Pecca Group Bhd said its 60%-owned subsidiary PAviation has obtained the greenlight from the Department of Civil Aviation (DCA) to undertake more leather upholstery work in the aviation industry.
Pecca said the work will include wrapping, cutting and sewing of leather or fabric seat covers and cabin interior sidewall and ceiling panel.
This is in addition to its existing part refurbishment activities, approved by the DCA on March 9.
"With this additional scope of work approval, PAviation hopes to pursue contracts relating to leather upholstery and related activities in the aviation sector," it said in a bourse filing.
Malaysian Rating Corp Bhd (MARC) has downgraded DRB-Hicom Bhd's senior debt rating due the conglomerate's weakened credit metrics that are more in line with the lower rating band.
In a statement, MARC said it has downgraded its rating on DRB-Hicom's Islamic Medium-Term Notes (IMTN) Programme of up to RM1.8 billion to A+IS from AA-IS.
Concurrently, the rating for Perpetual Sukuk Musharakah Programme of up to RM2 billion has been lowered to A-IS from AIS.
"The outlook on all ratings has been revised to stable from negative. The rating actions affect the outstanding RM1.73 billion IMTN and RM1.04 billion perpetual sukuk under the respective programmes," said MARC.
The stable outlook reflects MARC's expectation that DRB-Hicom's credit profile will be supported by its moderate earning stream and adequate liquidity position.
O&C Resources Bhd's 70%-owned subsidiary Pangkal Teguh Sdn Bhd has been appointed as the project management consultant by Yayasan Pahang for a proposed affordable housing development scheme comprising 25,000 residential units in Pahang.
According to its bourse filing, Pangkal Teguh is expected to earn an average of 4.8% of the gross development value of the said project, the sum of which it did not disclose in the document.
Nevertheless, the group estimated it could net approximately RM91 million from the management contract over the seven-year construction period.
Khazanah Nasional Bhd is reported to be divesting part of its stake in Tenaga Nasional Bhd (TNB).
Quoting sources, Reuters reported that Khazanah is looking to sell 82 million shares of TNB, or about 1.5% of the total shares outstanding, which could raise up to US$294 million (about RM1.2 billion), according to a termsheet seen by IFR, a Thomson Reuters publication.
The fund is looking to sell the stake at RM14.30–RM14.56 (US$3.54–US$3.60) per share, according to the termsheet. TNB shares closed at RM14.56 today.
Berjaya Auto Bhd (BAuto) said its 60.4%-owned subsidiary in the Philippines intends to seek a listing on the main board of the Philippine Stock Exchange.
BAuto said an announcement will be made once Bermaz Auto Philippines Inc has finalised the details of its listing proposal and BAuto directors have approved the proposal.
In a separate bourse filing, BAuto said its first quarter net profit fell 21.24% to RM41.11 million or 3.59 sen a share, from RM52.2 million or 4.58 sen a share a year earlier, on lower revenue and compressed gross profit margin as the yen strengthened significantly against the ringgit.
Revenue for the quarter ended July 31, 2016 (1QFY17) fell 3.69% to RM493.62 million from RM512.55 million in 1QFY16, on lower sales volume of Mazda vehicles.
BAuto has proposed an interim dividend of three sen a share, payable on Oct 21. The entitlement date is Oct 6.
Sterling Progress Bhd intends to cancel 7.5 sen off the par value of its ordinary shares of 10 sen each to 2.5 sen, to eliminate existing accumulated losses with the credit arising from the cancellation of its share capital.
It plans to then consolidate every four ordinary shares of 2.5 sen each into one new ordinary share of 10 sen each.
In a bourse filing, Sterling Progress said its issued and paid-up share capital prior to the announcement, as at Sept 7, is RM98.92 million comprising 989.18 million shares, with 315.02 million outstanding warrants and 296.75 million ESOS options.
The proposed par value reduction could give rise to a credit of at least RM74.19 million — assuming none of the warrants and options were converted prior to that — or as much as RM120.07 million if the outstanding warrants and options were fully converted.
http://www.theedgemarkets.com/my/article/pecca-drb-hicom-oc-resources-tnb-bauto-and-sterling-progress
