KUALA LUMPUR (May 13): FGV Holdings Bhd has terminated its memorandum of understanding (MoU) with Hong Kong-listed China Machinery Engineering Corp (CMEC) to look into establishing paper pulp production facilities.
"The termination of the MoU would not have any financial impact on FGV and its subsidiaries," FGV said in a stock exchange filing today.
However, no reason was given for the termination.
On Dec 18, 2018, the Malaysian plantation group signed the MoU with CMEC to explore the feasibility of a joint venture for the establishment of paper pulp production facilities.
FGV interim group president and chief executive officer Datuk Wira Azhar Abdul Hamid had said then that FGV hoped to explore the opportunity to integrate operations of its existing mills with CMEC's engineering expertise, to establish the paper pulp production facilities with an initial capacity of 50,000 metric tonne per annum for the first phase.
CMEC is involved in engineering consulting and collaborates with research institutes in Hangzhou and Guangxi to convert empty fruit bunches into commercial paper pulp.
At the noon break today, FGV's share price was down 4 sen or 3.17% to RM1.22, giving the group a market value of RM4.45 billion.
You guys always pray to Warren Buffet's "Buy when others are fearful" but when others are fearful, you guys also fearful. Dafuq...How to make money like that?
Bear in mind that, it is the government's main interest in turning FGV around because it will be reflected in their report card!
The index now is at the greatest discount level! The best investment is to invest in turnaround and FGV is poised to be turned around as can be seen from their effort. And the country is being ruled by someone who has 22 experience as a Prime Minister, are you telling me that the country's economy will tank because of some Trump's trash? It is a short term knee jerk reaction!
KUALA LUMPUR: FGV Holdings Bhd has terminated its memorandum of understanding (MoU) with Hong Kong-listed China Machinery Engineering Corp (CMEC), originally inked to look into establishing paper pulp production facilities. “The MoU’s termination would not have any financial impact on FGV and its subsidiaries,” FGV said in a filing with Bursa Malaysia yesterday. No reason was given for the termination. On Dec 18, 2018, the Malaysian plantation group signed the MoU with CMEC to explore the feasibility of a joint venture to establish paper pulp production facilities. FGV’s interim group president and chief executive officer Datuk Wira Azhar Abdul Hamid then said FGV was hoping to explore the opportunity to integrate its existing mills’ operations with CMEC’s engineering expertise to establish the paper pulp production facilities with an initial capacity of 50,000 tonnes per annum for the first phase. CMEC is involved in engineering contracting. It also collaborates with research institutes in Hangzhou and Guangxi, using technology to convert empty fruit bunches into paper pulp for commercialisation. FGV’s share price fell six sen or 4.76% to RM1.20, with a market value of RM4.38 billion.
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
Tongkarat
7,588 posts
Posted by Tongkarat > 2019-05-10 16:18 | Report Abuse
Steady.....