Tuesday, April 24th, 2018
WASHINGTON, April 24 — US President Donald Trump today said the United States would likely reach a trade agreement with China and that officials from both sides would sit down for negotiations in a few days. China has said it would welcome a visit…
NEW YORK, April 24 — Wall Street stocks rose early today as a batch of mostly solid corporate earnings offset anxiety over rising interest rates. About 10 minutes into trading, the Dow Jones Industrial Average stood at 24,505.22, up 0.2 per cent….
KUALA LUMPUR (April 24): Based on corporate announcements and news flow today, companies that may be in focus tomorrow (April 25) may include the following:…
PETALING JAYA: IHH Healthcare Bhd, which previously made a non-binding offer to invest up to 40 billion rupees (RM2.36 billion) for much sought after Fortis Healthcare Ltd, has revised its offer to a binding immediate equity infusion of 6.5 billion rupees without prior due diligence and a non-binding proposal for a subsequent infusion of up to 33.5 billion rupees.
The board of Fortis has until May 4 to respond to the offer, after which the proposal will be withdrawn.
The binding offer comes with a stipulation for the right to appoint two directors to the board of Fortis and the monies from the immediate capital injection be used mainly for immediate dues to employees, creditors and debt servicing needs of Fortis.
It is also subject to confirmation by Fortis that IHH will be given immediate access to carry out a legal and financial due diligence and the receipt of applicable approval from Fortis’ shareholders and any relevant regulatory approvals.
IHH plans to complete the due diligence exercise within three weeks and to agree on the terms of the definitive documents in relation to the subsequent equity infusion during a four week exclusivity period which will run concurrently with the due diligence exercise.
Upon the completion of the subsequent equity infusion, IHH said it expects appropriate representation on the board of Fortis to commensurate with its stake in Fortis.
At this juncture, IHH said, the parties have not entered into any discussions, negotiations or transactions in relation to the revised proposal.
IHH does not need the approval of shareholders for the revised offer. The group advised its shareholders or investors to exercise caution and seek appropriate independent advice when dealing in its shares.
IHH was down one sen at RM6.09 today on volume of 4.18 million shares.
PETALING JAYA: Sarawak Consolidated Industries Bhd (SCIB) has terminated its proposed acquisition of the entire equity interest in Carlton Gardens Sdn Bhd (CGSB) for RM9.5 million due to a breach by the sellers.
CGSB owns and operates an interlocking block Industrialised Building System factory in Beaufort, Sabah and has been awarded a contract by Stone EPC (Sabah) Sdn Bhd (SEPC) for the supply and installation of interlocking blocks and associated structural and finishing works for SEPC’s project to construct 620 residential units together with necessary amenities, utilities, facilities and infrastructure at Beaufort, Sabah.
SCIM had on April 19, 2018 issued a notice of termination of the share sale agreement dated Dec 28, 2016, entered into between SCIB and Asgari Mohd Stephens, Brian Francis Ticcioni and Gaya Belian Sdn Bhd. The purchase price was supposed to be paid in two tranches.
“SCIB’s solicitors were of the view that there was a breach by the sellers and SCIB has a cause for action for misrepresentation, hence SCIB is entitled to terminate the contract or void the contract for misrepresentation. As a result, SCIB was of the view that there is a good chance that all costs can be recovered. Hence, the termination of the share sale agreement is not expected to have material impact on the financial position of SCIB group,” SCIM said.
SCIB closed down 5% to 57 sen today on 5,000 shares done.
KUALA LUMPUR: Bond Pricing Agency Malaysia (BPAM), which today launched the new Asean3 Government Bond Indices (A3GBI) in partnership with Indonesia Bond Pricing Agency and the Thai Bond Market Association, hopes to include the Philippines in the Asean index this year and invite more member countries to participate.
The A3GBI is designed to track the performance of local currency-denominated government bonds in ringgit, rupiah and baht. Setting up an investable and replicable index, which consists of the largest market-makers and liquid bonds from the government segment, is expected to provide greater visibility of Asean market behaviour.
Local currency bond markets in Asean have grown significantly and as at the end of 2017, the combined market size in dollar terms reached US$1.23 trillion (RM4.8 trillion). With this, the need for reliable and sophisticated data sets to measure and track market performance is becoming important. This environment formed a perfect setting for cooperation between the bond pricing providers in Asean. The A3GBI marks the first of such collaboration in Asean.
BPAM CEO Meor Amri Meor Ayob said the experience of building the A3GBI was a valuable learning opportunity for all three countries to develop their bond data and analytical capabilities.
The A3GBI also marks the first step in its ambition to build more cross-border products with its Asean neighbours.
A3GBI tracks daily movement to observe the direction of the market. A3GBI and sub-indices serve as a benchmark to measure performance. Over time, A3GBI reveals peaks and troughs to illustrate significance of market events.
The data may be used as a comparison with other data sets, and is useful for formulating trading strategies. Its constituents may allow for portfolio emulation for index funds of exchange traded funds.
BPAM chief business officer Shah Zain said it also plans to have more joint product development later, such as an Asean Corporate Bond Index and Asean Sukuk Index. He said the bond market has always been strong and is much stronger than the stock market.
“The bond market is fundamental to any economy, simply because the government issues bonds. It doesn’t issue shares. We chose government bonds because it is the way countries raises money. The prospects in the future is always there,” Shah told reporters after the A3GBI launch.
He said the biggest bond market in Asia is China, followed by Japan and Korea. Malaysia is ranked fourth in terms of percentage of gross domestic product.
“Index is a powerful fundamental tool to investors. Indexation is still under-developed in the region but advanced in the rest of the world,” he added.
PETALING JAYA: Petroliam Nasional Bhd (Petronas), through its subsidiary Petronas LNG Ltd (PLL), has delivered its first liquefied natural gas (LNG) cargo to South Korean oil refining company S-Oil Corp last Sunday.
The delivery marks the beginning of PLL’s supply to S-Oil via a 15-year sale and purchase agreement, it said in a statement. Under the agreement, PLL will deliver up to 0.7 million tonnes of LNG per annum to S-Oil.
Petronas said the cargo was delivered from its LNG Complex in Bintulu, Sarawak, to POSCO Gwangyang Terminal by Puteri Zamrud Satu, the LNG vessel chartered by MLNG and operated by Petronas’ subsidiary MISC Bhd.
Petronas vice-president of LNG marketing and trading Ahmad Adly Alias said the success of the delivery was due to the efficient and effective collaboration between the group, S-Oil, POSCO and MISC, in ensuring all operational challenges were addressed effectively.
“As an integrated global oil and gas player, Petronas remains committed to becoming the most reliable LNG supplier, through innovative and flexible solutions to accommodate the different needs of our buyers,” he added.
NEW YORK, April 24 — The global music industry soared a record 8.1 per cent last year as digital sales for the first time made up the majority of revenue thanks to the streaming boom, the industry said today. Recorded music grossed US$17.3…
MADRID, April 24 — The world’s biggest cryptocurrencies rose again today, extending their April rally deep into its fourth week and taking this month’s increase to more than 75 per cent. Ethereum, Bitcoin Cash and EOS helped lead the advance,…
(April 24): Electric buses were seen as a joke at an industry conference in Belgium seven years ago when the Chinese manufacturer BYD Co. showed an early model. “Everyone was laughing at BYD for making a toy,” recalled Isbrand Ho, the Shenzhen-based company’s managing director in Europe. “And look now. Everyone has one.” Suddenly, buses with battery-powered motors are a serious matter with the potential to revolutionize city transport—and add to the forces reshaping the energy industry. With China leading the way, making the traditional smog-belching diesel behemoth run onRead More