These include the 32-storey Menara HLA in Jalan Kia Peng and HP Towers in Jalan Gelenggang within the Bukit Damansara enclave. Tower had also revalued its 20-storey Menara ING. (Financial Daily)
Prinsiptek Corp is selling a piece of leasehold land measuring 1.63ha at Taman Selaseh, Gombak to Creme De La Creme Couture for RM13.5m. Prinsiptek’s subsidiary Strategic Development spent RM6.3m to buy that land in May 2004. It will use proceeds to repay debt and fund working capital. (BT)
