Vestland clinches RM93m contract to build apartments in Shah Alam
https://theedgemalaysia.com/node/675121

MST Golf optimistic over expansion plans
https://www.thestar.com.my/business/business-news/2023/07/17/mst-golf-optimistic-over-expansion-plans

Oppstar signs MOU to look into developing integrated circuit products in China
https://theedgemalaysia.com/node/674766

T7 Global's TSeven Elise facility commences production at Bayan field
https://www.thestar.com.my/business/business-news/2023/07/12/t7-global039s-tseven-elise-facility-commences-production-at-bayan-field

Main Market-bound MST Golf’s IPO attracts RM924 mil interest from institutional investors
https://theedgemalaysia.com/node/674403

My EG Services (MYEG MK)

Dust Settling; Immigration Concession Not Losing Relevance

Last Friday, MYEG’s immigration concession was extended by the Ministry of Home
Affairs, officially putting an end to earlier misgivings that the group is losing relevance
within the Malaysian e-government domain. We expect investors’ confidence to be
gradually restored, while risk-reward is highly appealing at this juncture with heavily
discounted valuations, an impressive earnings track record and unchartered potential
of the Zetrix blockchain. Maintain BUY and target price of RM1.18.

UOB KayHian July 10, 2023

MN Holdings unit secures underground utilities contract worth RM11.2 mil
https://theedgemalaysia.com/node/673800

ITMAX secures RM40 mil hospital services job
https://theedgemalaysia.com/node/673389

MN Holdings bags RM13.1mil ECRL contract
https://www.thestar.com.my/business/business-news/2023/06/30/mn-holdings-bags-rm131mil-ecrl-contract

GHL poised to register stronger growth in second half of the year
https://www.thestar.com.my/business/business-news/2023/06/26/ghl-poised-to-register-stronger-growth-in-second-half-of-the-year

Cloudpoint Appointed Reseller For Identity Software By Ant Group Digital
https://www.businesstoday.com.my/2023/06/23/cloudpoint-appointed-reseller-for-identity-software-by-ant-group-digital/

GHL Systems provides Alipay+ payment to over 2,600 local biz in Thailand
https://theedgemalaysia.com/node/671868

Perodua offers new Axia variant at "Rahmah" price
https://www.nst.com.my/business/2023/06/920370/perodua-offers-new-axia-variant-rahmah-price

Betamek partners with China-based company to venture into Asean auto industry
https://theedgemalaysia.com/node/671285

MyEG, UM to include AI technology in collaborative research with China
https://www.thestar.com.my/business/business-news/2023/06/14/myeg-um-to-include-ai-technology-in-collaborative-research-with-china

Shaping a Brighter Future Through Blockchain
https://www.businesstoday.com.my/2023/06/14/shaping-a-brighter-future-through-blockchain/

Blockchain: A Game Changer For Financial Inclusion, Poverty Alleviation
https://www.businesstoday.com.my/2023/05/30/blockchain-a-game-changer-for-financial-inclusion-poverty-alleviation/

TP upgraded from 2.28 to 2.53 by UOB

Oppstar closed the year with a record-high profit of RM21.4m (+29% yoy) which
transcended our/consensus expectations by 5%/6% respectively. We see enormous
growth opportunities that can supercharge a three-year revenue/core net profit CAGR of
36%/37% from FY23, premised on aggressive expansions, cutting-edge R&D and
technology knowhow alongside huge untapped potential augmented by Malaysia’s
geopolitical neutrality. Maintain BUY with a higher target price of RM2.53.

• Aggressive expansions to capture sea of opportunities. Note that out of the gross
proceeds of RM104.3m, Oppstar has earmarked RM50m for the expansion of its workforce
to: a) support its existing and potential customers, and b) continue developing its human
resource capabilities, thereby ensuring its long-term sustainability. Eventually, Oppstar aims
to achieve this by increasing its total workforce by 280, comprising design engineers (locals
or expatriates from India and Indonesia) for IC design and engineers/technicians for postsilicon
validation services, to be based in Penang and Kuala Lumpur. The increase is
expected to happen over 36 months.

• Strong orderbook backlog. It is noteworthy that the group has received enquiries from
existing and potential customers from different regions for both specific design services and
turnkey design services, with the enquires possibly requiring up to 200 design engineers. As
at end-Jan 23, Oppstar’s orderbook stood at RM34.3m, mainly consisting of turnkey design
services to be delivered in the next 12 months.

• Forecasting a three-year revenue/core net profit CAGR of 33%/35%, on the back of
assuming: a) higher revenue per engineer on an hourly basis, b) progressively higher
utilisation rate on increasing available vs billable time, and c) progressively higher headcount
of design engineers towards FY25. Note that the group’s headcount stands at 169 as of
FY22 with utilisation rate of 89.8% in terms of available vs billable time basis. The group has
earmarked RM50m for the expansion of its workforce to: a) support the needs of its existing
and potential customers, and b) continue developing its human resources capabilities,
ensuring its long-term sustainability.

UOB KayHian 30052023

TP 1.18 by UOB

• Zetrix still on track to unveil its tremendous earnings potential... We conservatively
incorporate Zetrix’s profit before tax (PBT) contributions to MYEG at only RM54m for 2023,
which is mainly derived from the token sales (assumptions: 5m Zetrix coins issued in 2023 at
US$5/coin), with modest contributions from gas fees for the various applications on the
Zetrix platform, such as the Blockchain-based Identifiers (BID)/Verifiable Credentials (VC)
and Blockchain-based e-signing services, Zetrix TradeFi and China’s custom express
clearance programme (targeting commencement in Mar 23).

• …as the Xinghuo International Supernode goes live. Yesterday, MYEG’s announced the
successful live deployment of the Xinghuo Supernode with the launching of Xinghuo Beta
Name System and Xinghuo Digital Identity Service (MYEG owns and operates the Xinghuo
International Supernode via its Zetrix platform). The rollout of the identity service runs
parallel with Chat GPT founder Sam Altman’s Worldcoin’s project that incorporates such an
identifier World ID protocol to authenticate humans online.

• Tremendous potential with the planned ICO of Zetrix tokens in Hong Kong. MYEG
continues to target to launch an initial coin offering (ICO) of Zetrix in a Hong Kong endorsed
crypto-exchange sometime in Jun-Jul 23. Recall that MYEG plans to issue up to 200m Zetrix
tokens annually for five years, provided that Zetrix trades at a minimum of US$5/unit. If
successful, the ICO plans could create a whopping annual ICO proceed of US$1b for the
next five years. Such a potential is hardly reflected in MYEG’s stock valuation.

EARNINGS REVISION/RISK
• None, although we acknowledge that MYEG could trounce our forecast given the potential
of its blockchain businesses.

VALUATION/RECOMMENDATION
• Maintain BUY with an SOTP-based target price of RM1.18, which implies 22x 2023F PE
(-0.5SD below five-year mean). Near-term event catalysts include launching of Zetrix’s
cross-border project with China’s custom, Zetrix’s ICO, potentially deepening its role in
immigration services, and listings of mature start-up investments.

UOB KayHian 31052023

Vestland's unit bags RM170mil design, build contract
https://www.thestar.com.my/business/business-news/2023/05/30/vestland039s-unit-bags-rm170mil-design-build-contract

MyEG posts 1Q net profit of RM105.94mil
https://www.thestar.com.my/business/business-news/2023/05/30/myeg-posts-1q-net-profit-of-rm10594mil

MyEG, Zetrix plan Q3 rollout of blockchain trade facilitation link with China
https://www.thesundaily.my/business/myeg-zetrix-plan-q3-rollout-of-blockchain-trade-facilitation-link-with-china-CD11039496

HLIB Research is optimistic about YTL Power's prospects
https://www.nst.com.my/business/2023/05/913506/hlib-research-optimistic-about-ytl-powers-prospects

MN Holdings sees sustained growth momentum
https://www.thestar.com.my/business/business-news/2023/05/26/mn-holdings-sees-sustained-growth-momentum

RHB 20 Jewels 2023 Edition - Fair Value RM0.68 - 0.82

Report dated 16/5/2023

RHB 20 Jewels 2023 Edition - Fair Value RM0.52

Report dated 16/5/2023

Commentary Of Prospects

The spike demand of the ICT products including smart phone during the COVID period has created slow demand of the ICT products in the past 9 months. Despite of the slowdown of the semiconductor market globally, the Company has experienced a steady increase in the demand of the chips for the industrial applications. The demands for Internet of Things and Artificial Intelligence for automotive, medical, computers and communication are strong. Companies are back to business as usual and investing in digitalizing and automating their operation to the next level. The Company has announced a total of RM70M of projects since November 2022 and the outlook is good for the foreseeable near future. The Group sees stronger demand in AI chips for different applications and increasingly strong demand for IOT and high precision sensor chips and power devices for various chargers. The Group is well positioned to capitalize on this growing demand.

The group having a net cash of 22 million.

Quarter 2 Feb 2023 Report dd 27 April 2023

Kronologi proposes one-for-five bonus issue of shares and warrants
https://www.theedgemarkets.com/node/664748

Kronologi rides wave of growing cloud demand.

Ace-Market listed data storage and cloud specialist Kronologi Asia Bhd, whose operations in China count Baidu Inc as a client, reveals that it is in talks with Amazon Web Services (AWS), Alibaba Cloud, Tencent, Ping An Cloud and Microsoft Azure to offer them its enterprise data management (EDM) services - The Edge Malaysia April 24, 2023

GHL diversifies into micro lending, supports BNPL
https://www.theedgemarkets.com/node/662790

ASML shrugs off chip market headwinds with strong backlog
https://www.theedgemarkets.com/node/664003

Outstanding Contracts : RM70,000,000.00

06/03/2023 4 Turnkey ASIC Design service contracts RM16,000,000.00 3 years

06/12/2022 2 Asic Design Service Contracts RM26,000,000.00 3 years

17/10/2022 Chip Design RM28,000,000.00 3 years

Infomina bullish on FY23
https://www.thestar.com.my/business/business-news/2023/04/17/infomina-bullish-on-fy23

Infomina says revenue boosted by hike in rates for customers, overage fee
https://www.theedgemarkets.com/node/663315

Malaysia Seen As Emerging Data Centre Hub In Asia
https://www.businesstoday.com.my/2023/04/13/malaysia-seen-as-emerging-data-centre-hub-in-asia/

Malaysia To Witness DC Investments With Over 800 Megawatt Capacity In 5 years
https://www.businesstoday.com.my/2023/04/13/malaysia-to-witness-dc-investments-with-over-800-megawatt-capacity-in-5-years/

Malaysia’s DC Landscape Continues To Grow With USD6 Billion Investment Recently Announced By AWS
https://www.businesstoday.com.my/2023/04/13/malaysias-dc-landscape-continues-to-grow-with-usd6-billion-recently-announced-by-aws/

Telecommunications - the Rise of Data Centres in ASEAN
https://klse.i3investor.com/web/blog/detail/rhbinvest/2023-04-13-story-h-273387881-Telecommunications_the_Rise_of_Data_Centres_in_ASEAN

MN Holdings Berhad TP 0.45 by HLIB

Power it up

As an underground utilities and substation engineering services and solutions provider, MNHLDG is in a favorable position to benefit from Tenaga's sustainable T&D investment and the perpetually increasing demand for power. Moreover, the thriving data center industry in Malaysia has resulted in a greater requirement for power infrastructure, which presents an opportunity for MNHLDG to expand its order book. With a strong order book of RM332.7m, we are projecting MNHLDG’s core net profit to grow at a strong FY23f-25f CAGR of 16.4%. We value MNHLDG at RM0.45 based on 12x FY24f EPS of 3.7sen.

An underground utilities and substation engineering services and solutions provider. MNHLDG, through its subsidiaries MNSB and MPTSB, is principally engaged in the provision of underground utilities and substation engineering services and solutions. Its clientele comprises main contractors for power projects, property developers, and industries that require its services and solutions to facilitate the supply of power to specific locations and premises. The group has a track record of involvement in various projects, such as large-scale solar (LSS), data centers, and semiconductor plants. In FY22, underground utilities engineering contributed 79.2% of the group's revenue, with the remainder generated by substation engineering. As of January 2023, the group's order book stood at RM332.7m, with underground utilities and substation engineering accounting for 43% and 57%, respectively. Furthermore, the current tender book amounts to approximately RM203m, of which 76% is in the substation engineering segment.

Growth in power infrastructure investments. MNHLDG is in a strong position to leverage on Tenaga’s sustainable transmission and distributional system (T&D) investments and the long-term growing power demand. Under 2022-2024 Regulatory period (RP3), Tenaga is investing RM20bn (Figure #1) in enhancing and modernizing T&D infrastructure to ensure long-term sustainability and meet future requirements. The higher allowable CAPEX than RP2’s RM18.8bn has presented more contract opportunities to MNHLDG for its underground utilities and substation businesses. Meanwhile, Energy Commission's projection of a steady growth in peak electricity demand and new capacity supplies coming online until 2039 (Figure #2&3), highlights the need for power infrastructure over the long term. This trend has been observed in the past, with underground cable capacity and the number of substations growing in tandem with rising electricity demand (Figure #4).

Data center – a booming sector that drives the need of power infrastructure. MNHLDG stands to benefit from the rapidly growing data center industry in Malaysia, which has emerged as a preferred location for data center players due to Singapore government's more selective approach in approving data center investments. Factors like proximity to Singapore and Malaysia government's friendly policies have attracted major global data center players such as Equinix, AirTrunk, and NTT Ltd, as well as tech giants like Google, Microsoft, and Amazon, to build and manage hyper-scale data centers here. Since powering servers and supporting infrastructure such as cooling equipment require enormous amount of energy, data center owners often build their private substations for a high level of power supply security. Substation contract value ranges from RM20-60m depending on the capacity of the substation. The growing data center investment in Malaysia will continue to fuel the demand for power infrastructure thus benefiting MNHLDG.

Forecast. We are projecting MNHLDG's FY23f-25f core net profit to grow at a CAGR of 16.4%, backed by its order book of RM332.7m and anticipated sustainable order replenishment. It's worth noting that MNHLDG has recently entered into an MOU with Shanghai DC-Science Co Ltd, under which MNHLDG will provide the necessary utilities, including land, power supply, water supply, and other infrastructure, for the data center project with a power load of 120MW. If this project materializes, we see an uptick bias in our forecast.

Fair Value of RM0.45. We value MNHLDG at RM0.45, based on 12x FY24f EPS of 3.7sen. This P/E ratio represents a significant discount compared to solar EPCC contractors and construction players, whose forward P/E ratios are 16x-20x and 15x, respectively. We justify this valuation discount due to its smaller size and listing on ACE market, which makes it less investible to most institutional investors.

HLIB Research 12/4/2023

MN Holdings to benefit from Tenaga’s T&D investment, says HLIB
https://www.theedgemarkets.com/node/663044

Infomina bags six-year contract from SSM
https://www.theedgemarkets.com/node/662274

Infomina eyes new territories, ventures in tech industry for growth
https://www.thesundaily.my/business/infomina-eyes-new-territories-ventures-in-tech-industry-for-growth-JL10829022

China's blockchain technology for PCO to better facilitate Malaysia's exports to China
s://www.thestar.com.my/business/business-news/2023/04/04/china039s-blockchain-technology-for-pco-to-better-facilitate-malaysia039s-exports-to-china

MYEG Partners China Customs For Cross-Border Trade Connectivity On Zetrix Blockchain Platform
https://www.businesstoday.com.my/2023/03/30/myeg-partners-china-customs-for-cross-border-trade-connectivity-on-zetrix-blockchain-platform/

MYEG Partners China Customs For Cross-Border Trade Connectivity On Zetrix Blockchain Platform
https://www.businesstoday.com.my/2023/03/30/myeg-partners-china-customs-for-cross-border-trade-connectivity-on-zetrix-blockchain-platform/

Farm Fresh Malaysia offers new Ramadan menu - TAWA RIA, JA-MOO SELERA
https://www.thesundaily.my/spotlight/farm-fresh-malaysia-offers-new-ramadan-menu-tawa-ria-ja-moo-selera-LJ10803190

Agmo @ 0.60, TP 0.96 by UOB on 29/3/2023

Agmo An Emerging Beneficiary Of The Digitalisation Trend

Agmo appeals as a digital solutions and application development specialist that is well positioned
to prosper from Malaysia’s transition towards the new digital economy. Its
established track records with various notable clients and partnerships with key
suppliers promise good growth prospects with outstanding orderbook of >RM18m.
Agmo is trading at an undemanding 15x FY24F PE which implies a PEG ratio of only
0.6x. Intiate coverage with a target price of RM0.96.

WHAT’S NEW

• Buying opportunity from the current overhang as MYEG distributes Agmo shares as
dividend in specie to shareholders. Agmo Holding’s (Agmo) share price has weakened
21% since My EG Services (MYEG) began distributing its 25.8% stake in Agmo as dividend
in specie (via two tranches in Mar 23 and potentially Aug/Sep 23).

• Agmo a clear beneficiary of businesses’ digital establishment and transition. Agmo’s
bottom line has accelerated in recent years in tandem with explosive demand by business
organisations’ digitalisation efforts, reflecting the country’s nascent demand for software
development services in AI, blockchain, cloud computing, data analytics and extended
reality. To note, Agmo has an established track record of developing applications for over
100 customers from various industries including healthcare, logistics, oil and gas,
automotive, financial services and government agencies.

• Multi-pronged strategy for Agmo to catalyse earnings growth. Agmo is poised for a
new leg of growth, underpinned by: a) investment in R&D division as well as the group’s
sales, marketing and business development team; b) in-house proprietary development
framework - Agmo Genesis which enhances the group’s efficiency in application
development; c) EV-related ventures with strong emphasis to EG themes; and d) establish a
training and development centre to generate additional revenue and recruit new industry
talent.

• Option value for Zetrix potentially as high as RM100m. To note, Agmo has a project
management and advisory role for Zetrix, with an option to get a 5% share in exchange for
Zetrix’s contract sum. Hypothetically, if we assume that Zetrix’s China-ASEAN trades can
achieve 2% of China’s rough annualised domestic trades of 1.8t transactions, at 0.4 US
cents per transaction, Zetrix could generate around RM650m revenue or RM100m net profit
annually. This can potentially translate into a RM100m option value for Agmo, based on 20x
PE of its 5% Zetrix stake.

UOB KayHIan Research 29/3/2023

SNS Network's net profit jumps 40.5pct, revenue soars 46.2pct in Q4
https://www.nst.com.my/business/2023/03/893351/sns-networks-net-profit-jumps-405pct-revenue-soars-462pct-q4

Blockchain Technology in Healthcare
https://www.businesstoday.com.my/2023/03/21/blockchain-technology-in-healthcare/

Blockchain Technology in Healthcare
https://www.businesstoday.com.my/2023/03/21/blockchain-technology-in-healthcare/