Berjaya Corp: Suffers biggest annual loss since 2006. Berjaya Corp (BCorp), the flagship company of Tan Sri Vincent Tan Chee Yioun, suffered its biggest annual loss in 12 years after a dismal fourth quarter ended 30 April. It expects another challenging year ahead, the company said in a filing with Bursa Malaysia. BCorp blamed the RM95.2m loss made in the last quarter to a significant drop in contribution from its retail distribution, property development, hotel and gaming operations. For full year FY18, the group posted a loss of RM377m, or 6.5 sen a share. This is the group’s worst performance since FY06. (Source: The Star)

FGV: Felda rep fails re-election to board of directors. A resolution proposing the re-election of Federal Land Development Authority (Felda) representative Datuk Seri Abu Bakar Harum to the board of directors of Felda Global Ventures Holdings (FGV) had to be withdrawn yesterday after it could not get a seconder for the motion, amid the “winds of change”. The lack of a seconder was a first for FGV chairman Datuk Wira Azhar Abdul Hamid, who described it as “a very unique situation”. (Source: The Edge Financial Daily)

Icon Offshore: Bags OSV jobs worth RM275m. Icon Offshore has bagged contracts valued at RM275m from oil and gas (O&G) companies to provide offshore support vessels (OSV) to support their production operations in Malaysian waters. In a statement, Icon Offshore said the contracts were clinched via its wholly-owned subsidiary Icon Offshore Group (IOGSB). The long-term contracts are for a period of 3+1+1 years, it added. The options will only be exercised at the end of the firm period, upon approvals obtained from Petronas Carigali and the O&G companies. (Source: The Edge Financial Daily)

KUB Malaysia: Aims to sell A&W by year-end. KUB Malaysia is targeting to sell its fast food chain A and W (M) by year-end. President/Group MD Datuk Abdul Rahim Mohd Zin said several potential buyers had expressed interest in the matter. “However, we are still looking for the buyer who can offer us the right valuation and terms of payment,” he told a press conference after the company’s annual general meeting here. Abdul Rahim said typically, the valuation would be about 10 times the company’s cash flow valuation. (Source: The Star)

Nestle: Palm oil sustainability group suspends Nestle membership on failure to submit report. Nestle's membership of industry watchdog the Roundtable on Sustainable Palm Oil (RSPO) has been suspended after the Swiss food group failed to submit a report detailing how it would ensure the use of certified sustainable palm oil, the RSPO said. The suspension is effective from the announcement and extends to all Nestle subsidiaries, according to an RSPO statement dated Wednesday. RSPO members are required each year to specify their action taken over the previous 12 months and plans for the coming year and longer term on how they will produce or buy certified sustainable palm oil in a report, the RSPO said. (Source: The Star)

Perak Corp: Perak MB directs PKNP to reject proposed directors fees. Menteri Besar Ahmad Faizal Azumu has reiterated his directive for the Perak State Development Corporation (PKNP) to reject Perak Corp 's (PCB) proposal on directors' fees and remunerations. He said the proposal was approved during PCB's annual general meeting (AGM). “As Chairman of PKNP, which is a majority shareholder in the PCB group, I am directing PKNP to reject the proposal,” he said in a statement. During the AGM, PCB approved the proposal on directors' fees and remunerations of RM441,650 and RM150,000 respectively, for the financial year ended 31 Dec 17 (FY17). “The PCB group recorded a loss of RM340.6m for FY17, and its liabilities amounted to RM158.5m, which is more than its assets. As such, it is unfair for PCB directors to be paid such a large amount,” said Ahmad Faizal. (Source: The Star)

Radiant Globaltech: To raise RM29.5m from IPO. Retail technology solutions provider Radiant Globaltech, which is seeking to list on the Ace Market, plans to raise RM29.5m from the sale of 128.1m new shares at 23 sen each. Of the 128.1m new shares, it will offer 11.0m shares to the public, 21.1m shares to eligible directors and employees while the bulk of it, or 96.0m shares, will be placed out to selected investors. As part of the IPO, the current shareholders will place out 12.0m existing shares to selected investors. Of the total IPO proceeds of RM29.5m to be raised, Radiant Globaltech will utilise RM11.6m for business and capital expansion, RM3.0m to expand its retail software business and RM4.8m for working capital. It will use RM6.6m to repay bank borrowings and the remaining RM3.5m to defray the listing expenses. (Source: The Star)

TA Global: Delays property launches amid soft real estate market. TA Global is delaying the launch of three residential and mixed-development property projects worth RM5.5b to next year, mainly due to the soft property market. The projects pushed to next year are the Dutamas residential project worth RM450m, the TA 3&4 project (worth RM2.6b) in Kuala Lumpur city centre, and the Annexe mixed-development project (worth RM2.5b) in Bandar Sri Damansara. These projects were initially set to be launched this year. “The delay in the projects for this year is mainly due to the oversupply of properties in the market,” CEO Tiah Joo Kim told reporters after TA Enterprise’s and TA Global’s AGMs. (Source: The Star)

Tenaga: In talks with Turkey's Gama about selling energy stake. Turkish conglomerate Gama Holding (Gama) is in talks with Malaysia's Tenaga Nasional and other potential buyers about the sale of its 50.5% stake in its Gama Enerji energy unit, three sources said, as part of a US$1b debt restructuring. Gama, which has businesses spanning oil, cement, petrochemicals and natural gas, is the latest Turkish company to attempt to restructure foreign-currency debt amid a sell-off in the lira. It is in talks with nearly 20 banks on restructuring some US$1b worth of debt, the sources said. Russia's second-largest bank, VTB, is one of the creditors involved in the restructuring process and is conducting the stake sale talks, they said. (Source: The Star)

Source: UOB Kay Hian Research - 29 Jun 2018