FBMKLCI 1494.42 DJ-51.24 CRUDE OIL 102.23 RM 3.007

Timber companies will benefit from the surge in demand from Japan as post-construction activities in the country take place following the devastating earthquake and tsunami that occurred there. However, the quantum of demand from the surge for timber products is hard to quantify at the moment. Malaysia is already the largest exporter of timber to Japan and imported timber products like plywood easily make up more than half of timber consumption in the country, according to analysts. In a timber sector update yesterday, RHB Research said Malaysian companies were likely to benefit; specifically WTK Holdings Bhd and Ta Ann Holdings Bhd given their focus on the Japan market which constituted 80% to 90% of their timber product sales.

George Kent (M) Bhd plans to invest up to RM100mil in the next three to four years to expand its meter and original equipment manufacturing (OEM) businesses. Chairman and CEO Tan Sri Tan Kay Hock said the company had embarked on a RM50mil plan to upgrade its manufacturing facilities at its plant in Puchong, Selangor to accommodate higher sales in the meter and OEM businesses.

Berjaya Retail Bhd share price soared by 21.5 sen to 64 sen yesterday after it announced that it would be taken private by its major shareholder, Premier Merchandise Sdn Bhd, controlled by Tan Sri Vincent Tan Chee Yioun.

Johor Corp (JCorp) and its 55% subsidiary Kulim (M) Bhd have denied the claim made by Tan Sri Muhammad Ali Hashim that there were plans for Kulim to be sold. Both companies said that they were not aware of any such proposal. Kulim, in an announcement to Bursa Malaysia, said it “was not the source of the statement that appeared in the articles in local newspapers”.

Cocoaland Holdings Bhd said its wholly-owned unit CCL Food & Beverage Sdn Bhd entered into a S&P agreement yesterday with Riviera Properties Sdn Bhd to buy freehold industrial land in Rawang for RM7.85mil.

Standard & Poor’s Ratings Services has lowered its long-term corporate credit rating on Ranhill Bhd to B minus from B due to its weak liquidity and exposure in the political instability in Libya. Due to the same reasons, it also lowered the issue rating on US$220mil, 12.5% senior unsecured notes due October, issued by Ranhill (L) Ltd to CCC plus from B minus. Ranhill guaranteed the notes. Both the ratings remained on CreditWatch, where they were placed with negative implications on Dec. 30, 2010, it said in a statement.