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AZRB seals RM458.3m financing for teaching hospital project

Ahmad Zaki Resources Bhd's (AZRB) unit has secured a syndicated Islamic term financing-i facility of RM458.35mil from three local banks to finance the development of a teaching hospital in Kuantan.

Mudajaya seals RM816.2m MRT contract

Mudajaya Group Bhd has executed the letter of acceptance from Mass Rapid Transit Corporation Sdn Bhd for a RM816.24mil contract to undertake part of the Sungai Buloh-Kajang MRT line.

Gadang accepts RM863.4m MRT contract

Gadang Holdings Bhd has accepted the offer from Mass Rapid Transit Corporation Sdn Bhd for a contract valued at RM863.39mil.

OPEC sees 2013 oil demand growth slowing

LONDON: World oil demand growth will slow in 2013 from the already weak 2012, OPEC said on Wednesday, citing Europe's debt worries, a faltering U.S. economic recovery and deceleration of growth in emerging markets.

EU calls Spanish austerity measures an 'important step'

BRUSSELS: The European Commission welcomed a new austerity package announced by the Spanish government on Wednesday, saying it was a key step in Madrid's efforts to meet deficit reduction targets.

DanaInfra's RM2.4b Sukuk oversubscribed 5.38 times

DanaInfra Nasional Bhd's (DanaInfra) RM2.4bil Islamic medium term notes (IMTN) received overwhelming response from investors which saw it being oversubscribed by 5.38 times.

FGV in focus as KLCI's winning streak continues

Felda Global Ventures was in focus on Wednesday, closing at its highest since its listing in June, as funds picked up plantations and Axiata, sending the FBM KLCI to its fresh record close of 1,629.

Jaya Tiasa slips on lower placement price

Shares of Jaya Tiasa Holdings Bhd fell on Wednesday after the company fixed the price for the 42.04 million shares below the market price.

Scope sees 12m shares crossed at 30c each

Scope Industries Bhd's 12 million shares were transacted in an off-market deal on Wednesday at an average price of 30 sen each.

Sing dlr at 14-yr high vs ringgit, Asia FX mixed

SINGAPORE: The Singapore dollar hit a 14-year high against the ringgit on Wednesday as offshore funds continued to seek relatively safer assets and on views that Malaysia may allow a weaker currency to spur growth amid global economic slowdown.

Japan's Itochu buys 25% of Malaysia's Agromate

Japan's Itochu Corporation is acquiring a 25% stake in one of Malaysia's major fertiliser manufacturers, Agromate Holdings Sdn Bhd, for an undisclosed sum.

India International Bank plans 5 branches in Malaysia

India International Bank Malaysia Bhd (IIBM) aims to open five commercial banking branches in its first year of operations in Malaysia.

CPO down on weak exports, tight supply in focus

Malaysian crude palm oil futures slipped on weaker exports data, although losses were curbed by a tight global oilseed supply at a time when festival demand is supposed to rise.

Axiata helps push KLCI to another record high

Fund buying of Axiata, plantations and selected bank stocks saw the FBM KLCI advancing to an all-time intra-day high of 1,629 while other regional markets were in the red.

Malaysia's May industrial output up 7.6% on-year

Malaysia's industrial production index (IPI) for May increased by 7.6% from a year ago, powered by the manufacturing sector, exceeding consensus' expectations.

Sykt Prasarana, Naza TTDI in RM153m property project

Syarikat Prasarana Negara Bhd has teamed up with the Naza TTDI to undertake a residential project in Taman Tun Dr Ismail, Kuala Lumpur.

AmBank, AmInvestment Bank ratings unaffected by bid

Standard & Poor's Ratings Services' counterparty credit ratings on AmBank (M) Bhd (AmBank; BBB+/Stable/A-2) and AmInvestment Bank Bhd (BBB+/Stable/A-2) were unaffected by AMMB Holdings Bhd's (AMMB; unrated) proposed acquisition of MBF Cards (Malaysia) Sdn Bhd.

KLCI continues upward trend, bucks regional trend

Malaysia's key 30-stock index, the FBM KLCI, continued to buck the cautious regional markets, with the index climbing to an all-time intra-day high of 1,629.33.

Jaya Tiasa to use RM225m from placement to build mills

Jaya Tiasa Holdings Bhd plans to raise RM332.15mil from a proposed share placement exercise, of which RM225.85mil would be used to build palm oil mills.

Adventa shares surge on takeover offer

Shares of glove maker Adventa Bhd surged to RM1.85 in early trade on Wednesday after it received a takeover offer at RM2.10 a share.

CIMB Research maintains Neutral on AMMB

CIMB Equities Research remains Neutral on AMMB due concerns about its weak loan growth and margin compression.

PFGBest scandal deals farmers another blow after MF Global

CHICAGO: Farmers on Tuesday fumed at the prospect of financial losses, or at a minimum a lengthy wait for the return of frozen funds, due to alleged mismanagement at brokerage PFGBest, and some said they had been burned for the last time.

CIMB Research ups Adventa to Trading Buy from Underperform

CIMB Equities Research has raised Adventa’s rating to Trading Buy from Underperform after it received an offer of RM2.10 per share for the glove making business.

Euro hits 2-year low, Wall Street hit by profit warnings(update)

NEW YORK: The euro fell to a two-year low against the dollar on Tuesday as investors were wary that a German court could delay Europe's new bailout fund, while a series of profit warnings from U.S. companies took Wall Street lower.

HDBSVR sees KLCI giving back part of gains

Hwang DBS Vickers Research expects the FBM KLCI, which surged on Tuesday to end higher in seven of the last eight days, could pull back a little on Wednesday.

Bumpy ride ahead for Malaysia's economy

PETALING JAYA: All signs still point to a rather rough road ahead for the local economy as leading indicators in the region continue to show weakness in economic activity with economists expecting an improvement only towards the end of the year.

TM: Broadband market big enough for all

KUALA LUMPUR: Telekom Malaysia Bhd’s (TM) customer base for its Unifi services has swelled to 393,000. But, with impending competition from the cellular players that are entering its home services turf, its lion market share of high-speed Internet broadband will come under pressure soon.

Genting subsidiary to build RM3.19bil power plant in Java

KUALA LUMPUR: Genting Bhd’s subsidiary is undertaking a coal-fired power plant project in Banten province, West Java, which is estimated to cost about US$1bil (RM3.19bil).

Talk that Malaysia Building Society is to be taken private by EPF resurfaces

PETALING JAYA: Talk that Malaysia Building Society Bhd (MBSB) is to be taken private by the Employees Provident Fund (EPF) has surfaced yet again, with industry sources saying the deal could happen as soon as this month.

AMMB wants to acquire MBF Cards for RM623mil

KUALA LUMPUR: AMMB Holdings Bhd has proposed to acquire MBf Holdings Bhd’s subsidiary MBF Cards (M) Sdn Bhd for a total cash consideration of RM623.4mil.

Local steel players hope Miti will review current iron and steel policy

IT will be interesting to gauge the feedback from the local steel players based on the recommendations made by the Boston Consulting Group (BCG) which has completed a comprehensive study on the strategic RM40bil steel industry.

Positive views on KPJ deal in Indonesia

PETALING JAYA: KPJ Healthcare Bhd’s acquisition of PT Khidmat Perawatan Jasa Medika (PT KPJ Medika) in Indonesia for RM15.84mil is “reasonable” and deemed a positive deal.

Aberdeen to focus on what counts

PETALING JAYA: Having positioned itself as a long-term strategic investor in listed companies, global investment management group Aberdeen Asset Management thinks it is essential to ignore market noises and focus on what really counts – the underlying fundamentals of companies.

Stocks

Chan dumps Ariantec and Metronic shares

KUALA LUMPUR: Sabah-based stock market participant Datuk Raymond Chan Boon Siew has exited two of the companies that he had recently acquired substantial stakes in, raising questions over whether he is going to see through his plans, one of them a turnaround plan for the two other companies that he had also bought into.

Apex Equity shares traded sharply below market price

KUALA LUMPUR: Stockbroker Apex Equity Holdings Bhd’s 13.49 million shares were transacted in several off-market deals yesterday at 92 sen each, which was sharply below the current market price.

PJBumi to sell Alam Flora stake for RM20mil

PETALING JAYA: PJBumi Bhd, a waste management solutions service provider, is proposing to dispose its entire 15.79% stake or 12 million shares in Alam Flora Sdn Bhd to DRB-Hicom Bhd for RM20.4mil cash that support its efforts to reduce bank borrowings and for working capital.

CEO, fund offer to acquire Adventa

KUALA LUMPUR: Adventa Bhd’s board has received an offer letter from Aspion Sdn Bhd to acquire all of the business and undertakings, including all assets and liabilities, of the former for RM320.85mil or RM2.10 per share.

Jaya Tiasa said to be selling RM330m stake

KUALA LUMPUR: Malaysia’s Jaya Tiasa Holdings Bhd, a palm oil plantations and timber company, is selling up to 42 million new shares worth some RM330mil, according to a source familiar with the deal.

LPI to see stronger growth

LPI CAPITAL BHD's profit after tax of RM71.9mil for the first half ended June 30, 2012, was marginally below ours (37%) and consensus expectations (34%). However, the profit after tax for the second quarter (Q2) at RM40.4mil, which represented an increase of 28.7% year-on-year and 28.3% quarter-on-quarter, was encouraging, as we have guided in our preview note.

Stronger protection for whistleblowers

NEW YORK: A US judge bolstered protection for corporate whistleblowers on Monday by ruling the DoddFrank law gave retroactive protection to employees of subsidiaries, not just people who work directly for the parent companies.

MUFJ suspends two London traders on Libor probe

TOKYO: Mitsubishi UFJ Financial Group has suspended two London-based traders amid a growing investigation into the suspected manipulation of the Libor interbank lending rate.

Survey: Many Wall Street executives okay wrongdoing

NEW YORK: If the ancient Greek philosopher Diogenes were to go out with his lantern in search of an honest many today, a survey of Wall Street executives on workplace conduct suggests he might have to look elsewhere.

Inflation-linked bonds likely

SINGAPORE: The Monetary Authority of Singapore is studying the possibility of issuing the first inflation-linked bonds as part of measures to help savers cope with high inflation and low interest rates, the Straits Times reported yesterday.

Economy

Good command of English vital

DEVELOPING the pure play engineering sector into a booming industry is indeed ambitious and commendable, but it won’t be without its fair share of challenges.

Catalyst for knowledge economy

Participants of the Economic Transformation Programme Lab identified that Business Services will be a key catalyst in transforming Malaysia into a knowledge economy. One of the Entry Point Projects (EPP) under this NKEA is the aspiration to grow large pure play engineering services.

Property

UOA sells building for RM102mil

KUALA LUMPUR: UOA Development Bhd, through wholly-owned unit, Lencana Harapan Sdn Bhd, has proposed to dispose of a 13-storey boutique office building to Lembaga Tabung Haji for RM102.2mil.

Property bubble risk remains in Hong Kong

HONG KONG: Property prices in Hong Kong grew at a slower pace and sales fell in the second quarter as global stock markets weakened, but the city’s financial chief warned yesterday that risk of a bubble will remain as long as interest rates stay low.

Management

JP Morgan unit to beef up workforce

PETALING JAYA: JP Morgan Treasury Services plans to increase its staff strength in Malaysia by 65% by end-2014 as it expands its presence to support its onshore and offshore corporate and financial institution clients.

HSBC names Roni managing director

KUALA LUMPUR: HSBC Bank Malaysia Bhd has appointed Roni L. Abdul Wahab its managing director head of global banking Malaysia.

Arulnathan to join StanChart

PETALING JAYA: Bursa Malaysia market and issuers strategy head, Arulnathan Michael Dass, has left the exchange to join Standard Chartered Bank Malaysia as a business planning director, industry sources said.

Commodities

Inaugural review of RSPO principles to be highlight of RT10

KUALA LUMPUR: The inaugural review of the Roundtable for Sustainable Palm Oil’s (RSPO) principles and criteria for sustainable palm oil will be a highlight of the 10th annual Roundtable Meeting on Sustainable Palm Oil (RT10) to be held in Singapore from Oct 30 to Nov 1.

Palm oil stocks fall to lowest level in more than a year

PETALING JAYA: Malaysian palm oil stocks fell to its lowest level in more than a year mainly due to adverse weather, suggesting a boost in palm oil prices in the near future.

Banking

Maybank teams up with DiGi to boost remittance

KUALA LUMPUR: Malayan Banking Bhd (Maybank) has teamed up with DiGi.Com Bhd’s unit to boost over-the-counter (OTD) remittance service, which is part of the banking group’s strategy to achieve RM3.37bil remittances from the Maybank Money Express service this year.

RBS, Commerzbank and Standard Bank abort Dubai Group’s US$10b deal

DUBAI: Royal Bank of Scotland and two other banks have abandoned talks on restructuring Dubai Group’s US$10bil debt and threatened to bring unprecedented legal action against the investment vehicle of Dubai’s ruler, sources close to the matter said.

Foreign News

MF Global woes redux amid missing funds

NEW YORK: Less than nine months after MF Global’s collapse sent shockwaves through US futures brokerages, news that more than half the customer funds at Iowa-based PFGBest are missing is threatening to shatter the fragile confidence in the industry.

EU finance ministers play up 30-billion-euro aid for Spanish banks, press ahead

BRUSSELS: Eurozone finance ministers claimed new progress in fighting the debt crisis, saying measures agreed to help Spain and its stricken banks put in place plenty of firepower.

China trade surplus up

BEIJING: China’s June trade data released yesterday stoked anxiety about the strength of domestic demand in the world’s second biggest economy as imports rose at only half the pace expected, signalling a need for Beijing to do more to bolster growth.

ANALYSIS-Tech Inc's invincible aura fades

BOSTON: Hopes are evaporating that top U.S. technology companies will offer a safe harbor this year from the economic storms swirling across Europe, Asia and the United States.

AMR CEO says to move forward with merger review

NEW YORK: The parent of American Airlines will go ahead with plans to evaluate potential mergers and other strategic options and will reach out to interested parties, Chief Executive Tom Horton said on Tuesday.

Wife of Tetra Pak heir found dead in London

LONDON: The American wife of an heir to the Tetra Pak drinks carton fortune has been found dead in London, police said on Tuesday, and a man who may be Eva Rausing's husband was arrested in connection with her death and on suspicion of drugs possession.

Iowa futures broker forged bank records for years - source

CHICAGO: Russell Wasendorf Sr., the sole owner and chairman of stricken futures broker Peregrine Financial Group, Inc., intercepted and forged bank documents for more than two years to cover up hundreds of millions of dollars in missing money, a person close to the situation told Reuters.

SemGroup trust sues Barclays over US$143mil fee

NEW YORK: A trustee representing creditors of SemGroup LP sued Barclays Bank Plc and Barclays Capital, seeking to be repaid a $143 million fee the bank collected when it took over the energy company's commodities trading positions during its 2008 collapse.

Barclays' Diamond accused of misleading inquiry

LONDON: British lawmakers on Tuesday accused Barclays former chief executive Bob Diamond of misleading a parliamentary inquiry into an interest rate-fixing scandal that has forced him to resign and give up bonuses worth up to 20 million pounds ($30 million).

Countries vying to be first non-U.S. buyer of V-22 Osprey aircraft

FARNBOROUGH, England: Several countries are competing to become the first foreign buyer of the U.S. military's V-22 tilt-rotor aircraft, which flies like a plane but takes off and lands like a helicopter, according to the Marine Corps colonel who runs the program.