Friday, December 22nd, 2017


Crypto-linked firms found guilty by association as bitcoin sinks

NEW YORK, Dec 22 — Long Blockchain might want to go back to selling soft drinks. The recently rebranded firm fell as much as 33 per cent today, as crypto-linked stocks get slammed with bitcoin suffering its biggest intraday shellacking in…

US stocks dip; Nike down after earnings

NEW YORK, Dec 22 — Wall Street stocks dipped early today following mixed US economic data and as Nike fell after reporting a drop in quarterly sales in North America. About 20 minutes into trading, the Dow Jones Industrial Average was at…

Bitcoin tumbles more than 25pc as `sharks’ start to circle

LONDON, Dec 22 — Bitcoin’s plunged extended to more than 25 per cent today as the frenzy surrounding digital currencies faced one of its biggest tests yet. The world’s largest cryptocurrency approached US$10,000 as this week’s selloff…

Madrid stocks sink on Catalan woes; London hits record

LONDON, Dec 22 — The Spanish stock market sank today after a victory for Catalan separatists in a snap poll, but London hit a record peak in a “Santa Rally” before closing early for Christmas. Madrid’s benchmark IBEX 35 index of top…

Pestech unit’s IPO in Cambodia to raise RM83 million

PETALING JAYA: Pestech International Bhd (PIB) has proposed to list its indirect wholly owned subsidiary Pestech (Cambodia) Ltd (PCL) on the Main Board of Cambodia Securities Exchange (CSX) and intends to raise US$20.3 million or KHR81.91 billion (RM83 million) through its initial public offering (IPO).

“The applications to the Securities and Exchange Commission of Cambodia and CSX in relation to the proposed listing have been submitted on Dec 22, 2017,” Pestech said in a filing with Bursa Malaysia.

PCL is a wholly-owned subsidiary of Pestech Sdn Bhd (PSB), which in turn is a wholly-owned subsidiary of PIB. The proposed listing will constitute a deemed disposal by the company arising from the dilution of up to 39% of its equity interest in PCL.

It is proposed that, upon completion of the listing, PIB will continue to be the controlling shareholder of PCL.

PCL proposes to undertake an IPO of up to 39% of its enlarged issued and fully paid share capital via a public issue and offer for sale.

PCL is an integrated electric power technology company and is engaged in the provision of comprehensive power system engineering and technical solutions. Proceeds raised will be used to finance its existing and future projects as well as working capital.

PIB said the proposed listing will enable the group to unlock the value of its investments in PCL. For PCL, it will establish a strong foothold in Cambodia and Indochina region as it sees the region as a potential market for the medium and long-term growth.

The earnings contribution from PCL to PIB group will be reduced to the extent of the dilution of PIB's effective equity interest in PCL from 100% presently to at least 61% as a result of the proposed listing.

Barring any unforeseen circumstances and subject to all approvals being obtained, the board expects the proposed listing to be completed by the third quarter of 2018.

PIB shares were unchanged at RM1.70 on some 231,200 shares done.

Paramount, Kumpulan Hartanah Selangor to develop RM1b GDV project in Petaling Jaya

PETALING JAYA: Paramount Corp Bhd, together with landowner Kumpulan Hartanah Selangor Bhd (KHSB), will undertake a residential development with an estimated gross development value (GDV) of RM1 billion in Petaling Jaya, Selangor.

In a filing with Bursa Malaysia, Paramount said its wholly owned unit Aneka Sepakat Sdn Bhd (ASSB) had inked a development rights agreement with KHSB for the proposed development on 9.66-acre land.

The proposed development will involve the construction of four blocks of high-rise residential buildings consisting of 1,600 units of residential properties, including 20% affordable units. It is expected to be completed within a period of 10 years commencing from 2018.

Paramount said the proposed development is line with its asset light strategy to enlarge its land bank at prime locations, particularly at strategic transit oriented development locations in the well-established Petaling Jaya city.

It will also provide the group with the opportunity to leverage on collaborations with landowners to scale up its property development activities to generate long-term sustainable income.

At a projected development cost of RM1 billion, Paramount said the expected profits to be derived from the development would be RM840 million. The development cost will be funded by a combination of internally generated funds and bank borrowings.

Paramount closed higher 1 sen or 0.57% to RM1.77 today with 50,400 shares traded.

Sentoria bags two PR1MA housing projects worth RM67.3m

PETALING JAYA: Sentoria Group Bhd has bagged two 1Malaysia People's Housing Programme (PR1MA) projects from H.A. Properties Sdn Bhd for a combined value of RM67.3 million.

The contracts are for the construction of 320 units of single-storey semi-detached PRIMA houses in Mukim Penor for RM40.3 million; and the construction of 198 units of single-storey semi-detached PRIMA houses in Sri Damai for RM27 million.

Construction work will commence on December 22, 2017 and slated for completion by December 21, 2020. It is expected to contribute positively towards Sentoria's future financial performance.

Sentoria shares were down by 0.71% to close at 69.5 sen with some 20,500 shares done.

MRCB to commence talks with government on EDL termination

PETALING JAYA: Malaysian Resources Corp Bhd (MRCB) has been invited by the government to commence negotiation on the terms of the mutual termination agreement of the concession for the Eastern Dispersal Link (EDL) highway in Johor.

MRCB said in a filing with Bursa Malaysia that it had received the letter from the Ministry of Works dated Dec 22, 2017, on behalf of the government.

“MRCB will make the necessary announcement once the terms of the mutual termination have been finalised,” it said.

MRCB had planned to dispose of the EDL highway following the government's decision to abolish toll collection on the highway from 2018. The announcement was made by Prime Minister Datuk Seri Najib Abdul Razak during the tabling of Budget 2018.

MRCB considers the EDL concession a non-core asset and has been looking to dispose of it to relieve a debt burden, which makes up about 36% of its total debt.

EDL is first full private sector funded highway that runs on a 34-year concession. It was awarded to MRCB in 2007.

Its shares were unchanged at RM1.08 on some 2.46 million shares done.

Nexgram makes second bid to remove R&A Telecommunication directors

PETALING JAYA: Nexgram Holdings Bhd and Francis Tan Hock Leong are making their second bid to remove R&A Telecommunication Group Bhd directors after the Kuala Lumpur High Court declared the first EGM notice invalid last month.

R&A, a Guidance Note 3 (GN 3) company, told Bursa Malaysia that it had received written requisitions from Nexgram and Tan to convene an EGM on January 23 for the removal of three directors, namely Sim Keng Seong, Chua Soo Seong and Lim Tiong Jin.

Meanwhile, Rajendra Raja S.Govindaraj, Cheang Soon Siang and Kamal Abdul Aziz will seek representation on the R&A board.

Tan is R&A's founder with a 6.47% stake. He stepped down from his position as executive director last December.

Nexgram owns a 6.83% equity interest in R&A.

R&A was supposed to have its EGM on November 22 at the Cheng Yi Auditorium of the Kuala Lumpur and Selangor Chinese Assembly Hall, Kuala Lumpur, but it was ruled invalid by the court a day before.

Nexgram's share price gained 14.29% to close at 4 sen on Friday with some 270,000 shares done. Trading in R&A shares was suspended since September 14, 2016.

Jiankun proposes private placement to raise RM5.94m

PETALING JAYA: Jiankun International Bhd has proposed to undertake a private placement of up to 10% of its issued shares to raise gross proceeds of up to RM5.94 million.

Jiankun group is principally involved in property development and construction, project management and advisory, and investment holding. At present, it is implementing the development of its two on-going residential projects, which were launched in the first quarter of 2017.

Proceeds from the private placement are intended to be utilised for working capital and/ or future business projects.

As the future business projects may cost a substantial amount at the early stage, the proceeds may allow the group to capitalise on investment opportunities from such business projects as and when it arises, which in turn may generate positive returns to the group in the future.

“At this juncture, the business projects have not been determined, although the group is in the midst of exploring such business opportunities via joint venture with landowner(s),” Jiankun said.

After due consideration of the various methods of fund raising, the board is of the view that the proposed private placement is the most appropriate avenue of fund raising as it enables the company to raise additional funds without incurring interest costs as compared to conventional bank borrowings.

The exercise also provides the company an expeditious way of raising funds from the capital market as opposed to other forms of fund raising and increases the size and strength of the company's shareholders' funds.

The proposed private placement is expected to be completed by the first quarter of 2018.

Jiankun's share price gained 1.9% to close at 27.5 sen on Friday, with some 20,000 shares changing hands.