KLK, IJM Plantations, Malaysia Smelting, Top Glove, Eversendai, MSM, Greatech, Tiong Nam, Central Global, Yinson, KAB, MQ Technology, Handal Energy and Fitters Diversified
KUALA LUMPUR (June 9): Based on corporate announcements and news flow today, companies in focus tomorrow may include: Kuala Lumpur Kepong Bhd, IJM Plantations Bhd, Malaysia Smelting Corp Bhd, Top Glove Corp Bhd, Eversendai Corp Bhd, MSM Malaysia Holdings Bhd, Greatech Technology Bhd, Tiong Nam Logistics Holdings Bhd, Central Global Bhd, Yinson Holdings Bhd, Kejuruteraan Asastera Bhd, MQ Technology Bhd, Handal Energy Bhd and Fitters Diversified Bhd.
Kuala Lumpur Kepong Bhd (KLK) has offered to acquire 494.87 million shares in IJM Plantations Bhd, representing a 56.2% equity stake, from IJM Corp Bhd for RM3.10 apiece or a total of RM1.53 billion. It said the acquisition will require the approval of the shareholders of IJM Corp and KLK at an extraordinary general meeting to be convened by the respective companies.
Malaysia Smelting Corp Bhd (MSC) has declared force majeure after suspending its tin mining and smelting operations from June 4 until June 14 in line with the Malaysian Government’s implementation of the total lockdown across the country to curb the spread of the Covid-19 pandemic. A force majeure declaration aims to free parties in a contract from their obligations due to extraordinary circumstances.
Top Glove Corp Bhd's net profit for the third quarter ended May 31, 2021 fell 29.03% to RM2.04 billion from RM2.87 billion in the immediate preceding quarter. The group attributed the decline to adjustments in line with glove market price trends, as average selling prices peaked in February. Revenue fell 22.42% to RM4.16 billion from RM5.37 billion. Earnings per share slipped to 25.44 sen from 35.77 sen. However, on a yearly basis, its net profit surged 485% from RM347.9 million in the previous year's corresponding quarter amid the continued demand for rubber gloves. Meanwhile, revenue for the quarter jumped 147% from RM1.69 billion a year earlier.
Eversendai Corp Bhd saw its net loss for the first quarter ended March 31, 2021 narrow to RM3.84 million from RM10.15 million a year ago, due to significant reduction in operating and administrative expenses. Its quarterly revenue rose 36.27% to RM311.38 million from RM228.5 million a year ago, mainly due to higher progress billings from the ongoing and new projects commenced during current period under review in the energy segment followed by India and the Middle East region.
MSM Malaysia Holdings Bhd has temporarily halted the operations of its plant in Seberang Prai, Penang, from yesterday (June 8) until June 17, after eight positive Covid-19 cases were detected among the factory workers. The management foresees that the temporary suspension of operations will delay the shipment of several sales orders to its customers.
Greatech Technology Bhd said its earnings will not be affected by issues faced by its client Lordstown Motors Corp, which reportedly will not be able to commence full commercial production and there are doubts over whether it could continue as a going concern through the end of the year. The group’s executive director and CEO Tan Eng Kee told The Edge that the group will not be affected by the issues at the US-based electric truck start-up, adding that Greatech still expects to meet its targets for 2021 and 2022.
Tiong Nam Logistics Holdings Bhd is boosting its logistics warehousing capacity by acquiring the owner of a warehouse within Port of Tanjung Pelepas in Johor for RM30 million. The group said it is buying VM Andaman Sdn Bhd from Kwasa Logistics Sdn Bhd and Goodman SEA Investments No 1 Ltd.
Central Global Bhd’s (CGB) construction arm Proventus Bina Sdn Bhd has inked a Memorandum of Understanding with Multi Scopes Engineering Sdn Bhd to set up a joint venture to build an RM250 million sewage treatment plant in Petaling Jaya, Selangor. CGB said the scope of the proposed JV would be the engineering, procurement, construction, commissioning, operation and handover of the plant to Kwasa Land Sdn Bhd, a wholly-owned subsidiary of the Employees Provident Fund.
Yinson Holdings Bhd has been selected by French oil and gas giant Total to perform preliminary front-end engineering design for two floating production storage and offloading projects to be installed in Angola and Suriname. The energy infrastructure and energy company said the Angola project would be installed at around 1,400m, located 160km from Luanda, while the Suriname project would be installed at about 2,000m, located 150km from Paramaribo.
Electrical and mechanical engineering services provider Kejuruteraan Asastera Bhd (KAB) has bagged four solar projects in Thailand via its indirect subsidiary Energy Optimization (Thailand) Co Ltd. In a statement today, KAB said the new projects would have a combined installed capacity of 3,912-kilowatt peak solar photovoltaic systems under the build-own-operate-transfer model, with a combined capital expenditure of about RM11.4 million.
MQ Technology Bhd (MQ Tech) has called off its plan to acquire a 70% stake in rubber and plastic medical products manufacturer Kibaru Manufacturing Sdn Bhd. The company and Kibaru have mutually agreed to terminate the Memorandum of Agreement (MoA) dated Sept 2, 2020, after failing to meet a condition precedent, but did not specify what it was.
Offshore crane operator Handal Energy Bhd said two of its subsidiaries have secured contracts for the provision of services. It said its wholly-owned Handal Cranes Sdn Bhd won a contract from Kebabangan Petroleum Operating Company Sdn Bhd for the provision of operations and maintenance services for offshore cranes and other hoisting as well as lifting equipment. Meanwhile, its 51%-owned unit, Borneo Sea Offshore Engineering Sdn Bhd, has secured a contract from PTTEP HK Offshore Ltd for the provision of "2021 Sarawak turnaround management and coordination services".
Safety equipment manufacturer Fitters Diversified Bhd said its unit has bagged a central purchase contract to supply Hypro Oriented PVC pipes. Its subsidiary Molecor (SEA) Sdn Bhd received a letter of acceptance of the contract from Pengurusan Aset Air Bhd.