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NEW YORK, Sept 22 — The US dollar rebounded and world shares hit a six-month high yesterday after China’s moves to boost domestic consumption bolstered a rally driven by investor bets that the latest US-China trade dispute was unlikely to dent…

S&P, Dow touch record highs as tech stocks boost

NEW YORK, Sept 21 ― he benchmark S&P 500 and the Dow Jones Industrial Average touched record highs today, their second session in a row, boosted by gains in the technology and consumer discretionary sectors. Nine of the 11 major S&P…

KESM Industries sees lower earnings in Q4

PETALING JAYA: KESM Industries Bhd saw a 15.6% decline in net profit to RM11.32 million for the fourth quarter ended July 31, 2018 against RM13.4 million in the previous corresponding period, mainly due to lower demand for burn-in, testing and electronic manufacturing services.

Its revenue also fell 5% to RM85.27 million from RM89.77 million.

The group has proposed to declare a final dividend of 6 sen per share amounting to RM2.6 million for the quarter under review.

KESM’s full-year net profit dropped 10.6% to RM39.34 million from RM43.99 million, while revenue expanded 3.5% to RM349.78 million from RM337.99 million.

The group said while the broad indices of the semiconductor industry and global growth are positive, it could be disrupted by the escalation of trade wars between major economies and uncertainties inflicted on cross border mergers and acquisitions seen in the semiconductor industry.

“These risks may impact the steady flow of material supplies for our burn-in and test services. Nonetheless, the group is relentlessly streamlining its operations to better position itself for business volatility.”

Its shares were unchanged at RM17.10 on 41,00 shares traded.

US duties spare Apple gadgets but hit cloud industry

The United States will spare Apple Inc’s Watch and other consumer gadgets from the latest round of tariffs on Chinese goods, according to a list of products released by the US Trade Representative (USTR) on Monday. But parts for the computer servers and networking gear that power “cloud” data centers and internet-based services now face […]

Japan govt more bullish on capex, eyes on US-China trade row

TOKYO: Japan upgraded its assessment of capital expenditure (capex) for the first time in nine months as companies ramp up spending on equipment and software to better cope with growing labour shortages. The government left unchanged its overall assessment that the economy is recovering at a moderate pace in its monthly report for September, released […]

Wall St up on tech rebound, easing trade concerns

NEW YORK, Sept 14 — Apple led a rebound in technology shares and boosted all three major US stock indexes yesterday, while trade worries eased after China welcomed new talks with the United States. The Dow inched closer to its all-time high hit on…

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Dow, S&P 500 end up slightly after trade talk news, Apple slips

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Tech stocks weigh on Wall Street, energy stocks help cut losses

NEW YORK, Sept 12 — The benchmark S&P 500 and the Dow Jones Industrial Average were flat today, as gains in energy companies helped offset a slide in technology stocks, which weighed on the Nasdaq. Shares of Apple, Twitter, Alphabet and…

Unisem gets takeover offer of RM3.30 a share

PETALING JAYA: China-based Tianshui Huatian Technology Co Ltd. (TSHT) and Tianshui Huatian Electronics Group Co Ltd (TH Group) have signed a collaboration agreement with the single largest shareholder of Unisem collectively, chairman John Chia and director Alexander Chia, to start the ball rolling on a plan for the Chinese parties to acquire at most a 75.72% stake in Unisem for RM3.30 a share.

The principal activity of TSHT is provision of semiconductor integrated circuits testing and packaging services, while TH Group is in the production of power devices.

The deal values Unisem at almost RM2.4 billion. John, Alexander and companies affiliated to them collectively own a 24.28% stake in Unisem. The two companies are Jayvest Holdings Sdn Bhd and SCQ Industries Sdn Bhd.

The offer however is conditional upon TSHT obtaining the approval of its shareholders to undertake the offer, and the Chinese authorities' go-ahead to undertake the overseas purchase. A formal offer will only be made once these approvals are obtained.

The collaboration agreement signed between TSHT and the father and son duo yesterday was for the duo to participate in the joint offer and to form a strategic partnership for the expansion and development of Unisem's business operations upon completion of the offer.

The offer is conditional upon the joint offerors holding at least 50% of Unisem in aggregate at the end of it.

The joint offerors intend to maintain the listing status of Unisem.

The collaboration agreement comes with a call option for John and Alexander for Unisem shares held by TSHT in excess of the required threshold, which is enough shares to maintain the 10% gap between TSHT and John and Alexander's holdings.

HT Hong Kong and HT Malaysia are special purpose vehicles incorporated by TH Group, the holding company of TSHT, and TSHT, respectively to undertake the offer.

TSHT said the Unisem Group's business is complementary to its existing business as it will allow TSHT to further strengthen its global presence by leveraging on the Unisem Group's relationships with its vast network of customers in Europe and North America. TSHT, being essentially China-centric in terms of operations and customers, would benefit from a collaboration with the Unisem Group in terms of the latter's geographic spread and different customer profile.

On the other hand, TSHT, having a significant presence in the semiconductor industry in China and being among the largest outsourced semiconductor assembly and test players worldwide, would enable the Unisem Group to expand more rapidly in its operations in Chengdu, China.

“In this respect, TSHT has great confidence in the current management team of Unisem. As such, both parties intend to continue the existing business of the Unisem Group as well as maintain the existing management team of Unisem. This will also provide assurance to the Unisem Group's existing suppliers and customers on the continuity of the Unisem Group's business.”