Significant Event
- Public Bank Bhd, the third-largest bank in Malaysia by assets,
is acquiring a 44.15% stake in insurer LPI Capital Bhd for RM1.72 billion
in cash from the family of the late Tan Sri Teh Hong Piow.
- The Malaysian government announced it is considering the
removal of subsidies for eggs. Currently, egg producers receive a subsidy
of 10 sen per egg, while the ceiling retail prices for Grade A, B, and C
chicken eggs are set at 42 sen, 40 sen, and 38 sen per egg, respectively.
Real Estate Industry
- Property developer Tropicana Corp Bhd has signed an agreement
to sell 38.527 acres of freehold land in Johor to ZData Technologies Co
Ltd, a Beijing-based company specializing in cloud-network convergence and
digitized IT infrastructure services, for RM239.99 million, equivalent to
RM143 per square foot.
- Gadang Holdings Bhd is selling a leasehold plot of land in
Damansara Perdana, measuring 2.66 acres , to property developer Opulent
Abode Sdn Bhd for RM65 million. The price per square foot is approximately
RM557.
Infrastructure/Logistics
- The Malaysian government has announced that no new coal power
plants will be built in the country. The goal is to increase the share of
renewable energy in the national electricity mix to 40% by 2035 and 70% by
2050.
Cash Call/ Debt restructuring/Restructuring/Proposed Listing
- Exsim Borneo Sdn Bhd has proposed to acquire a 70% stake in
Sabah-based property developer WMG Holdings Bhd at 16.5 sen per share and
will make a general offer for the remaining shares at the same price. In
addition to taking over all of WMG’s current projects, we believe Exsim
may inject its own Sabah projects and landbank into the listed company,
strengthening its presence in Sabah.
- MMC Port Holdings Sdn Bhd is considering an initial public
offering (IPO) in Kuala Lumpur that could raise as much as RM7 billion.
Company Expansion Plan/ Capex Plan
- Guan Chong Bhd, the world's fourth-largest cocoa grinder with
an annual capacity of 330,000 metric tons (MT), is looking to acquire a
25% stake in Ivory Coast-based cocoa manufacturer Transcao Côte d'Ivoire.
The company recently commissioned a new cocoa bean grinding and processing
plant with an initial capacity of 60,000 MT per year, which has the
potential to expand to 240,000 MT annually.
- Logistics service provider Sin-Kung Logistics Bhd is
diversifying into private jet charter and air freight cargo services with
the acquisition of loss-making Prima Air Sdn Bhd for RM20.7 million cash.
News we are reading
- In Kazakhstan, 71% of voters have supported the government's
plan to build a new nuclear power reactor. Beyond Kazakhstan, companies
like Microsoft and Google are also planning to use nuclear energy to power
their data centers. Japan is discussing restarting its nuclear plants, and
nuclear energy has now been classified as a form of green energy. As a
result, the price of uranium, the fuel used in nuclear power plants, has
increased fourfold recently.
