Gallery@Singapore. Located on St Martin’s drive, the EcoWorld
Gallery@Singapore will showcase EcoWorld projects in Malaysia and overseas. Currently, the group has 15 projects located in three key economic regions in Malaysia namely the Klang Valley, Iskandar Malaysia and Penang. Through its associates, EcoWorld will also launch its first project in London by end-May and another in Sydney before the year-end. (Bernama)
Telekom Malaysia (TM) is going all out to get small and medium enterprises (SMEs) and individual online businesses to use information and communication technology (ICT) solutions in their operations. TM Consumer and SME executive vice-president Imri Mokhtar said there were thousands of SMEs and online businesses that did not fully utilise ICT solutions. He said the company would engage with them on ICT-related services offered by TM which they could use to further build and develop their businesses. (Starbiz)
AirAsia, via its official Facebook account, announced plans to commence operations to Pattaya. The airline will operate four times weekly Kuala Lumpur-Pattaya service from 16-Jul-2015. Pattaya will be the airline's seventh destination in Thailand served from Kuala Lumpur. (Bernama)
AirAsia X, the long-haul, low-cost affiliate carrier of AirAsia Group, is banking on new routes and enhancing network connectivity to achieve profitability this year. AirAsia X acting CEO Benyamin Ismail said the airline would likely fly to Hawaii this year and broaden its connectivity in Japan and the Middle East. "There are few new routes we are looking at and one of the most important ones we are working on is Hawaii. We have submitted an application to the US Department of Transportation., he said,
· "I think what is most important now is that we need the support of Malaysia Airports because the authority in the US have to audit the airport (KLIA2). Once we get that approved, our target is to launch it in Nov.," (Bernama)
CIMB Group Holdings Bhd and PT CIMB Niaga Tbk have announced a Mutual Separation Scheme (MSS) for their staff to enhance efficiency. The group said the MSS is offered to the staff “after looking at current operating cost structures and desired efficiency levels across the franchise.” Group chief executive Tengku Datuk Zafrul Aziz Tengku Aziz said the MSS exercise is fully voluntary and is aimed at enhancing the group’s efficiency levels across the board.
· “This is consistent with return on equity and cost-to-income plans we have outlined for the future. The staff of CIMB Group and CIMB Niaga have until May 29 to submit their applications for the MSS. The group expect all applications for the MSS to be submitted by May 29. It, however, did not state the number of staff that it plans to cut. (BT)
The closing date for the Kejuruteraan Samudra Timur (KTSB) takeover offer has been extended for the second time amid a low response rate, but the offer prices remain unchanged. The joint offerors - executive directors
Darmendran Kunaretnam and Chee Cheng Chun as well as Chee’s father Datuk Chee Peck Kiat and Trance Rex Sdn Bhd, which is owned by Darmendran’s spouse - had extended the closing date to 5pm on 12 Jun 19 May. The first closing date was 5 May.
· As of Friday, valid acceptances received had raised the offerors’ combined stake to 28.99%, up from 23.73% on 13 Apr, when the offer document was despatched. Total warrants held barely budged, from 30.08% then to 30.15% now. The takeover offer for the oil and gas service player, announced on March 23, comprises an offer for the 30 sen KTSB shares for 48 sen and an offer for warrants for 18 sen. (Star)
Malakoff Corporation Bhd, which was listed on the Bursa Malaysia’s Main
Market Friday and was one of the most actively-traded counter across the bourse, has issued a statement denying it was considering buying the power assets of debt-laden 1Malaysia Development Bhd (1MDB). In a statement after market close, the independent power producer (IPP) reiterated its stance, following a news report by Bernama earlier today which said Malakoff was keen on acquiring debt-ridden 1MDB's power assets that are held by the latter's unit, Edra Energy Global Bhd, that has dampened Malakoff's share price performance on its maiden trading day.
· Malakoff said it strongly denies the report which stated it was considering the buy and urged Bernama to retract the piece, which it termed "a misrepresentation". (The Edge)
Electronic manufacturing services provider EG Industries Bhd has bought a 10.22% stake in Singapore-listed WE Holdings Ltd for SG$2.04m (RM5.55m). WE is a distributor and manufacturers' representative for electronic products based in Singapore covering Asia Pacific. It has also embarked on its diversification strategy into the two key commodities sectors, namely coal and iron ore as well as cement and oil. EG said the investment in WE is aimed at forging closer and direct relationship between both companies, by facilitating information sharing and promoting cross-selling activities as an integrated electronic manufacturing services (EMS) solution provider in each other's business development activities.
· "In addition, this investment would also enable EG to enjoy capital returns in tandem with the growth of WE group and its group of companies," it noted. (The Sun)
Technology-based AppAsia Bhd, formerly known as Extol MSC Bhd, sees mobile content and applications as the way forward to grow the company. The company's chairman, Datuk Wira Rahadian Mohammad Khalil, said this would be the game changer for AppAsia. AppAsia, which suffered losses in 2013 followed by a shareholder's tussle, has expanded into the mobile content and applications business in the hope of turning around the company's fortunes. "Since the new major shareholders took over, the company has cleaned up and started on a clean slate.
· We would continue the IT security services segment under the Extol brand name as it is the core business and major contributor to the group's revenue," said Rahadian when met after AppAsia Bhd's AGM on Friday. (Starbiz)
Faced with the prospects of lower margins after agreeing to less rosy catering terms with Malaysia Airlines, Brahim's Holdings hopes to reduce the impact by asking its suppliers to lower their prices, said a source. Industry observers, however, pointed out that it won't be easy to ask suppliers to take a cut in margins, especially since the recently introduced GST has raised costs of many businesses. (Fin Daily)
Shell Lubricants, a unit of Shell Malaysia, will continue to grow as the market leader for lubricant solutions for vehicles with the launch of a complete range of products under a package to help businesses reduce operating costs. The products are Shell Rimula heavy duty diesel engine oils, Shell Spirax axle, transmission and gear oils, as well as, Shell Gadus greases. “Although Gadus has been introduced in 2010 and both the Rimula and Spirax have been here for more than ten years, we are introducing them as a package,” Shell Lubricants
GM Malaysia and Singapore, Leslie Ng said. (BT)
The electric vehicle assembly plant in Gurun, Kedah, which is set to turn Malaysia into a hub for electric vehicles in Southeast Asia, is expected to be operational in July next year with an initial investment of up to RM300m. The project is undertaken by China's Beijing Auto International Cooperation (BAIC), the country's top and world's second biggest electric vehicle manufacturer, in collaboration with a Malaysian partner, Amber Dual Sdn Bhd. Amber Dual managing director Shabudin Md Saman said the project got off the ground with research and development (R&D) in Gurun, mainly to change the left-hand drive system to right-hand drive at the cost of about RM50m. (Bernama)
The Edge has published a four-page special pullout detailing six questionable transactions that it says must be explained by the 1MDB directors. The Edge Business Weekly says in its latest issue that past and present directors of 1Malaysia Development Bhd (1MDB) must be held accountable for all the decisions that have created the financial mess it is in today.
· It said although controversial businessman Jho Low had a hand in certain dealings, ultimately, decisions were made by the board of directors and management. It added that both the Public Accounts Committee and auditor-general should refer to the report in their investigations into 1MDB. (Malaysian Insider)
All ears will be on the tabling of the 11th Malaysia Plan (RMK11) by Datuk Seri Najib Tun Razak during the 13th parliamentary sitting which opens today. The Prime Minister and Finance Minister will unveil the national five-year plan (2016-2020) on Thursday. The RMK11 is considered critical as it is the final transformation move in the effort to make Malaysia a developed high-income nation by 2020, and is expected to outline several high-impact projects. According to the Parliament Malaysia portal, the debate on the RMK11 is expected to go on for six days from May 25, followed by replies from the ministers over three days from June 10. (Starbiz)
Oil palm plantation companies in Sarawak which are not involved in logging have had their bank accounts frozen by the Malaysian Anti-Corruption Commission (MACC). Sarawak Oil Palm Plantation Owners Association (SOPPOA) appealed to MACC to unfreeze bank accounts of plantation companies not related to logging activities. "We welcome the government's fight against illegal logging and corruption practices associated with illegal logging in Sarawak. We, however, strongly oppose the freezing of bank accounts of plantation companies which are not related to such activities," SOPPOA said in a statement. (BT)
Palm oil shipments rise 54.5% from 477,295 tons in first 15 days of April, according to Intertek Testing Services. (Bloomberg)
CIMB Daybreak - 18 May 2015
