20111229 1055 Malaysia Corporate Related News.

Alam Maritim lands SHELL job
Oil and gas support services company Alam Maritim Resources Bhd has secured a RM29.8m job from Sarawak Shell to install offshore transport modules for the oil major. In a statement yesterday, Alam Maritim said the 9 month contract commenced in 4Q this year and is expected to complete by May 2012. The contract is not renewable, but is expected to positively boost earnings and net tangible assets for FY11 ending 31 Dec and beyond, it said. (Financial Daily ) Please see accompanying report.

Magna Prima to develop projects with RM1.6bn GDV
Magna Prima is set to develop high-end property projects with an estimated GDV of more than RM1.6bn in Jalan Ampang, KL and Jalan Gasing, Petaling Jaya. Magna Prima, an investment holding aims to develop comprising 2 towers, residential units and a hotel in Jalan Ampang as well as a mixed project in Jalan Gasing. “The Jalan Ampang project is expected to start next year and that for Jalan Gasing in 2013,” said Executive Director Datuk Rahadian Mahmud Mohd Khalil. (Financial Daily)

Box-Pak shares soar on talk of privatisation
Kian Joo Can Factory Bhd is planning to privatise subsidiary Box-Pak (Malaysia) Bhd under a multimillion ringgit deal that will involve certain Japanese firms, sources say. Kian Joo would pay RM3.20 a share for the remaining shares it does not own in its profitable corrugated carton boxes manufacturing unit, they said. Meanwhile, Box-Pak shares were the second top gainer on Bursa Malaysia yesterday. The stock soared 37 sen to close at RM2.47 with 2.81 million shares traded. YTD, Box-Pak has gained 107.56% or RM1.28, with a low of RM1.09 on 16 March this year. Kian Joo Can owns 32.91m shares, or a 54.83% stake, in Box-Pak. Another single largest shareholder is Amanah Saham Bumiputera Bhd with 5.16% stake. (BT)

The  Energy Commission expects the competitive bidding process for  4.5GW of power-generation capacity to involve a combination of new and  existing power plants. The new capacity will replace retired capacities that  expire in 2015-2016 and meet future demand in Peninsula Malaysia. An EC  official said that the process was still at the early stage of inviting prospective  bidders to register their interest and that the power regulator was  still working  out the details of the plan. (Star Biz)

The Energy Commission has moved to open up the bidding process for  the replacement of first generation Power Purchase Agreement (PPA). This was  revealed by Association of Water and Energy Research Malaysia (AWER)  President S. Piarapakaran in a statement. He did not elaborate.  While congratulating the Energy Commission for the move which he  described as bold, he called for a transparent and fair bidding process.  "Opening up the bidding up to 49% foreign equity will allow Malaysia to  have more industry players that can invest in better and efficient  technology," he said.  He also urged the Energy Commission to blacklist first generation  independent power producers that did not renegotiate their PPAs from  this bid. (Bernama)

MRT Corporation (MRT Corp) has achieved a significant milestone with the  signing of a Points of Agreement (POA) with the land owners in the  Jalan  Inai area which is affected by the MY Rapid Transit project.  The POA addressed issues such as the withdrawal of land acquisition,  access to the land for tunneling works, compensation and the judicial  review which some landowners have brought against the government.  The agreement will form the basis for the mutual agreements which is  expected to be signed between MRT Corp and the land owners end-Jan  2012, said MRT Corp in a statement Wednesday. The agreements are  expected to resolve all issues the land owners have with the MY Rapid  Transit project. (Bernama)

CIMB Group Holdings plans to introduce new Islamic products in Indonesia  and Singapore next year through its Islamic units in the two countries. The bank  is looking at introducing Islamic wealth management products and services as  well as basic consumer banking products such as deposits for the two countries.  (Starbiz)

Malayan Banking (Maybank) has made a subsequent issuance of RM1bn of  subordinated notes under its notes programme of up to RM3bn. Maybank said the subordinated notes issued comprised two trances – RM750m with tenure of  10 years on a 10 non-callable 5 basis (Tranche 1) and RM250m with tenure of 12  years on a 12 non-callable 7 basis (Tranche 2). It said the tranches were priced  at 3.97% and 4.12% respectively and had received strong support from investors,  resulting in an oversubscription of over 1.47 times for Tranche 1 and 1.48 times  for Tranche 2. (Starbiz)

EON Capital (ECB) paid its shareholders a final tax-exempt special dividend of  three sen per share. The final dividend is in addition to the previous first special  dividend and capital repayment paid out on  21  Jun and  23  Sept, 2011  respectively, amounting to a total of RM7.76 per share, ECB said. (Bernama)

Malaysia Airlines’ (MAS) unionized staff is unhappy over MAS’s  turnaround plan that will  downsize the airline’s workforce. MAS  Employees’ Union (Maseu) president Alias Aziz said that MAS management had  indicated its intention to reduce its workforce during a 16 Dec meeting but did  not say how many employees will be affected.  MAS will require existing employees to resign before they opt to join the  regional short haul airline. Maseu was told that only 3,000 staff was  needed for the airline’s short haul operations which included Firefly and  the yet to be named regional premium carrier. Currently, MAS has  20,000 staff.  Alias said that Maseu was not happy with MAS’s latest turnaround plan  and the union was concerned about the impact that cuts on unprofitable  routes, closing of overseas operations and spinning off subsidiaries  would have on MAS’s head count. Alias added, “The possibility of job cuts at MAS goes against what the  Prime Minister told me in a meeting in Sept 2011 that no job cuts or
voluntary separation schemes would result from the restructuring at  MAS”. (Sun Biz)

Boustead Holdings said that as at the close of acceptance and payment of its  restricted offer for sale at 5pm on Tuesday, the total acceptances and excess  applications received were 11.19m shares, representing about 73.86% of the  offer shares made available for subscription. Boustead is undertaking a series of  corporate exercises to cut its 97.81% stake in  Pharmaniaga  to 55%, in  compliance with Bursa Malaysia’s listing rules for listed companies to divest at  least 25% of its shares to the public. (Starbiz)

Boustead Holdings’ wholly-owned unit Boustead Building Materials has  completed the acquisition of 8.86m shares, representing a 70% stake, in  Boustead Sissons Paints from Boustead Holdings for RM10.5m. It has also  completed the acquisition of 3.8 million Boustead Sissons shares, representing a  30% stake, from  Lembaga Tabung Angkatan Tentera for RM4.5m.  (Starbiz)

PPB Group's flour-milling arm, FFM, has received regulatory go-ahead for one  of its three proposed 20%-stake acquisitions in  Wilmar International's  Chinese flour milling units totalling RM80.14m, paving the  way for greater  collaboration between the two companies controlled by Robert Kuok. (Financial  Daily)

Malaysian Rubber Board expects some RM275m will be invested under the  rubber National Key Economic Area (NKEA) mainly involving replanting  and new plantings of rubber trees nationwide, said director-general Datuk Dr  Salmiah Ahmad. In 2012, she said, active replanting activities would cover  about 38,000ha per year focusing mainly on Peninsular Malaysia while new  plantings would cover about 5,000ha each in Sarawak and Sabah. (Starbiz)

Property developer Mah Sing Group Bhd has taken legal action to restrain  Asie Sdn Bhd and  Usaha Nusantara Sdn Bhd from making deals  concerning a 4.08-acre leasehold parcel along Jalan Tun Razak, Kuala Lumpur.  (Starbiz)

Alam Maritim Resources Bhd has won a RM29.8m contract from  Sarawak Shell Bhd. It said its unit Alam Maritim (M) Sdn Bhd had received a  letter of award from Sarawak Shell for the E8 and F13K modules offshore  transportation and installation job. (Starbiz)

Huat Lai Resources Bhd is extending a mandatory takeover offer for egg and  poultry company TPC Plus Bhd at 30 sen cash, a mere 3.4% premium over  yesterday’s closing price. (Starbiz)

Three parties  - Faber Group Bhd's wholly-owned subsidiary  Faber  Mediserve Sdn Bhd, Pantai Medivest Sdn Bhd and Radicare (M) Sdn  Bhd which are vying for the hospital support services (HSS) concessions by the Government are likely to get their contracts renewed within the next  month, according to sources close to the matter. (Starbiz)

Bursa Malaysia has given Uzma Bhd an extension of six months until July 6  2012 to implement its private placement. Uzma had in May applied for the  listing of and quotation of up to 8m new ordinary shares of 50 sen each. (BT)

Star Cruise has earmarked RM79.2m (US$25m) to refurbish SuperStar Virgo  which will further strengthened its cruise holiday products for regional and  international passengers. Chief executive officer William Ng said in a statement  the investment underpinned the company’s continuous drive to grow Asia’s  cruise industry. (Bernama)

Financially distressed technology company Tricubes Bhd said there were typo  errors in its 2011 annual report which showed accumulated losses of RM7.3m  when in actual fact the figure was RM17.24m. (Starbiz)

Zecon Bhd's earnings are expected to increase with the imposition of new toll  rates on the privatised Tun Salahuddin Bridge across the Sarawak River here  beginning next year. From Jan 1, toll rates would be increased by between 7%  and 10% for various classes of motor vehicles. The new rate for cars/taxis is  RM1.60, up 10 sen, RM2.20 for pick-ups/vans and RM3.30 for buses/lorries, an  increase of 20 sen and 30 sen respectively. Motorcyclists will continue to pay 50  sen. Toll card users with a reload value of RM100 and above would continue to  have the RM15 free add-on value. (Starbiz)

Lion Corp: Gets lenders’ nod to defer payments totaling RM341m Lion Corp has secured its lenders’ approval to defer the repayment totaling RM341.10m by  one more year from Dec 31, 2011 to Dec 2012. The amounts deferred included the  redemption of the outstanding nominal value of the Class B(a) bonds and Class B(b) bonds  amounting to RM196.32m. Also deferred was the repayment of the outstanding nominal  value of the Class B debts of US$350,000 (RM1.11m). The lenders also deferred the payment  of the principal and coupon on the Class B(a) redeemable convertible secured loan stocks  (RCSLS), Class B(b) RCSLS and Class B(c) RCSLS amounting to RM143.68m. (Financial Daily)

Goldis: Trigoh buys out Macro Kiosk for RM15m The founders of Macro Kiosk, a multi-country mobile technology enabler, have initiated a  management buy-out of the latter from Goldis Bhd. Macro Kiosk said the MBO by Malaysian  brothers, Kenny Goh, Henry Goh and Goh Chee Seng will be carried out via their corporate  vehicle, Trigoh Sdn Bhd.  They are the  CEO,  COO and Head of Corporate Affairs of Macro  Kiosk, respectively. The MBO encompasses the purchase of the 70% stake in Macro Kiosk  currently held by Goldis for RM15m cash. The MBO will result in an estimated gain of about  RM9.5m derived from the buyout proceeds at the Goldis' Group level. (Business Times)