Pesona Metro, Pestech, Evergreen, China Automobile, Hartalega and Ta Ann
KUALA LUMPUR (May 17): Based on corporate announcements and news flow today, companies that may be in focus tomorrow (May 18) include Pesona Metro Holdings Bhd, Pestech International Bhd, Evergreen Fibreboard Bhd, China Automobile Parts Holdings Ltd, Hartalega Holdings Bhd and Ta Ann Holdings Bhd.
Pesona Metro Holdings Bhd has bagged a mixed development project worth RM319 million for the construction and mechanical and engineering works for a 44-storey office tower for Tenaga Nasional Bhd in Kuala Lumpur. The 27-month project, starting today (May 17), is expected to contribute positively to the group's earnings and enhance its net assets during the duration of the project.
Pestech International Bhd has been awarded a RM64.96 million traction power supply job involving the Malaysia-Singapore Rapid Transit System (RTS) link assets. Under the contract, its wholly owned Pestech Technology Sdn Bhd is responsible for the design, manufacture, supply, delivery, installation, testing and commissioning, interfacing, warranty and other works related to the traction power supply of the RTS link assets. The cross-border job will commence immediately and be completed on Sept 30, 2026.
Evergreen Fibreboard Bhd returned to the black with a net profit of RM9.64 million for the first quarter ended March 31, 2021, against a net loss of RM12.15 million a year ago. Revenue grew 2.55% to RM233.22 million from RM227.41 million. The wood panel products maker attributed the better performance to higher revenues from downstream products, higher average selling prices for panel boards, and lower operational costs as a result of higher production efficiency and foreign exchange gains.
Practice Note 17 (PN17) company China Automobile Parts Holdings Ltd has scrapped plans to inject property development business into the China-based automobile parts manufacturing company, as part of a plan to regularise its PN17 condition and maintain its listing status on the Main Market of Bursa Malaysia, after the company received a termination letter from Gan Kah Siong — the controlling shareholder of Idaman Sejiwa Development Sdn Bhd (ISD) — due to no progress after the execution of the memorandum of understanding (MoU). It on Feb 22 entered into a MoU with Gan for the proposed acquisition of the entire equity interest of ISD. The latter's development projects are primarily residential properties located in the Klang Valley.
Glove maker Hartalega Holdings Bhd has stepped forward to donate two million pieces of gloves after an appeal by the Ministry of Health (MoH). MoH secretary-general Datuk Mohd Shafiq Abdullah, while taking delivery of 33 ventilators bought by The Edge Covid 19 Equipment Fund for Hospital Sungai Buloh last Saturday, said hospitals were in need of more medical gloves.
Ta Ann Holdings Bhd said the tight supply of natural logs is likely to uphold export log prices, while Japan's plan to improve infrastructure will help sustain the group's plywood exports, according to its executive chairman Datuk Amar Abdul Hamed Sepawi. In the group's annual report, he said the group remains cautiously optimistic about the performance of its timber division this year despite the various challenges in the industry. Turning to palm oil, he said the outlook for the current financial year ending Dec 31, 2021 (FY21) looks favourable compared with the average prices of FY19 and FY20, supported by growing demand from India and China in view of a gradual economic recovery and rise in edible oil consumption.