KUALA LUMPUR (Sept 29): Based on corporate announcements and news flow today, companies that are likely to be in focus tomorrow (Wednesday) might be as follows: Ekovest Bhd, PLS Plantations Bhd, Aeon Credit Service (M) Bhd, OSK Holdings Bhd, Ireka Corp Bhd, Kanger International Bhd, Supermax Corp Bhd, MyNews Holdings Bhd, and Inix Technologies Bhd.
Ekovest Bhd has signed agreements with three related parties to acquire 89.1 million shares and 78.3 million warrants in PLS Plantations Bhd for RM85.8 million (making it an Ekovest subsidiary). As a result of the acquisition, Ekovest would hold a 57.38% equity stake in PLS and 29.45% of its outstanding warrants, compared to a 32.84% equity stake and 25.10% of warrants currently. Ekovest will have to extend an unconditional mandatory general offer to acquire all remaining PLS shares and warrants it does not own. The group intends to maintain PLS’ listing status.
Aeon Credit Service (M) Bhd’s second quarter ended Aug 31,2020 net profit was up by 5.4% at RM51.81 million, from RM49.13 million a year earlier, amid lower operating expenses. Quarterly revenue shrunk by 10% to RM363.97 million from RM404.45 million, due the recognition of a Day-One modification loss of RM28.41 million under its financial relief assistance to customers impacted by the Covid-19 pandemic and lower revenue fee income. The group announced a 9.2 sen interim dividend, payable on Nov 5.
OSK Holdings Bhd has announced the launch of RM2 billion worth of Islamic Medium Term Notes (IMTN or Sukuk Murabahah) and Multi-Currency Medium Term Notes (MCMTN). The group said it would be using proceeds from the issuances for the refinancing of borrowings, capital expenditure, working capital, general corporate fees, as well as to defray costs associated with their issuances.
Ireka Corp Bhd is aiming for its demerger from London-Stock-Exchange- listed Aseana Properties Ltd to be completed by the end of the year. Its managing director Monica Lai Voon Huey said the exercise is awaiting approval from both Bursa Malaysia and the SC, before the group is allowed to hold an EGM to seek shareholder approval. The exercise involves separating the interests of Ireka group from 23%-owned Aseana. It also includes Aseana buying back Ireka’s shares in Aseana, in exchange for certain assets owned by Aseana, namely The RuMa Hotel and Residences in Kuala Lumpur and a parcel of land in Kota Kinabalu.
Kanger International Bhd has inked an agreement with Sinopharm Group Hunan Changde Medical Co Ltd (SGHC) to distribute a Covid-19 vaccine and medical equipment products in Malaysia. Kanger will be SGHC’s product distributor in Malaysia with priority right of purchase of the products made by the Sinopharm unit. The agreement is effective until Sept 24, 2023.
Supermax Corp Bhd bought 5.04 million shares worth RM43.11 million in a share buyback exercise today, bringing the total amount it has spent on buybacks this month to RM110.41 million. The group’s former managing director Datuk Seri Stanley Thai Kim Sim, meanwhile, saw his conviction for insider trading in relation to shares in APL Industries Bhd reversed by the High Court today. He had been sentenced to five years' jail and fined RM5 million by the Sessions Court in November 2017, after being found guilty.
MyNews Holdings Bhd saw its losses continue for the third quarter ended July 31,2020 (3QFY20) widening to RM6.09 million, from RM2.33 million in 2QFY20. The group posted a net profit of RM7.45 million in 2QFY19.
Revenue totalled RM110.1 million, down 10.8% from RM123.49 million in the preceding quarter, and down 16.39% from RM131.68 million a year earlier. The group blamed the impact of Covid-19, particularly the MCO, for the weaker performance.
Inix Technologies Holdings Bhd is entering the durian business by partnering with a durian product manufacturer, Dura Manufacturing Sdn Bhd (Duria). Inix will be appointed to secure the supply chain for Duria for 5,000 tonnes of nitrogen frozen Musang King durians, 2,000 tonnes of Durian paste and 1,000 tonnes of Musang King pulp over the next five years. Inix and Duria are looking at setting up three new primary processing plants for the fruit products, the first of which will be located in Perak and the remaining two locations to be determined at a later date.
Meanwhile, Inix posted a net profit of RM216,000 in the second quarter ended July 31, 2020, from a net loss of RM4 million in the corresponding quarter last year. Revenue fell to RM629,000 from RM1.39 million.