KUALA LUMPUR (April 19): Here is a brief recap of some business news and corporate announcements that made the headlines on Friday:
Shares of Sapura Energy Bhd have been suspended from trading, pending a material announcement. The suspension took effect from 2.30pm onwards on Friday, according to an exchange filing. Trading in Sapura Energy suspended pending announcement
PIE Industrial Bhd confirmed that it has secured a new customer and said it is expecting the new customer to contribute an additional RM2.5 billion in revenue to the group, of which RM1 billion will be recognised as early as next year. The client specialises in servers and switches, the group's managing director Alvin Mui told The Edge, but did not disclose its identity. “We are optimistic of achieving RM2 billion (total) revenue in 2025,” Mui said. PIE Industrial confirms bagging new client, expects additional RM2.5 bil revenue
Construction company Lim Seong Hai Capital Bhd has obtained approval from its shareholders to transfer the group’s listing from the LEAP Market to the ACE Market. The group expects to complete the transfer by the fourth quarter of 2024. The resolutions pertaining to the transfer include the listing of the group’s entire enlarged issued share capital on the ACE Market as well as a proposed public offering involving up to 191 million shares, representing approximately 22.78% of its enlarged issued shares. Lim Seong Hai Capital gets shareholder nod for transfer of listing to ACE Market
YX Precious Metals Bhd, a 70%-owned subsidiary of Tomei Consolidated Bhd, has proposed to transfer its listing from the ACE Market to the Main Market as it has met the profit requirements for the transfer. YX recorded a net profit of RM9.01 million for the financial year ended Dec 31, 2023 (FY2023) on the back of RM239.8 million revenue. This meets SC’s requirements, which mandate an aggregate profit after tax (PAT) of at least RM20 million over the past three financial years, with a PAT of at least RM6 million for the most recent financial year. YX Precious Metals proposes to transfer listing from ACE Market to Main Market
Westports Holdings Bhd said its new sukuk wakalah programme of up to RM5 billion will provide the group with the flexibility to raise medium to long-term funding to meet business funding requirements and general corporate purposes. The sukuk programme, which has a perpetual tenure, was assigned an AAA/stable rating by RAM Rating Services Bhd on April 15. The company added that the proceeds raised will be used to finance its wholly-owned subsidiary Westports Malaysia Sdn Bhd's capital expenditure, assets acquisition, general corporate purposes and general working capital requirements. Westports establishes RM5 bil sukuk programme with flexibility to issue sustainability notes
Yinson Holdings Bhd said its indirect wholly-owned subsidiary Yinson Production Offshore Pte Ltd has successfully placed a US$500 million five-year senior secured bond issue. The bonds, issued under Yinson Production Financial Services Pte Ltd, have a fixed coupon of 9.625% per annum in the Nordic bond market. Yinson said “net proceeds from the bonds will be used to refinance Yinson Production’s existing corporate loan and for general corporate purposes”. An application will also be made for the bonds to be listed on the Oslo Børs in due course. Yinson’s unit places US$500 mil five-year senior secured bonds
Sime Darby Property Bhd has secured commitment for the remaining 30% of its industrial development fund to close at RM1 billion. The investors were not identified. The fund, set up as a 51:49 joint venture with Australia’s Logos Property Group, will complete Metrohub 1 and 2 at the E-Metro Logistics Park. It also managed to secure J&T Distribution Solutions Sdn Bhd as the first pre-committed tenant. Sime Darby Property gets commitment for balance 30% of RM1b industrial development fund
MISC Bhd, via its petroleum arm AET, has entered into time charter party contracts with PETCO Trading Labuan Company Ltd (PTLCL) for the world’s first two ammonia dual-fuel Aframaxes (tankers with a deadweight of between 80,000 and 120,000 tonnes), as it seeks to reduce overall emissions from its operations. Both MISC and PTLCL are units of national oil company Petronas. MISC said the tankers will enable PTLCL to transport its products to customers around the world while contributing to the industry decarbonisation by utilising ammonia as the cleaner alternative to conventional fuel. MISC enters time charter party contracts with Petronas unit for world's first ammonia dual-fuel Aframax tankers
Meta Bright Group Bhd’s unit FBO Land (Serendah) Sdn Bhd is forming a joint venture company (JVco) with a Bumiputera firm Doople Tech Sdn Bhd to bid for renewable energy (RE) projects with a Bumiputera equity requirement. Doople will own a 51% stake and FBO Land will hold the remainder. Under the agreement, FBO Land will also subscribe to one million redeemable, non-convertible preference shares (RNCPS) in the JVco at an issue price of RM1 per share. Meta Bright forms JVco with Bumiputera firm for RE projects
EG Industries Bhd has secured a second letter of intent (LOI) from US-based Cambridge Industries Group (CIG) to produce a new 1.6 terabit optical signal transmitter and receiver for a 5G wireless network at EG Industries’ new smart factory 4.0 in Penang. The latest LOI will include the production of 800-gigabit (G) optical modules, complementing the previous 100G, 200G, and 400G models in the first LOI in 2022. Additionally, CIG will transfer its technology and intellectual property (IP) to EG Industries. EG Industries expands partnership with US-based Cambridge Industries Group
Hextar Capital Bhd plans to diversify into the construction and project management business. The proposed diversification is expected to boost the group’s net profit by about 25%, aligning with its long-term strategy to pursue more engineering, procurement, construction and commissioning (EPCC) projects beyond telecommunications network projects. For the first quarter ended December 2023 (1QFY2024), Hextar Capital posted a net profit of RM965,000 — after reporting two consecutive quarters of net loss — on the back of revenue of RM34.29 million. Hextar Capital plans to diversify into construction business
Uzma Bhd plans to raise RM68.35 million via a private placement of 15% of its current share base to help fund the development of a water injection facility (WIF) which it is to lease to a unit of Hibiscus Petroleum Bhd. It plans to issue up to 58.08 million shares to third-party investors at an issue price to be fixed later. However, the group’s RM68.35 million estimate is based on an illustrative issue price of RM1.1768 per share, a 9.99% discount to Uzma shares’ five-day volume-weighted average price up to April 3. Uzma plans RM68.4m private placement to fund O&G support job
Software company Nova MSC Bhd said it has signed term sheets for investments totalling about RM41.4 million into two of its subsidiaries by Singapore-based family office Jostar Investment VCC. The term sheets record Jostar’s desire to invest S$5 million (RM17.5 million) into 60%-owned Dex-Lab Pte Ltd, and US$5 million (RM23.9 million) separately into EyRIS Pte Ltd — a 42% owned subsidiary. The non-binding term sheets only serve as the basis for further discussions, negotiation and execution of definitive agreements, completion of due diligence, and fulfilment of any regulatory requirements. Nova MSC signs term sheets for RM41.4m investment into its Singaporean units
Iconic Worldwide Bhd has raised a total of RM95.6 million through its rights issue exercise with free warrants, which was oversubscribed. At the close of acceptance, the group received valid acceptances and excess applications, totalling 1.125 billion rights shares, surpassing the total number of rights shares available for subscription. Iconic Worldwide’s rights issue oversubscribed, raises RM95.6 mil