KUALA LUMPUR (June 24): Here is a brief recap of some business news and corporate announcements that made the headlines on Monday:
Solarvest Holdings Bhd (KL:SLVEST) has partnered with Taiwanese renewable energy (RE) player GreenRock Energy to develop one-gigawatt (GW) green energy projects in Taiwan and Malaysia in the next five years. Through this collaboration, GreenRock Energy aims to accelerate its regional expansion by harnessing Solarvest’s expertise in Malaysia and the Southeast Asia market amid heightened demand for RE. — Solarvest, GreenRock to develop 1GW green energy projects in Taiwan, Malaysia
Kinergy Advancement Bhd (KL:KAB) has inked a memorandum of understanding (MOU) with state-owned investment company Permodalan Kedah Bhd (PKB) to develop sustainable energy projects. The company will take on the technical responsibilities and utilise its experience in the energy sector, while PKB will identify potential land for renewable energy projects and assist in authorisation responsibilities such as obtaining project licencing. The partnership focuses on the deployment of clean energy, renewable energy, energy-efficient solutions projects and engineering works, among others. — Kinergy Advancement teams up with Permodalan Kedah for sustainable energy projects
Kronologi Asia Bhd's (KL:KRONO) net profit for the first quarter ended April 30, 2024 (1QFY2025) fell 43.43% year-on-year due to lower profit from its business operations and higher operating costs — such as solution centre-related expenses — as well as right-of-use assets and lower revenue. Net profit fell to RM1.44 million from RM2.55 million the previous year while revenue declined 8.4% to RM57.75 million from RM63.03 million. The company did not declare any dividend. — Kronologi's 1Q net profit falls 43% on lower segmental contributions, higher operating costs
ECA Integrated Solutions Bhd’s (KL:ECA) net profit for the second quarter ended April 30, 2024 (2QFY2024) tumbled 92.9% year-on-year due to the slowdown in demand for semiconductor components and equipment. Net profit fell to RM252,000 from RM3.54 million in 2QFY2023 while revenue declined 37.8% to RM5.81 million from RM9.35 million a year earlier. Nevertheless, ECA remains optimistic about the gradual recovery of the semiconductor industry in the second half of 2024. — ECA Integrated’s 2Q net profit falls 93% amid semiconductor downcycle
The unconditional mandatory general offer (MGO) for furniture maker Eurospan Holdings Bhd (KL:EUROSP) by its substantial shareholders is “fair” and “reasonable”, with independent adviser BDO Capital Consultants Sdn Bhd advising holders to accept the offer. It said the offer price of RM1.70 represents a premium of 27 sen or 18.9% against the fair value of Eurospan’s share of RM1.43, and that the offer is fair after Eurospan’s share price had closed below the offer price for one year before the MGO was announced. — Eurospan's MGO at RM1.70 fair and reasonable, says independent adviser
VS Industry Bhd (KL:VS), whose share price has climbed 62% year to date, has proposed a bonus issue of up 395.7 million warrants on the basis of one warrant for every 10 existing shares. The warrants, with a tenure of two years, will be issued at no cost to the entitled shareholders. The exercise price of the warrants will be determined at a later date. Assuming the indicative exercise price of the warrants at RM1.35, the company is expected to raise between RM518 million under the minimum scenario and RM534.2 million under the maximum scenario. — VS Industry plans 1-for-10 bonus issue of warrants
IT services firm Systech Bhd (KL:SYSTECH) has partnered with a firm offering industrial-grade servers and storage solutions, Eh Integrated Systems Sdn Bhd (EISSB), to develop and operate data centres. Under the partnership, Systech will develop essential applications and software for data centre operations, including design, coding, testing and deployment. EISSB, on its part, will procure the necessary equipment and infrastructure for the joint venture, which encompasses graphics processing units, servers, storage systems, networking equipment, cooling systems and power supply units. The two-year agreement has no fixed value, as the terms depend on the revenue generated. — Systech enters partnership to develop data centres
Marine transportation and offshore storage company EA Technique (M) Bhd (KL:EATECH) has received shareholders’ approval for its proposed regularisation plan. The plan involves the issuance of up to 795.75 million new shares and the exemption of businessman Datuk Wira Mubarak Hussain Akhtar Husin and Voultier Sdn Bhd (VSB) from the obligation to make a mandatory takeover offer. The offer will raise RM79.6 million, representing approximately 60% of EA Technique’s enlarged share capital. VSB will emerge as the largest shareholder with a 51% stake in EA Technique. — EA Technique gets shareholders’ nod for white knight and regularisation plan
Johor Plantations Group Bhd, en route to being listed on Bursa Malaysia's Main Market on July 9, has fixed its institutional and final retail price under its initial public offering (IPO) at 84 sen per share. This was decided following the completion of the bookbuilding process under the institutional offering Monday. Upon listing, the group is expected to have a market capitalisation of RM2.1 billion based on an enlarged issued share capital of RM2.5 billion and IPO price of 84 sen. — Johor Plantations' final retail price under IPO fixed at 84 sen