Stocks In Focus MY (Brahim’s, Maybank, Texchem) – 27/11/14
Brahim’s Buys BK Franchise For RM95m
Brahim’s Holdings, together with Quantum Angel, has purchased the Burger King franchise from Ekuiti Nasional for RM95 million.
The duo has set up a special purpose vehicle (SPV) in which Brahim’s will hold an 80 percent stake with the remainder held by Quantum to undertake the deal.
The SPV acquired Rancak Selera, a unit of Ekuiti, which owns Cosmo Restaurants and Burger King Singapore, which are holders of the Burger King franchise rights in Malaysia and Singapore respectively.
Significance: Brahim’s executive chairman, Datuk Seri Ibrahim Ahmad, shared that the acquisition of the Burger King franchise is expected to provide the firm with significant growth potential given its strong brand and increasing in fast food consumption in the two countries.
Maybank 3Q14 Earnings Down 8%
Malayan Banking’s (Maybank) net profit fell 7.9 percent to RM1.6 billion in the third quarter ended 30 September, weighed down by its insurance and takaful unit, despite an 8.3 percent lift in gross interest income to RM4.5 billion.
The unit was impacted by a surge in gross benefits and claims paid as well as a RM1.1 billion negative gross change to contract liabilities, compared to a RM0.2 billion positive change a year earlier.
For the nine months, gross interest income grew 7.7 percent to RM13.1 billion while earnings inched down 0.8 percent to RM4.8 billion.
Significance: For the full year, Maybank expects to perform in line with the industry, underpinned by continued loan growth momentum in consumer, small and medium enterprise and business banking segments.
Texchem To Dispose Sushi Kin Stake
Texchem Resources has proposed to sell 1.4 million shares, or a 28 percent stake, in Sushi Kin to Asia Yoshinoya International for RM102.2 million in cash.
Sushi Kin operates a chain of retail sushi outlets, known as Sushi King, and posted RM19.5 million in net profit for the fiscal year ended 31 December 2013.
The sale will reduce Texchem’s interest in Sushi Kin to 70.4 percent, from 98.4 percent. Texchem intends to use the proceeds from the disposal to repay part of the borrowings as well as finance the expansion of its restaurant business.
Significance: Yoshinoya’s involvement in the business operations of Sushi King is expected to generate synergies for both parties to exchange technology and operational efficiencies to further improve the latter’s business.
http://www.sharesinv.com
Brahim’s Buys BK Franchise For RM95m
Brahim’s Holdings, together with Quantum Angel, has purchased the Burger King franchise from Ekuiti Nasional for RM95 million.
The duo has set up a special purpose vehicle (SPV) in which Brahim’s will hold an 80 percent stake with the remainder held by Quantum to undertake the deal.
The SPV acquired Rancak Selera, a unit of Ekuiti, which owns Cosmo Restaurants and Burger King Singapore, which are holders of the Burger King franchise rights in Malaysia and Singapore respectively.
Significance: Brahim’s executive chairman, Datuk Seri Ibrahim Ahmad, shared that the acquisition of the Burger King franchise is expected to provide the firm with significant growth potential given its strong brand and increasing in fast food consumption in the two countries.
Maybank 3Q14 Earnings Down 8%
Malayan Banking’s (Maybank) net profit fell 7.9 percent to RM1.6 billion in the third quarter ended 30 September, weighed down by its insurance and takaful unit, despite an 8.3 percent lift in gross interest income to RM4.5 billion.
The unit was impacted by a surge in gross benefits and claims paid as well as a RM1.1 billion negative gross change to contract liabilities, compared to a RM0.2 billion positive change a year earlier.
For the nine months, gross interest income grew 7.7 percent to RM13.1 billion while earnings inched down 0.8 percent to RM4.8 billion.
Significance: For the full year, Maybank expects to perform in line with the industry, underpinned by continued loan growth momentum in consumer, small and medium enterprise and business banking segments.
Texchem To Dispose Sushi Kin Stake
Texchem Resources has proposed to sell 1.4 million shares, or a 28 percent stake, in Sushi Kin to Asia Yoshinoya International for RM102.2 million in cash.
Sushi Kin operates a chain of retail sushi outlets, known as Sushi King, and posted RM19.5 million in net profit for the fiscal year ended 31 December 2013.
The sale will reduce Texchem’s interest in Sushi Kin to 70.4 percent, from 98.4 percent. Texchem intends to use the proceeds from the disposal to repay part of the borrowings as well as finance the expansion of its restaurant business.
Significance: Yoshinoya’s involvement in the business operations of Sushi King is expected to generate synergies for both parties to exchange technology and operational efficiencies to further improve the latter’s business.
http://www.sharesinv.com
