FBMKLCI 1550.89 DJ +75.42 CRUDE OIL 101.87 RM 2.9840

New stock listing

No.  Stock  Code    Stock Name     Reference Price      Lower Limit     Upper Limit

1.    0165                XOX                 0.80                             0.50                  4.00

 

 

XOX, the mobile virtual network operator reported net loss of RM1.66 million in the quarter ended March 31 mainly due to the selling and distribution expenses which were necessary in creating brand awareness for XOX’s services.

UOA Development Bhd continued its slide on Bursa Malaysia after making its debut on the stock exchange on Wednesday with the stock falling 2.7% to RM2.53 yesterday. OSK Research put a fair value of RM3.57 per share, which represented a 37.3% upside from its RM2.60 offer price, based on 1x its RNAV (revised net asset value) valuation. “There is nothing wrong. Maybe investors' perception was affected by the low par value against the share's offer price,” he said, adding that the local bourse was also flat over the last few days. Another analyst said perhaps investors did not like that a large portion of UOA Development's ongoing projects were in its 60-acre flagship Bangsar South City in Kampung Kerinchi, Kuala Lumpur.

SP Setia Bhd's net profit for the second quarter ended April 30 surged 80% to RM92.22mil from RM51.21mil a year earlier due to a gain arising from the disposal of an investment property. Revenue for the period increased to RM496.75mil from RM409.07mil a year earlier.

Haisan Resources Bhd said the suspension on the trading of its securities and the delisting of the company had been deferred pending the decision of Bursa Securities on its application for extension of time to submit the regularisation plan to the relevant authorities, it said in a filing with Bursa Malaysia.

Malaysia Marine and Heavy Engineering will replace Malaysia Airlines in the FTSE Bursa Malaysia KLCI following the semi-annual review of the FTSE Bursa Malaysia Index Series yesterday, FTSE Group and Bursa Malaysia Bhd said.

UEM Land Holdings Bhd, the real estate investment and development company of UEM Group, is collaborating with Iskandar Investment Bhd, the main property developer for Iskandar Malaysia, to develop retail and residential units in Nusajaya, Johor with a gross development value of RM850mil.

Favelle Favco received four contracts to supply cranes and spare parts totaling more than RM70.3 million. Three of the orders were to supply cranes and the fourth was to supply the spare parts.

Berjaya Food’s net profit slipped 14.2% to RM2.505 million in the fourth quarter ended April 30, 2011 compared with RM2.92 million a year ago due to higher advertising and promotional expenses. Revenue rose 9% to RM17.75 million from RM16.28 million. Earnings per share were 1.77 sen versus 2.07 sen a year ago. It proposed dividend of three sen a share. For the financial year ended April 30, 2011, its net profit rose 22% to RM10.59 million from RM8.68 million while its revenue increased by 19% to RM71.94 million from RM60.41 million.

FOCUS DYNAMICS TECHNOLOGIES [] Bhd’s new 144.58 million shares issued under the rights issue with warrants and 96.39 million warrants will be listed and quoted on Friday.

FBMKLCI 1551.10 DJ-21.87 CRUDE OIL101.42 RM2.964

Petronas reported net profit attributable to shareholders of US$17.46 billion in the financial year ended March 31, 2011 (FY11), which was a 50% increase from the US$11.64 billion in FY10.Revenue increased to US$76.82 billion, up 26.1% from US$60.92 billion. President and CEO  Datuk Shamsul Azhar Abbas said Petronas will be spending RM300 billion in capital expenditure for the next five years, this was an upward revision from the RM250 billion mentioned a few months ago. For the fourth quarter, its earnings increased 49.8% to US$3.49 billion from US$2.33 billion the year before on the back of higher realised prices for petroleum products, crude oil and condensates, as well as other energy commodities.  Its revenue increased 22.8% to US$21.45 billion from US$17.47 billion.

Latexx Partners  accepted a lower offer of RM1.25 billion from the YTY Group of companies in a proposed merger instead of RM1.365 billion earlier. The glove maker said 30% of the purchase consideration or RM375 million would be in cash. The balance of RM875 million would be in the form of 350 million new shares at an issue price of RM2.50 per share.

MAA Holdings has obtained the Minister of Finance’s (MoF) approval to dispose of its 100% stake in Malaysian Assurance Alliance Bhd (MAAB) for RM344 million to Zurich Insurance Company Ltd.

Tenaga Nasional Bhd (TNB) is buying power from Singapore-based PowerSeraya Ltd, a unit of YTL Power International Bhd, as a shutdown of Petroliam Nasional Bhd-owned gas production platforms for maintenance work made worse a dwindling gas supply situation. Chief executive officer Datuk Seri Che Khalib Mohd Noh said in a reply to a StarBiz query that the purchase was made to ensure supply security. “We're buying 180MW only, which represents 1.5% of total demand,” Che Khalib said. The report said the purchase was made following an approach by TNB in April to Singapore's Energy Market Authority and the generating companies for electricity supply needed to tide over capacity shortages “for a few months”. This was caused by natural gas feedstock shortages faced by TNB's power stations due to the maintenance shutdowns, which could further reduce by 30% in the May to June period.

The “very substantial transaction” that United U-Li Corp Bhd (Ulicorp) is expected to announce tomorrow is likely to be the signing of a deal with a foreign party. The management has remained tight-lipped about the details, but observers believe that the agreement will be for a major joint venture. In addition, sources close to the company have ruled out the possibility of the company being taken private. The proposed joint venture is primarily to open doors for business expansion, and not so much about funding, because the company's balance sheet is fairly sturdy.”

UOA Development Bhd closed at RM2.59, one sen lower than its reference price of RM2.60 per share, after the stock made its debut on the Main Market of Bursa Malaysia yesterday.chief operating officer (development division) David Khor said UOA would work towards integrating more green building components in its commercial development. On its recent acquisition of a RM50mil land in Sri Petaling, Khor said the company planned to build high-end condominiums there but the details had yet to be finalised. “The company has about RM8.6bil worth of properties to be launched over the next seven to 10 years,” he said. Khor said about 70% of the properties developed by UOA were for commercial purposes while the rest were residentials. “We hope the ratio will change in two years, with residential projects contributing more (to the volume),” he said.

With the emergence of Malaysia’s pilgrim fund board Lembaga Tabung Haji (LTH) as one of major shareholders of Faber Group Bhd, chances of the latter securing renewal of crucial contracts and new projects, especially in the local and the United Arab Emirates (UAE) markets, will seem brighter now. According to analysts, investors over the past few months have been particularly concerned about the uncertainty of Faber’s 15-year concession in providing health support services to government hospitals in Malaysia being renewed. “But with LTH backing now, the prospects of the concession being renewed have certainly improved, and this would certainly enhance investor confidence in the integrated facilities management and property solutions company,” MIDF Amanah Investment Bank Bhd analyst Belford Chang told StarBiz.

FBMKLCI 1551.89 DJ-19.15 CRUDE OIL 99.30 RM 2.9825

UOA’s institutional price has been fixed at RM2.60 and the final retail price at RM2.52. At RM2.52, this was below the indicative retail price of RM2.90.

Hap Seng Consolidated has allocated RM460 million as capital expenditure for its six divisions this year, said its group managing director, Datuk Edward Lee Ming Foo. The divisions are PLANTATION []s, property investment and development, credit financing, trading of fertilisers and automotive, as well as building materials and stone quarries. Bernama quoted Lee as saying the company planned to reduce its dependence on the plantation division as it hoped to grow other core businesses -- fertiliser trading, building materials, automotive and property holdings and development. He said the plantation division accounted for 50% to its profit.

Boustead Holdings Bhd, which holds a 97% stake in Pharmaniaga Bhd, will pare down its stake to 75% or below but will continue to be the pharmaceutical company's controlling shareholder. “Pharmaniaga will be maintained as a listed entity and we will have to fulfil the public shareholding spread,” Boustead deputy chairman and group managing director Tan Sri Lodin Wok Kamaruddin said after Pharmaniaga's AGM yesterday.

Zecon has received a letter of intent (LOI) from the Public Works Department to build the Petra Jaya Hospital in Kuching. Zecon said it had received the letter informing it that the company would be appointed to build the hospital by the Ministry of Finance by way of direct negotiation on the "design & build" basis.

In Faber Group Bhd, Lembaga Tabung Haji has emerged as a substantial shareholder with a 9.92% stake or 36 million shares. It acquired the shares in an off-market deal from Universal Trustee (M) Bhd on June 2.

Contrary to speculation, PLUS Expressways Bhd, the country’s largest toll operator, will not likely be paying out its dividends sooner than usual as the distribution of proceeds from the disposal of its assets will likely happen only in late September. It was previously reported that PLUS might be paying out a dividend sooner than the normal timeline to assuage shareholders who had a relatively long wait for the returns from the pending sale of the company’s assets and liabilities.

FBMKLCI 1552.14 DJ-61.30 CRUDE OIL 98.76 RM 2.9660

MBSB’s additional 506.42 million new ordinary shares of RM1 each issued pursuant to the rights issue with warrants will be listed on Tuesday. MBSB closed three sen lower at RM1.50 on Monday. MBSB’s 506.42 million warrants issued pursuant to the rights issue will also be listed on Tuesday.

Knusford is teaming up with Pembinaan Hamid Abd. Rahman Sdn Bhd to submit prequalification and/or tender for part of the multi-billion ringgit Mass Rapid Transit project in the Klang Valley, The portion would be the Sungai Buloh to Kajang stretch. Knusford will hold a 40% stake and  PHAR 60% in the joint venture company.

London Biscuits Bhd’s net profit fell sharply to RM804,000 in the third quarter ended March 31, 2011 from RM4.03 million a year ago and the company expected the year to be challenging. Revenue fell to RM65.10 million from RM50.92 million while earnings per share were 0.84 sen compared with 4.64 sen. “The group’s result is within management’s expectation in view of the impact of the strength of the ringgit and increase in raw material cost,” it said. For the nine-month period, net profit was RM6.22 million compared with RM11.65 million despite higher revenue at RM183.79 million versus RM152.14 million.

N2N Connect said it was acquiring an 11-storey office building in Bangsar South for RM36 million cash to be partly used as its office space, and to be let out to tenants.

The new Perodua Myvi, due to be launched on June 16, will boost passenger vehicle sales this year, according to automotive analysts. OSK Research said in a report yesterday that Perodua's revised sales forecast of 195,000 units (previously 171,750 units) this year was easily achievable due to the earlier-than-expected launch of the new Myvi. The research firm also upgraded its Malaysian automotive total industry volume (TIV) forecast for 2011 by 4% to 597,456 units, which was a year-on-year decline of 1.3% (TIV hit an all-time high of 605,156 units last year). OSK Research maintained its “sell” call, with a fair value of RM6.61 on UMW Holdings Bhd, which owns a 38% stake in Perodua. OSK Research also upgraded its call on MBM Resources Bhd, which has a 20% stake in Perodua, to “buy” with a fair value of RM3.80, and raised its earnings projection for the current financial year by 20.2%.

Main-board bound UOA Development Bhd posted a net profit of RM130mil for the first quarter ended March 31. Revenue for the period stood at RM145.7mil. The property developer which is expected to be listed tomorrow said its pre-tax profit of RM155.7mil for the three months period was achieved after spending RM21.9mil for administrative and general expenses and RM22.1mil for tax expense.

Time Engineering's shareholderes approved its proposal of a renounceable offer for sale of up to 626.18 million shares (or 24.74% stake) in TdC to Time Engineering shareholders. The offer price for the shares will be fixed by Time Engineering's board of directors at a later date to be announced, and will be priced with at least 20% discount of the five-day volume-weighted average price up to the day prior to the price-fixing date. It will not be less than 48 sen per offer share. The offer is on the basis of eight offer shares for every 10 shares held in Time Engineering.

In an unprecedented move, Sime Darby Plantation Sdn Bhd (SDP) has increased the salaries of 37,000 of its estate and mill workers throughout the country, with each of them expected to earn an extra RM200 in basic salary effective July 1st. SDP has allocated between RM120 mil and RM130mil per annum for this purpose including the increase in EPF and SOCSO contribution, said Sime Darby president and group CEO Datuk Mohd Bakke Salleh.