DRBHCOM (1619) : AmResearch maintains Buy on DRB-Hicom
KUALA LUMPUR: AmResearch has maintained its Buy call on DRB-Hicom with an unchanged fair value of RM3.60 a share, it said in a note on Wednesday.
The research house said efence and security company, Saab, has signed a new industrial co-operation agreement with DRB-Hicom’s subsidiary Defence Technologies Sdn Bhd (Deftech) in relation to the Gripen fighter aircraft.
Saab Malaysia head, Thomas Linden, as saying that the deal covered Gripen-related maintenance and support activities, design and manufacturing of advanced composite systems and associated technology transfer.
"Saab has long supplied defence equipment to the Malaysian Armed Forces. These include naval and land radars, airborne self-protection systems for helicopters and fighter aircraft, naval command and control systems and army support weapons, including anti-tank weapons.
"While this is positive for Deftech and the group as a whole, we do not foresee any immediate impact from this deal," it said.
While Proton is undergoing a tough phase, DRB-Hicom’s automotive segment currently depends greatly on Deftech’s defence projects, particularly in the RM7.5bil AV8 contract.
http://www.thestar.com.my
KUALA LUMPUR: AmResearch has maintained its Buy call on DRB-Hicom with an unchanged fair value of RM3.60 a share, it said in a note on Wednesday.
The research house said efence and security company, Saab, has signed a new industrial co-operation agreement with DRB-Hicom’s subsidiary Defence Technologies Sdn Bhd (Deftech) in relation to the Gripen fighter aircraft.
Saab Malaysia head, Thomas Linden, as saying that the deal covered Gripen-related maintenance and support activities, design and manufacturing of advanced composite systems and associated technology transfer.
"Saab has long supplied defence equipment to the Malaysian Armed Forces. These include naval and land radars, airborne self-protection systems for helicopters and fighter aircraft, naval command and control systems and army support weapons, including anti-tank weapons.
"While this is positive for Deftech and the group as a whole, we do not foresee any immediate impact from this deal," it said.
While Proton is undergoing a tough phase, DRB-Hicom’s automotive segment currently depends greatly on Deftech’s defence projects, particularly in the RM7.5bil AV8 contract.
http://www.thestar.com.my
