Thursday, June 14th, 2018

 

Italy won't ratify EU-Canada trade deal, minister says

ROME, June 14 — Italy’s far-right agriculture minister today said his government would not ratify an EU-Canada free trade deal, claiming it does not protect his country’s farmers. The European Union and Canada formally signed the Comprehensive…


ECB to end bond buys but signals rate hike is distant

FRANKFURT, June 14 — The European Central Bank announced today it would wrap up its unprecedented bond purchase scheme by the close of the year, its biggest step in dismantling crisis-era stimulus a decade after the start of the euro zone’s…


Wall Street opens higher after ECB decision, retail sales data

NEW YORK, June 14 — US stocks opened higher today on better-than-expected May retail sales data, while investors assessed the European Central Bank’s move to end its stimulus program and the US Federal Reserve’s guidance on monetary policy….


EU countries agree Commission scrutiny of foreign investments, but keep final say

BRUSSELS, June 14 — European Union countries have agreed to allow EU-level scrutiny of foreign investment, while stressing they should remain the ultimate arbiters of acquisitions by Chinese and other companies in their territories. The European…


Etsy raises 2018 revenue forecast, shares surge

NEW YORK, June 14 — Etsy Inc today raised its full-year forecast for revenue growth and increased its transaction fee for sellers, sending the e-commerce company’s shares up more than 10 per cent in premarket trading. Th company said it expected…


UK says shut out of EU's Galileo sat-nav contracts

LONDON, June 14 — Britain has been formally excluded from future contracts for the EU’s Galileo satellite-navigation system, the government said today, condemning the decision as “completely unacceptable”. “I think this is really a case of…


Sri Lankan rupee plunges to record low on importer dollar demand

COLOMBO, June 14 — The Sri Lankan rupee touched a fresh low today on dollar demand from importers, just days after it slipped to a record low, but a late bout of selling of the US currency by exporters helped cut losses, dealers said. The spot…


Iris Corp to raise RM59.33m from proposed share issuance

PETALING JAYA: Iris Corp Bhd aims to raise RM59.33 million from a proposed share issuance of 494.38 million new shares, to be used as working capital and future business projects/investments.

In a filing with Bursa Malaysia, Iris said it had entered into a subscription agreement with Datuk Seri Robin Tan Yeong Ching, Datuk Poh Yang Hong and Datuk Rozabil @ Rozamujib Abdul Rahman for the proposed issuance and allotment of the new shares.

The 494.38 million new shares represents 20% of the total number of issued shares of the company and will be issued at an issue price of 12 sen per subscription share to be satisfied in cash.

Based on the share issuance price, Iris expects to raise gross proceeds of RM59.33 million, of which RM58.83 million will be used for working capital and future business projects/investments and the balance RM500,000 for estimated expenses. The new business projects/investments have not been determined yet.

“The proposed share issuance will enable Iris to raise funds to meet its working capital requirements and to capitalise on future business projects/investments, as and when such opportunity arises, without incurring additional interest costs as compared with bank borrowings,” it said.

The subscription shares are proposed to be placed out to Tan, Poh and Rozabil. Poh is a non-independent non-executive director of Iris while Rozabil is the executive deputy chairman. Both are major shareholders of Iris.

Poh has 0.69% direct interest and 10.26% indirect interest by virtue of his interest in Caprice Development Sdn Bhd while Rozabil has indirect interest of 10.92% by virtue of his interest in Caprice, R Capital Sdn Bhd and Mazer Sdn Bhd.

Therefore, Iris will seek approval from its non-interested shareholders for the issuance of the subscription shares to Poh and Rozabil in respect of their specific allotments under the proposed share issuance.

Meanwhile, Tan is CEO and executive director of Berjaya Corp Bhd as well as chairman and non-independent non-executive director of Berjaya Media Bhd. He is also a non-independent non-executive director of Atlan Holdings Bhd.

A total of 247.19 million shares will be placed out to Tan at a subscription price of RM29.66 million, 197.19 million shares will be placed out to Poh at RM23.66 million while 50 million shares will be placed out to Rozabil at RM6 million.

The share issuance price represents a discount of 11% to the five-day volume-weighted average market price of Iris shares up to and including June 13, 2018 of 13.49 sen.

The proposed share issuance will result in an enlarged issued share capital of 2.96 billion Iris shares and lower its gearing ratio to 0.48 times from 0.63 times as at March 31, 2017.

CIMB Investment Bank Bhd has been appointed as the principal adviser and placement agent for the exercise, which is expected to be completed by the fourth quarter this year.

Iris' share price rose 3.85% to close at 13.5 sen with 21.28 million shares traded on Thursday.


Oil steadies but threat of higher supply curbs gains

LONDON, June 14 — Oil prices steadied today, but were likely to remain under pressure from evidence of rising US output and uncertainty over the outlook for supply before a key meeting next week of the world’s largest exporters. Brent crude…


Cover Story: There’s more to Malaysia’s RM1 trillion debt burden

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DATA watchers know that student loans provider Perbadanan Tabung Pendidikan Tinggi Nasional (PTPTN) and Lembaga Pembiayaan Perumahan Sektor Awam (LPPSA) are among the largest issuers of debt guaranteed by the federal government, which stood at RM238.1 billion as at end-2017. The status of their guarantees is unchanged. Yet, contrary to The Edge’s estimates last week, the RM40.2 billion owed by PTPTN and the RM11.5 billion by LPPSA, a statutory body that gives out loans to civil servants, have not been included in the RM199.1 billion that the federal government counts asRead More