Here's what we have for the week
- Keppel Infrastructure Trust might be selling off Ixom Holdings Pte Ltd. Ixom is the sole manufacturer of liquefied chlorine and the leading manufacturer of caustic soda in Australia.
- IHH Healthcare is acquiring Ramsay Sime Darby Health Care Sdn Bhd for RM5.67 billion.
Real Estate Industry
• The Ascott Limited is investing in two properties in Ningbo, China and Amsterdam, Netherlands for approximately S$190 million
• CapitaLand Integrated Commercial Trust (CICT) is acquiring the property located at 79 Robinson Road.
• A new project, known as KL Wellness City is launched in Bukit Jalil, Kuala Lumpur. The 10.73 hectare township is projected to have a gross development value (GDV) of nearly RM12 billion.
Users can get access all the major transactions of offices, lands, and factories in Malaysia via this tool.
- Ancom Bhd, Nylex (Malaysia) Bhd, LBS Bina Group Bhd, Sinar Bina Infra Sdn Bhd and BTS Group Holdings Public Company Ltd had signed a head of agreement for a proposed joint venture in building a light rail transport (LRT) system connected with the railway shuttle link currently being built from Singapore to Johor Bahru.
Cash Call/ Debt restructuring
- Lendlease Global Commercial REIT is seeking to raise $573.8 million through a private placement of 448.3 million new units. The new units will be issued at an issue price range of between 72.5 cents to 74 cents per new unit.
- 3Cnergy Ltd is proposing a capital reduction writing off the accumulated loss of SGD 138.85 million a cash distribution of SGD 35.7 million.
- Press Metal Aluminium plans to raise up to RM1 billion, through the placement of up to 163.4 million new shares or 2% of its issued shares @ RM 6.12 per share to third-party investors, to be used as working capital, capital expenditure, and to repay its borrowings.
Company Expansion Plan/ Capex Plan
- Unisem has commenced the construction of its new semiconductor production. The expansion is expected to be completed in April 2023 at an approximate cost of RM300 million, doubling the production capacity of existing operations in Ipoh.
- YBS International, a company involved in manufacturing high precision molds, is increasing its production capacity by fivefold.
- ESG Rating of Bursa Malaysia companies. (Read Full Story)
- The component of VP-DJ Shariah China A-Shares 100 ETF and why its investment rationale. (Read Full Story)
- Some observations on Genting Highlands and related stocks. (Read Full Story)
- Three types of inflation and traders are betting a QE5 in 2023. (Read Full Story)
- A gauge for the price trend of NFTs (Read Full Story)
News we are reading
- SC Malaysia has announced the winner of the Initial Exchange Offering (IEO) license. (The Edge)
- China Europe rail freight is the latest supply chain issue. (Bloomberg)
- Israeli PM's historic summit with Egypt and UAE. (The Star)
- The London Metal Exchange has no current plans to ban from its system metal from Russian producers, such as nickel and copper from Norilsk Nickel or aluminum from Rusal. (Side Note: LME is owned by HKeX). (Reuters)
- Chinese military base could potentially be set up on Soloman Island, the island to Australia's north. (BBC)
- Apple is working on a hardware subscription service for iPhones. (Bloomberg)
If you are an investor, identifying what’s happening in the industry will give you a long-term view of the industry and ignore the noises. We had built a tool to help you to focus on the trends that are shaping the landscape much more easily. Access it here.
Trades we are monitoring
- Short unprofitable US tech stocks
- Long on beaten-down China tech stocks
What we are thinking
Russia might have lost the battle, but won the war.
- EU is required to use Russian Ruble when buying energy from Russia.
- The US has shown the world that it would not help its allies when it is being attacked.
- The western world has lost its credibility when it froze Russia's foreign reserve and confiscate Russian overseas assets. Even Switzerland, the country that remains neutral during world war 2 is destroying its reputation that was built for more than 500 years when they start sanctioning Russian and disclosing its customers' information.
As a result, we are seeing more and more countries seeking new alliances to protect themselves when the US is ditching them. Israel's prime minister meeting up with Egypt and UAE is the latest proof that the Yalta order is collapsing.
As an investor, diversification has become more important now. Don't place all your bets in US tech stocks.