KUALA LUMPUR (Oct 5): Based on corporate announcements and news flow today, stocks in focus on Friday (Oct 6) may include: Sunway Construction, Gabungan AQRS, WCT, Favelle Favco, Yi-Lai, Aeon Credit, Pos Malaysia, Bison, UMW Holdings and KLK.
Sunway Construction Group Bhd (SunCon) bagged a contract worth RM2.18 billion in connection with the LRT 3 project (Bandar Utama, Petaling Jaya to Johan Setia, Klang) from Prasarana Malaysia Bhd.
SunCon’s alignment is from Kawasan 17 to Taman Sri Andalas in Klang and is for a duration of 36 months.
The scope of work includes 9.2km of viaduct work, construction of six stations, and the design and building of an iconic cable-stayed bridge over the Klang River.
Additionally, the group will construct two park and rides at Pasar Besar Klang and Sri Andalas as well as a Centralised Labour Quarter at Johan Setia.
Meanwhile, Gabungan AQRS Bhd was awarded another LRT3 contract worth about RM1.14 billion to construct guideway, stations, park-and-ride, ancillary buildings and other associated works.
The project is for 38 months and is expected to contribute positively to Gabungan AQRS's earnings for FY17 onwards.
Another LRT3 contract, worth RM640 million, was won by WCT Holdings Bhd to build the guideway and other associated works from Merchant Square to Suria Damansara, stretching 2.9km long with two stations.
Favelle Favco Bhd intends to buy controlling stakes in four engineering and automation-related companies, for over RM87.4 million.
It has inked a Heads of Agreement to acquire a 70% stake each in Exact Automation Sdn Bhd, Sedia Teguh Sdn Bhd, Exact Analytical Sdn Bhd and Exact Oil & Gas Sdn Bhd.
Favelle Favco said the final purchase consideration will comprise the indicative RM87.4 million, and incremental consideration payable over three financial years, up till 2019.
Yi-Lai Bhd has received a takeover offer from its executive director Aaron Tan Jian Hong and non-independent non-executive director Wendy Kang Hui Lin to acquire the remaining shares in the company.
The mandatory takeover offer at 78.5 sen a share was triggered after Tan and Kang raised their stake in the ceramic and tile manufacturer to 33.01%.
The offer will be made not later than the requisite 21 days from today, unless directed or permitted by the Securities Commission to defer doing so.
Aeon Credit Service (M) Bhd posted a net profit of RM71.39 million for 2QFY18, 29.3% higher compared with RM55.19 million a year earlier.
Quarterly revenue grew 15.7% to RM311.32 million from RM269.13 million.
The company declared an interim single-tier dividend of 21.13 sen per share, with ex-date and entitlement date set on Oct 17 and Oct 20 respectively.
For 1HFY18, net profit came in at RM147.2 million, up 24.8% from RM117.92 million a year ago, while revenue grew 15.6% to RM613.6 million from RM530.77 million registered previously.
Moving forward, Aeon Credit said it is expecting to maintain its financial performance for FY18.
Pos Malaysia Bhd's courier arm PosLaju has been made the exclusive e-commerce logistics partner in the region for online shopping platform PG Mall Sdn Bhd.
The partnership will enable PosLaju to serve more than 5,300 PG Mall's active merchants daily, and is likely to contribute about RM500,000 to the group's bottom line for FY18.
Bison Consolidated Bhd's wholly-owned subsidiary Mynews Food Sdn Bhd has inked two separate agreements with Japanese-owned companies Gourmet Kineya Co Ltd and MRA Bakery Sdn Bhd respectively for the development, supply and sale of ready-to-eat food and baked goods.
Bison's food production venture will be undertaken at its food preparation and packaging facility in Rawang, Selangor.
Under the JV agreements, Bison owns a 51% stake each in both JV companies, with total investment cost of RM35.7 million which will be funded via internally-generated funds and private placement.
UMW Holdings Bhd's unit is disposing a 70% stake in its dormant company, UMW Fabritech Sdn Bhd, for a total cash consideration of RM18 million.
UMW Corp Sdn Bhd has entered into a share sale agreement with DKLS Luxuria Sdn Bhd for the proposed disposal of 22.4 million ordinary shares in UMW Fabritech, in line with UMW Holding's strategy to exit from its investments in the oil and gas sector.
UMW Fabritech serves the oil and gas (O&G) industry in the provision of sandblasting, priming, coating, inspection, maintenance, and repair services.
Kuala Lumpur Kepong Bhd's subsidiary KLK Oleo has launched its fourth Reactor Specialty Ester Plant, and R&D centre in Klang to increase capacity and efficiency.
The R&D centre was set up in Malaysia as KLK Oleo's international research, development and technology hub to service and support its global oleochemical business.
It said continuous investments and initiatives are necessary due to the increasing demand for specialty esters.
http://www.theedgemarkets.com/article/sunway-construction-gabungan-aqrs-wct-favelle-favco-yilai-aeon-credit-pos-malaysia-bison-umw
