KUALA LUMPUR (June 28): Here is a brief recap of some corporate announcements that made the news on Wednesday (June 28) involving AmanahRaya Real Estate Investment Trust (AmanahRaya REIT), Plenitude Bhd, Hextar Technologies Solutions Bhd (HexTech), SWS Capital Bhd, Sime Darby Bhd, Sarawak Consolidated Industries Bhd (SCIB), Gagasan Nadi Cergas Bhd, Paramount Corp Bhd, Berjaya Land Bhd (BLand), MAG Holdings Bhd, Destini Bhd, Can-One Bhd, Ge-Shen Corp Bhd, Catcha Digital Bhd, Kim Loong Resources Bhd, Hiap Teck Venture Bhd, Top Builders Capital Bhd and Asian Pac Holdings Bhd.

AmanahRaya Real Estate Investment Trust (AmanahRaya REIT) is planning to dispose of Holiday Villa Beach Resort & Hotel Spa in Langkawi, Kedah for RM145 million, cash, to trim its borrowings, The trust, which is expected to record a gain of RM45 million, said the proposed disposal is in line with the trust’s growth strategy to unlock and realise higher returns on its investments at a favourable price. Pacific Trustees Sdn Bhd, on behalf of AmanahRaya REIT, entered into a sale and purchase agreement with Plenitude Gateway Sdn Bhd, a wholly owned unit of Plenitude Bhd, to sell the four-star beach resort hotel building with 238 rooms.

Hextar Technologies Solutions Bhd (HexTech), which has been in search of an IT business for months, is now selling land to entities that are partly owned by its controlling shareholder Datuk Eddie Ong. Concurrently, HexTech also proposes a 30-for-one bonus issue that will enlarge its share capital to 3.99 billion shares. The proposed land sale enables HexTech to raise RM78.3 million cash. It has no plan for dividend payment. HexTech said that it will utilise most of the proceeds for expansion of technology businesses (RM68 million) and also for working capital (RM8.71 million) within the next two years. Meanwhile, one of the land buyers, SWS Capital Bhd, in which Ong also holds a 13.07% stake, announced that it will diversify into the property development business and will change its name to Hextar Homes Bhd.

Sime Darby Bhd has reached a decision with its partner Ramsay Health Care Ltd to explore the possibility of a sale of their 50:50 joint venture Ramsay Sime Darby Health Care Sdn Bhd. Nonetheless, Sime Darby said there is no assurance that the sale process will materialise.

Sarawak Consolidated Industries Bhd (SCIB) announced more boardroom changes on Wednesday, with Abang Abdillah Izzarim Abang Abdul Rahman Zohari now as its new executive chairman. The group’s independent non-executive chairman Shamsul Anuar Ahamad Ibrahim, meanwhile, has been redesignated as an independent and non-executive director, while executive director  Ku Chong Hong was made managing director.

A unit of Gagasan Nadi Cergas Bhd’s has accepted a sub-contract work of a development project in Petaling Jaya, Selangor, from a unit of Paramount Corp Bhd, worth RM75.74 million. Nadi Cergas Sdn Bhd accepted the letter of award from Paramount Property Construction Sdn Bhd for the superstructure works for phase one of The Atera.

Berjaya Air Sdn Bhd, the aviation arm of Berjaya Land Bhd (BLand), which is controlled by tycoon Tan Sri Vincent Tan, has ordered two ATR 72-600 turboprops from European turboprop manufacturer ATR. It did not disclose financial terms of the orders. This is part of its strategic plan to grow the airline’s fleet and network, as it capitalises on demand for more regional connections in the post-Covid-19 environment.

MAG Holdings Bhd is investing S$6.1 million, or RM22 million, to acquire a 50% stake in Lim Shrimp Aquapolis Pte Ltd, and is entering into a joint venture with PT Gerbang NTB Emas for shrimp farming and processing on the island of Sumbawa in Indonesia. MAG Holdings, which is involved in the production of aquaculture-based food, has signed a term sheet with Lim Shrimp Organization Ltd in relation to the purchase of the equity stake.

Destini Bhd has secured a letter of award from the Ministry of Defence for a contract worth RM18.75 million to supply 70MM rockets. The company said the contract is for a period of two years from June 27, 2023 to June 26, 2025, and its unit Destini Prima Sdn Bhd is required to provide a performance bond of RM468,733.01.

Can maker Can-One Bhd announced that former chief justice Tun Arifin Zakaria has been appointed as senior independent non-executive director and chairman of the group. He replaces Datuk Seri Subahan Kamal, who is vacating the position, in line with the Malaysian Code on Corporate Governance 2021, on the nine-year term limit applicable to independent directors.

Ge-Shen Corp Bhd is buying two parcels of industrial land in Sungai Petani, Kedah, to expand its manufacturing facility. Via its wholly owned subsidiary Mercu Cahaya Sdn Bhd, it entered into a sale and purchase agreement with Ommedical Sdn Bhd to purchase two pieces of land in Kedah for RM12.5 million.

Catcha Digital Bhd said its wholly owned subsidiary iMedia Asia Sdn Bhd saw its pre-tax profit grow 28% year-on-year to RM3.89 million in the first quarter ended March 31, 2023, with its portfolio of digital marketing platforms and services reaching over 13.1 million Malaysians as of end-May.

Kim Loong Resources Bhd’s net profit for the first quarter ended April 30, 2023 fell 19.67% year-on-year to RM31.51 million from RM39.23 million, mainly due to sharp declines in average selling prices of fresh fruit bunches by 39% and palm oil by 36%. Quarterly revenue dropped 35.91% to RM326.69 million, from RM509.74 million.

Hiap Teck Venture Bhd’s net profit dropped 55.35% to RM15.03 million for its third quarter ended April 30, 2023 (3QFY2023), from RM32.21 million a year earlier, as the steel producer recognised a lower profit margin from its downstream operating subsidiaries due to lower prices. Additionally, there was a share of loss from a joint venture entity of RM1.46 million — mainly due to an adverse foreign exchange translation impact — versus a share of profit of RM3.32 million in 3QFY2022. Hiap Teck said quarterly revenue declined 18.37% to RM373.03 million, from RM456.95 million in 3QFY2022, primarily due to lower average selling prices and sales volumes.

Top Builders Capital Bhd has published its delayed financial results for the second quarter ended Dec 31, 2022 on Wednesday. The suspension of its shares, since Nov 8, 2022, will continue as Top Builders has another outstanding report to submit — its financial results for the three months ended March 31, 2023.

Asian Pac Holdings Bhd held a topping-up ceremony for its latest high-rise residential project called Mahogany Residences in Kota Damansara, Selangor. Mahogany Residences comprises 275 condominium units and six two-storey cabanas. The project is slated for completion before mid-2025. It is now 60% sold and the six cabanas have been booked.