KUALA LUMPUR (Dec 5): Based on corporate announcements and news flow today, companies that may be in focus tomorrow (Dec 6) could include: Bina Darulaman, George Kent, MTouche Technology, YFG, Asiamet and Maypak
Bina Darulaman Bhd (BDB) reported a 58.1% increase in net profit for its third financial quarter ended Sept 30, 2016 (3QFY16), to RM5.8 million or 1.91 sen per share from RM3.67 million or 1.21 sen per share a year ago due to a 98.8% surge in revenue to RM87.18 million from RM43.85 million in 3QFY15.
In a statement today, the property developer said the surge in revenue was due to higher contribution by the group's property and road and quarry divisions, which recorded better revenue mainly from Taman Tunku Intan Safinaz (TTIS) enclave sales and the state road maintenance project respectively.
For the cumulative nine months ended Sept 30, 2016 (9MFY16), the group reported a net profit of RM10.73 million or 3.53 sen per share, 9.5% higher than its 9MFY15 net profit of RM9.8 million or 3.22 sen per share.
Revenue for 9MFY16 came in 47.4% higher at RM202.67 million compared with its 9MFY15 revenue of RM137.46 million.
In a media briefing today, BDB said it is targeting RM900 million in gross development value (GDV) of property launches for the financial year ending Dec 31, 2017, with the group maintaining its focus on the affordable housing segment, which includes a pocket development in Kuala Kangsar, Perak, BDB's first development outside Kedah.
George Kent (M) Bhd’s net profit jumped 96.67% to a record RM23.74 million or 6.3 sen a share for the third quarter ended Oct 31, 2016 (3QFY17), from RM12.07 million or 3.2 sen a share a year ago.
Revenue grew 25.95% to RM122.09 million from RM96.94 million, the construction engineering group said in a filing with Bursa Malaysia.
The group declared a second interim dividend of two sen per share for the current financial year, payable on Jan 31.
George Kent said its engineering segment profit of RM25.47 million for 3QFY17 was 196% higher than the RM8.6 million registered for 3QFY16.
For the cumulative nine-month period (9MFY17), George Kent’s net profit rose 94.85% to RM59.26 million or 15.8 sen per share, against RM30.41 million or 8.1 sen per share for 9MFY16, while its revenue rose 51.44% to RM409.82 million compared with RM270.62 million a year earlier.
MTouche Technology Bhd announced a series of proposals, including par value reduction, share consolidation, rights issues with warrants and employees’ share option scheme (ESOS), aimed at providing greater flexibility for the company to raise funds.
In a filing to Bursa Malaysia, the information technology and telecommunication group said its current share price is not conducive to embark on any fund raising or corporate exercise involving the issuance of equity and equity-related securities.
Its proposed par value reduction, it added, will facilitate the implementation of the share consolidation and rights issue proposals.
The par value reduction will give rise to a total credit of up to RM12.7 million, assuming none of the existing convertibles have been exercised as at Nov 30, and a total credit of up to RM18.6 million, assuming all the existing convertibles have been exercised.
As for the share consolidation proposal, it involves the consolidation of every two shares into one new share, leading to a reduction in the number of shares available in the market, which would benefit the company with an easier management.
“The proposed share consolidation together with the proposed par value reduction will also allow the company to have further flexibility to raise funds at an attractive price,” said MTouche.
The rights issue proposal involves the issuance of up to 557.5 million rights shares together with up to 278.8 million free warrants to be implemented on a renounceable basis of six rights shares together with three free warrants for every two existing shares held.
The right issues with warrants will only be undertaken after the completion of the par value reduction proposal and share consolidation proposal.
On the utilization of the gross proceeds from the right issues, MTouche said the minimum scenario would see proceeds of RM6 million with more than half spent on the development of a mobile digital ecosystem platform and another RM1.25 million spent on upgrade of existing mobile value added services platform.
Under the base scenario, MTouche will be able to raise RM38.2 million while the maximum scenario would see RM55.8 million raised. The group intends to spend RM12 million on regional business expansion as well as another RM7.5 million in acquiring new office premises.
YFG Bhd has entered into a collaboration agreement (CA) with Hasilwan (M) Sdn Bhd to tender for new contracts, explore new markets, and enhance the mechanical and electrical engineering upper value chain.
In a filing with Bursa Malaysia today, YFG — classified as a Practice Note 17-affected listed issuer — said Hasilwan is involved in the same industry as the former, namely in works and projects relating to engineering solutions and mechanical and electrical engineering service.
The collaboration is expected to also enhance their respective brand names, capabilities, expertise and market presence by co-operating in areas that are mutually beneficial and which may add value through sharing of resources, knowledge and expertise.
The CA is for a year, and can be extended, as mutually agreed, and can be terminated by either party in accordance with the terms and conditions of the CA.
YFG became a PN17 company on Sept 22, 2015 and has up till April 20, 2017 to submit its regularisation plan to Bursa.
Loss-making Asiamet Education Group Bhd plans to buy CUCMS Education Sdn Bhd (CESB) — operator of the Cyberjaya University College of Medical Sciences in Cyberjaya, Selangor — from ACE Market-listed SMRT Holdings Bhd and its wholly-owned subsidiary SMR Education Sdn Bhd (SESB) for RM166 million, as part of plans to turn itself around and grow its business.
The proposed acquisition will be satisfied via the issuance of 830 million Asiamet shares at an issue price of 20 sen each.
Asiamet is also proposing an internal reorganisation exercise after the completion of the proposed acquisition, where it will dispose of its entire equity interest in CESB, Valencia Education Group Sdn Bhd, Asiamet (KK) Sdn Bhd, Asiamet (Kuching) Sdn Bhd and Asiamet (KB) Sdn Bhd to a NewCo, with SMRT at the helm.
"The proposed share exchange entails the exchange of the entire enlarged issued share capital of Asiamet for NewCo Shares, and Asiamet will become a wholly-owned subsidiary of the NewCo, whereby Newco will assume Asiamet’s listing status on the Main Market of Bursa Malaysia," it added.
Japan’s Taisei Lamick Co Ltd has gained control of 90.81% of Malaysia Packaging Industry Bhd (Maypak) at the close of its unconditional mandatory takeover of Maypak shares today.
In a filing to Bursa Malaysia, Maypak said Taisei does not intend to maintain Maypak’s listing status and as such, trading in the company’s shares will be suspended from Dec 14.
“Accordingly, the offeror (Taisei) will procure Maypak to file an application with Bursa Securities to withdraw Maypak’s listing status from the official list of Bursa Securities,” it added.