KUALA LUMPUR (Jan 22): Here is a brief recap of some business news and corporate announcements that made the headlines on Wednesday:
Sunway Bhd (KL:SUNWAY) has started the ball rolling for the initial public offer (IPO) of its healthcare unit Sunway Healthcare Group, according to sources. Maybank Investment Bank Bhd and AmInvestment Bank Bhd are said to be the front-runners as principal advisers for the IPO, while Affin Hwang Investment Bank Bhd and CIMB Investment Bank Bhd have been shortlisted as joint book runners. Sunway Healthcare Holdings Sdn Bhd (SHH) is 90.26%-owned by Sunway City Sdn Bhd, which is in turn wholly owned by Sunway, while the other 9.73% in SHH is owned by Greenwood Capital Pte Ltd, an indirect unit of Singapore’s sovereign wealth fund GIC Pte Ltd. The listing of SHH has to occur by October 2027 based on a shareholders’ agreement with GIC, said Sunway Healthcare Group president Datuk Lau Beng Long to The Edge in an interview in 2023. — Sunway shortlists bankers for healthcare unit's IPO
CapitaLand Malaysia Trust (KL:CLMT) posted a 15% rise in its net property income (NPI) for the fourth quarter ended Dec 31, 2024 (4QFY2024) to RM72.49 million from RM63.02 million on higher revenue contribution from the majority of CLMT’s properties, supported by stronger retail sentiment. Gross revenue grew 10.6% to RM119.98 million from RM108.51 million on positive rental reversions and higher occupancy. It announced a distribution of 1.22 sen per unit. Looking ahead, CLMT said it will continue to seek acquisition opportunities in industrial and logistic assets across Penang, Johor and the Klang Valley this year. — CapitaLand Malaysia Trust posts record net property income of RM264 mil in FY2024
Sentral REIT (KL:SENTRAL) posted a flat 1.25% increase in NPI for 4QFY2024 to RM36.71 million from RM36.26 million. Revenue increased 5.54% to RM47.38 million from RM44.89 million, while property operating expenses rose 10.52% to RM11.5 million versus RM10.4 million a year earlier. Sentral REIT declared a final distribution per unit (DPU) of 3.15 sen, payable on Feb 28. Despite the flat 4QFY2024 earnings, NPI for the full year ended Dec 31, 2024 (FY2024) was still up 20.4% to RM150.37 million from RM124.87 million previously, as revenue rose 18.6% to RM191.15 million versus RM161.15 million. — Sentral REIT's net property income flat in 4Q, up 20.4% for full year
AME Real Estate Investment Trust (KL:AMEREIT) reported a 1.4% increase in NPI for the third quarter ended Dec 31, 2024 (3QFY2025) to RM11.71 million from RM11.55 million, thanks to contributions from a newly-acquired property and tenancy renewals at higher rates. Revenue increased by 3% to RM12.73 million, from RM12.36 million, mainly attributed to the inclusion of industrial property i-Park@Indahpura in its portfolio. The trust declared an interim income distribution of 1.89 sen per unit, payable on Feb 28. — AME REIT sees slight increase in 3Q net property income, to pay 1.89 sen per unit
Jentayu Sustainables Bhd (KL:JSB) said the Securities Commission Malaysia (SC) has denied the group’s bid for an extension of time up to March 26, 2025, to complete its acquisition of three RE firms proposed in 2021. Jentayu said its board will be convening a special board meeting to decide on its next course of action. The companies, Telekosang Hydro One Sdn Bhd and Telekosang Hydro Two Sdn Bhd own and operate the 40MW Telekosang Hydro power plant project in Sabah, while Jentayu Solar Sdn Bhd owns and operates a 5.99MW solar power plant in Pokok Sena, Kedah. The acquisitions are deemed related-party transactions as the companies are owned by Jentayu executive chairman Datuk Beroz Nikmal Mirdin and his wife, Datin Nurhaida Abu Sahid. — SC denies Jentayu’s extension bid to complete acquisitions of RE firms
Power Root Bhd (KL:PWROOT) has been slapped with a lawsuit from Export-Import Bank of Malaysia Bhd (EXIM Bank) for RM7.39 million over insurance claim payout dispute. EXIM Bank is demanding repayment of RM675,509.22 for funds disbursed to its subsidiaries, namely Power Root (M) Sdn Bhd, Power Root Manufacturing Sdn Bhd and Power Root ME Free Zone Company. The bank is also claiming RM6.72 million linked to a separate insurance policy agreement involving the same subsidiaries. Both loan agreements were executed in 2012. Power Root, however, denies all claims and allegations in their entirety. — Power Root sued by EXIM Bank over insurance claim payout