All the small and medium size plantantion are not affected by cukai Makmur. It has minimum impact even on the big guys like because the businesses are traditional splits into many subsidiary companies and seldom a subsidiary company of the plantantion group make more than $100 mil PBT . Tax is at subsidiary companies level .

The windfall tax change ( threshold price increase by $500) is beneficial for plantantion in WM. It is slightly negative for plantation in EM due to.tyevrate increase from 1.5 to 3%. However, the effect of rate increase is mitigated by the threshold price increase. In the overall, minimum impact to plantation bottomline.

https://newswav.com/A2111_Nla08j?s=A_lfPUYck
$101 bil disbursed under the special covid withdrawal by members . That's why EPF has to cash out from even very profitable counters. For 2022 , the special pendemic withdrawal is over ( also most members now left with nothing to withdraw). EPF doesn't have to dampen the market anymore .

@MuttsInvestor, that one way to go about saving almost $40 mil. That sum is enough to pay additional 2 sen special dividend. Hahaha..,
May be Bplant should step up monetising more development land to take advantage of the waiver in 2022.

I think Taann will not be affected by cukai Makmur. Because the group profit are generated from 17 subsidiary companies in oil palm cultivation and milling , 10 companies in plywood /timber section. Each subsidiary companies PBT is likely to be below $100 mil.

From the company's announcement $39.48 mil for RPGT has been budgeted for kulai young estate disposal. Since SPA is 28/9/2021, the company will not enjoy the RPGT waiver unless exemption granted by IRB.

If I am not wrong , company is subject to 10% RPGT for disposal 6 years and above under existing law. Removal of RPGT at this threshold help to save a lot of money for Bplant who will make huge gain on disposal of kulai young and subsequently plantantion in sarawak. Correct me if I am wrong .

Bplant consist of the following subsidiaries Companies which collectively contribute to the group profit of may be $200 mil this year. As corporate tax is at each company's level , I suspect, Bplant is not affected by makmur tax. Likewise, most plantations are structured this way .
Boustead Telok Sengat Sdn Bhd
Boustead Eldred Sdn Bhd
Boustead Solandra Sdn Bhd
Boustead Agency and Consultancy Services Sdn Bhd
Boustead Rimba Nilai Sdn Bhd
Boustead Emastulin Sdn Bhd
Boustead Gradient Sdn Bhd
Boustead Trunkline Sdn Bhd
Boustead Pelita Kanowit Sdn Bhd
Boustead Pelita Tinjar Sdn Bhd
Boustead Pelita Kanowit Oil Mill Sdn Bhd
Boustead Estates Agency Sdn Bhd
Bounty Crop Sdn Bhd
Boustead Life Sciences Research Sdn Bhd

most listed plantation group including Bplant Bhd consist of a numbers of smallers subsidiary companies. The accounts of the subsidiary companies are consolidated to group level to be reported on.qtrly basis to the market/Bursa . Each subsidiary company is a legal entity by itself .

Is the cukai Makmur imposed at company level ( corporate tax is imposed at company level anyway) or it is applied at group level ?
More details are needed to aases the impact .

It is not clear whether cukai makmur is applicable to oil palm plantation companies who already paying windfall tax. If it is on top of windfall tax , the Cukai makmur shall impact bigger companies which earn in 2021 more than $100 mil NPBT . Companies that earn less than $100 mil NPBT are spared.

Govt to introduce Cukai Makmur, a special tax on a one-off basis to companies generating high profits. The first RM100 million in taxable earnings will be taxed at 24% while the remainder will be taxed at 33% for the tax assessment year of 2022.

Windfall profit levy threshold for crude palm oil prices to be increased from RM2,500 per tonne to RM3,000 per tonne for Peninsular Malaysia and from RM3,000 per tonne to RM3,500 per tonne for Sabah and Sarawak. The tax rate for Sabah and Sarawak will also be raised to 3%, in line with the rate in Peninsular Malaysia, when prices exceed the threshold.
This change shall marginally impact plantation companies purely in East Malaysia of CPO continue to stay at present very high level. However it is not clear if the sales tax which is only imposed on Sabah and sarawak state government will be revised downward by 1.5% to compensate the 1.5% increase in Federal windfall tax ? In the long run , the new tax structure is beneficial when CPO price regularise .

You can find the subsidiaries information or the corporate structure in annual report. What we read about the qtrly results are consolidation of the results of all subsidiaries.

Some of the Direct subsidiaries of Thplant Bhd
THP Ibok Sdn. Bhd.
THP-YT Plantation Sdn. Bhd.^ THP Sabaco Sdn. Bhd.
THP Bukit Belian Sdn. Bhd. THP Saribas Sdn. Bhd.
THP Kota Bahagia Sdn. Bhd. THP Agro Management Sdn. Bhd.
Hydroflow Sdn. Bhd.
TH Ladang (Sabah & Sarawak) Sdn. Bhd.
Bumi Suria Ventures Sdn. Bhd. Maju Warisanmas Sdn. Bhd. Manisraya Sdn. Bhd.
THP Suria Mekar Sdn. Bhd

@DickyMe3, most listed plantation group consist of a numbers of smallers subsidiary companies. The accounts of the subsidiary companies are consolidated to group level to be reported on.qtrly basis to the market/Bursa . Each subsidiary company is a legal entity by itself .

Is the cukai Makmur imposed at company level ( corporate tax is imposed at company level anyway) or it is applied at group level ?
More details are needed to aases the impact .

It is not clear whether cukai makmur is applicable to oil palm plantation companies who already paying windfall tax. Any one has the information?
Cukai makmur shall impact bigger companies which earn in 2021 more than $100 mil NPBT and applicable to all sector. Companies that earn less than $100 mil NPBT are subjected to normal tax rate .

Govt to introduce Cukai Makmur, a special tax on a one-off basis to companies generating high profits. The first RM100 million in taxable earnings will be taxed at 24% while the remainder will be taxed at 33% for the tax assessment year of 2022.

Windfall profit levy threshold for crude palm oil prices to be increased from RM2,500 per tonne to RM3,000 per tonne for Peninsular Malaysia and from RM3,000 per tonne to RM3,500 per tonne for Sabah and Sarawak. The tax rate for Sabah and Sarawak will also be raised to 3%, in line with the rate in Peninsular Malaysia, when prices exceed the threshold.

I top up at 75 sen . Free float share for this counter is relatively small.

Agreed. Technically BI doesn't automatically increase the value of the company. Although higher dividend is preferred, capitalizing the excess reserve through BI tends to improve the share trading volume & activity and hence improve total valuation for it's share . Shareholders benefit in the long run .

Mr OTB ,. may be it is good for you to explain why you liquidate your 20% holding in Hiaptek at 69.5 sen while you are convinced that it will surpassed $1 eventually . This will help to calm the nerve of many . Thanks.

NPAT this year is likely to exceed $40 mil which shall be the best year in history! I think it is the right time to reward shareholders with a bonus issue early next year .
The last BI were 2 for 3 (ex 26/5/11) follow by another BI 2 for 5 (ex 23/7/12).

I think cepat shall make $40 Mil NPAT this year . The last time the company declared 1 for 2 bonus issue was in late 2011 (ex date 16/1/12) , ie 10 years ago. It may be right time to reward shareholders with another BI , may be 2 for 5..

Where is the 15sen special dividend promised ? I wonder what is holding it back since the plantantions disposal is completed a while ago !

Don't sell your RI and warrant tomorrow. I think there is good upside amid strong recovery in this sector.

Very good 3rd Q results indeed. I think final qtr will even be better !
I hope there will be very special dividend soon .

Call warrant is a derivative issued by IB independently. I think Maybank IB has quite some position in Bplant already before the CB is issued. The purpose of the CB is probably to enhance it's profit . Only 200k unit released at 18.5 sen today , nothing on 1st listing day yesterday. It seem that the IB is in no hurry to release more at current price. The IB will gradually released in batches when price go higher led by mother share . Please share your knowledge if you know more .

The windfall tax is not new . It has been around since 2008.
The IBs rating for plantation sector have been like this :
When CPO $3,000 , price will fall to $2,500 , neutral rating
When CPO $3,500 , price will fall to $2,700 , neutral rating
When CPO $4,000 , price will fall to $2,800 , neutral rating
When CPO $4,500 , price will fall to $3,000 , neutral rating
When CPO $5,000, price will fall to $3,200 , neutral rating
When CPO $5,300 , price will fall to $3,300 , neutral rating
Listening to IBs will bring you to Holland !

Tommorow is the listing of rights issue and warrant. The ground is prepared since yesterday (with 11% price drop) for value buy to surface tomorrow.

Bplant-CB : the prices are shifted up half a sen higher now .
Seller $0.18 (200k) , $0.185 (200k)
Buyer $0.175 (200k) , $0.17 (300k)

Bplant-CB :. Seller $0.175 (200k), $0.18 (200k)
Buyer $0.17 (200k) , $0.165 (200k).
Exactly same set of buy/sell yesterday , the listing day ,without any trade closed .
MBB is fishing for higher price ?

Bplant shareholders will benefit directly and immediately from any special dividend payout. Bstead shareholders will benefit indirectly over time when Bstead $7 bil borrowing is reduced to healthy level.

https://www.bursamalaysia.com/market_information/announcements/company_announcement/announcement_details?ann_id=3202611

It's in Bursa announcement.

@loneranger, EPF needed to raise cash to bridge the huge deficit /gap between withdrawal and contribution for current year . kWAP may be in similar position.. I suspect that's the main reason. Also, some of these selling may be done by the outsourced fund managers for their reason .

Hope there is special interim dividend soon. Shareholders who shall be attending the AGM on 18/11 should raise this if nothing is declared by then .

Correction; can anyone who is familiar with CW comment on Maybank IB's intention?

Maybank investment bank listed 100 mil unit new Bplant -CB ( call warrant) today . But nothing traded at all for today . Exercise price $0.68 , European style, convertion ratio 1:1, cash settled, expiry one year later . Issue price $0.15.
I guess this investment bank must have accumulated substantial amount of Bplant mother share and therefore decide to issue this CW . Can anyone who is family with CW comment on Maybank IB's intention?

Trying to cause panic selling for those who subscribe the rights ? It's quite easy amid some price correction for steel .

Some people are managing the price down ahead of right issue listing 2 days later ie on 27/10.? Hmmmm.... something fishy?

Bplant has issue a Request For Proposals (RFP) for all its asset in sarawak. Hope some good offers will come . Book value for the plantantions in sarawak was only about $57 mil . As such , substantial gain on disposal can be realised eventually. A positive move to sell the low yeilding sarawak assets which have not been contributing to the profitability of the company anyway.

At around 4.35 pm , roadblock at $3,95 with 275k share to sell !

At around 4.25 pm , Somebody is putting a big roadblock (sell orders) at $3.24 (100k shares) and $3.25 (630k shares)!

@muttsinvestor, as in the news , EPF outsourced huge sum to external fund managers to handle. May be it is the external fund managers doing ?

You can check bursa announcement for the big cap plantation counters

Today’s performance:
CPO + 2.5% $5303 (nov)

Counters without EPF and KWAP :
THplant +14.5%
Bplant. +4.9%
Mhc. +3.8%
Cepat. +1.3%

Big cap /counters with EPF/KWAP as shareholders:
Simepltn - 1.4%
IOI. - 0.74%
Genp. - 1.83%
Klk. +0.35%
Taann. - 2.74%
Swkpltn. Unchanged
SOP. +. 0.77%

I believe EPF and /or KWAP are still selling down today . Only local retailers and some corporates are absorbing the selling and that’s not enough to move price to reflect the robust fundamental of CPO .

Today’s performance:
CPO + 2.5% $5303 (nov)

Counters without EPF and KWAP :
THplant +14.5%
Bplant. +4.9%
Mhc. +3.8%
Cepat. +1.3%

Big cap /counters with EPF/KWAP as shareholders:
Simepltn - 1.4%
IOI. - 0.74%
Genp. - 1.83%
Klk. +0.35%
Taann. - 2.74%
Swkpltn. Unchanged
SOP. +. 0.77%

I believe EPF and /or KWAP are still selling down today . Only local retailers and some corporates are absorbing the selling and that’s not enough to move price to reflect the robust fundamental of CPO .

Today’s performance:
CPO + 2.5% $5303 (nov)

Counters without EPF and KWAP :
THplant +14.5%
Bplant. +4.9%
Mhc. +3.8%
Cepat. +1.3%

Big cap /counters with EPF/KWAP as shareholders:
Simepltn - 1.4%
IOI. - 0.74%
Genp. - 1.83%
Klk. +0.35%
Taann. - 2.74%
Swkpltn. Unchanged
SOP. +. 0.77%

I believe EPF and /or KWAP are still selling down today . Only local retailers and some corporates are absorbing the selling and that’s not enough to move price to reflect the robust fundamental of CPO .