IMU sold for RM 1.24 billion, Glove industry downsizing, Petronas Malaysia doubling its Capex plan

Here's what we have for the week

Significant Event

• The letter of awards to two main contractors in relation to the six vessels for the Royal Malaysian Navy (LCS Programme) have been voided.
• Scientex Bhd is acquiring 80.2% equity interest in for RM63.8 million cash.
• Yinson Holdings is partnering with Aeon Co (M) Bhd (Aeon Malaysia) to develop Malaysia's largest retail electric vehicle( EV) charging network.
• Keppel Group will be developing Singapore’s first hydrogen-ready power plant on Jurong Island, with construction to be undertaken by a consortium comprising Mitsubishi Power Asia Pacific and Jurong Engineering. The 600MW Keppel Sakra Cogen Plant will cost SGD 750 million.
• ST Engineering has been awarded a SGD 1.4 billion contract by the Kaohsiung City Mass Rapid Transit Bureau to provide turnkey rail services

Real Estate Industry 

• UMW Group is selling 140 acres of land located in Serendah Industrial Park.
• Sime Darby Property is acquiring 948 acres of land located in Kapar, Selangor from Sime Darby Plantation
• Sime Darby Property Bhd, Mitsui & Co Ltd and Mitsubishi Estate Co Ltd are developing a multi-tenanted ready-built warehouse at the Bandar Bukit Raja Industrial Gateway, Klang.

Infrastructure/Logistics

• Malaysia government is studying the construction of an aggregate port in the Sanglang area in the Kubang Pasu district to handle petroleum cargo and bulk cargo.
• Malaysia government has allocated RM1.3 billion under the 12th Malaysia Plan (12MP) for seven flood mitigation programmes in Kedah. (The Edge)
• Yan, Kedah will receive an investment worth RM14.4 billion developed by MMC Group, in collaboration with SKS Corp Sdn Bhd. The project involves three segments, namely the ship-to-ship hub, the construction of a combined cycle gas turbine power plant and the construction of a liquefied natural gas (LNG) regasification terminal.

Cash Call/ Debt restructuring/Restructuring/Proposed Listing

• Al-'Aqar Healthcare REIT, the REITs that owns the hospital operated by Johor Specialist, is planning to raise RM138 million via a private placement of up to 118.97 million new units or 16.16% of its total issued units, mainly for repayment of bank financing.
• Axington Inc is proposing an acquisition of Achieva Technology Sdn. Bhd. from Serial System Ltd for SGD 27 million which would result in a reverse takeover.

Privatization

• status.

Company Expansion Plan/ Capex Plan

• PPB Group is setting aside a total of RM875 million for capital and other commitments for the next five years. RM412 million will be for investments in China flour mills as well as for silo and maize facility in Pulau Indah in Selangor. RM379 million will be administered to its film exhibition and distribution segment for new cinemas in Malaysia as well as for upgrading existing cinemas.
• Tiong Nam Logistics is allocating RM217.9 million in capital expenditure (capex) for the financial years ended March 31, 2023 (FY23) and FY24. Of the total capex, 70 per cent would be allocated to the ongoing construction of a 1.1 million sq ft warehouse in Senai, the company's largest warehouse facility to date. Upon its expected completion in FY23, the company would lease the facility to Mercedes Benz Parts Logistics Asia Pacific Sdn Bhd for its new regional after-sales logistics centre. The remaining 30 per cent of the capex will be allocated to two warehouses in Kempas, Johor and Kulim, Kedah, with a combined space of 0.3 million sq ft.

Users can filter the companies' activities via industry or nature of activities via using our tool for Malaysia companies and Singapore companies via the link.

Users can get access to all the major transactions of offices, lands, and factories in Malaysia via this tool.

Daily Insights

• Yen at Critical Level. (Read Full Story)
• The prices of natural prices affect the supply of soybean and corn. (Read Full Story)
• Indonesia Banning Nickel Export. (Read Full Story)

News we are reading

• Malaysia launching new visa scheme for wealthy foreigner. (The Star)

Source:iSquare​