Friday, October 5th, 2018


Willowglen awarded RM139.36m Gemas-JB electrified double track job

PETALING JAYA: Willowglen MSC Bhd has bagged a RM139.36 million contract for the Gemas-Johor Baru electrified double track project.

The group told Bursa Malaysia that its wholly owned subsidiary Willowglen (Malaysia) Sdn Bhd has been awarded the contract by Syarikat Pembenaan Yeoh Tiong Lay Sdn Bhd for the design, construction, supply, installation, completion, testing, commissioning and maintenance of the communication systems for the project.

The commencement date of the contract is on October 5, 2018 and will be completed by April 1, 2021.

Willowglen expects the contract to contribute positively to its earnings and net assets per share for the financial years ending December 31, 2018 to 2021.

Its shares closed 5.6% higher at 56.5 sen on 451,200 shares done.

Emerging stocks head for worst week since Feb, Indian rupee drops on RBI surprise

NEW YORK, Oct 5 ― Emerging market stocks were headed today for their worst weekly losses since early February, while a rise in US Treasury yields to seven-year highs kept a lid on emerging market currencies before US jobs data are released. Signs…

Bruised euro zone bond markets brace for US jobs data

LONDON, Oct 5 ― Bond markets in the euro area were headed for their worst week in months on today, with fears about tighter central bank monetary policy and another dose of strong US economic data pushing borrowing costs to new highs. Benchmark…

Zelan served with RM4.75 million claim from Dongfang Electric

PETALING JAYA: Zelan Bhd’s wholly owned subsidiary Zelan Holdings (M) Sdn Bhd (ZHSB) has been served with a notice of arbitration from Dongfang Electric Corp (DEC) in relation to the 300-400MW coal-fired steam power plant project in Rembang, Central Java, Indonesia.

DEC is claiming the outstanding balance of US$1.15 million (RM4.75 million) along with interest, cost and any other reliefs deem fit from ZHSB.

Zelan told the stock exchange that the notice is in respect of disputes and differences arising from a settlement agreement dated June 30, 2014, between DEC and ZHSB for the supplies, supervision for erection, testing and commissioning services, commissioning of the power plant and the boiler, turbine, generator performance tests for the power plant.

“ZHSB shall take all necessary steps to defend or safeguard ZHSB’s interests in the arbitration proceedings, including but not limited to seeking legal advice on the merits of the claims by DEC,” it said.

The stock gained 9.09% to close at 6 sen with 2.32 million shares done.

Tien Wah unit disposes of Australian land for RM65.18m

PETALING JAYA: Tien Wah Press Holdings Bhd’s 51%-owned unit Anzpac Services (Australia) Pty Ltd is disposing of a piece of freehold land measuring about 33,260 square metres located in New South Wales, Australia for AUD22.01 million (RM65.18 million) in cash.

The disposal is in line with the cessation of the remaining printing business of Anzpac announced on June 15, 2017.

Tien Wah told the stock exchange that it had on October 5 entered into a sale and purchase agreement with CEA Property Pty Ltd for the disposal.

The property currently is 63% occupied by existing tenant, while the remaining 37% is currently vacant.

Tien Wah said the disposal will see the group gaining RM10.75 million, which will be utilised within two years for future injections into the group’s investment in Lum Chang Tien Wah Property Sdn Bhd, a joint venture company set up for property development, working capital and/or reduction of loans.

“The proposed disposal will realise the value of Anzpac’s property which is no longer used or required by the group,” it said on the rationale of disposal.

MMHE claiming RM125m from EA Technique

PETALING JAYA: Malaysia Marine and Heavy Engineering Holdings Bhd (MMHE) has served a payment claim against EA Technique (M) Bhd under the Construction Industry Payment and Adjudication Act 2012 (CIPAA) amounting to US$30.22 million (RM125 million).

MMHE said in a filing with the stock exchange that it reserves the right to pursue any other legal actions as may be permitted under the Malaysian law including, further claims under CIPAA.

“MMHE is currently preparing a response to the notice of arbitration issued by EA Technique, to defend and to make counter claims in the arbitration proceedings for amongst others, unpaid invoices pursuant to additional work orders and costs,” it noted.

MMHE had on Sept 27, 2018 received a notice of arbitration from EA Technique for a number of claims in relation to the contract for the provision of demolition, refurbishment and conversion of donor vessel into a floating, storage and offloading facility for full development project, North Malay Basin.

EA Technique had started arbitration proceedings against MMHE claiming a sum of US$21.74 million.

“The claims by EA Technique are not expected to have an adverse material impact to the financial position as well as to the operations of the company,” MMHE added.

Bursa Malaysia ends week in negative territory on persistent selling

KUALA LUMPUR, Oct 5 ― Bursa Malaysia ended in negative territory today in line with its Asian peers on continued selling in selected heavyweights in the telecommunications, utilities, consumer products and services, and finance sectors. The…

Toyota announces new recall of 2.4 million hybrid cars

TOKYO, Oct 5 ― Japanese car giant Toyota said today it is recalling more than 2.4 million hybrid cars over a fault that could cause crashes, just a month after another recall affecting hybrids. The firm in September said it was recalling more than…

BNM international reserves down 0.9% to US$103b as at Sep 28

PETALING JAYA: Bank Negara Malaysia’s (BNM) international reserves amounted to US$103.0 billion (RM427.45 billion) as at 28 September 2018, showing a 0.9% decline compared with the US$103.9 billion (RM429.7 billion) as at September 14, 2018.

The central bank said in a statement that the reserves level has taken into account the quarterly adjustment for foreign exchange revaluation changes following the strengthening of the US dollar against various foreign currency reserve assets held by BNM.

It added that the reserves position is sufficient to finance 7.4 months of retained imports and is 0.9 times the short-term external debt.

BNM said the short-term external debt is mostly accounted by banking institutions (69.3% of short-term external debt), reflecting the centralisation of liquidity management of Malaysian banks operating in the region and the sizeable presence of foreign banks in Malaysia.

“ These banking institutions hold substantial external assets (RM293.0 billion), which can be drawn upon to meet their external obligations without creating a claim on BNM’s international reserves,” it said.