15 Rabiulakhir 1434
KUALA LUMPUR, Feb 25 , 2013 - RHB Research has maintained a "neutral" call on Nestle (Malaysia) Bhd, with an unchanged fair value of RM61.38.
The research house said Nestle's better performance last year in securing a net profit of RM505.4 million, with an increase of 18.3 per cent year-on-year due to robust domestic sales, aided by its 100th anniversary in Malaysia marketing promotions.
"While domestic spending is projected to be relatively resilient this year, we are cautious on the impact on consumer spending from potential subsidy rationalisation post-general election," RHB Research said in a statement.
However, Nestle's strong brands and market position would enable the group to weather any weakness in consumer spending, it said.
More information: BERNAMA
Showing posts with label Stocks(Shares) Investment. Show all posts
Showing posts with label Stocks(Shares) Investment. Show all posts
Monday, February 25, 2013
Thursday, February 21, 2013
Maybank's Pre-tax Profit For 2012 Surges To RM7.894 Billion
10 Rabiulakhir 1434
KUALA LUMPUR, Feb 21 , 2013 - Malayan Banking Bhd (Maybank) registered a higher pre-tax profit of RM7.894 billion for its financial year ended Dec 31, 2012 vis-a-vis RM6.875 billion in 2011.
Revenue for last year also surged to RM27.532 billion from RM23.741 billion in 2011.
Profit after tax for financial year 2012 stood at RM5.917 billion from RM5.121 billion in the previous year.
For the fourth quarter last year, Maybank posted a pre-tax profit of RM1.949 billion, on the back of RM7.027 billion in revenue.
Maybank Chairman Tan Sri Megat Zaharuddin Megat Mohd Nor said the group's results were boosted by sustained growth across most business sectors, complemented by strong contributions from its global operations, spanning 20 countries.
"Total operating income rose 12 per cent despite the challenging global economy as the group leveraged on its strong domestic positioning, diverse capabilities and regional network to grow its franchise and explore new market segments," he told a media briefing today.
Megat Zaharuddin said revenue growth was led by a 14 per cent increase in net fee-based income and 10.8 per cent increase in net fund-based income.
"Revenue grew ahead of overhead expenses, the result of continuous efforts to improve efficiency and implementation of a vigorous cost management exercise.
"These helped offset the pressure on net interest margins during the year," he said.
Maybank's group loans growth remained in double-digit territory, with a healthy 12.2 per cent rise, in addition to loans and debt Securities registering a higher growth of 12.9 per cent.
Deposits expanded strongly across the three home markets, reinforcing the group's regional franchise, with higher growth momentum recorded in Indonesia.
Gross group deposits rose 10.3 per cent to RM347.2 billion, led by a 22.3 per cent rise in Indonesia, followed by Singapore and Malaysia with a 12.7 per cent and 8.5 per cent rise, respectively.
Megat Zaharuddin said Maybank's board of directors had proposed a final dividend in respect of the 2012 financial year of 18 sen, less 25 per cent taxation and a 15 sen single-tier dividend on 8,440,046,735 ordinary shares of RM1 each for the shareholders' approval.
For the previous fiscal year ended Dec 31, 2011, Maybank proposed a final dividend of 36 sen per share, less 25 per cent taxation.
More information: BERNAMA
KUALA LUMPUR, Feb 21 , 2013 - Malayan Banking Bhd (Maybank) registered a higher pre-tax profit of RM7.894 billion for its financial year ended Dec 31, 2012 vis-a-vis RM6.875 billion in 2011.
Revenue for last year also surged to RM27.532 billion from RM23.741 billion in 2011.
Profit after tax for financial year 2012 stood at RM5.917 billion from RM5.121 billion in the previous year.
For the fourth quarter last year, Maybank posted a pre-tax profit of RM1.949 billion, on the back of RM7.027 billion in revenue.
Maybank Chairman Tan Sri Megat Zaharuddin Megat Mohd Nor said the group's results were boosted by sustained growth across most business sectors, complemented by strong contributions from its global operations, spanning 20 countries.
"Total operating income rose 12 per cent despite the challenging global economy as the group leveraged on its strong domestic positioning, diverse capabilities and regional network to grow its franchise and explore new market segments," he told a media briefing today.
Megat Zaharuddin said revenue growth was led by a 14 per cent increase in net fee-based income and 10.8 per cent increase in net fund-based income.
"Revenue grew ahead of overhead expenses, the result of continuous efforts to improve efficiency and implementation of a vigorous cost management exercise.
"These helped offset the pressure on net interest margins during the year," he said.
Maybank's group loans growth remained in double-digit territory, with a healthy 12.2 per cent rise, in addition to loans and debt Securities registering a higher growth of 12.9 per cent.
Deposits expanded strongly across the three home markets, reinforcing the group's regional franchise, with higher growth momentum recorded in Indonesia.
Gross group deposits rose 10.3 per cent to RM347.2 billion, led by a 22.3 per cent rise in Indonesia, followed by Singapore and Malaysia with a 12.7 per cent and 8.5 per cent rise, respectively.
Megat Zaharuddin said Maybank's board of directors had proposed a final dividend in respect of the 2012 financial year of 18 sen, less 25 per cent taxation and a 15 sen single-tier dividend on 8,440,046,735 ordinary shares of RM1 each for the shareholders' approval.
For the previous fiscal year ended Dec 31, 2011, Maybank proposed a final dividend of 36 sen per share, less 25 per cent taxation.
More information: BERNAMA
Tuesday, February 19, 2013
Danga Bay JV Will Spur More Cross-Border Investments In Iskandar Malaysia
9 Rabiulakhir 1434
JOHOR BAHARU, Feb 19 , 2013- Menteri Besar Datuk Abdul Ghani Othman hopes joint-venture projects by Malaysia and Singapore companies in Danga Bay will help spur more cross-border transactions in Iskandar Malaysia.
Speaking during the signing ceremony of the Head of Agreement (HOA) between Iskandar Waterfront Sdn Bhd (IWSB), CapitaLand Ltd and Temasek Holdings today, he said the "big boys" in Singapore and across the region would take the cue from the historic event today.
"I am confident this will spur even more cross-border transactions as the "big boys" in Singapore and across the region will take the cue from Temasek and CapitaLand to explore more investment opportunities in Iskandar Malaysia," he said.
Prime Minister Datuk Seri Najib Tun Razak and his Singapore counterpart Lee Hsien Loong and several cabinet ministers from the two countries witnessed the signing ceremony at the Danga Bay Convention Centre here.
The three joint-venture partners inked the HOA to jointly acquire and develop parcels of land in Danga Bay known as "A2 Island".
The joint venture will acquire 71.4 acres or 3.1 million square feet of freehold net land in A2 Island, Danga Bay, for a purchase price of RM811 million (S$324 million), which will be paid over a period of four-and-a-half-years.
CapitaLand Malaysia, a wholly-owned subsidiary of CapitaLand Ltd, IWSB and Temasek will hold 51 per cent, 40 per cent and nine per cent stakes, respectively, in the joint venture.
Ghani said Johor welcomed more Singapore government-linked companies to enter into joint ventures with IWSB and other local enterprises to tap the potential for property development that Iskandar Malaysia has to offer.
"This joint venture between a Johor entity and two of the island republic's biggest economic players will give confidence to others waiting on the sidelines that investment in Iskandar Malaysia is an opportunity not to be missed," he said.
He said Johor and Singapore enjoyed a long-standing, friendly and multi-faceted relationship that are bound by common history, intimate geography and deep abiding social ties.
More information: BERNAMA
JOHOR BAHARU, Feb 19 , 2013- Menteri Besar Datuk Abdul Ghani Othman hopes joint-venture projects by Malaysia and Singapore companies in Danga Bay will help spur more cross-border transactions in Iskandar Malaysia.
Speaking during the signing ceremony of the Head of Agreement (HOA) between Iskandar Waterfront Sdn Bhd (IWSB), CapitaLand Ltd and Temasek Holdings today, he said the "big boys" in Singapore and across the region would take the cue from the historic event today.
"I am confident this will spur even more cross-border transactions as the "big boys" in Singapore and across the region will take the cue from Temasek and CapitaLand to explore more investment opportunities in Iskandar Malaysia," he said.
Prime Minister Datuk Seri Najib Tun Razak and his Singapore counterpart Lee Hsien Loong and several cabinet ministers from the two countries witnessed the signing ceremony at the Danga Bay Convention Centre here.
The three joint-venture partners inked the HOA to jointly acquire and develop parcels of land in Danga Bay known as "A2 Island".
The joint venture will acquire 71.4 acres or 3.1 million square feet of freehold net land in A2 Island, Danga Bay, for a purchase price of RM811 million (S$324 million), which will be paid over a period of four-and-a-half-years.
CapitaLand Malaysia, a wholly-owned subsidiary of CapitaLand Ltd, IWSB and Temasek will hold 51 per cent, 40 per cent and nine per cent stakes, respectively, in the joint venture.
Ghani said Johor welcomed more Singapore government-linked companies to enter into joint ventures with IWSB and other local enterprises to tap the potential for property development that Iskandar Malaysia has to offer.
"This joint venture between a Johor entity and two of the island republic's biggest economic players will give confidence to others waiting on the sidelines that investment in Iskandar Malaysia is an opportunity not to be missed," he said.
He said Johor and Singapore enjoyed a long-standing, friendly and multi-faceted relationship that are bound by common history, intimate geography and deep abiding social ties.
More information: BERNAMA
Wednesday, February 13, 2013
S&P Ratings On MISC, Petronas Not Affected By Proposed Takeover
3 Rabiulakhir 1434
KUALA LUMPUR, Feb 13 , 2013 - Standard & Poor's Rating Services (S&P) said its ratings on MISC Bhd and Petronas will not be affected by Petronas' proposed conditional takeover of the shipping corporation.
It said the proposed transaction supported its assessment of MISC's strategic importance to its parent company, Petronas.
"In addition, the transaction is unlikely to have any effect on Petronas' financial risk profile," it said in a statement.
Petronas currently owned about 63 per cent of MISC.
The rating on MISC incorporated a three-notch uplift from the company's stand-alone credit profile of 'bb' to reflect strong business and financial support from Petronas.
"As a majority-owned subsidiary, MISC is already consolidated in Petronas' accounts.
"We believe that Petronas has sufficient financial resources to complete the takeover.
"Petronas' financial risk profile is "minimal" and its liquidity is "strong", as our criteria defines these terms," it added.
Recently, Petronas proposed to take MISC private with a cash offer of RM5.30 per share for what it does not already own.
More information: BERNAMA
KUALA LUMPUR, Feb 13 , 2013 - Standard & Poor's Rating Services (S&P) said its ratings on MISC Bhd and Petronas will not be affected by Petronas' proposed conditional takeover of the shipping corporation.
It said the proposed transaction supported its assessment of MISC's strategic importance to its parent company, Petronas.
"In addition, the transaction is unlikely to have any effect on Petronas' financial risk profile," it said in a statement.
Petronas currently owned about 63 per cent of MISC.
The rating on MISC incorporated a three-notch uplift from the company's stand-alone credit profile of 'bb' to reflect strong business and financial support from Petronas.
"As a majority-owned subsidiary, MISC is already consolidated in Petronas' accounts.
"We believe that Petronas has sufficient financial resources to complete the takeover.
"Petronas' financial risk profile is "minimal" and its liquidity is "strong", as our criteria defines these terms," it added.
Recently, Petronas proposed to take MISC private with a cash offer of RM5.30 per share for what it does not already own.
More information: BERNAMA
Thursday, October 18, 2012
Reports Speculative in Nature:Green Packet
2 Zulhijjah 1433
KUALA LUMPUR: Green Packet Bhd, whose share price had risen in very active trade over the speculation on the sale of its broadband business, declined to comment yesterday.
It had earlier in the day, through a public relations company, sent an email advisory to the press to expect an announcement later in the day.
Describing the articles as "speculative in nature", it said the company's public communication policy is not to comment on press articles which are speculative in nature.
"The company holds itself to the highest standards of corporate governance and will ensure that all announceable agreements or transactions will be disclosed to Bursa Malaysia Securities Bhd and the investors accordingly," the company said in its filing to Bursa Malaysia.
More information :Business Times Malaysia
KUALA LUMPUR: Green Packet Bhd, whose share price had risen in very active trade over the speculation on the sale of its broadband business, declined to comment yesterday.
It had earlier in the day, through a public relations company, sent an email advisory to the press to expect an announcement later in the day.
Describing the articles as "speculative in nature", it said the company's public communication policy is not to comment on press articles which are speculative in nature.
"The company holds itself to the highest standards of corporate governance and will ensure that all announceable agreements or transactions will be disclosed to Bursa Malaysia Securities Bhd and the investors accordingly," the company said in its filing to Bursa Malaysia.
More information :Business Times Malaysia
Sunday, June 17, 2012
Telekom Malaysia remains as top pick for CIMB Research
28 Rejab 1433
KUALA LUMPUR: CIMB Research remains Neutral on the mobile telecommunications sector, and said it rmained cautious on DiGi.Com Bhd given that the migrant market contributes to a hefty 20% of its revenue. Maxis has said it will not let up until it captures its fair share of the market."Telekom Malaysia is our top pick as it is largely spared from the tussle in the mobile space," said CIMB Research.More Information : The Star
Wednesday, May 16, 2012
TM Remains Top Pick
25 Jamadilakhir 1433
TELEKOM Malaysia Bhd (TM) remains an “outperform” with a higher discounted cashflow-based target price as we lower its weighted average cost of capital for its active capital management. It is one of our top picks due to its continued strong growth and positive earnings surprises.
Investors we met with were concerned about competition from 4G or long-term evolution. However, we think that wireless and fibre broadband are complementary as it is less cost-competitive given the scarcity of spectrum.
TM thinks that wireless broadband presents an opportunity to wholesale backhaul to the wireless operators.
TM is also trying to up-sell its services to maximise revenue and we do not expect any major asset disposals. We sense limited scope for special dividends in financial year ending Dec 31 as it sold all its substantial non-core assets and operational gains are unlikely to be very significant.
More information: thestar
TELEKOM Malaysia Bhd (TM) remains an “outperform” with a higher discounted cashflow-based target price as we lower its weighted average cost of capital for its active capital management. It is one of our top picks due to its continued strong growth and positive earnings surprises.
Investors we met with were concerned about competition from 4G or long-term evolution. However, we think that wireless and fibre broadband are complementary as it is less cost-competitive given the scarcity of spectrum.
TM thinks that wireless broadband presents an opportunity to wholesale backhaul to the wireless operators.
TM is also trying to up-sell its services to maximise revenue and we do not expect any major asset disposals. We sense limited scope for special dividends in financial year ending Dec 31 as it sold all its substantial non-core assets and operational gains are unlikely to be very significant.
More information: thestar
Monday, April 30, 2012
Puncak Niaga Gets RM500 Million Contracts In Oil & Gas Sector
9 Jamadilakhir 1433
SHAH ALAM, April 30, 2012- Puncak Niaga Holdings Bhd, which ventured into the oil and gas industry last year, has managed to secure contracts worth RM500 million, said its executive chairman Tan Sri Rozali Ismail.
Its involvement in the industry is via wholly-owned unit, Puncak Oil and Gas Sdn Bhd (POG), which had stakes in Global Offshore (M) Sdn Bhd and KGL Ltd last year.
Rozali said the company has been involved in many projects here and was ready for expansion overseas after recruiting experienced and capable staff to expand the oil and gas operations.
More information: BERNAMA
SHAH ALAM, April 30, 2012- Puncak Niaga Holdings Bhd, which ventured into the oil and gas industry last year, has managed to secure contracts worth RM500 million, said its executive chairman Tan Sri Rozali Ismail.
Its involvement in the industry is via wholly-owned unit, Puncak Oil and Gas Sdn Bhd (POG), which had stakes in Global Offshore (M) Sdn Bhd and KGL Ltd last year.
Rozali said the company has been involved in many projects here and was ready for expansion overseas after recruiting experienced and capable staff to expand the oil and gas operations.
More information: BERNAMA
Monday, April 16, 2012
Foreign Buyers Purchase Bursa-listed Shares Amounting To RM162 Million
24 Jamadilawal 1433
KUALA LUMPUR, April 16 , 2012- Bernama reported that shares on Bursa Malaysia continued to attract foreign buyers last week with RM162 million worth of stocks purchased against RM433 million bought the week before, says MIDF Research.
It was the ninth consecutive week of foreign buying and Malaysian stocks had overtaken Thailand as the region's biggest net beneficiary of foreign investment in equity for the year until last week.
Detail information at :http://www.bernama.com/bernama/v6/newsbusiness.php?id=659369
KUALA LUMPUR, April 16 , 2012- Bernama reported that shares on Bursa Malaysia continued to attract foreign buyers last week with RM162 million worth of stocks purchased against RM433 million bought the week before, says MIDF Research.
It was the ninth consecutive week of foreign buying and Malaysian stocks had overtaken Thailand as the region's biggest net beneficiary of foreign investment in equity for the year until last week.
Detail information at :http://www.bernama.com/bernama/v6/newsbusiness.php?id=659369
Friday, April 6, 2012
TM Expects Increase In Subscribers For Cloud Services
14 Jamadilawal 1433
KUALA LUMPUR, April 6,2012- Telekom Malaysia (TM) Bhd expects its customers for cloud services using Microsoft Office 365 software to increase this year.
Group Chief Executive Officer Datuk Seri Zamzamzairani Mohd Isa said the company currently has 20 customers comprising 2,000 users who are on trial for that service.
"Although they are currently on trial, we expect to convert them to permanent customers in the future and we foresee the number of customers to increase," he told reporters after the launch of TM Career and Education fair by the Deputy Minister of Higher Education Datuk Saifuddin Abdullah here today.
TM hoped those customers on trial will take up the service once the trial period has expired while it continued to look for potential customers.
"We believed the cloud service will be like the high-speed broadband service, UniFi, where for the first six months we only recorded 33,000 customers but after two years down the road, our customers have increased to over 300,000 at present," he said.
However, Zamzamzairani said following the introduction of the cloud service, the company planned to develop more Information Communication Technology (ICT) services for the small and medium entreprises.
"For a start, we have signed a partnership agreement with Microsoft for the Office 365 software to expand our cloud services offering by including it as part of TM's software services," he said, adding TM is also looking at other companies to enhance its cloud service.
On the development of UniFi service in other states, Zamzamzairani said TM will continue to expand coverage and is targeting to record 400,000 subscribers by year-end.
"UniFi is now enjoying a take-up rate of over 20 per cent of the premises passed, surpassing our initial estimates and expectations of eight to 10 per cent," he added.
The service is currently available at 81 exchange areas covering some 1.2 million premises. The areas are 64 in the Klang Valley, two in Penang, three in Kedah, nine in Johor and one each in Melaka, Negeri Sembilan and Perak.
Source- BERNAMA
KUALA LUMPUR, April 6,2012- Telekom Malaysia (TM) Bhd expects its customers for cloud services using Microsoft Office 365 software to increase this year.
Group Chief Executive Officer Datuk Seri Zamzamzairani Mohd Isa said the company currently has 20 customers comprising 2,000 users who are on trial for that service.
"Although they are currently on trial, we expect to convert them to permanent customers in the future and we foresee the number of customers to increase," he told reporters after the launch of TM Career and Education fair by the Deputy Minister of Higher Education Datuk Saifuddin Abdullah here today.
TM hoped those customers on trial will take up the service once the trial period has expired while it continued to look for potential customers.
"We believed the cloud service will be like the high-speed broadband service, UniFi, where for the first six months we only recorded 33,000 customers but after two years down the road, our customers have increased to over 300,000 at present," he said.
However, Zamzamzairani said following the introduction of the cloud service, the company planned to develop more Information Communication Technology (ICT) services for the small and medium entreprises.
"For a start, we have signed a partnership agreement with Microsoft for the Office 365 software to expand our cloud services offering by including it as part of TM's software services," he said, adding TM is also looking at other companies to enhance its cloud service.
On the development of UniFi service in other states, Zamzamzairani said TM will continue to expand coverage and is targeting to record 400,000 subscribers by year-end.
"UniFi is now enjoying a take-up rate of over 20 per cent of the premises passed, surpassing our initial estimates and expectations of eight to 10 per cent," he added.
The service is currently available at 81 exchange areas covering some 1.2 million premises. The areas are 64 in the Klang Valley, two in Penang, three in Kedah, nine in Johor and one each in Melaka, Negeri Sembilan and Perak.
Source- BERNAMA
Thursday, March 22, 2012
TM Targets 10 Pct Growth In SME Subscribers This Year
29 Rabiulakhir 1433
KUALA LUMPUR, March 22 , 2012- Telekom Malaysia Bhd (TM) aims to achieve 10 per cent growth in its small and medium enterprises (SME) customers by end-2012, from 494,000 customers currently.
TM SME executive vice-president, Azizi A Hadi said the company is committed in its partnership role to support SME development and growth by enabling them to achieve a competitive edge, leveraging on its wide array of solutions and extensive networks nationwide.
"SME BizFest is one of the many special platforms that we have prepared for Malaysian SMEs," Azizi said at the launch of the inaugural SME BizFest 2012 here today.
TM has projected to generate more than RM1 million in business transactions from the events, he added.
SME BizFest 2012 is a two-day event which will be held in three major cities namely Penang (April 13-14), Johor Baharu (May 11-12) and Kuala Lumpur (May 18-19).
SME BizFest 2012 aimed to provide a synergistic information communication technolgy (ICT) showcase for Malaysian SMEs to increase knowledge and awareness in products and services.
Among the highlights were interactive presentations, plenary style conferences covering a wide range of ICT and SME topics by renowned international and local speakers, latest technology demonstration and exhibitions.
SME BizFest also provided an avenue for SMEs to interact among themselves and opened up business opportunities through business matching sessions during the event.
The series of event was expected to attract more than 500,000 SME business communities in Malaysia that require ICT solutions to improve and enhance their business operations.
Source- BERNAMA
KUALA LUMPUR, March 22 , 2012- Telekom Malaysia Bhd (TM) aims to achieve 10 per cent growth in its small and medium enterprises (SME) customers by end-2012, from 494,000 customers currently.
TM SME executive vice-president, Azizi A Hadi said the company is committed in its partnership role to support SME development and growth by enabling them to achieve a competitive edge, leveraging on its wide array of solutions and extensive networks nationwide.
"SME BizFest is one of the many special platforms that we have prepared for Malaysian SMEs," Azizi said at the launch of the inaugural SME BizFest 2012 here today.
TM has projected to generate more than RM1 million in business transactions from the events, he added.
SME BizFest 2012 is a two-day event which will be held in three major cities namely Penang (April 13-14), Johor Baharu (May 11-12) and Kuala Lumpur (May 18-19).
SME BizFest 2012 aimed to provide a synergistic information communication technolgy (ICT) showcase for Malaysian SMEs to increase knowledge and awareness in products and services.
Among the highlights were interactive presentations, plenary style conferences covering a wide range of ICT and SME topics by renowned international and local speakers, latest technology demonstration and exhibitions.
SME BizFest also provided an avenue for SMEs to interact among themselves and opened up business opportunities through business matching sessions during the event.
The series of event was expected to attract more than 500,000 SME business communities in Malaysia that require ICT solutions to improve and enhance their business operations.
Source- BERNAMA
Sunday, March 4, 2012
HLIB Research Maintains 'Buy Call' On Time dotcom
12 Rabiulakhir 1433
KUALA LUMPUR, March 5 (Bernama) -- HLIB Research is maintaining its "buy call" on Time dotCom Bhd (TdC) with a some-of-parts target price of RM0.85.
In a research note Monday, the research division of Hong Leong Investment Bank Bhd said news of TdC's potential acquiree, Global Transit Ltd, signing a pact with PT PGAS Telekomunikasi Nusantara to provide bandwidth connectivity to Indonesia was a positive milestone in TdC's regional expansion plan.
It said Indonesia was one the markets in the region with the highest growth (over 30 per cent) on the back of low mobile and internet penetration rates of 62.7 per cent and 1.1 per cent respectively.
"New acquisitions, when integrated as a group will further enhance earnings due to volume synergies and the utilisation of assets at owner-cost prices," it said.
Source - BERNAMA
KUALA LUMPUR, March 5 (Bernama) -- HLIB Research is maintaining its "buy call" on Time dotCom Bhd (TdC) with a some-of-parts target price of RM0.85.
In a research note Monday, the research division of Hong Leong Investment Bank Bhd said news of TdC's potential acquiree, Global Transit Ltd, signing a pact with PT PGAS Telekomunikasi Nusantara to provide bandwidth connectivity to Indonesia was a positive milestone in TdC's regional expansion plan.
It said Indonesia was one the markets in the region with the highest growth (over 30 per cent) on the back of low mobile and internet penetration rates of 62.7 per cent and 1.1 per cent respectively.
"New acquisitions, when integrated as a group will further enhance earnings due to volume synergies and the utilisation of assets at owner-cost prices," it said.
Source - BERNAMA
Friday, January 20, 2012
Aussie Private Equity Groups Looking To Asia For Funds
26 Safar 1433
MELBOURNE, Jan 20, 2012- Private equity groups are looking overseas for new sources of funding as Australian superannuation funds scale back their investment in the sector.
The Australian Private Equity and Venture Capital Association (AVCAL) is working to attract Asian investors as part of a push to help mid-tier funds facing hard times, its chief executive Katherine Woodthorpe said.
"Australia's much more than Archer and CHAMP (private equity funds). There are whole tiers of quality smaller firms below that.
"The pulling back of the supers has been a huge concern for smaller funds," Woodthorpe told news agency AAP.
Mid-tier private equity funds managing between A$100 million and A$250 million have struggled to find local investors as super funds pared back investments and reallocated capital to larger, international players, AAP said.
Last year, two of the private equity sector's largest investors, Victoria Funds Management Corp and UniSuper, cut their exposure to the sector in a bid to streamline costs.
Quentin Jones, a partner in mid-cap fund Equity Partners, told AAP the push for greater funding from overseas would help smaller funds by easing Asian investors' concerns about their exposure to the Australian market.
"The problem offshore investors (face) is, they often have minimum cheque sizes of say A$50 million, but don't want more than a 10 per cent stake.
"For small funds like ours, that are only around A$100 million, this creates a huge problem," he said
AAP said Australia's private equity industry has seen a drop off in activity in recent years as liquidity has dried up in the wake of the global financial crisis.
The value of deals done in 2010 slumped to A$3.9 billion with only 43 new transactions in the whole 12 months, according to AVCAL data. This was down from a peak of A$24.9 billion in 2007.
Experts forecast a pick up in 2012 as cash-rich funds coming toward the end of their investment cycle go bargain-hunting in undervalued equity markets.
Source- BERNAMA
MELBOURNE, Jan 20, 2012- Private equity groups are looking overseas for new sources of funding as Australian superannuation funds scale back their investment in the sector.
The Australian Private Equity and Venture Capital Association (AVCAL) is working to attract Asian investors as part of a push to help mid-tier funds facing hard times, its chief executive Katherine Woodthorpe said.
"Australia's much more than Archer and CHAMP (private equity funds). There are whole tiers of quality smaller firms below that.
"The pulling back of the supers has been a huge concern for smaller funds," Woodthorpe told news agency AAP.
Mid-tier private equity funds managing between A$100 million and A$250 million have struggled to find local investors as super funds pared back investments and reallocated capital to larger, international players, AAP said.
Last year, two of the private equity sector's largest investors, Victoria Funds Management Corp and UniSuper, cut their exposure to the sector in a bid to streamline costs.
Quentin Jones, a partner in mid-cap fund Equity Partners, told AAP the push for greater funding from overseas would help smaller funds by easing Asian investors' concerns about their exposure to the Australian market.
"The problem offshore investors (face) is, they often have minimum cheque sizes of say A$50 million, but don't want more than a 10 per cent stake.
"For small funds like ours, that are only around A$100 million, this creates a huge problem," he said
AAP said Australia's private equity industry has seen a drop off in activity in recent years as liquidity has dried up in the wake of the global financial crisis.
The value of deals done in 2010 slumped to A$3.9 billion with only 43 new transactions in the whole 12 months, according to AVCAL data. This was down from a peak of A$24.9 billion in 2007.
Experts forecast a pick up in 2012 as cash-rich funds coming toward the end of their investment cycle go bargain-hunting in undervalued equity markets.
Source- BERNAMA
Thursday, January 12, 2012
Investors Advised To Invest In Fixed Income
18 Safar 1433
KUALA LUMPUR Jan 12, 2012- Investors are advised to invest more in fixed income or bonds, compared to equities in the current economic situation.
Citibank Malaysia's Head of Investment Strategist and Research, Wealth Management Products, Steven Yong said a defensive strategy with a larger portion of fixed income seems to be better for the cautious investor during the first half of this year.
"Fixed income is expected to do well in the first quarter," he added.
Yong said investors could focus on the emerging market debt as the economies of these countries were healthier.
While recommending fixed income for defensive investment, he said there were also opportunities in the equity markets in Asia.
"The equity markets in Asia are undervalued. This creates opportunities for investors but they have to be selective," he added.
He said the region is expected to record a Gross Domestic Product (GDP) of six per cent this year compared to less than two in the developed countries.
"The Asian economies are performing much better than those of the developed countries.
"Investors need to remember that regardless of the global and domestic economies, markets and political environments, they should remain conservative yet nimble in their asset allocation.
"Investors should remain invested but investment portfolios must be properly balanced to withstand volatility," he added.
Yong also said that gold would continue to have a positive outlook on the back of investment demand. He projects gold prices to average around US$1,950/oz in 2012.
He also sees a lot of growth in the local unit trust industry with local funds performing very well.
Meanwhile, he said, oil prices would likely be supported over US$100/bbl by several factors, including geopolitical risks and expectations of more liquidity tranches to come via monetary policy.
Yong expects Malaysia to record a growth of six per cent in its GDP for 2013.
Interest rates he said, will either remain flat or be lowered before year-end while inflation would be around 2.7 per cent for 2012.
Source- BERNAMA
KUALA LUMPUR Jan 12, 2012- Investors are advised to invest more in fixed income or bonds, compared to equities in the current economic situation.
Citibank Malaysia's Head of Investment Strategist and Research, Wealth Management Products, Steven Yong said a defensive strategy with a larger portion of fixed income seems to be better for the cautious investor during the first half of this year.
"Fixed income is expected to do well in the first quarter," he added.
Yong said investors could focus on the emerging market debt as the economies of these countries were healthier.
While recommending fixed income for defensive investment, he said there were also opportunities in the equity markets in Asia.
"The equity markets in Asia are undervalued. This creates opportunities for investors but they have to be selective," he added.
He said the region is expected to record a Gross Domestic Product (GDP) of six per cent this year compared to less than two in the developed countries.
"The Asian economies are performing much better than those of the developed countries.
"Investors need to remember that regardless of the global and domestic economies, markets and political environments, they should remain conservative yet nimble in their asset allocation.
"Investors should remain invested but investment portfolios must be properly balanced to withstand volatility," he added.
Yong also said that gold would continue to have a positive outlook on the back of investment demand. He projects gold prices to average around US$1,950/oz in 2012.
He also sees a lot of growth in the local unit trust industry with local funds performing very well.
Meanwhile, he said, oil prices would likely be supported over US$100/bbl by several factors, including geopolitical risks and expectations of more liquidity tranches to come via monetary policy.
Yong expects Malaysia to record a growth of six per cent in its GDP for 2013.
Interest rates he said, will either remain flat or be lowered before year-end while inflation would be around 2.7 per cent for 2012.
Source- BERNAMA
Friday, January 6, 2012
OSK Revises Time dotCom To "Neutral"
11 Safar 1433
KUALA LUMPUR, Jan 5 , 2012- OSK Research has revised downwards Time dotCom Bhd to "neutral" from "buy" based on an unchanged sum-of-parts fair value of 70 sen.
In a research note Thursday, it said the recommendation did not factor in the contribution from the recently acquired Global Transit Communications Sdn Bhd, Global Transit Ltd and Applied Information Management Services Sdn Bhd pending further guidance from the management.
"We expect limited price upside, even after including the implied valuations of the three companies," it said, adding that Time dotCom also proposed to acquire Global Transit Singapore and Global Transit Hong Kong.
It said the acquisitions were made to enter the international submarine cable business, tap into the regional wholesale customer base, strengthen the global bandwidth business and diversify into the high growth data centre and managed services business.
"Management reckons that earnings should grow at the mid-teens level, fuelled by the wholesale data segment.
"It (Time dotCom) believes the business will outpace the annual bandwidth price erosion of 15-20 per cent and mitigate the cannibalisation of voice revenue," OSK Research said.
Source- BERNAMA
KUALA LUMPUR, Jan 5 , 2012- OSK Research has revised downwards Time dotCom Bhd to "neutral" from "buy" based on an unchanged sum-of-parts fair value of 70 sen.
In a research note Thursday, it said the recommendation did not factor in the contribution from the recently acquired Global Transit Communications Sdn Bhd, Global Transit Ltd and Applied Information Management Services Sdn Bhd pending further guidance from the management.
"We expect limited price upside, even after including the implied valuations of the three companies," it said, adding that Time dotCom also proposed to acquire Global Transit Singapore and Global Transit Hong Kong.
It said the acquisitions were made to enter the international submarine cable business, tap into the regional wholesale customer base, strengthen the global bandwidth business and diversify into the high growth data centre and managed services business.
"Management reckons that earnings should grow at the mid-teens level, fuelled by the wholesale data segment.
"It (Time dotCom) believes the business will outpace the annual bandwidth price erosion of 15-20 per cent and mitigate the cannibalisation of voice revenue," OSK Research said.
Source- BERNAMA
Tuesday, January 3, 2012
HLIB Maintains "Hold" Call On Telekom Malaysia
9 Safar 1433
KUALA LUMPUR, Jan 3 , 2012- Hong Leong Investment Bank (HLIB) is maintaining a "hold" call on Telekom Malaysia Bhd (TM), with an unchanged target price of RM4.54 per share, given the recent price rally.
"The stock is likely to continue attracting investors due to its defensive nature amid strong swings in global equity markets," said HLIB in a research note today.
The research firm said the nation's largest integrated solutions provider has budgeted between RM2.7 billion and RM3 billion in capital expenditure (CAPEX) for this year as it continued to roll out high speed broadband (HSBB) access to more areas.
Source- BERNAMA
KUALA LUMPUR, Jan 3 , 2012- Hong Leong Investment Bank (HLIB) is maintaining a "hold" call on Telekom Malaysia Bhd (TM), with an unchanged target price of RM4.54 per share, given the recent price rally.
"The stock is likely to continue attracting investors due to its defensive nature amid strong swings in global equity markets," said HLIB in a research note today.
The research firm said the nation's largest integrated solutions provider has budgeted between RM2.7 billion and RM3 billion in capital expenditure (CAPEX) for this year as it continued to roll out high speed broadband (HSBB) access to more areas.
Source- BERNAMA
Wednesday, December 28, 2011
OSK 'Buy' Calls On TM, Axiata
4 Safar 1433
KUALA LUMPUR, Dec 29 ,2011 - OSK Research Sdn Bhd has maintained a 'buy' call on Axiata Group Bhd with a target price of RM5.60.
In a research statement Thursday, OSK said in the face of global economic uncertainties, the Axiata management has undertaken good strategic initiatives to keep operating cost lean.
"Axiata is also promoting sharing of infrastructure on the back of accelerating data usage, and it remains as an inexpensive regional mobile exposure," it said.
OSK said a major re-rating catalyst would come from a higher dividend payout.
Meanwhile, the research firm has rated Telekom Malaysia Bhd (TM) a 'buy' with target price of RM5.15.
It said TM's core earnings were expected to pick up in financial year 2012 as Unifi's footprint expanded to 1.3 million premises.
"We also gather from TM that Unifi's base rose above 200,000 at end-November 2011, beating the management's own expectations and our estimate," it said.
OSK said TM would also benefit from the ramp-up in wholesale contribution following the inking of High-Speed Broadband wholesale agreements with Maxis and P1 this year.
It said the stock remained one of its top picks for exposure to the telecommunications sector.
"Its foreign shareholding level rose 19 per cent at end-October, a level last seen in 2008, reflecting renewed optimism on the stock," it said.
Source- BERNAMA
KUALA LUMPUR, Dec 29 ,2011 - OSK Research Sdn Bhd has maintained a 'buy' call on Axiata Group Bhd with a target price of RM5.60.
In a research statement Thursday, OSK said in the face of global economic uncertainties, the Axiata management has undertaken good strategic initiatives to keep operating cost lean.
"Axiata is also promoting sharing of infrastructure on the back of accelerating data usage, and it remains as an inexpensive regional mobile exposure," it said.
OSK said a major re-rating catalyst would come from a higher dividend payout.
Meanwhile, the research firm has rated Telekom Malaysia Bhd (TM) a 'buy' with target price of RM5.15.
It said TM's core earnings were expected to pick up in financial year 2012 as Unifi's footprint expanded to 1.3 million premises.
"We also gather from TM that Unifi's base rose above 200,000 at end-November 2011, beating the management's own expectations and our estimate," it said.
OSK said TM would also benefit from the ramp-up in wholesale contribution following the inking of High-Speed Broadband wholesale agreements with Maxis and P1 this year.
It said the stock remained one of its top picks for exposure to the telecommunications sector.
"Its foreign shareholding level rose 19 per cent at end-October, a level last seen in 2008, reflecting renewed optimism on the stock," it said.
Source- BERNAMA
Thursday, December 15, 2011
Target-volatility Strategies, A Response To Current Investment Dilemma
20 Muharram 1433Hijrah
By Tengku Noor Shamsiah Tengku Abdullah
SINGAPORE, Dec 15 ,2011- Insurance companies and pension funds have traditionally played an important role as providers of long-term risk capital and, in a world of deleveraging credit institutions, are crucially needed to finance economic development.
However, recent and forthcoming changes in accounting and prudential standards encourage long-term institutional investors to invest in low-risk assets that are highly correlated with liabilities.
Meanwhile, in the current low-interest rate environment, institutional investors cannot meet their future obligations out of the yields on these instruments.
At the same time, risk-based capital charges and financial reporting standards penalise assets that offer high-risk premia and make it expensive for long-term investors to directly hold volatile assets.
In a new study entitled "Structured Equity Investment Strategies for Long-Term Asian Investors" conducted with the support of Societe Generale Corporate & Investment Banking, Stoyan Stoyanov, Head of Research at EDHEC Risk Institute-Asia and professor of finance at EDHEC Business School, examines the dilemma of how to extract risk premia while limiting exposure to downside risks.
The study looks at the control of volatility as an objective and assesses various strategies to pursue this goal: a fixed mix of equity and risk-free assets, dynamic allocation between these assets targeting a fixed volatility, traditional portfolio insurance implementing a capital guarantee, and a target volatility strategy overlaid with a capital guarantee.
The empirical focus on Asian equity markets is justified not only by the region's importance in the shifting balance of economic power but also by the higher volatility of these markets and the difficulty of hedging in the absence of local volatility derivatives.
Research results show that a target-volatility strategy allows for effective management of volatility and that it both significantly reduces the downside risks and improves the upside potential compared to a fixed-mix strategy.
It also augments investors' access to the upside potential when a capital guarantee overlay is applied. Furthermore, the explicit management of volatility is found to reduce the cost of capital protection.
The study also documents utility gains for risk-averse investors regardless of the presence of a capital guarantee overlay and argues that significant allocations should be made to structured equity investment strategies with volatility targeting.
The study has important practical implications for long-term investors. Though evidence is taken from examining Asian equity markets, the results are applicable in other regions and for asset classes that exhibit similar characteristics.
EDHEC-Risk Institute is part of EDHEC Business School, one of Europe's leading business schools and a member of the select group of academic institutions worldwide to have earned the triple crown of international accreditations.
Societe Generale is one of the largest European financial services groups.
Source- BERNAMA
By Tengku Noor Shamsiah Tengku Abdullah
SINGAPORE, Dec 15 ,2011- Insurance companies and pension funds have traditionally played an important role as providers of long-term risk capital and, in a world of deleveraging credit institutions, are crucially needed to finance economic development.
However, recent and forthcoming changes in accounting and prudential standards encourage long-term institutional investors to invest in low-risk assets that are highly correlated with liabilities.
Meanwhile, in the current low-interest rate environment, institutional investors cannot meet their future obligations out of the yields on these instruments.
At the same time, risk-based capital charges and financial reporting standards penalise assets that offer high-risk premia and make it expensive for long-term investors to directly hold volatile assets.
In a new study entitled "Structured Equity Investment Strategies for Long-Term Asian Investors" conducted with the support of Societe Generale Corporate & Investment Banking, Stoyan Stoyanov, Head of Research at EDHEC Risk Institute-Asia and professor of finance at EDHEC Business School, examines the dilemma of how to extract risk premia while limiting exposure to downside risks.
The study looks at the control of volatility as an objective and assesses various strategies to pursue this goal: a fixed mix of equity and risk-free assets, dynamic allocation between these assets targeting a fixed volatility, traditional portfolio insurance implementing a capital guarantee, and a target volatility strategy overlaid with a capital guarantee.
The empirical focus on Asian equity markets is justified not only by the region's importance in the shifting balance of economic power but also by the higher volatility of these markets and the difficulty of hedging in the absence of local volatility derivatives.
Research results show that a target-volatility strategy allows for effective management of volatility and that it both significantly reduces the downside risks and improves the upside potential compared to a fixed-mix strategy.
It also augments investors' access to the upside potential when a capital guarantee overlay is applied. Furthermore, the explicit management of volatility is found to reduce the cost of capital protection.
The study also documents utility gains for risk-averse investors regardless of the presence of a capital guarantee overlay and argues that significant allocations should be made to structured equity investment strategies with volatility targeting.
The study has important practical implications for long-term investors. Though evidence is taken from examining Asian equity markets, the results are applicable in other regions and for asset classes that exhibit similar characteristics.
EDHEC-Risk Institute is part of EDHEC Business School, one of Europe's leading business schools and a member of the select group of academic institutions worldwide to have earned the triple crown of international accreditations.
Societe Generale is one of the largest European financial services groups.
Source- BERNAMA
Wednesday, May 11, 2011
Some Common Mistakes In Dealing With Stock Market
There are some common mistakes may be happen during investing money in the stock market. Among them are:
- Invest with little knowledge on the industry or the particular companies.
- Investment approach more speculative in nature rather than based on the fundamentals.
- Failure to formulate investment objectives.
- Buy at higher price and sell at a lower price.
- Too dependent on stock's tips from friends.
- Using personal loan with high interest rate to invest.
- Don’t have appropriate mechanism to monitor share price performance.
- Don’t have appropriate or basic investment portfolio management template.
- Others
How to avoid it?
- Set appropriate our investment objectives.
- Learning and acquire knowledge on the investment in the stock market and valuation techniques.
- Join a professional association in the field.
- Attend training seminars or industry briefing organised by some of the investment bank or stock brokers.
- Appoint appropriate/competent/capable remiser or dealer.
- Others
Sunday, April 17, 2011
How To Maximise Returns From Stock Investment ?
There are various ways to maximize the investment in the stock market. Among them are :
1.Invest in companies with strong financial position.This is important to ensure that the risk of failure of the investment in the long term can be reduced.
2.Set a target of investment returns.Profit-taking should be made if the stock has reached the target investment.
3.Invest in companies that often provide a high dividend yield.This is a two-pronged strategy that investors have the opportunity to obtain dividends and capital gain.
4.Invest in companies backed by government.It can reduce the risks related to the government policy.However, this option should be carefully evaluated.
5.Invest in companies that have monopolies in certain industries.This can reduce the risk of competition in the business.
1.Invest in companies with strong financial position.This is important to ensure that the risk of failure of the investment in the long term can be reduced.
2.Set a target of investment returns.Profit-taking should be made if the stock has reached the target investment.
3.Invest in companies that often provide a high dividend yield.This is a two-pronged strategy that investors have the opportunity to obtain dividends and capital gain.
4.Invest in companies backed by government.It can reduce the risks related to the government policy.However, this option should be carefully evaluated.
5.Invest in companies that have monopolies in certain industries.This can reduce the risk of competition in the business.
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