KUALA LUMPUR (Nov 4): Based on corporate announcements and news flow today, companies that may be in focus tomorrow (Thursday, Nov 5) could include the following: AZRB, Parkson, AmProp, SapuraKencana, EG Industries, F&N, Tropicana and MISC.
Ahmad Zaki Resources Bhd (AZRB) has been appointed as the development partner of Kwasa Land Sdn Bhd, to undertake a proposed residential development with an estimated gross development value (GDV) of RM257 million.
In a filing with Bursa Malaysia today, AZRB said its wholly-owned subsidiary Ahmad Zaki Sdn Bhd has received a letter of award (LoA) from Kwasa Land, in relation to the appointment.
The proposed development will sit on a 3.91-acre land in the Kwasa Damansara Township, which entails the building of 188 high-rise residential units.
The construction outfit said the LoA shall be subject to the execution of a development rights agreement with Kwasa Land within 60 days of the LoA.
AZRB expects the award to contribute positively to its future earnings and net assets.
Parkson Holdings Bhd has tied up with private firm Superb Apparel Supply Sdn Bhd to establish new concept stores under the brand name 'LOL' that will sell affordable fashion apparels.
It told Bursa Malaysia today that Parkson Corp Sdn Bhd, the wholly-owned unit of its 67.61%-owned Singapore-listed subsidiary Parkson Retail Asia Ltd (PRA), has inked a shareholders' agreement with Superb Apparel for the 70:30 joint venture (JV) today.
According to an attached statement from PRA, Parkson Corp will take up a 70% stake in JV company Super Gem Resources Sdn Bhd, while Superb Apparel will take the remainder 30% to trade, market and sell apparel and related products in LOL outlets.
Super Gem is currently a wholly-owned unit of Parkson Corp and does not conduct any business.
PRA said Parkson Corp's subscription of 700,000 ordinary shares in Super Gem will cost approximately S$230,000 (RM700,000), which the group will satisfy with internally generated funds.
The 'LOL' stores will carry affordable, fashionable apparels - including shoes and accessories - for men, women and children.
Amcorp Properties Bhd (AmProp)'s net profit jumped over two times or 130.58% to RM16.48 million in the second quarter ended Sept 30, 2015 (2QFY16), from RM7.03 million a year ago, mainly due to contributions from its overseas properties division.
Revenue for the quarter was, however, 7.41% lower at RM41.11 million from RM44.4 million.
For the half-year period ended Sept 30 (1HFY16), its net profit almost tripled to RM73.42 million or 12.47 sen per share from RM24.7 million or 3.05 sen per share in 1HFY15, again mainly from its overseas properties contribution that arose from a gain on disposal (RM57.8 million) of its property investment in Merchant Square, Paddington, London.
Revenue for the half-year period was, however, down 11.28% at RM75.51 million from RM85.11 million a year ago.
SapuraKencana Petroleum Bhd (SK Petro)'s unit SapuraKencana Energy Inc (SKE) has secured a Field Development Plan approval from Petroliam Nasional Bhd (Petronas) for the SK310 B15 gas field development project in East Malaysia.
In a filing with Bursa today, it said with this approval, SKE will commence the development phase for the project and the first gas delivery is targeted for the fourth quarter of 2017 (4Q17).
According to the filing, the B15 field, which was discovered in December 2010, is located within the SK310 Production Sharing Contract (PSC) area, offshore East Malaysia.
The development will comprise a central processing platform, with a 35-km gas evacuation pipeline to be tied into the existing infrastructure, SK Petro said.
According to the oil and gas service provider and operator, the B15 field is expected to produce 100 million standard cubic feet per day (MMscfd) of hydrocarbon gas for Petronas' liquefied natural gas (LNG) complex in Bintulu, Sarawak.
SKE, via SapuraKencana Energy Sarawak Inc, is the operator of the SK310 PSC, with a 30% participating interest. The remaining interest or partners are Petronas Carigali Sdn Bhd at 40% and Diamond Energy Sarawak Sdn Bhd, a subsidiary of Mitsubishi Corporation at 30%.
EG Industries Bhd saw its renounceable rights issue with warrants at an issue price of 50 sen oversubscribed by 12.9% over the total of 115.24 million rights shares available, raising RM57.8 million in proceeds for its business expansion.
In a filing with Bursa today, the electronics manufacturing services player said the result was obtained at the close of acceptance and payment for the rights issue at 5pm on Oct 28.
Shareholders in EG Industries approved the corporate exercise on July 23. The rights issue with warrants will eventually increase the group's total outstanding shares to 250.6 million of 50 sen each, with an enlarged share capital of RM125.3 million.
Of the proceeds raised, RM20 million has been earmarked for the building of a new factory adjacent to the group's current premises in Sungai Petani, Kedah.
It also allocated RM21 million to purchase and upgrade machinery, and for purchase of inventory.
Fraser & Neave Holdings Bhd (F&N) is looking to increase its export segment contribution to revenue from 5% to 10% in five years.
The soft drinks and dairy products manufacturer is looking at increasing its export revenue to become about RM500 million.
"We are very serious on increasing our export, we expect a strong double-digit growth in future," said F&N chief financial officer Soon Wing Chong at a media briefing today.
He added that the company is to looking at increasing its exposure in the Middle East, Africa and China, and that he views the falling ringgit as a boon to exporting producers.
Tropicana Corp Bhd announced that Datuk Kong Woon Jun has resigned as the group's managing director (MD) effective Dec 5 this year, but did not name any successor.
In a filing with Bursa Malaysia yesterday, the property developer said Kong, 52, resigned as he wanted to pursue other career opportunities.
Kong was appointed as an executive director of Tropicana on March 1, 2011, and was promoted to deputy group MD on March 1, 2013. On March 14, 2014, he was promoted to the position of group MD.
MISC Bhd, a 62.67%-owned subsidiary of Petroliam Nasional Bhd (Petronas), saw its net profit rise 2.7% to RM483.56 million or 10.8 sen per share for the third quarter ended Sept 30, 2015 (3QFY15) from RM470.8 million or 10.5 sen per share a year ago, mainly from higher revenue in its petroleum business and improved charter rates in the chemical business.
Revenue for the 3QFY15 jumped 14.9% to RM2.51 billion from RM2.18 billion in 3QFY14, mainly due to improved freight rates in the petroleum business.
The 3QFY15 revenue gains were, however, offset by a smaller fleet of operating vessels in the chemical business, lower earning days in the LNG business, and different phases of project construction in heavy engineering.
For the nine-month period (9MFY15), MISC's net profit climbed 37.7% to RM1.72 billion or 38.4 sen per share from RM1.25 billion or 27.9 sen per share a year ago, while revenue grew 8.4% to RM7.6 billion from RM7.01 billion in 9MFY14.
On prospects, MISC said operationally, the group is expected to sustain its financial performance for 9MFY15 into the final quarter of FY15.
(Note: The Edge Research's fundamental score reflects a company's profitability and balance sheet strength, calculated based on historical numbers. The valuation score determines if a stock is attractively valued or not, also based on historical numbers. A score of 3 suggests strong fundamentals and attractive valuations.)