Thursday, February 23, 2012

20120223 1001 Malaysia Corporate Related News.

AirAsia: 4Q net profit down 56% to RM135m on higher fuel costs
AirAsia’s earnings fell 56.3% to RM135.7m in 4QFY11 when compared with RM311.1m y-o-y as it was impacted by aircraft fuel expenses, which rose to RM475.1m from RM292.4m y-o-y. In 4Q FY2011, it recorded foreign exchange losses of RM137.4m compared with forex gain of RM44.3m y-o-y. Revenue rose 9.3% to RM1.3bn from RM1.2bn. EPS were 4.90 sen compared with 11.30 sen. The company attributed the revenue growth to a 9% and 4% growth in passenger volume and average fare. Ancillary income per passenger year-on-year fell by 19% to RM40 from RM49 as ancillary income from AirAsia Go is no longer included. The seat load factor was 82%, the same as in the same period last year. For the FY2011, its net profit fell 46.8% to RM564.1m from RM1.06bn in FY2010. Revenue showed a 13.3% increase to RM4.473bn from RM3.984bn. (Financial Daily)

Felda: To set up SPV to ensure settlers benefit from proposed listing
Felda has proposed to set up a special-purpose vehicle (SPV) to ensure the settlers benefit directly from Felda Global Ventures Holdings's (FGVH) proposed listing and all future profits from the listed business, replacing Koperasi Permodalan Felda's (KPF) initial proposed role. KPF has approximately 220,000 members, of which 112,635 are Felda settlers and the rest employees and children of settlers. Felda chairman, Tan Sri Mohd Isa Abdul Samad, said the action by 8 Felda settlers to block KPF's participation in FGVH's proposed listing with interim injunction barring any transfer of shares to FGVH, has blocked the participation of other KPF members. (Bernama)

MAHB: Call for second tender for KLIA2 commercial outlets
MAHB will be calling for a second tender briefing for KLIA2 involving 39 lots comprising retail, F&B and services categories on Feb 29 and Mac 6 respectively, at the Pan Pacific Hotel KLIA. Tender documents can be purchased from Feb 29-March 27. The tender submission deadline for the lots is 3.00pm on Apr 3. MAHB senior general manager, Commercial Services, Faizah Khairuddin said the concessionaires for 225 lots at the KLIA2 would be announced by Jul this year. She added that everything has to be ready for  operations by April 2013. Faizah said there would be 3 phases of the tender briefing, with the first having involved 27 outlets. KLIA2 has a total retail space of 35,200 sq m on offer. (StarBiz)

MISC: Profit plunges on provisions
MISC  recorded a staggering loss of RM1.74bn for its 3Q  FY2012, a stark contrast to the RM1.38bn net profit in the previous corresponding quarter. Revenue fell to RM2.87bn from RM3.04bn previously. It said the loss for the quarter was due to recognition of one-off provisions totalling RM1.45bn as part of the group’s planned exit from the liner business. (StarBiz)

IJM Plantations: Higher 3Q FY2012 net profit
For 3Q FY2012, IJM Plantations’ net profit grew 22% to RM53.9m from RM44.1m. Revenue fell 8.7% to RM146.4m due to lower sales volume of CPO and palm kernel oil. EPS came in at 6.72 sen versus 5.5 sen a year ago. It said the average realized CPO price was RM2,965 per tonne, an increase from RM2,914 per tonne in the corresponding quarter of the preceding year. However, the average price of palm kernel oil decreased to RM3,488 per tonne from RM4,728 per tonne. (Financial Daily)

KL Kepong: 1Q FY2012 earnings up 12.1% to RM340.98m, plantations boost
KL Kepong recorded a 12.1% increase in earnings to RM340.98m in 1Q FY2012 boosted mainly by its plantation business, when compared with RM304.18m a year ago. Its revenue increased by 20.6% to RM2.923bn from RM2.423bn a year ago. Its EPS were 32.02 sen compared with 28.56 sen. Group's pre-tax profit rose 18.1% to RM463.20m from RM392.28m a year ago. Plantations profit climbed 24.5% to RM391.7m on the back of higher revenue of RM1.31bn (1Q FY2011: RM1.08bn). The profit was boosted by higher selling prices for crude palm oil and rubber, higher fresh fruit bunches production, improved contribution from refinery operations with better margins. (Financial Daily)

Proton: Morrocan firm keen to assemble its cars
Former Prime Minister Tun Dr Mahathir Mohamad said a  Moroccan company, YNNA Holdings, had expressed its keenness to assemble and distribute Proton cars in that country. He said YNNA Holdings is among the biggest companies in Morocco with a varied business network, including those in the hotel, construction and supermarket sectors. However, he added that at the moment, the new owners have not yet taken over Proton, so, no major decision can be made.  (Business Times)

IGB: Upbeat on G Residence take-up
IGB Corp expects its strategically-located G Residence condominiums to sell out by the end of the year.  Jointly developed with SHL Consolidated Bhd on a 70:30 basis, G Residence is scheduled to be completed by Feb 2015. a common garden. According to  IGB head of property development Teh Boon Ghee, 80% of G Residence have been sold out. Priced at an average of RM650 per sq ft, the condominiums are sold between at RM610,000 and RM1 million per unit. He added that all the units in Block A are sold out with only 40% of the units in Block B still remaining. (Business Times)

Perisai: FY2011 net profit doubles to RM21.30m
Perisai Petroleum Teknologi’s net profits soared 106.8% to RM21.28m for FY2011 from RM10.25m a year ago, boosted by profit contributed by the Intan Group, which it acquired in Aug last year. Its revenue was up 9.6% to RM82.41m from RM75.21m a year ago. For 4Q FY2011, its earnings increased 62.3% to RM11.21m from RM6.93m. Its revenue rose 38.1% to RM27.91m the quarter from RM20.21m a year ago. EPS were 1.49 sen compared to 1.05 sen last year. Perisai Petroleum said its high profit was also attributed to lower vessel expenses, a recognition of gain as a result of the acquisition of the Intan Group and a reversal of provision for doubtful debts on the group's borrowings. The group is confident it will be able to record stronger results moving forward in light of positive prospects in the oil and gas industry as well as better contributions from its 51% acquisition of the Intan Group and its mobile offshore production unit, Garuda Energy. (Financial Daily)

CB Industrial Product: May pay out special dividend
CB Industrial Product Holdings is considering paying a special dividend following the disposal of two oil palm plantations in Malaysia. However, MD Lim Chai Beng said the company has not decided on the amount and declaration date of the dividend yet. The disposal of the oil palm estates is expected to be completed in 2Q 2012. (Financial Daily)

Mithril: To become construction firm after revamp
Mithril is expected to complete its restructuring by 3Q 2012, after which its listing status will be transferred to a new company. The result is that  Mithril will become a construction counter. Mithril will hold its EGM on Friday to obtain shareholder approval for the proposed disposal of 29 parcels of commercial office space, and an office building in Sabah for RM43.2m. A cource said that this should be the last leg of an asset disposal process to pull the building materials company out of financial distress. The proposed restructuring scheme includes the acquisition of Mithril's entire equity by a newly-incorporated company (newco) for RM96m, satisfied by the issuance of 384m shares in the newco at par of 25 sen per share to the promoters and/or their nominee after a capital reduction and consolidation exercise. Mithril's listing status on the Main Market will then be transferred to the newco. (StarBiz)

HeiTech: Wins RM20m project in UAE
HeiTech Padu has secured a RM20m projects for the Emirates Vehicle Gates (EVG) portal from UAE firm Saeed for Traffic Systems. The contract is for a period of 12 months.  The company said the proposed transaction will not have a material effect on the HeiTech’s net aaset for FY2012 ending Dec 31 and is expected to contribute positively to the group’s future earnings. (Financial Daily)

Asia Media: Eyes Main Market listing
Asia Media Group, the country's largest transit-TV network operator, will seek regulatory approval to move to the Main Market of Bursa Malaysia. Its controlling shareholder Datuk Ricky Wong Shee Kai said  the company plans to do so by  2Q 2012. He added that they already have people working on the plan, drafting the proposal. If all goes well, they should be able to make a submission by Apr this year. He reckoned that it will take about two months for Bursa to make a decision on the matter. (Business Times)

Grand-Flo: Plans to go to Main Board
ACE Market company Grand-Flo Solution Bhd has proposed to transfer its shares to the Main Market of Bursa Malaysia. In a filing with Bursa Malaysia, it said the proposed transfer was still at an evaluation stage, and fairly extensive preparatory work was required. It has appointed OSK Investment Bank to advise on the proposed transfer. (StarBiz)

Auto: Industry players to meet Bank Negara
Proton said that automotive industry players will meet Bank Negara Malaysia on Friday to discuss the new guidelines for loan borrowers, following the 25% drop in sales of new motor vehicles last month. The Proton Edar Dealers Association Malaysia (Peda) has called for the new responsible financing guidelines to be looked into, as it has severely damaged sales with only 30% of applicants securing car loans in the first two months of the year. The Malaysia Motor Association reported a 25% drop in sales of new motor vehicles, due to a tightening of the hire purchase loan approval process, a short working month and impact of Thailand's flood disaster. (Business Times)

Power: Ananda Krishnan mulls disposal of power portfolio
T Ananda Krishnan is said to have put his entire power portfolio up for sale after he sold the gaming business last year. Media reports said that he is looking to sell his power assets which are currently located in Malaysia, South Asia, the Middle East and Egypt, that could raised more than US$2bn (RM6.04bn). Standard Chartered is said to have been hired to run the sale of stakes in about a dozen power plants with a net generating capacity of nearly 4,000MW.


WCT clinched a contract for the construction of a medical centre and related facilities at Coastal Highway, Kota Kinabalu, Sabah. The contract value is RM331m. Scope of work covers a 9-storey hospital with 200 beds, a 10- storey complex with SOHO, office suites and 3 levels of retail space, and 1 level of basement carpark. The project is expected to be completed in Aug-14. (BMSB)

Maybank's Indonesian unit PT Bank Internasional Indonesia (BII) pre-tax profit for the year ended Dec 31, 2011 reached Rp985bn (RM331m), 25% higher compared with 2010. The improved performance was mainly driven by solid growth across the bank's core business, improvement of asset quality, as well as from overall operational improvements, said BII in a statement yesterday. (Bernama)

Contrary to general perception, the renewal for power purchase agreement of the first generation independent power producer, is on but subject to current bidding process. The first generation IPPs are bidding the same time as new players but they cannot put up the same capacity payments especially if they are seeking extension. Sources told StarBiz that under the new bids, these IPPs - YTL Power, Genting Sanyen, Port Dickson Power, Powertek and Segari Energy needed to reduce their current capacity payments for four years prior to their expiry in 2015/16. (StarBiz)

Felda Global Ventures Holdings Bhd (FGV) will proceed with its IPO without the participation of the Koperasi Permodalan Felda (KPF). However, a special purpose vehicle (SPV) will be established to allow settlers to benefit from the listing, said Felda chairman Tan Sri Isa Samad. With KPF, which was slotted to be the biggest shareholder in FGV, out of the picture, the SPV will now assume the role to channel all proceeds from the listing exercise and potential profit from the listed entity to Felda settlers. Isa told the media that FGV is still on track for listing in either May or June but the exact listing date would be decided by the Securities Commission. (Financial Daily)

Bank Islam Malaysia Bhd, the country’s oldest Islamic lender, may assume the listing status of its parent company BIMB Holdings Bhd, sources said. BIMB owns 51% of Bank Islam, from which it derives the bulk of its earnings. “BIMB have been discussing the pros and cons of such a move. They may want to simplify the BIMB group structure,” one of the sources told BT. Bank Islam accounts for some 85% of BIMB’s profit before zakat and taxation (PBZT). The rest of the BIMB group’s earnings comes mainly from a listed Islamic insurance firm, Syarikat Takaful Malaysia Bhd (STMB), in which BIMB owns a 65.2% stake. Bank Islam managing director Datuk Seri Zukri Samat, when asked about the matter in a recent interview, said: “It’s an idea the shareholders may want to consider seriously as the direct listing will give the bank flexibility in raising capital for its future expansion.” (BT)

Kencana Petroleum has secured a RM101m contract from Murphy Sarawak. It calls for the engineering, procurement and construction of offshore substructures at Patricia and Serendah offshore platforms, which are part of SK309 field development located offshore Bintulu. The contract will run from 1Q12 to 3Q12. (BMSB)

Eversendai Corp Bhd has secured contracts for projects in the Middle East and Malaysia, valued at RM185m. The group has started to tap opportunities in India, which is fast becoming one of its focused markets to achieve its growth ambitions. Its group managing director Datuk AK Nathan said the idea is to keep Eversendai's business well-spread across different regions. (BT)

Plantation company TSH Resources Bhd's net profit for the year ended Dec 31, 2011 swelled by 43% to RM120.5m as compared with the previous year. Group chairman Datuk Kelvin Tan said the palm oil segment accounted for all the profit generated in 2011. (StarBiz)

YTL Communications Sdn Bhd, which offers the YES 4G service says it is "always in talks" with its fellow industry players but has not moved beyond that. (StarBiz)


Hartalega proposes bonus issue with free warrants
Hartalega’s net profit grew 3% to RM50.7m for 3Q ended 31 Dec 2011, from RM49.2m a year earlier due to higher sales of gloves. Hartelega’s revenue for the quarter rose 28.6% to RM241.9m from RM188.1m. The nitrile glove maker also proposed a 1-for-1 bonus issue of 371.65m shares that comes with 74.33m free warrants on a 1-for-5 basis, with the intention of improving liquidity and rewarding its existing shareholders. (Financial Daily)

YTL Cement privatization a done deal
YTL Corp’s proposed privatization of YTL Cement is effectively a done deal, as its shareholding of the latter has increased to just over 90%, a level that allows the company to compulsorily acquire the remaining shares it does not own. (Financial Daily)

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