Friday, December 15th, 2017
OTTAWA, Dec 15 — More than a quarter of Canadian firms could move part of their operations to the United States amid uncertainty over the future of the Nafta trade pact, the nation’s export credit agency said today. The semi-annual forecast…
LONDON, Dec 15 — British Prime Minister Theresa May welcomed a decision by EU leaders in Brussels today to open crucial talks on a post-Brexit relationship with Britain and thanked the European Commission and EU presidents. “Today is an…
COPENHAGEN, Dec 15 — Following a string of food safety scandals, Chinese tourists visiting Copenhagen have this year stocked up on Danish-made organic infant milk formula, prompting some supermarkets to limit the number of cans each customer can…
BRUSSELS, Dec 15 — European Union leaders agreed today to open crucial talks on a future relationship with Britain but warned they would be even tougher than the first tortuous phase of negotiations. EU President Donald Tusk congratulated…
PETALING JAYA: LBS Bina Group Bhd's wholly-owned subsidiary LBS Bina Holdings Sdn Bhd (LBSH) has made a lodgement to the Securities Commission Malaysia (SC) for the establishment of the sukuk murabahah programme of up to RM500 million.
The sukuk murabahah programme has a tenure of up to 20 years from the date of the first issue of sukuk murabahah under the programme. Each sukuk murabahah issued under the programme willl have a tenure of more than one year and up to 20 years. The sukuk murabahah is unrated, non-tradable and nontransferable.
The sukuk murabahah is to be issued based on the syariah principle of murabahah (via tawarruq arrangement) and is guaranteed by the company under the principle of Kafalah and secured by such other security to be determined by the sole investor and deemed fit and appropriate by the directors of LBSH.
The proceeds from the sukuk murabahah programme will be utilised to finance/reimburse future acquisition of properties by LBGB and its subsidiaries; to finance development cost of the projects undertaken by the group; to refinancing existing and/or future borrowings; and to finance working capital requirement.
The sukuk murabahah programme will provide the group with the flexibility in its fundraising exercise with varying amount and tenures for optimal asset-liability matching.
Public Investment Bank Bhd has been appointed as the Principal Adviser and lead arranger for the sukuk murabahah programme while Amanie Advisors Sdn Bhd is the syariah adviser.
PETALING JAYA: Kinsteel Bhd has proposed to change its auditors to Messrs Baker Tilly Monteiro Heng for the financial year ending June 31, 2018, in place of the outgoing auditors, Messrs Crowe Horwath.
Kinsteel told the stock exchange that Crowe Horwath had expressed their intention not to seek for re-appointment as auditors of the company at the forthcoming AGM for the ensuing financial year.
The group said the proposal is subject to the approval from the company’s shareholders at the forthcoming AGM to be held on Jan 15, 2018.
“The company confirms that there were no disagreements with Crowe Horwath on the accounting treatment within the last 12 months and that the company is not aware of any other circumstances in relation to the proposed change of auditors that should be brought to the attention of the shareholders of the company,” it added.
Crowe Horwath had expressed a disclaimer of opinion in their Independent Auditors’ Report in the company's audited financial statements for the financial year ended June 30, 2017.
Crowe Horwath said there are material uncertainties that may cast significant doubt on the ability of the group and of the company to continue as going concerns.
The PN17 company is required to submit a regularisation plan within 12 months from the date of the first announcement (Oct 27, 2017) to the relevant authorities for approval.
The company had on Oct 23, 2017 submitted an application for extension of time up to April 30, 2018 to submit the regularisation plan to the authorities.
The outcome of the application for extension of time will be announced upon the decision received from Bursa Securities, Kinsteel said.
PETALING JAYA: Shipping group Hubline Bhd has proposed to undertake a private placement exercise to raise up to RM23.02 million.
The group said in a Bursa Malaysia filing that it will be allotting between 47.78%-51.23% of the proceeds raised to repay its bank borrowings, amounting to RM113.85 million, which will be deployed within a year.
About 25.63%-27.48% of the proceeds will be allotted for capital expenditure while 16.94%-18.16% will be used to partially pay the outstanding payment owed to creditors in relation to its container shipping business.
The remaining will be used as working capital and to finance expenses stemming from the private placement exercise.
Hubline also has about RM22.22 million remaining from its previous redeemable convertible notes (RCN) exercise from which it raised RM80 million.
“The proceeds raised from the RCN have been set aside to repay the group’s borrowings, which are mainly related to the container shipping business (RM17.53 million) and to finance the acquisition of two new barges for its dry-bulk business (RM4.69 million),” said Hubline.
In addition to the funds raised from the RCN, the board has decided to raise additional funds through the exercise to further reduce the group’s existing borrowings, to expand its dry-bulk business and to settle amounts owing to creditors related to the group’s container shipping business,” it added.
The group has already obtained the approval of its shareholders for the exercise, which will be conducted in multiple tranches in the course of six months.
The proposed private placement is expected to contribute positively to the earnings of the Hubline Group for the financial year ending Sept 30, 2018 as and when the benefits from the utilisation of proceeds are realised.
Hubline's shares closed 4.76% lower at 10 sen with some 40.66 million shares done.
PETALING JAYA: Uzma Bhd's internal reorganisation exercise will see units from its wholly-owned subsidiary Uzma Engineering Sdn Bhd being transferred into the holding company and a new wholly-owned subsidiary Uzma Resource Solutions Sdn Bhd.
Uzma’s board of directors said in a Bursa Malaysia filing that its cost centers or departments from Uzma Engineering, namely the finance, human resources, business development, information technology and administration would be transferred to the holding company.
Meanwhile, the current consultancy and resource solution business under Uzma Engineering will be transferred to the new wholly-owned subsidiary Uzma Resource Solutions Sdn Bhd.
The board said the internal reorganisation exercise involves the transfer of staff employed under Uzma Engineering to Uzma with the intention that all cost of maintaining the shared-service functions be transferred to the holding company.
“The internal reorganisation was proposed to restructure the current set-up of the group’s core businesses and to streamline its structure and management,” the board said on the rationale behind the corporate exercise.
At present most of the group’s core projects are held under Uzma Engineering, which also houses most of the Petronas licenses.
“To mitigate over concentrating of contracting risk in Uzma Engineering, it is crucial to transfer some of Uzma Engineering’s businesses to individual entity according to its nature of business,” it noted.
The internal exercise will not impact the group’s earnings for the financial year ending June 30, 2018.
Uzma's shares remained at RM1.32 with some 173,900 shares done.
PETALING JAYA: Carimin Petroleum Bhd’s unit Carimin Engineering Services Sdn Bhd (CES) has proposed to buy 100% equity interest in Fazu Resources (M) Sdn Bhd (Fazu) for RM1.6 million cash.
Fazu, which has rights to a piece of land totalling 21,130 square meters in Kawasan Perindustrian Teluk Kalung, Terengganu, is currently dormant.
In a filing with Bursa Malaysia on Friday, Carimin said the proposed acquisition would enable the group to develop the land and expand its fabricating facilities for its business operations.
Upon completion of the proposed acquisition, Fazu will become a wholly-owned subsidiary of CES and ultimately the group.
It said the purchase consideration was arrived at on a willing buyer-willing seller basis based on the unaudited adjusted net asset of the company as at Oct 31, 2017.
The purchase consideration will be wholly satisfied by cash through internally generated funds, it added.
Carimin slipped 2.82% to 34.5 sen last Friday on some 296,300 shares done.