Sunday 25 Feb 2024
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KUALA LUMPUR (Dec 8): Here is a brief recap of some corporate announcements that made news on Thursday (Dec 8) involving Sime Darby Bhd, Gamuda Bhd, Sapura Energy Bhd, Sarawak Consolidated Bhd, Bermaz Auto Bhd, Paramount Corp Bhd, Scientex Bhd, Cypark Resources Bhd, Reneuco Bhd, LFE Corp Bhd, Ranhill Utilities Bhd and Malaysian Bulk Carriers Bhd.

Sime Darby Motors, the automotive arm of conglomerate Sime Darby Bhd, has earmarked RM500 million to build 40 showrooms for China's BYD in Malaysia by 2024 to showcase vehicles such as the all-electric SUV model BYD Atto 3. The model will be available in two variants, with prices starting from RM149,800 for the standard range and RM167,800 for the extended range. The first showroom is slated to be opened by the middle of this month at TREC Kuala Lumpur.

Gamuda Bhd has allocated RM2 billion for investment in renewable energy businesses over the next five financial years to tap the demand for renewable energy. The investment will be funded by the group's internally-generated funds or borrowings, but unlikely to be financed through equity fundraising. Gamuda's investment in renewable energy is unlikely to yield substantial increase in profit over the near term, as the group is expecting higher recurring income over the medium term.

The group also announced the retirement of its independent and non-executive chairman Datuk Mohammed Che Hussein who has been on the company’s board as chairman since December 2013, effective Dec 8.

Sapura Energy Bhd has retirned to profitability for the third quarter ended Oct 31, 2022 with a RM10.18 million net profit, from a net loss of RM669.34 million in the previous year’s corresponding quarter, due to lower recognition of provision for foreseeable losses, lower project costs recognised, lower depreciation, higher share of profit from associates and joint ventures, and a favourable foreign exchange gain during the quarter. Moving forward, the group has committed to continuing its review of underperforming contracts, as well as renegotiating commercial settlements with customers.

Sarawak Consolidated Bhd shareholders have refused to approve the payment of directors’ fees and benefits for the end-February to Dec 7 period of up to RM900,000 at the group’s 46th annual general meeting (AGM) held on Thursday. Also rejected was a resolution to seek approval for the payment of the same to the tune of RM1 million for the period spanning Dec 8 till the next AGM.

Bermaz Auto Bhd's net profit soared to RM65.67 million in the second quarter ended Oct 31, 2022 from RM26.04 million last year due to higher sales, better contributions from associates and the appreciation of the ringgit against the Japanese yen. The group distributes Mazda, Peugeot and Kia in Malaysia, and achieved a higher revenue of RM782.97 million from RM483.84 million a year ago due to substantial back orders for all three marques received during the sales tax exemption incentive period. The group declared a second interim dividend of 3.5 sen per share, to be payable on Jan 6, 2023.

Paramount Corp Bhd deputy group chief executive officer Benjamin Teo Jong Hian has emerged as a substantial shareholder in the property developer. Teo, who is the son of the group’s late chairman Datuk Teo Chiang Quan, is deemed to have an interest in 178.32 million Paramount shares pursuant to a transmission of these shares on Thursday. He holds a 0.219% direct stake or 1.36 million shares in the company, and 28.718% indirect stake (178.61 million shares).

Scientex Bhd’s net profit for the first quarter ended Oct 31, 2022 rose year-on-year to RM107.18 million from RM102.87 million. Its revenue also rose to RM1.03 billion from RM928.17 million a year earlier, due to healthy contributions from its packaging and property divisions. Earnings per share were 6.91 sen versus 6.63 sen earlier and the company did not declare any dividend.

Cypark Resources Bhd and its indirect subsidiaries have been awarded feed-in approval certificates by the Sustainable Energy Development Authority (Seda) for a period of 21 years, while Tenaga Nasional Bhd will purchase the electricity from the project companies at pre-agreed feed-in tariff rates. The first biogas project is in Layang-Layang Johor, and the second is in Kemaman, Terengganu. Meanwhile, a floating solar plant in Pasir Mar, Kelantan is scheduled to begin operations in May 2023.

Reneuco Bhd (formerly known as KPower Bhd) has inked a joint venture agreement with the Terengganu government for the development of a mixed housing project in Kuala Nerus. The project comprises of 636 units of Type A affordable housing, 360 units of Type B affordable housing and commercial housing. The gross value for the project is RM293.76 million and would be completed within 60 months.

LFE Corp Bhd proposed a private placement to partially fund the acquisition of the remaining 49% stake in its 51%-owned construction firm Cosmo Property Management Sdn Bhd. The private placement entails the issuance of 240.41 million new shares to raise RM20.77 million based on an issue price of 8.64 sen apiece and it would use RM20.45 million of the private placement’s proceeds for the partial settlement of the RM29.4 million price of acquiring the Cosmo Property stake while another RM2.45 million of the purchase consideration is to be funded via internally-generated funds, and a further RM6.5 million via a separate issuance of 66.87 million new shares at 9.72 sen apiece.

Ranhill Utilities Bhd’s unit bagged a RM15 million contract for the provision of detailed design engineering services for the Rosmari-Marjoram gas project’s solar power offshore platform for Sarawak Shell Bhd. The contract was awarded by Malaysia Marine and Heavy Engineering Holdings Bhd’s wholly-owned subsidiary on Oct 5 and was awarded to Perunding Ranhill Worley Sdn Bhd (PRW), 49% owned by Ranhill Worley Sdn Bhd, which in turn is 51% owned by Ranhill Utilities.

Malaysian Bulk Carriers Bhd (Maybulk) is planning to pay shareholders an additional interim special dividend of 3.5 sen for its financial year ending Dec 31, 2022, on top of the 6.5 sen special dividend it announced last month along with its third quarter results. Both the special dividends, totalling 10 sen, will be paid on Jan 5, 2023, while Dec 21 has been fixed as the ex-dividend date.

Edited ByS Kanagaraju
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