KUALA LUMPUR (Aug 11): Based on corporate announcements and newsflow today, stocks that may be in focus on Wednesday (Aug 12) include: Boustead Holdings Bhd, IJM Corp Bhd, Malaysia Airports Holdings Bhd (MAHB), Pestech International Bhd, Revenue Group Bhd, Supermax Corp Bhd and Titijaya Land Bhd.
Boustead Holdings Bhd confirmed it has filed a suit at the High Court against its former managing director Tan Sri Che Lodin Wok Kamaruddin, former chairman Tan Sri Mohd Ghazali Che Mat, and four other directors, seeking £6.4 million (RM35.37 million).
Referring to an article by theedgemarkets.com, Boustead also confirmed that the claim is “for breaching their fiduciary obligations as directors under the Companies Act 1965”. The writ however has not been served.
IJM Corp Bhd’s unit IJM Construction Sdn Bhd has bagged a contract worth RM864.7 million to build an 11-storey retail mall and convention centre as part of the Light City mixed development project in George Town, Penang.
The contract was awarded by Tumpuan Azam Sdn Bhd, an indirect 50%-owned subsidiary of IJM Corp. Construction of the mall should complete by July 31, 2024, and the convention centre by Sept 30 the same year.
Malaysia Airports Holdings Bhd (MAHB) passenger traffic count for all of its airports fell 79.9% year-on-year (y-o-y) in July to 2.53 million, an improvement from the 92.1% y-o-y decline in June, thanks to relaxed interstate travel rules.
Meanwhile, total aircraft traffic's y-o-y decline narrowed to 67.3% in July to 31,966 — although much higher than 16,087 aircrafts recorded in June.
For the January-July period, passenger count fell 63.6% y-o-y to 29.4 million from 60.36 million, while aircraft traffic was down 52.8% to 303,339 from 642,064 flights.
Pestech International Bhd said its wholly-owned subsidiary Pestech (Cambodia) PLC will make its debut on the Cambodia Securities Exchange (CSX) tomorrow, following the final approval by CSX yesterday to list the unit on the exchange’s Main Board.
Upon listing, Pestech (Cambodia) is expected to be worth about US$60 million (RM251.85 million) in terms of market capitalisation. It would be the seventh company to be listed on the CSX.
Revenue Group Bhd, which provides cashless payment solutions, is acquiring a 40% stake in artificial intelligence (AI) company Wannatalk Malaysia Sdn Bhd for RM5 million cash.
The deal comes with a profit guarantee of RM300,000 and RM500,000 for the financial year ending Dec 31, 2020 (FY20) and FY21 respectively. Revenue Group said the synergy will enhance its e-payment solutions and technologies provided to its clients.
Supermax Corp Bhd booked a record quarterly profit of RM399.62 million in the quarter ended June 30, 2020 (4QFY20) — 26 times the profit of RM15.06 million in 4QFY19 — as revenue more than doubled to RM929.12 million from RM375.96 million.
The super-profit pushed the glovemaker’s FY20 net profit up 324% to RM525.58 million from RM123.75 million — exceeding analysts’ upward revised estimate by 32%. Full-year revenue rose 43% to RM2.13 billion, from RM1.49 billion. It proposed a share dividend of one treasury share for every 45 shares held.
Titijaya Land Bhd said it is in the midst of proposing a diversification into healthcare products including glove supply, and is in discussion with a local producer for the aforesaid supply.
It said this in response to a query by Bursa Securities on the sharp jump in its share price recently. Titijaya also inked a deal with a Chinese company in June to develop a facility to produce personal protection equipment (PPE)-related fabric, but there is no material development to-date.