20110420 1000 Malaysia Corporate Related News.

 KLCI chart reading :
side way range bound little upside biased.

DRB-HICOM wins Pos stake
Tan Sri Syed Mokhtar Al Bukhary's DRB-HICOM has won a bid to take over national postal company Pos Malaysia, people familiar with the matter said yesterday. It is understood that DRB-HICOM will sign an agreement with Khazanah Nasional early next week to buy the latter's Pos Malaysia stake. Khazanah, the government investment arm, currently holds 30% of Bank Muamalat, while the remaining 70% is owned by DRB-HICOM. It is also understood that DRB-HICOM is buying Pos Malaysia from Khazanah for about RM3.60 a share. The latter currently owns 32.2% of Pos Malaysia. The deal will value Khazanah's Pos Malaysia stake at about RM623m. (BT)

7 new ETP projects with RM901m in investments
The Government has unveiled seven new projects and initiatives under the Economic Transformation Programme (ETP) with investments totalling RM901m. The projects are geared to contribute about RM6.04bn in Gross National Income (GNI) and over 62,205 jobs in four national key economic areas, namely electrical and electronics, communications content and infrastructure, education and wholesale and retail. Recapping five other projects announced earlier on 11 March, Prime Minister Datuk Seri Najib Razak said these 12 projects will bring about RM11.2bn in investment, RM16.6bn in GNI and 74,457 incremental jobs. "The 72 projects within 54 Entry Point Projects (EPPs) announced to date signify that 41.2% of the 131 EPPs have commenced, all in less than six months since the launch of the ETP," Najib said. (BT)

JCorp group pre-tax hits record RM962m
Johor state investment arm Kumpulan Johor Corp's (JCorp) profit before tax and zakat jumped 37.4% to RM962m for the financial year ended Dec 2010 from RM700m in the previous year. JCorp president and chief executive Kamaruzzaman Abu Kassim said the profit was the highest achieved since its inception about 40 years ago. Group sales increased 6.1% to RM7.5bn from RM7.1bn previously. At company level, profit before tax and zakat rose 18% to RM118m compared with RM100m from the previous year, while sales dropped by 22.4% to RM388m from RM500m in 2009. (BT)

Maybulk expects pressure on rates to hit bottom line
Malaysian Bulk Carriers Bhd expects lower revenue and profits this year on continued downward pressure on rates due to oversupply of ships and an almost inevitable downward pricing of its contract with Tenaga Nasional. Maybulk's net profit for the year ended 31 Dec 2010 stood at RM242.7m, against revenue of RM404.3m. The Baltic Dry Index, an index that charts the dry bulk market, has almost halved in the six months, closing at 1284 points on 18 Apr 2011. (BT)

Bursa 1Q net profit leaps 44%
Bursa Malaysia recorded a 44% surge in net profit to RM40.5m in the first quarter ended 31 Mar 2011, from RM28.05m on strong performance from its securities and derivatives trading. Total operating revenue rose 33% to RM107.8m compared with RM81.2m previously. Chief executive officer Datuk Tajuddin Atan, in a press release yesterday, attributed the performance to the return of positive market sentiments and high liquidity.(BT)

SEB believed to have made RM1.3bn offer to buy 30% of Bakun Dam
Sarawak Energy (SEB), the state utility company, is believed to have proposed to acquire a 30% stake in the Bakun Hydroelectric Power project for RM1.3bn cash, soruces said. The payment would likely be in the form of equity of RM700m and a shareholders’ loan of RM650m, the sources added. Based on its latest offer of a starting tariff of six sen per kwh, SEB is said to be working on a valuation of RM6bn for the Bakun Dam project compared with the cost of construction of RM7.5bn. (StarBiz)

AEON Credit 4Q profit up from higher volume
Aeon Credit Service’s net profit for its 4Q ended 20 Feb 2011 rose to RM19.4m from RM14.3m in the previous corresponding period mainly due to growth in trade receivables on the back of increased financing transaction volume. Revenue for the period increased to RM73.7m from RM63.0m previously. The company also attributed the better earnings from the sustained expansion in private consumption and positive consumer confidence. (StarBiz)

Petronas sells Cairn India stake for RM6.4bn
Petronas has sold its entire stake of 14.9% in Cairn India Ltd for about USD2.1bn (approximately RM6.4bn). Petronas said that it had sold all its 283.4m shares in Cairn India held via Petronas International Corp. “The transaction brings to a close a successful association as a shareholder with Cairn India since 2006”, the national oil company said. Earlier, news wires reported that Petronas had disposed of its stake in three transactions on the Bombay Stock Exchange. Carin India is the operator of India’s largest oil field on land. (StarBiz)

Starshine plans to list on Ace Market by 3Q
Steel products player Starshine Holdings (SHB), which is planning a listing on Bursa Malaysia’s Ace Market by the third quarter of the year, will invest RM32m in a new plant in Klang and new machinery to broaden its product offering. Construction of the proposed plant, which is estimated to cost RM20m, is expected to start during the current quarter for completion within 12 months, SHB said in its prospectus exposure. SHB, a subsidiary of Sarawak-based Yung Kong Galvanising Industries, has acquired freehold land adjacent to its Klang factory for RM9.4m for the new plant. The company will invest about RM12m in a new shearing line and a new pipe mill line will be installed at the new plant and existing Klang factory respectively. (StarBiz)

MAHB: North Korea's Air Koryo makes maiden landing at KLIA. North Korea national airline Air Koryo made its maiden landing at KL International Airport (KLIA) on Monday and will start a twice-weekly service to Kuala Lumpur from Pyongyang on April 18. (Source: The Star)

BAT: Expects to double exports this year. British American Tobacco (Malaysia) Bhd (BAT) expects to double exports this year, a move that will give it a small revenue boost amid tougher sales at home. It may also sell some machinery it no longer needs, valued at between RM18m and RM20m. (Source: Business times)

Berjaya: Confirms Kim Eng approach. Berjaya Corp Bhd confirmed that Kim Eng Holdings Ltd has approached it about the possibility of buying all of Inter-Pacific Securities Sdn Bhd. (Source: Bursa Malaysia)

Smartag: Gets role in Customs project. Smartag Solutions Bhd said it was named to be part of a government project to provide security and trade facilitation system for the Royal Malaysian Customs at its checkpoints throughout the country. (Source: Business times)