Companies in the news - Vivocom, AirAsia, Berjaya Assets, MAHB, Harn Len and Ireka

KUALA LUMPUR (July 12): Based on corporate announcements and news flow today, companies that may be in focus on Wednesday (July 13) could include: Vivocom, AirAsia, Berjaya Assets, MAHB, Harn Len and Ireka.

ACE Market-listed construction player Vivocom Intl Holdings Bhd has proposed a one-for-four bonus issue of 870.3 million shares to reward shareholders and enhance its capital base. This would enlarge its share base to between 3.23 billion and 4.35 billion.

In a filing with Bursa Malaysia, Vivocom said it expects the exercise to be completed by the third quarter of 2016.

AirAsia Bhd has clarified that a dual listing is not an option the budget airline is formally considering at the moment.

It also highlighted that the company is not pursuing any new joint venture in China.

"Currently AirAsia is not pursuing any new joint venture proposals as we continue to focus on launching AirAsia Japan as well as strengthening our existing joint venture airline operations within Asean and India," it added.

It was reported earlier that the low-cost carrier is eyeing a Hong Kong listing as it expands in North Asia.

Berjaya Assets Bhd (BAssets) will acquire the remaining 50% in Megaquest Sdn Bhd for RM108 million, to fully control the company involved in lottery games in Sarawak.

BAssets said its subsidiary Tropicfair Sdn Bhd has entered into a share sale agreement for the proposed acquisition comprising 3.51 million ordinary shares in Megaquest from Violet Circle Sdn Bhd for RM108 million cash or RM30.81 per share.

Megaquest is involved in investment holding and operation of number forecast lotteries in Sarawak under the licence of Sarawak Turf Club via Natural Avenue Sdn Bhd.

The cash consideration for the proposed acquisition will be funded from borrowings of BAssets.

In a separate filing with Bursa, BAssets said it has appointed an exclusive marketing agent for the sale of a piece of freehold land in Imbi.

This confirmed a report by The Edge Financial Daily on Monday (July 11), which said the company was looking at a potential sale of the land for some RM130 million.

Malaysia Airports Holdings Bhd (MAHB) said passenger movements at its airports, including Istanbul's Sabiha Gocken International Airport (SGIA), fell 4.2% to 9.05 million in June, compared with 9.45 million a year ago.

The group said this was mainly due to the seasonally-lesser travelling during the Ramadhan period, which affected both Malaysia and Turkey.

However, the group still registered a 4.2% growth for the first half of 2016 as both local and foreign carriers filled the void left by a restructured Malaysia Airlines Bhd.

MAHB disclosed that total passengers in June, excluding SGIA, were 4.9% lower at 6.65 million compared with 7 million last year.

International passengers dropped 1.5% to 3.24 million, while domestic passengers declined 7.9% to 3.42 million.

Overall aircraft movements decreased 6.7% with a reduction in international and domestic movements by 1.7% and 9.6% respectively compared to June 2015.

Harn Len Corp Bhd is buying three adjacent plots of freehold land located in Taman Perindustrian Cemerlang, Johor from Jotech Metal Fabrication Industries Sdn Bhd, with the expectation that they will appreciate in value.

The plots have factory buildings erected on them, according to a bourse filing today.

The company said the properties are located in the vicinity of factories occupied by reputable firms such as Meiban, Toyoplus and London Biscuits. Hence, appreciation in value is foreseen. The properties purchased are rented back to the vendor for five years. Rate of rentals are reasonable at 8%.

Ireka Corporation Bhd has aborted the freehold land acquisition measuring 21.52 acres (8.71 hectares) in Senawang, Negeri Sembilan, citing non-fulfilment of the conditions precedent under the agreement which it had inked with the Aeon Co (M) Bhd.

The construction outfit first announced the land acquisition deal, worth RM21.8 million in December 2014.

Concurrently, it had entered into a separate sale and purchase agreement with Aeon for the disposal of the land, following obtainment of necessary approvals from the relevant authorities to allow the construction and operation of a shopping centre.