Icon Offshore Bhd ( Valuation: N/A, Fundamental: N/A) said it will be providing one unit of utility tug vessel to an oil major to support the latter's production operations and well services activities in a contract worth RM22 million.
In a filing with Bursa, the oil and gas services provider said its unit Icon Offshore Group Sdn Bhd (IOGSB) has received a letter of award from the oil major for the above contract. However, it did not name the oil major.
Under the contract, IOGSB shall provide the services for a period of three years, commencing from Oct 21, 2015, it said. The contract came with an extension option of one year and an additional one year.
The long-term contract, Icon said, was valued at approximately RM22 million, exclusive of the extension period.
"It is expected to contribute positively to the earnings and net assets of Icon group for the financial year ending Dec 31, 2015 and beyond," it added.
Petronas Dagangan Bhd (PetDag) will be divesting its Vietnamese businesses after its wholly-owned subsidiary PDB (Netherlands) B.V (PDBN) entered into two share sale and purchase agreements (SSPAs) with Totalgaz Vietnam Ltd, as part of the group's portfolio rationalisation strategy.
The SSPAs with Totalgaz will see the divestment of PDBN's entire 100% equity interests in Petronas (Vietnam) Co Ltd ( Valuation: 1.10, Fundamental: 2.10) and Thang Long LPG Company Ltd.
The group said both companies, incorporated in Vietnam, are involved in the bottling and distribution of liquefied petroleum gas in Vietnam.
The divestment is expected to be completed by the second quarter of 2016, subject to the conditions of the SSPAs being met.
Major oil palm growers, including Malaysia's Sime Darby Bhd ( Valuation: 1.40, Fundamental: 0.80) will conduct trials of a sustainable cultivation scheme under the Sustainable Palm Oil Manifesto.
Companies including Sime Darby, Singapore-based Musim Mas and the US' Cargill Inc are signatories of the manifesto, which advocates the high carbon stock (HCS) scheme launched today.
Sime Darby said the HCS methodology was built on three pillars. The list comprises ecosystem maintenance, socio-economic benefits for local communities and economic viability.
Sime Darby's unit, Sime Darby Plantation Sdn Bhd's managing director Datuk Franki Anthony Dass said the group intended to carry out trials at its oil palm plantations in Liberia.
He said Liberia was chosen, because Sime Darby's estimated 10,000 ha of plantations there, were the group's only greenfield development.
Comfort Gloves Bhd ( Valuation: 0.00, Fundamental: 2.10)'s performance in its third quarter ended Oct 31, 2015 (3QFY16) continued to show the fruits of its expansion exercise this year, when net profit came in almost 11 times higher year-on-year (y-o-y) at RM7.17 million, from RM672,000 previously.
Revenue for the quarter under review rose 59.6% y-o-y to RM61.28 million, from RM38.39 million, according to the company's Bursa Malaysia filing today. The company was formerly known as Integrated Rubber Corp Bhd.
On a cumulative basis (9MFY16), Comfort Gloves' net profit rose a little over 10 times to RM16.26 million, from RM1.59 million; while revenue came in 51.2% higher y-o-y at RM171.2 million, from RM113.22 million previously.
Looking ahead, Comfort Gloves said it expects the demand and consumption of rubber gloves in Asia and other emerging economies to increase, on the back of rising awareness in healthcare.
As such, it expects it will continue to capture a bigger market share in Asia and United States, which currently contributes 80% to its revenue.
Pasdec Holdings Bhd, a 51.65%-owned subsidiary of the Pahang state government, has warned it will slip into its first full-year net loss this financial year ending Dec 31, 2015 (FY15), after three years of profits, mainly due to higher expenses incurred from the relocation of its automotive manufacturing operations from South Africa to Botswana.
For the nine months period ended Sept 30, 2015 (9MFY15), the group reported a net loss of RM18.13 million, compared with a net profit of RM981,000 a year ago, dragged by relocation, training and retrenchment costs, following the relocation of its auto manufacturing activities. Revenue fell 4% to RM145.86 million, from RM151.96 million.
Pasdec's senior vice-president of corporate resources, Goh Song Han, said it would likely take another year for the business to turn around in FY17.
Goh said the group is also looking to balance its business portfolio between property development and auto manufacturing in the next two to three years.
For now, the property segment which accounted for 47% of its revenue in 9MFY15, will remain the main contributor to the group’s turnover, while the group waits for the auto manufacturing business in Botswana to stabilize.
Today, Pasdec also signed a share subcription agreement with BDC to formalise the group's commitment to invest in Botswana.
Under the joint venture (JV), Pasdec will hold a 70% stake in the JV company, Pasdec Automotive Technologies Proprietary Botswana Ltd (PAT BW), while BDC will own the remaining 30% shares.
PAT BW's chief executive officer Datuk Kevin Pather noted that the total investment to construct the Botswana plant is around US$15 million, which will cater to the auto market in the northern and central African regions.
In the next 18 to 24 months, Pather said PAT BW will invest around US$10 million in the Botswana plant, that will cater to its two major customers — Volkswagen and Nissan/Renault — in the immediate term.
Ideal Sun City Holdings Bhd ( Valuation: 0.00, Fundamental: 3.00)'s founder and executive chairman Datuk Ooi Kee Liang, 44, has been redesignated as the company's managing director just over a week after it was revealed that he has ceased to be its substantial shareholder.
The appointment will take effect today, while the chairmanship has been passed to executive director Datuk Seri Lee Hock Seng, also 44.
Ooi had disposed of 41.39 million shares of the company, representing a 22.29% indirect stake, on Nov 13. After the disposal, Ooi is left with a 0.96% indirect stake.
On Nov 16, Ideal Sun City announced that Success Tower Sdn Bhd, a private incorporated company based in Klang, Selangor, had on Nov 13 purchased 49.05 million shares in the Penang-based company, bringing the new stakeholder's total shareholdings in the company to 58.05 million or a 31.27% stake.
In addition, Ideal Sun City’s former executive director Yow Mooi Sin, 35, will assume the chief finance director post, while private accounting tutor Chan Foo Weng, 27, has been appointed as an independent and non-executive director, remuneration committee head, and a member of the audit and nomination committees.
Fututech Bhd ( Valuation: 1.80, Fundamental: 2.60)'s chief executive officer (CEO) Evan Loo Soo Long has resigned from his post with immediate effect, to pursue other career opportunity.
Loo has a direct interest to 2.06 million shares or 2.2% stake in the company, besides being in control of 27,335 warrants.
Loo, 51, was first appointed as executive director of Fututech on Nov 1, 2002 and was re-designated as acting CEO on Nov 9, 2006. He was appointed to his present post on March 1, 2010, according to the company's Annual Report 2014.
Reuters reported that Felda Group still plans to buy 37% of PT Eagle High Plantations Tbk in a restructured deal, a managing director of the Indonesian firm's parent company said, sending shares in Eagle High soaring.
The companies are finalising the price, Rajawali's managing director Darjoto Setyawan told Reuters in a text message interview.
Last month, the Malaysian group's main unit, Felda Global ( Valuation: 2.00, Fundamental: 1.15) Ventures Holdings Bhd (FGV), said it needed to rethink its planned purchase of a 37% stake in Eagle High for USUS$680 million, after its shareholders criticised the deal as too expensive.
The deal was set to be biggest acquisition so far for Felda Global, the world's no. 3 palm plantation operator, which has been looking to expand its landbank.
Under the new deal, Felda Global may take less than 10% in Eagle High, with the remainder bought by Felda Investment, a separate unit of Felda Group.
In response to the Rajawali comments, Felda Global said in a statement that it was continuing to evaluate a possible different mode of investment in Eagle High and that an announcement would be made in 2016.
Shares of Eagle High jumped 8.1% in afternoon trade today. It closed at IDR132, up 18.92%. FGV ended 1.9% higher at RM1.61.
Icon Offshore, PetDag, Sime Darby, Comfort Gloves, Pasdec, Ideal Sun City, Fututech and FGV
http://www.theedgemarkets.com/my/article/icon-offshore-petdag-sime-darby-comfort-gloves-pasdec-ideal-sun-city-fututech-and-fgv
