What's In Store In Aug 2010 & Beyond

Aug 2010 …

1. EONCap will hold its EGM on Aug 19 2010 for shareholders to vote on the proposed disposal of its entire assets and liabilities to HLBB;

2. Cocoaland was “currently in discussions and negotiations with potential partners to broaden its growth which could involve the issuance of new shares amounting to between 20% and 30% of its share capital. at discount;

3. The government is likely to announce the award of contracts for two major public transport projects worth RM1.1 billion in Aug 2010 to Scomi Eng (Partial);

4. Malaysia will only announce its 2Q2010 GDP numbers on Aug 2010;

5. Detailed list of the programmes and projects for the first two years (2011-2012) rolling plan of the 10MP and Part II of the New Economic Model;

6. MRCB is front runner in acquiring several parcels of land in KL and Selangor, including 60.7ha in Jalan Cochrane, an 8 ½ ha tract in Jalan Ampang Hilir and another 400ha in Sungai Buloh under the purview of the Rubber Research Institute of Malaysia. Government land sales are expected to be announced in conjunction with the unveiling of the 10 MP;

7. B-Retail, which owns 7-Eleven Malaysia Sdn Bhd and Singer (Malaysia) Sdn Bhd, is scheduled for listing in mid-August 2010;

8. Genting Mal Bhd’s ubsidiary, Genting New York, had formally bid to develop and operate a video lottery facility in New York is likely to be announced on Aug 3 2010;

9. Affin Holdings Bhd, a Malaysian bank partly owned by Boustead Holdings Bhd, may conclude the acquisition of Indonesia’s PT Bank Ina Perdana by the third quarter 2010. The acquisition would be Affin’s first overseas venture;

10. Ho Hup has been granted a time extension of four months until Aug 4 2010 to submit its revised regularisation plan to Bursa Malaysia Securities for approval. Ho Hup hoped to “complete preparation and drafting of its regularisation plan” for submission to the relevant authorities within six months from July 2010.

Sept 2010 …

1. Axiata will be announcing a dividend policy by the end of the 3Q2010;

2. Kencana Petroleum Bhd and Dialog Group Bhd are among nine companies shortlisted to construct an oil and gas services terminal in Malaysia’s Sabah state. Contract expected to be awarded on September or Oct 2010;

3. The actual transfer of assets and liabilities from EON Capital to HLB will only be done once the Kuala Lumpur High Court makes its final decision … Sept 20 to Sept 23 2010 as well as on Sept 27 and 28 2010;

4. Primus had filed a legal suit last month against the directors of EON Cap and three entities controlled by Rin Kei Mei and Tan Sri Tiong Hiew King for RM1.1bil in damages as it believed the price for EON Cap should be much higher than that offered by HLB. It was reported that trial dates were set on Sept 20 to 23 as well as on Sept 27 and 28 2010

Oct 2010 …

1. The Economic Transformation Plan which includes the 12 NKEAs, as well as the announcement of the 2011 Budget, both slated for October 2010;

2. Faber’s renewal of its medical services concession will be sometime in Oct 2010;

3. The listing of Malaysia marine & Heavy Engineering Sdn Bhd (MMHE) – a unit of Petronas – in Oct 2010;

4. Industry observers do not discount the possibility of more tax or duty hikes at the Budget 2011 in October 2010

Nov 2010 …

1. US Democrats midterm congressional elections in Nov 2 2010;

2. A Saudi-Malaysian consortium, whose member includes MAHB has prequalified to bid for work for the first phase of the expansion of Prince Mohammed Bin Abdulaziz Airport in Medina, Saudi Arabia. An award expected by the end of November 2010;

3. Contractors For LRT Package A are supposed to submit their tenders in August 2010. It will then need two to three months to evaluate them and hopefully start the main ground works in November 2010. Sources say IJM Corp is a strong candidate for a portion of the main civil works. As such UEM Group also stands a chance. However MRCB could turn out to be a surprise candidate;

4. Linear director had undertaken to “deliver” the King Dome project to Linear, to “indemnify” Linear in the event of any loss, including refund of the cash advanced and to take over the letter of award at cost in the event Linear decides not to proceed further. A Nov 30 2010 deadline had been set. Linear is expecting itself to be out of PN17 “within 12 months” from June 2010. The company already has a turnaround plan in mind, which will be spearheaded by its new directors;

5. HLBB and EONCap have given themselves a time extension to obtain the relevant approvals for their proposed transaction on the sale of the latter’s assets and liabilities to the former by Nov 30 2010, from Aug 15 2010 previously.

Dec 2010 …

State private equity fund manager Ekuiti Nasional Bhd (Ekuinas) will announce its third investment before year-end (2010). They are talking with a number of parties but have not decided on any companies or sectors. This (third investment) is to fulfil its third objective to invest in the non-core assets of either GLCs, PLCs or MNCs

Jan 2011 …

KEURO’s directors are of the view that approval to implement the WCE will be obtained in FY2011 ending Jan 31, 2010.

In The Near-Medium Term …

1. A white knight may emerge for KKB. Sources say the company is planning to diversify into the property and construction sector with the appointment of chin;

2. It is learnt that Carotech’s lenders had two meetings in July 2010 to discuss the company’s proposed debt restructuring scheme and will likely give it the green light. Carotech has been given six months beginning 1 July 2010 to complete the exercise;

3. Sources say E&O’s major shareholders are believed to be considering a privatization of the property develop. They are talking to banks to finance the exercise;

4. The shareholders Sarawak Plantations are said to be looking to sell down their interest in the state owned company;

5. Khazanah could possibly lower its shareholding or exit altogether in the near term of about six months, including those under UEM Group. The likely assets (for divestment) are PLUS Expressways Bhd, CIMB Group Holdings Bhd, Tenaga Nasional Bhd, Time Engineering Bhd, TIME dotCom Bhd and DRB-Hicom Bhd,” said the report;

6. Speculation is rife that Ekuinas, with JV partners could be eyeing a stake in POS. Ekuinas will announce its next investment project by the end of 2010;

7. MMM is requesting a three-month time extension from Bursa as it is unable to meet the July 31 2010 deadline for the submission of its audited accounts for the fiscal year ended March 31, 2010;

8. Bina Puri is close to signing a JV agreement with IIB to develop some seven acres of a RM500 million mixed development in Medini, one of the five flagship zones of Iskandar Malaysia. The agreement is expected to be sealed soon;

9. CIMB is in the process of negotiation with the relevant authorities on how to get listed in Jakarta;

10. Sources say BHIC may soon get a letter of intent for its next batch of patrol vessels, which could be worth up to RM8 billion;

11. UEM Group Bhd is keen to bid for the RM43 billion KL MRT project;

12. LSE-listed Aseana Properties Ltd, a unit of Ireka Corporation Bhd, may consider returning excess cash to shareholders following the proposed disposal of properties in 1 Mont’ Kiara for RM333 million. Aseana expects to complete the proposed transaction by year-end (2010);

13. UEM Group were no plans yet to re-list the company or raise capital but did not rule out the possibility in future.

14. UEM Group Bhd has no plans yet to dispose of its 45% stake in Time Engineering Bhd, but will do so if there are interested parties with substantial game plan. Time Engineering had received its shareholders’ mandate in July 2009 to sell its entire stake in TdC at no less than 48 sen a share;

15. Market speculation of a potential change in a substantial shareholding of Mudajaya Group Bhd. One of Mudajaya’s shareholder is Mulpha Intl;

16. DRB-Hicom aims to make its banking unit, Bank Muamalat Malaysia Bhd, one of the top five Islamic banks in the country within the next two years;

17. Fitters’ MD Datuk Richard Wong’s had significantly increased his equity interest to over 30% of the company’s paid up capital. It plans to attract institutional investors in the near term;

18. PJI is in process of a capital restructuring exercise which hopes to complete in six months (July 2010 – Dec 2010). It is also undergoing a management reshuffle. It has disposed two of its assets;

19. The High Court had granted Transmile a restraining order under Section 176 of the Companies Act 1965 to halt further proceedings and actions taken against the company and Transmile Air Services Sdn Bhd (TAS) for 90 days starting July 16 2010;

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