KUALA LUMPUR (March 14): Based on corporate announcements and news flow today, companies that may be in focus tomorrow (March 15) may include the following: Bermaz Auto, Pan Malaysia, UMWOG, Transocean, Spritzer, Eka Noodles and Digistar.
Bermaz Auto Bhd’s net profit fell 38.9% to RM25.1 million in its third quarter ended Jan 31, 2017 (3QFY17) from RM41.1 million a year ago, as softer consumer demand impacted domestic sales while supply constraints and competition in the Philippines affected sales in the other country.
Reduced performance from its associated companies and higher vehicle cost because of a weak ringgit also caused net profit to fall but this was mitigated by a drop in operating expenses after measures were taken to cut it.
In a filing with Bursa Malaysia today, Bermaz said revenue slipped 35.2% to RM338.7 million in 3QFY17 from RM522.6 million last year.
“Softer consumer demand has impacted domestic sales while supply constraint on certain Mazda models and competitors’ new model launches has affected sales in the Philippines. This was further aggravated by intense competition in the domestic market, where sales were predominantly driven by aggressive discount promotion activities by competitors,” it said.
Bermaz recommended a third interim single-tier dividend of 2.75 sen for the financial year ending April 30, 2017 (FY17), to be payable on April 26.
Pan Malaysia Holdings Bhd (PMH) said it is unaware of what could account for the recent sharp rise in the price of the company's shares.
In a reply to Bursa Malaysia's unusual market activity (UMA) query earlier, PMH said there are no new corporate developments that the board is aware of.
The company also said it is not aware of any rumour or report concerning the group's business and affairs that may account for the trading activity. Earlier today, Bursa had slapped PMH with an UMA query after its share price rose as much as 43.3% to hit an intraday high of 21.5 sen.
UMW Oil & Gas Corp Bhd (UMWOG) has bagged a contract from British oilfield company Petrofac (Malaysia-PM304) Ltd for the provision of a jack-up drilling rig, specifically UMW Naga 5, to drill two wells.
UMWOG did not disclose the value of the contract in its filing with Bursa Malaysia today. The contract commences in the second quarter of 2017.
The letter of award was secured via UMW Offshore Drilling Sdn Bhd (UOD), a wholly-owned subsidiary of UMW Malaysian Ventures Sdn Bhd, which is in turn UMWOG’s fully-owned unit.
"The contract is for the provision of drilling rig services for Petrofac's drilling programme, whereby (we) will assign the UMW Naga 5 for this contract," said UMW O&G.
This is the second contract UMWOG has secured this month, with the first being the jack-up drilling job from Vestigo Petroleum Sdn Bhd announced on March 10.
Logistics solutions provider Transocean Holdings Bhd announced it will acquire the entire equity interest in Taipanco Sdn Bhd for RM140 million to revitalise its business.
In a filing with Bursa Malaysia today, the group said it will issue 102 million new ordinary shares and 38 million new redeemable convertible preference shares (RCPS), both priced at RM1 each.
The group acquired Taipanco by inking a conditional sale and purchase agreement and a profit guarantee agreement with the company's shareholders and directors Jee Chau Hau, Nazari Akhbar and Nor Rahah Ab Ghani (the vendors).
The vendors will also grant Transocean a profit guarantee that Taipanco's profit before tax (PBT) for FY2017, FY2018 and FY2019 shall be not be less than RM10 million each, and that the cumulative PBT for the three financial years shall not be less than RM33 million.
The vendors will have a collective shareholding of 55.25% of the enlarged issued share capital of Transocean and 64.64% upon full conversion of the RCPS, effectively emerging as major shareholders in the company, making the deal a reverse takeover (RTO).
However, as it is not their intention to do so, they will seek an exemption from undertaking an MGO from the Securities Commission Malaysia.
Mineral water producer Spritzer Bhd announced that FMR LLC, part of United States-based Fidelity Investments, has emerged as a substantial shareholder after it acquired 38,100 shares in the open market.
This boosted FMR's holdings in Spritzer to 9.25 million shares, equivalent to a 5.07% stake. FMR's share acquisition in Spritzer was part of a simple portfolio of investments, the company said.
Headquartered in Boston, Fidelity Investments is the fourth largest mutual fund in the world, with presence in eight other countries across North America, Europe, Asia and Australia.
Loss-making Eka Noodles Bhd, which was embroiled in a boardroom tussle earlier this year, announced a slew of boardroom changes today via several Bursa Malaysia filings.
Both its executive director Datuk Ahmad Zaffry Sulaiman, 42, and independent and non-executive director Raja Nazrin Raja Ghazilla have resigned due to personal commitments, with immediate effect.
Meanwhile, Datuk Dr Chin Yew Sin, 57, Leong Woay Hong @ Neoh Woay Hong, 50, Lim Choo Hooi, 47, and Fong Yit Meng have been appointed the company’s new independent and non-executive directors, starting today.
Trading in the shares of information technology and security solutions provider Digistar Corp Bhd will be suspended tomorrow (March 15), between 9am and 2pm, pending the release of a material annoucement.
Sources told The Edge Financial Daily that Digistar will be launching its advanced security system — Panther Mobile – and it has roped in Celcom Axiata Bhd as partner.
BAUTO, BAUTO (5248), 5248, EN5248, KLSE:BAUTO, PMHLDG, UMWOG, TOCEAN, SPRITZER, EKA, DIGISTA,
http://www.theedgemarkets.com/my/article/bermaz-auto-pan-malaysia-umwog-transocean-spritzer-eka-noodles-and-digistar
