Perdana Petroleum solicits bids for Petra Energy stake

KUALA LUMPUR (April 26): Perdana Petroleum Bhd, formerly known as PETRA PERDANA BHD [], is soliciting bids for its entire 26.9% stake in PETRA ENERGY BHD [].

In a statement to the exchange on Thursday, the oil-and-gas support services firm said it has appointed CIMB Investment Bank Bhd to undertake a restricted tender for its 57.7 million Petra Energy shares.

"Perdana Petroleum will make the necessary announcements in accordance with the main market listing requirements of Bursa Malaysia Securities Bhd, once the terms for the divestment of the said Petra Energy shares has been agreed and a definitive agreement has been executed," it said.



Get your T+10 interest FREE margin trading account NOW. Attractive brokerage for online trading. Contact Mr Ho at +603-5192 0808 or hoxian@sjsec.com.my for more details.

MPI posts net loss RM7.43 million in 3Q

KUALA LUMPUR (APRIL 26): MALAYSIAN PACIFIC INDUSTRIES [] Bhd (MPI) posted a net loss of RM7.43 million for the third quarter ended March 31, 2012 compared to net profit RM5.05 million a year earlier, due mainly to drop in revenue.

The company said on Thursday that its revenue for the quarter fell 17.63% to RM275.76 million from RM334.82 million in 2011, attributing the drop to overall weak demand.

Loss per share was 3.83 sen compared to earnings per share of 2.61 sen a year earlier.

The company declared a second interim dividend of five sen per share tax exempt

For the nine months ended March, MPI posted nest loss RM33.26 million compared to net profit RM56.18 million in 2011, while revenue fell to RM870.60 million from RM1.07 billion.

Reviewing its performance, MPI said revenue by segments saw the European sector fell the most by 31% followed by Asia, down 13% and the US by 9%.

On its outlook, MPI said the business prospects would remain challenging across all segments for the financial year ending June 31, 2012.

“However, despite the uncertain macor-economic outlook, there are positive signs that demand is inceasing and that the industry is starting to recover,” it said.



Get your T+10 interest FREE margin trading account NOW. Attractive brokerage for online trading. Contact Mr Ho at +603-5192 0808 or hoxian@sjsec.com.my for more details.

KLCI claws back to close higher

KUALA LUMPUR (APRIL 26): The FBM KLCI clawed back to reverse its losses and close higher on Thursday in line with the advance at most key regional markets, on the back of the firmer overnight close at Wall Street and encouraging statements on policy from the US Federal Reserve.

The FBM KLCI rose 0.34 of a point to 1,579.69 at 5pm, clawing back from its intra-day low of 1,577.71.

Market breadth remained weak with 453 losers, 253 gainers and 321 counters trading unchanged. Volume was 1.45 billion shares valued at RM1.46 billion.

Asian shares rose on Thursday, retaining positive momentum as the Federal Reserve reassured markets it would keep its very accommodative stance to support growth, while optimism grew over strong quarterly corporate earnings.

Investor confidence was also boosted by a rally in Apple Inc shares as it reported quarterly profits nearly doubling on the back of soaring iPhone sales in China, lifting tech-heavy Asian markets such as Taiwan and South Korea earlier in the day.

There was scepticism Asian markets would climb as much as their global counterparts did overnight, however, as concerns remain over European banks, with Spain's Santander reporting its first-quarter results later in the session, it said.

At the regional markets, the Hong Kong’s hang Seng Index gained 0.79% to 20,809.71, Japan’s Nikkei 225 edged up 0.01% to 9,561.83, south Korea’s Kospi rose 0.10% to 1,964.04 and Singapore’s Straits Times Index

Meanwhile, Taiwan’s taiex fell 0.55% to 7,521.35 and the Shanghai Composite Index shed 0.09% to 2,40470.

On Bursa Malaysia, United PLANTATION []s led the gainers and was up 44 sen to RM25.94, Panasonic added 40 sen to RM23, BAT up 38 sen to RM55.50, Dutch Lady added 20 sen to RM33.90. Milux 15 sen to RM1.35, KrisAssets and Tradewinds Plantations up 14 sen each to RM6.90 and RM5.70, while Takaful and KPJ Healthcare rose 13 sen each to RM3.80 and RM5.56.

Utopia was the most actively traded counter with 194.51 million shares done. The stock fell half a sen to 9 sen.

Other actives included Ariantec, Metronic, Focus, Naim Indah Corp, SCL, Astral Supreme and ManagePay.

Decliners included Country View, Jaya Tiasa, HLFG, SapuraCrest, Petronas Dagangan, Genting, Kencana, SEGi and Sunway.



Get your T+10 interest FREE margin trading account NOW. Attractive brokerage for online trading. Contact Mr Ho at +603-5192 0808 or hoxian@sjsec.com.my for more details.

Globetronics up 12% at 20-month high

KUALA LUMPUR (April 26) : GLOBETRONICS TECHNOLOGY [] BHD [] rose as much as 12% to a 20- month high, possibly, due to investors chasing the stock to capitalise on the electronics component manufacturer’s proposed final dividends.

Shares of Globetronics added 14 sen to RM1.34, its highest since August 2010, before trading lower at RM1.32 at 4.52pm with some 6.2 million shares done. The stock was among the top gainers across the exchange.

The company plans to pay a single-tier final dividend of 4% which translates into two sen a share for financial year ended December 31, 2011. The ex and entitlement dates fall on June 27, and 29 respectively.

The company’s directors had acquired the stock in recent days. Filings to the exchange show that Ng Kweng Chong and Ng Kok Khuan had bought a collective 240,000 shares in Globetronics on Monday and Tuesday from the open market. The purchase, accounting for less than 1% of the firm’s issued base, was done via their private entity Glencare Sdn Bhd.

Globetronics said on Tuesday first quarter net profit fell 4% from a year earlier as it registered lower revenue and higher operating cost. It said net profit came to RM6.2 million in the quarter to March 31, 2012 against RM6.43 million previously. Revenue fell 15% to RM56.79 million from RM67.09 million.



Get your T+10 interest FREE margin trading account NOW. Attractive brokerage for online trading. Contact Mr Ho at +603-5192 0808 or hoxian@sjsec.com.my for more details.

Karambunai active, down on lawsuit report

KUALA LUMPUR (April 26): Shares of KARAMBUNAI CORP BHD [] were actively traded in the afternoon session on Thursday following a report that a group of people were preparing to take legal action the company, claiming it is nearly one year in arrears on "lease back" rental payments due to them.

At 4.37pm, Karambunai was down half a sen to 16.5 sen with 6.08 million shares done.

The South China Morning Post (SCMP) reported on Wednesday that the action was being proposed by about 100 owners of villas in the Nexus Residence development in Kota Kinabalu.

The group of owners, 49 of whom are from Hong Kong, plan to file their complaint against Karambunai Corp Bhd with the Malaysian Board of Arbitration, it said.

SCMP said that Matt Burden, one of the owners seeking back-payment, bought a 1,500 sq ft villa in the development off plan in 2007 for HK$4 million (RM1.58 million). The deal included a "lease back" component guaranteeing buyers an annual return of 7% of their purchase price for five years.

The daily said Karambunai came to Hong Kong in 2006 to market the first phase of the beachfront luxury residential project at the Mandarin Oriental Hotel.

The project was eventually completed in 2009 and all 243 villas have been sold, it said.

The buyers who opted for the "lease back" arrangement agreed to allow the project's management firm, Nexus Bay Resort Karambunai (NBRK), to rent out their villas to tourists, mostly from Europe, Burden said, according to SCMP.

Under the agreement, owners were also entitled to occupy their PROPERTIES [] for 20 days per year at no charge, it said.



Get your T+10 interest FREE margin trading account NOW. Attractive brokerage for online trading. Contact Mr Ho at +603-5192 0808 or hoxian@sjsec.com.my for more details.

Carlsberg to raise beer prices from May 1

SUBANG JAYA (April): CARLSBERG BREWERY MALAYSIA BHD [] will introduce a 3% general increase in price effective May 1, 2012.

“The adjustment is not a dramatic one and is in line with inflation levels,” said its managing director, Soren Ravn after the group’s AGM on Thursday.

Ravn said the recent introduction of premium labels Asahi and Kronenbourg currently hold 16% to 17% market share in the premium segment while good growth is expected to continue.

Carlsberg’s premium brands currently contribute just under 10% to the group’s total revenue of RM1.5 billion for FY11. A 100% profit distribution has also been declared, at a total gross dividend of 72.5sen, he said.



Get your T+10 interest FREE margin trading account NOW. Attractive brokerage for online trading. Contact Mr Ho at +603-5192 0808 or hoxian@sjsec.com.my for more details.

MAHB 1Q profit up 7% year-on-year

KUALA LUMPUR (April 26) : Malaysia Airports Holdings Bhd’s (MAHB) first quarter net profit rose 7% from a year earlier as revenue growth mitigated the impact of higher operating expenses.

In a statement to the exchange on Thursday, MAHB said net profit came to RM102.73 million in the quarter ended March 31, 2012 against RM96.09 million previously. Revenue grew 6% to RM657.71 million from RM617.77 million.

Revenue growth was, mainly, helped by airport operations income which includes revenue from airport CONSTRUCTION [], aviation-service charges, and retail operations, according to MAHB. The company said passenger movements across its facilities during the quarter rose 6.5% from a year earlier.

“The group’s overall passenger traffic growth of 6.5% achieved in the first quarter 2012 was in tandem with the positive growth trend of the Asia Pacific region and globally.

“There is some concern on route cuts announced by our domestic airlines but the gap seemed to have been continuously replaced by foreign carriers,” MAHB said. Based on historical trends and the performance in the first quarter, the firm said it expects to achieve its targeted passenger- traffic growth of 6% to 7% for 2012.



Get your T+10 interest FREE margin trading account NOW. Attractive brokerage for online trading. Contact Mr Ho at +603-5192 0808 or hoxian@sjsec.com.my for more details.

Nestle to maintain prices for key products over next few months, says MD

KUALA LUMPUR (April 26): NESTLE (M) BHD [] will not increase prices for its key products, Milo and Maggi, in the next few months, said its managing director Peter R. Vogt.

Close to the second half of last year, the company increased the price of its Milo products by about 4%-6%.

Speaking after the company's AGM on Thursday, Vogt said that raw material prices such as cocoa beans and cocoa powder are relatively high at the moment and will probably stay high.

He said Nestle is taking cost control measures to offset the impact from the high commodity prices



Get your T+10 interest FREE margin trading account NOW. Attractive brokerage for online trading. Contact Mr Ho at +603-5192 0808 or hoxian@sjsec.com.my for more details.

DKSH expands collaboration with Germany-based Henkel

KUALA LUMPUR (April 26); DKSH Holdings Bhd is expanding its collaboration with Germany-based Henkel to provide sales, distribution, and logistics services to the latter in the South East Asia market.

Henkel is known for its cosmetics brands such as Schwarzkopf, Fa, Taft, and Igora as well as consumer and industrial businesses with well-known brands such as Persil, Schwarzkopf, and Loctite

In a statement Thursday, DKSH said that for many years, it had provided Henkel with market expansion solutions in Thailand, Hong Kong, and Vietnam.

“Building on the successful collaboration between both companies, DKSH and Henkel initiated discussions and have decided to extend the existing partnership to Malaysia,” it said.

DKSH said it would support Henkel for the launch of Henkel’s wellknown brands of Schwarzkopf Extra Care, Freshlight, Palette, and got2b across all sales channels and territories in Malaysia.

DKSH global head for business unit consumer goods Somboon Prasitjutrakul said the company’s partnership with Henkel was an excellent example of how we leverage our extensive network in Asia to provide our clients with solutions across multiple countries.

“In addition, we are pleased to leverage our comprehensive portfolio of integrated services along the entire value chain to support Henkel to further grow its business in Asia,” said Somboon.

Meanwhile, DKSH executive director for consumer goods Lian Teng Hai said the extension of the partnership to Malaysia would enrich the range of products for DKSH’s customers, and at the same time the consumers will benefit from improved access to these products.

“We are looking to a long and successful cooperation with Henkel in Malaysia as well,” said Lian.



Get your T+10 interest FREE margin trading account NOW. Attractive brokerage for online trading. Contact Mr Ho at +603-5192 0808 or hoxian@sjsec.com.my for more details.

TA Global buys Movenpick hotel assets in Thailand for RM227 million

KUALA LUMPUR (April 26) : TA Global Bhd is acquiring the Movenpick Karon Beach Resort in Thailand from Saudi Arabia-based Kingdom Holding Co for US$90.21 million (RM276.94 million), a move which will see the acquirer making an initial venture in Thailand’s hotel industry.

In a statement to Bursa Malaysia on Thursday, TA Global, a property developer and investor, said it will purchase the entire stake in two wholly-owned units of Kingdom Holding, namely, Kingdom 5-KR-194 Ltd and Kingdom 5-KR-195 Ltd, under which, the hospitality assets are parked under.

“The proposed acquisition will further enhance TA Global’s hospitality operations in major cities around the world and expand its existing portfolio of hospitality PROPERTIES [] into Thailand.

“In addition to that, TA Global believes that the proposed acquisition will provide steady revenue stream and enhance the revenue contribution from its hospitality division to the group,” said the acquirer which will finance the exercise with internal funds and borrowings.



Get your T+10 interest FREE margin trading account NOW. Attractive brokerage for online trading. Contact Mr Ho at +603-5192 0808 or hoxian@sjsec.com.my for more details.

Ekuinas posted RM165.7m in portfolio gains in 2011

KUALA LUMPUR (April 26): National private equity firm, Ekuiti Nasional Bhd (Ekuinas) posted RM165.7 million in total portfolio gains with an annualised net internal rate of return (IRR) of 20.6%, surpassing its minimum target of 12% and aspirational target of 20%, in its second year of operations.

"We are pleased to report that RM96.6 million or 58.3% of the total portfolio gain was derived from realised dividend income received from the portfolio companies. Furthermore, our portfolio companies now collectively generated more than RM1.0 billion revenue and RM231.9 million in earnings before interest, tax, depreciation and ammortisation (ebitda)," said CEO Datuk Abdul Rahman Ahmad when announcing its 2011 results on Thursday.

Rahman added that subject to the availability of funds, Ekuinas has been allocated some RM600 million with which to invest this year.

For 2012, it had already announced a RM250 million investment in Tanjung Kapal Sdn Bhd, an offshore vessel service provider, to facilitate the de-merger exercise of TANJUNG OFFSHORE BHD [], a listed oil and gas company which it holds a 24% stake.

Its Malaysia Growth Opportunities Fund 1, managed by Navis Capital Partners under Ekuinas' Outsource Programme, had also recently undertaken two minority co-investments in MCAT Box Office Sdn Bhd (MBO) and SEG INTERNATIONAL BHD [] for RM15 million and RM57.5 million respectively.

To date, since its establishment in 2009, Ekuinas has 12 investments under its portfolio with a total committed investment of nearly RM1.2 billion.



Get your T+10 interest FREE margin trading account NOW. Attractive brokerage for online trading. Contact Mr Ho at +603-5192 0808 or hoxian@sjsec.com.my for more details.

Local uncertainties keep investors at bay

KUALA LUMPUR (APRIL 26): The FBM KLCI was unable to sustain its earlier gains and slipped at the mid-day break on Thursday as while most regional markets improved on US data and policy, local investors remained edgy ahead of this weekend’s planned Bersih 3.0 protests.

The FBM KLCI shed 0.69 of a point to 1,578.66 at 12.30pm, weighed by losses including at BAT, PPB, Petronas Dagangan and Hong Leong Bank.

Losers led gainers by 375 to 198, while 312 counters traded unchanged. Volume was 839.42 million shares valued at RM563.21 million.

Te ringgit strengthened 0.13% to 3.0560 versus the greenback, crude palm oil futures for the third month delivery fell RM32 per tonne to RM3,479, crude oil slipped six cents per barrel to US$104.06 while gold rose US$3.48 an ounce to US$1,647.10.

Meanwhile, Asian shares mostly rose on Thursday, retaining positive momentum as the Federal Reserve reassured markets that it will keep its very accommodative stance to support growth, while optimism grew over strong quarterly corporate earnings, according to Reuters.

Along with the Fed's assurance that its very easy monetary policy will be kept in place as long as needed, U.S. stocks rallied on Wednesday after Apple Inc reported quarterly profits nearly doubled, it said.

At the regional markets, Hong kong’s Hang Seng Index gained 0.51% to 20,752.20 and South Korea’s Kospi was up 0.19% to 1,965.61.

However, Japan’s Nikkei 225 shed 0.06% to 9,554.94, the Shanghai Composite Index lost 0.21% to 2,401.83, Taiwan’s Taiex fell 0.50% to 7,525.33 and Singapore’s Straits Times Index was down 0.17% to 2,974.74.

On Bursa Malaysia, BAT fell 82 sen to RM54.30, PPB down 14 sen to RM16.66, Petronas Dagangan and HLFG down 12 sen each to RM19.08 and RM12.08, Jaya Tiasa and Petronas Gas fell 10 sen each to RM9.48 and RM16.48, Warisan nine sen to RM2.25, while Hong Leong bank and SEGi fell eight sen each to RM12.22 and RM1.73.

Utopia was the most actively traded counter in the morning session with 134.96 million shares done. The stock was unchanged at 9.5 sen.

Other actives included Ariantec, Focus, Metronic, CSL, RGB, Naim Indah Corp and Winsun.

Gainers included Aeon, Panasonic, Aeon Credit, KrisAssets, Takaful, Tradewinds, Globetronics and Dutch Lady.



Get your T+10 interest FREE margin trading account NOW. Attractive brokerage for online trading. Contact Mr Ho at +603-5192 0808 or hoxian@sjsec.com.my for more details.

Country View up 6% on higher profits

KUALA LUMPUR (April 26) : COUNTRY VIEW BHD [] rose as much as 6% following updates that the property developer’s first quarter net profit rose almost eight-fold from a year earlier on higher property sales.

The stock climbed five sen to 95 sen from its last closing price of 90 sen last Friday.

In a statement to the exchange on Wednesday, Country View said net profit came to RM5.95 million in the quarter to February 29, 2012 versus RM761,000 previously as revenue almost tripled to RM37.87 million from RM14.2 million.



Get your T+10 interest FREE margin trading account NOW. Attractive brokerage for online trading. Contact Mr Ho at +603-5192 0808 or hoxian@sjsec.com.my for more details.

SEG down 5% on takeover offer

KUALA LUMPUR (April 26) : SEG INTERNATIONAL BHD [] fell as much as 5% on updates that its major shareholders made a takeover offer for the remaining shares in the higher-education provider.

Shares of SEG declined nine sen to RM1.72 before trading higher at RM1.74 at 11.45am with some 900,000 shares done.

Private equity firm Navis Capital has made a takeover offer for the remaining shares it does not own in SEG. This follows a shareholders’ agreement between Navis and SEG managing director Datuk Seri Clement Hii Chii Kok, who is also the single-largest shareholder in the education entity.

This has, in turn, triggered a mandatory general offer obligation for the remaining stake in SEG. Navis which already owns 27.84% in SEG is offering RM 1.714 for each share and RM1.214 for each warrant in the higher education firm.



Get your T+10 interest FREE margin trading account NOW. Attractive brokerage for online trading. Contact Mr Ho at +603-5192 0808 or hoxian@sjsec.com.my for more details.

KLCI gains on US policy, corporate updates

KUALA LUMPUR (April 26) : Malaysian shares erased gains, albeit, still in positive territory in tandem with gains across Asian bourses on Thursday morning. This follows a stronger overnight close across US equities.

Global markets found support from US lawmakers’ commitment to maintain accommodative policies to sustain growth, besides improving corporate earnings from the world’s largest economy.

At 10am, the FBM KLCI added 1.31 points to 1,580.66. Across the exchange, some 343 million shares worth RM160 million were traded, leading to 167 gainers versus 182 decliners.

Top gainers Panasonic Manufacturing Malaysia Bhd was up 40 sen to RM23 while DUTCH LADY MILK INDUSTRIES BHD [] gained 24 sen to RM33.94.

Among decliners, KUALA LUMPUR KEPONG BHD [] fell 14 sen to RM23.68 while SEG INTERNATIONAL BHD [] was down eight sen to RM1.73.

Among actively-traded stocks, Ariantec Global Bhd fell 1.5 sen to RM24.5 sen with some 21 million shares done.



Get your T+10 interest FREE margin trading account NOW. Attractive brokerage for online trading. Contact Mr Ho at +603-5192 0808 or hoxian@sjsec.com.my for more details.

CIMB Research maintains Neutral on rubber glove sector

KUALA LUMPUR (April 126): CIMB Research has maintained its Neutral rating on the rubber glove sector and said the expected implementation of a minimum wage policy by end-Apr would reduce its core EPS forecasts by 2.0-8.9% assuming a floor monthly wage of RM1,000.

In a note Thursday, CIMB Research said this was an opportunity for efficient glovemakers to gain share when smaller competitors fail.

“Our earnings estimates and target prices are unchanged as details are unknown. Key variables include the i) wage level, ii) treatment of foreign workers, iii) classification of ex-gratia payments and iv) timeline.

“We remain Neutral on the sector, with Hartalega being our top pick and Top Glove our top sell,” it said.



Get your T+10 interest FREE margin trading account NOW. Attractive brokerage for online trading. Contact Mr Ho at +603-5192 0808 or hoxian@sjsec.com.my for more details.

Privasia edges up on Malacca fibre optic contract

KUALA LUMPUR (April 25): Privasia TECHNOLOGY [] Bhd shares edged up on Thursday after its subsidiary Privanet Sdn Bhd (Privanet) secured a contract worth RM12.8 million from the Malacca state government to install and maintain fibre optic network in that state.

At 9.15am, Privasia added one sen to 10.5 sen with 370,000 shares traded.

In a statement Wednesday, the company said Privanet had received a letter of tender acceptance from the Malacca state government to install a complete fibre optic network in the state by the third quarter of 2012.

Privasia said the project was awarded by Melaka ICT Holdings Sdn Bhd (MICTH), a state-owned enterprise that provides ICT services, solutions and products to assist the state government in empowering Malacca as a key centre of excellence in the ICT sector.

The project is expected to be completed by September 2012, it said.



Get your T+10 interest FREE margin trading account NOW. Attractive brokerage for online trading. Contact Mr Ho at +603-5192 0808 or hoxian@sjsec.com.my for more details.

DiGi advances on interim dividend, capital distribution plans

KUALA LUMPUR (April 26): Shares of DIGI.COM BHD [] advanced on Thursday after the company declared its first interim dividend for the year as well as a capital distribution exercise.

At 9.07m, DiGi rose three sen to RM3.99 with 116,400 shares traded.

In a statement Wednesday, DiGi said revenue first quarter ended March 3, 2012 grew 9.7% to 1.57 billion from RM1.43 billion in 2011, due mainly to data revenue which accounted for close to 31% of total revenue.

Earnings per share was 4.12 sen compared to 4.26 sen a year earlier.

DiGi will pay a first interim tax exempt dividend of 5.9 sen per ordinary share for the financial year ended Dec 31, 2012 on June 8 June this year.

In a separate announcement, DiGi said its wholly owned unit DiGi Telecommunications Sdn Bhd (DiGiTel) will undertake a capital distribution of about RM495 million to DiGi on the basis of cash repayment of 99 sen for every one existing share of RM1 each in DiGiTel.

“Upon receipt of the cash proceeds from DiGiTel, DiGi expects to distribute approximately RM495 million (less expenses) representing 64 sen per share to its shareholders,” it said.

MIDF Research has maintained its Buy rating on Digi with a target price of RM4.35 and said the company’s 1Q12 earnings were within expectations.

“Digi’s 1Q12 earnings came in within ours and consensus’ expectations at 24.1% and 24.0% of respective full year estimates,” it said in a note Thursday.

The research house said DiGi’s data revenue would continue to be robust in FY12, adding that the data demand would continue apace and Digi will be a main beneficiary.

It said DiGi expects data revenue will continue to be robust especially as it aims to acquire higher small and medium screen subscribers, which gives better margin.

“It maintains its guidance of a mid to single high digit revenue growth for FY12, and about 46% EBITDA margins,” it said.

“We maintain our FY12 and FY13 earnings estimate for Digi given its performance was within our expectation. We continue to like Digi for its continuing commitment to reward its shareholders. We opine that the growth in data will continue to be robust especially with the adoption of LTE.

“We maintain our BUY recommendation as the expected total return is only marginally below our 15% threshold. Our TP is based on the Discounted Dividend Model, with an estimated long-term dividend payout ratio of 100% and a WACC of 9.04%,” it said.



Get your T+10 interest FREE margin trading account NOW. Attractive brokerage for online trading. Contact Mr Ho at +603-5192 0808 or hoxian@sjsec.com.my for more details.

KLCI snaps losing streak in early trade

KUALA LUMPUR (April 26): The FBM KLCI snapped its losing streak in early trade on Thursday and advanced in line with the overnight gains at Wall Street and that of its regional peers.

At 9.01am, the FBM KLCI rose 2.55 points to 1,581.90, lifted by gains including at Gamuda, RHB Capital and Tenaga.

Gainers led losers by 68 to 30, while 72 counters traded unchanged. Volume was 31.2 million shares valued at RM14.16 million.

Asian shares gained on Thursday, retaining positive momentum as the Federal Reserve reassured markets that it will keep its very accommodative stance to support growth, and optimism grew over strong corporate earnings after Apple Inc's robust results, according to Reuters.

Fed Chairman Ben Bernanke on Wednesday said US monetary policy was "more or less in the right place" even though the central bank would not hesitate to launch another round of bond purchases if the economy were to weaken, it said.

Among the gainers on Bursa Malaysia in early trade were Berjaya Corp warrants, Top Glove, Tradewinds, Gamuda, RHB Capital, Tenaga, Maxis and DiGi.



Get your T+10 interest FREE margin trading account NOW. Attractive brokerage for online trading. Contact Mr Ho at +603-5192 0808 or hoxian@sjsec.com.my for more details.

Maybank IB Research maintains Buy on Sunway REIT, target price RM1.40

KUALA LUMPUR (April 26): Maybank Investment Bank Bhd Research has maintained Buy on Sunway REIT with a target price of RM1.40 and said Sunway REIT’s 9MFY6/12 core net profit of MYR142.5 million accounted for 75-77% of its own and consensus full-year estimates.

Sunway REIT declared 1.9 sen dividend per unit (DPU) for 3Q (YTD: 5.6 sen) was also in line.

“No change in our earnings forecasts and MYR1.40 TP. Potential surprises could come from new asset injections (e.g. colleges) which gear towards providing a stable income stream,” the research house said on Thursday.



Get your T+10 interest FREE margin trading account NOW. Attractive brokerage for online trading. Contact Mr Ho at +603-5192 0808 or hoxian@sjsec.com.my for more details.

MIDF Research maintains Buy on DiGi, target price RM4.35

MIDF Research has maintained its Buy rating on Digi with a target price of RM4.35 and said the company’s 1Q12 earnings were within expectations.

“Digi’s 1Q12 earnings came in within ours and consensus’ expectations at 24.1% and 24.0% of respective full year estimates,” it said in a note Thursday.

The research house said DiGi’s data revenue would continue to be robust in FY12, adding that the data demand would continue apace and Digi will be a main beneficiary.

It said DiGi expects data revenue will continue to be robust especially as it aims to acquire higher small and medium screen subscribers, which gives better margin.

“It maintains its guidance of a mid to single high digit revenue growth for FY12, and about 46% EBITDA margins,” it said.

“We maintain our FY12 and FY13 earnings estimate for Digi given its performance was within our expectation. We continue to like Digi for its continuing commitment to reward its shareholders. We opine that the growth in data will continue to be robust especially with the adoption of LTE.

“We maintain our BUY recommendation as the expected total return is only marginally below our 15% threshold. Our TP is based on the Discounted Dividend Model, with an estimated long-term dividend payout ratio of 100% and a WACC of 9.04%,” it said.



Get your T+10 interest FREE margin trading account NOW. Attractive brokerage for online trading. Contact Mr Ho at +603-5192 0808 or hoxian@sjsec.com.my for more details.

MIDF Research maintains Neutral on Nestle, target price RM54.55

KUALA LUMPUR (April 26): MIDF Research has maintained its Neutral rating on Nestle (M) Bhd with a target price of RM54.55,and said Nestle’s 1QFY12 net profit was within expectations, accounting for 30.7% and 32.0% of its own and consensus full year estimates respectively.

“We are maintaining our Target Price (TP) for Nestle at RM54.55.

“The TP is derived from Dividend Discount Model, assuming 7.2% WACC and 3.5% growth rate. We continue to like Nestle as a good defensive stock to hold given its reputable household brands and inelastic products demand,” it said in a note Thursday.



Get your T+10 interest FREE margin trading account NOW. Attractive brokerage for online trading. Contact Mr Ho at +603-5192 0808 or hoxian@sjsec.com.my for more details.

Stocks to Watch Dutch Lady, Opensys, TH Plantations, SunREIT, SEGi

KUALA LUMPUR (April 25): Malaysian stocks are expected to exhibit weak technical dynamics on Thursday against global economic volatility and domestic pre-election sentiment.

Analysts said crucial world highlights include the lack of clarity over European countries' ability to manage their sovereign debt woes, and the direction of US monetary policy, the effects of which may dictate the direction of global equities.

The FBM KLCI erased earlier gains to close in negative territory, with a 2.93-point decline to 1,579.35 on Wednesday.

Stocks to watch on Thursday are DUTCH LADY MILK INDUSTRIES BHD [], Opensys (M) Bhd, TH PLANTATION []s Bhd, Sunway Real Estate Investment Trust (SunREIT), and SEG INTERNATIONAL BHD [] (SEGi).

Dutch Lady and Opensys shares will trade ex-dividend on Thursday. Dutch Lady, a manufacturer of dairy products, plans to reward shareholders with a dividend of RM1.30 a share comprising a single-tier interim payout of 50 sen and a special portion of 80 sen for financial year ending Dec 31, 2012.

Opensys, an information TECHNOLOGY [] firm, plans to reward shareholders with a first interim tax-exempt dividend of 5% which is equivalent to 0.5 sen a share for financial year ending Dec 31, 2012.

MIDF Amanah Investment Bank Bhd downgraded TH Plantations shares to a "trading sell" from "neutral", with a lower target price of RM2.12 compared with RM3 previously. This follows a downward revision in MIDF's earnings forecast for TH Plantations by 41% and 33% in financial years ending Dec 31, 2012 and 2013 respectively.

SunREIT said its third quarter (3Q) net profit rose 9% from a year earlier, as the group registered higher turnover from an expanded property portfolio. In a statement to the exchange, SunREIT said net profit came to RM47.55 million against RM43.73 million previously. Revenue was up 19% to RM98.09 million from RM82.35 million.

Private equity firm Navis Capital has made a takeover offer for the remaining shares it does not own in higher education provider SEGi. This follows a shareholders' agreement between Navis and SEG managing director Datuk Seri Clement Hii Chii Kok, who is also the single-largest shareholder in the education entity. This has, in turn, triggered a mandatory general offer obligation for the remaining stake in SEGi. Navis, which already owns 27.84% in SEGi, is offering RM1.714 for each share, and RM1.214 for each warrant in the higher education firm.



Get your T+10 interest FREE margin trading account NOW. Attractive brokerage for online trading. Contact Mr Ho at +603-5192 0808 or hoxian@sjsec.com.my for more details.