Professional Documents
Culture Documents
92
9.39
12.50
STI 2839.44
7.62
RM/USD 4.1320
CPO RM2611.00
18.00
OIL US$38.56
0.97
GOLD US$1234.70
10.40
PP 9974/08/2013 (032820)
PENINSULAR MALAYSIA RM1.60 (INCLUSIVE OF 6% GST)
FINANCIAL
DAILY
MAKE
BETTER
DECISIONS
www.theedgemarkets.com
5 HOME BUSINESS
Malaysias rich
looking to exit
the country
6 HOME BUSINESS
Sarawak CM
expects many
Chinese voters to
return to BN
1617 FOCUS
21 W O R L D
First Myanmar
civilian president
elected in decades
!
t
r
a
Mobius favours
Get snm
e
t
x
e
m
r
o
ou
y
m
h
d
n
i
o
F
c
.
Y
y
UNDERVALUED
L
t
r
N
e
O
p
ly, it's
s
u
o
i
r
Se
the
o
r
P
e
g
d
MALAYSIAN
E
e
Th
rtal
o
p
y
t
r
propeou need
y
MARKET
ON EDGE T V
www.theedgemarkets.com
Bringing
cognitive
computing to
the masses
IBM
To advertise contact
GL: (03) 7721 8000
Fax: (03) 7721 8288
Chief Marketing Ocer
Sharon Teh (012) 313 9056
General Manager, Digital Media
Kingston Low (012) 278 5540
Senior Sales Managers
Geetha Perumal (016) 250 8640
Fong Lai Kuan (012) 386 2831
Peter Hoe (019) 221 5351
Gregory Thu (012) 376 0614
Creative Marketing
Chris Wong (016) 687 6577
Head of Marketing Support & Ad Trac
Lorraine Chan (03) 7721 8001
Email: mkt.ad@bizedge.com
OPERATIONS
To order copy
Tel: 03-7721 8034 / 8033
Fax: 03-7721 8282
Email: hotline@bizedge.com
TheEdgeProperty.com
Managing Director Au Foong Yee
Editor Lam Jian Wyn
Contributing Editor Sharon Kam
Assistant Editor James Chong
MARKETING & ADVERTISING
Account Director
Sharon Chew (012) 316 5628
BUSINESS DEVELOPMENT
China said
to draft rules
for Tobin tax
on currency
trades
S T E V E N YA N G & S A IJ E L K IS H A N
4 HOME BUSINESS
Mobius favours
Malaysian market
China
remains an
enormous
growth
story
BY Y IMIE YO N G
HOME BUSINESS 5
statement on the findings of a technical assessment Wild Asia had conducted on behalf of FGVH, said Wild
Asia in a recent Facebook post. Wild
Asia would like to put on record that
it does not endorse FGVs original
public statement, which has been
made without the consultation of
Wild Asia.
The non-profit organisation
(NGO) said it was engaged to provide a technical assessment of FGVs
current labour management.
Wild Asias methodology for
the verification assessment was
designed around desktop reviews,
management and worker interviews,
as well as a five-day site visit to a
single palm oil mill complex (Negeri Sembilan), it added.
As it had inked a non-disclosure
agreement with FGV, Wild Asia said
it is unable to make further statements on the issue.
FGV had engaged with Wild Asia
after The Wall Street Journal (WSJ),
in its report published in late July last
year, alleged that FGV had withheld
wages for its palm oil harvesters
working in its plantations in Jempol,
most of whom are foreign labourers.
FGV group president and chief
executive officer Datuk Mohd Emir
Mavani Abdullah said in the companys March 4 statement that investigations into WSJ allegations were
also carried out by the Roundtable
on Sustainable Palm Oil (RSPO), of
which FGV is a member.
itors to appeal against the judgement. In view thereof, the company is unable to prepare and finalise
the minutes for the EGM until further notice, it said.
Wintonis 10 minority shareholders requisitioned an EGM in
September 2015 to remove the entire board, including executive director Datuk Tey Por Yee.
The board resigned a day before the EGM. It told Bursa then
that the meetings chairman had
declared the resolution to remove
the directors as academic.
On Nov 11 last year, it launched
legal actions against Foong & Partners for failing to hand over documents and records in relation to
the EGM held on Sept 11.
Foong & Partners claimed that
the meeting documents had been
handed over to Kang, one of the
10 shareholders of the company
who called for the EGM. by
Gho Chee Yuan
BY MEENA L A KSHA NA
6 HOME BUSINESS
Is gaming tax
next to go up?
Analysts neutral on
Top Gloves SGX
secondary listing
BY L AW Y I N- LY N
For every 1% hike in gaming tax, casino operators like Genting Malaysias bottom line
for FY16 would be negatively impacted by around 3%. As for NFOs, a 1% hike in gaming
tax/pool betting duties is estimated to negatively aect FY16 earnings for Berjaya Toto
by 6.5% to 7.5%. Photo by The Edge
BY S UPR IYA S UR E N D R A N
V& L AW Y IN - LY N
HOME BUSINESS 7
BY MEEN A L A KSHA NA
After almost a year of a duty-free policy applied to palm oil exports, the Malaysian
government is raising its CPO export tax from zero to 5% in April.
8 ST O C KS W I T H M O M E N T U M
www.theedgemarkets.com
Stocks with momentum were picked up using a proprietary algorithm by Asia Analytica Data Sdn Bhd and rst appeared at www.theedgemarkets.com.
Please exercise your own judgement or seek professional advice for your specic investment needs. We are not responsible for your investment decisions.
Our shareholders, directors and employees may have positions in any of the stocks mentioned.
HOME BUSINESS
telecommunication towers and rooftop structures to the eight telecommunication operators in Malaysia. Despite its venture into
green energy and provision of mechanical
and electrical services to construction sector, telecommunication network services
remain its main earnings driver, accounting for almost all of its total profit in 2015.
OCK stands to benefit from the networks
expansion undertaken by major telecommunications companies, which are expected to
invest heavily to expand their 3G and LTE
(Long-Term Evolution) coverage in Malaysia
over the next few years. Additionally, OCK
also seeks to expand its regional business in
ASEAN and China to tap into the growing
demand for telecommunication towers in
these emerging markets.
Established in 2000 and listed in 2012,
OCK is 39.8%-owned by Aliran Armada Sdn
Bhd and 13.6%-owned by Lembaga Tabung
Angkatan Tentera. The stock currently trades
at a trailing 12-month P/E of 23.4 times and
1.71 times book value.
Valuation score*
1.10
2.40
Fundamental score**
23.37
TTM P/E (x)
0.40
TTM PEG (x)
1.71
P/NAV (x)
TTM Dividend yield (%)
574.37
Market capitalisation (mil)
Shares outstanding (ex-treasury) mil 792.24
1.16
Beta
0.62-0.82
12-month price range
*Valuation score - Composite measure of historical return & valuation
**Fundamental score - Composite measure of balance sheet strength
& protability
Note: A score of 3.0 is the best to have and 0.0 is the worst to have
1 0 P R O P E RT Y S NA P S H
T
FREE
transaction
data
latest
classied
listings
news
analytics
trend
analysis
and more
Source: TheEdgeProperty.com
Source: TheEdgeProperty.com
The Analytics are based on the data available at the date of publication and may be subject to revision as and
when more data becomes available.
MOST READ ON
TheEdgeProperty.com
Selangor freezes
applications for
serviced apartment,
Soho and Sovo
B R O K E R S C A L L / T E C H N I C A L S 11
FBM KLCIs
bullish
trend well
supported
BY B ENN Y L EE
Revenue
Gross profit
Finance costs
2012
2013
2014
2015
2016F
2017F
2,314.5
2,313.2
2,275.4
2,510.5
3,088.8
3,371.9
385.0
363.2
383.5
554.9
522.3
549.6
(0.1)
(0.7)
(4.2)
(4.2)
(12.7)
(12.7)
240.7
242.2
216.3
363.5
509.6
536.9
(33.4)
(39.4)
(32.7)
(82.3)
(76.4)
(80.5)
Net profit
207.3
202.8
183.6
281.2
433.2
456.4
10.4
10.5
9.5
14.5
16.5
15.9
9.0
8.8
8.1
11.2
14.0
13.5
EPS (sen)
16.4
15.85
14.55
22.6
33.75
35.55
PER (x)
32.4
33.6
36.6
23.5
15.8
14.9
8.0
8.0
8.0
11.5
17.0
17.0
1.5
1.5
1.5
2.2
3.2
3.2
growth and operations in the future. Furthermore, as the company is actively looking into mergers
and acquisitions (M&A) of smaller
players and glove-related players,
we think the listing will assist in
broadening the companys M&A
horizon and boost attractiveness
to both potential targets and also
future investors.
14 B R O K E R S C A L L
Revenue
Gross profit
Ebitda
Ebitda margin (%)
Ebit
PBT
PAT
EPS (sen)
PER (x)
Gross dividend (sen)
Dividend yield (%)
ROE (%)
2014
2015
2016F
2017F
2018F
1,219.4
88.5
75.0
6.2
61.9
43.2
30.2
6.0
13.8
na
na
na
1,199.2
102.6
74.4
6.2
59.7
38.8
30.2
6.0
13.8
na
na
12.3
1,221.5
125.4
90.4
7.4
71.8
46.1
35.4
7.0
11.8
1.5
1.8
12.0
1,305.2
156.6
118.9
9.1
90.8
58.3
43.7
8.6
9.6
2.0
2.4
12.6
1,350.9
176.4
130.5
9.7
105.2
67.9
56.5
11.2
7.4
3.0
3.6
14.7
TA Enterprise Bhd
Source: TA Securities
Revenue
Ebitda
Pre-tax profit
Net profit
Net profit (pre ex)
Net profit growth (pre ex) (%)
EPS (sen)
EPS pre ex (sen)
EPS growth pre ex (%)
Diluted EPS (sen)
Net DPS (sen)
BV per share (sen)
PER (x)
PER pre ex (x)
P/CF (x)
EV/Ebitda (x)
Net dividend yield (%)
P/BV (x)
Net debt/equity (x)
ROAE (%)
2015A
2016F
2017F
2018F
723
249
68.9
2.20
2.20
(97.9)
0.13
0.13
(98)
0.13
0.04
115
415.5
415.5
4.8
14.7
0.1
0.5
0.4
0.1
1,205
309
167
69.7
69.7
3,063.1
4.07
4.07
3,063
4.07
1.22
119
13.1
13.1
7.1
11.8
2.3
0.5
0.4
3.5
979
274
126
50.6
50.6
(27.5)
2.95
2.95
(27)
2.95
0.89
120
18.1
18.1
4.6
13.0
1.7
0.4
0.3
2.5
1,183
338
185
77.0
77.0
52.3
4.50
4.50
52
4.50
1.35
124
11.9
11.9
5.1
10.4
2.5
0.4
0.3
3.7
%
20
6,000
15
5,000
10
4,000
5
3,000
2,000
-5
1,000
0
4Q11
-10
2Q12
4Q12
2Q13
4Q13
2Q14
4Q14
2Q15
4Q15
price-earnings ratio and price-tobook valuation; ii) an enticing dividend yield of 4.2% in 2016; and iii)
an expected slowdown in, if not
an end to, the equity fundraising
spree. RHB Capital Bhd remains
our top pick.
We estimate that loan loss provisioning will still increase in 2016,
but by a smaller 31.7% y-o-y (versus the 177.4% y-o-y jump in 2015).
We also project that the increase
in overheads will be narrower at
3.6% in 2016, compared with 6.3%
in 2015, thanks to cost-saving benefits from the MSS implemented by
RHB Capital and Hong Leong Bank
Bhd last year. Top-line growth is
expected to be softer in 2016, with
both net and non-interest incomes
slowing from 6% to 7% in 2015 to
4% to 5% in 2016 respectively.
CIMB Investment Bank, March 14
Sarawak CM
expects many
Chinese voters
to return to BN
KUCHING: The Barisan Nasional
(BN) is confident of winning back
considerable support from the Chinese in the coming Sarawak state
election, said Chief Minister Tan Sri
Adenan Satem.
He believes the wind of change
is coming due to a slew of policies
he has implemented since he took
over from Tun Abdul Taib Mahmud
in 2014.
There is a change, a shift back
[of support] to BN, he said in an interview with Bernama at his office
here yesterday.
He was asked on the voting trend
of the Chinese in Sarawak and what
he expects in the state election.
There has been [a change], I notice, because of my policies regarding the Chinese one, they are not
pendatang (immigrants), recognition of the Unified Examination
Certificate, admission of Chinese
graduates into the state civil service
and Sarawak Foundation and so on.
I think they are quite acceptable and I believe there is a change
of mind on their part but whether
it is enough or not, I dont know,
but definitely there is a shift back
to BN, he said.
As for problems in the allocation
of seats among BN component parties, he said his approach is through
persuasion for them to accept the
decision he would make rather than
to issue warnings.
He acknowledged that the existence of two Chinese-based parties, Sarawak United Peoples Party (SUPP) and the United Peoples
Party (UPP), on the BN side could
be a problem.
Now if there is a shift back to
BN, they (the Chinese) have to decide which party to vote for, UPP or
SUPP, and that will result in dividing them. So the best way is to have
a direct BN candidate, he added.
Asked whether the BN component parties had agreed to the suggestion for direct candidates, he
said some had agreed reluctantly,
but they all accepted the rationale for it.
On whether the Sarawak government has done enough for the
Chinese, he said it is up to them
(Chinese) to decide because he has
done the best for them. Bernama
H O M E 15
BERNAMA
16 FO CU S
See the
gloriously weird
cars in Amelia
Island this year
BY HA NN A H EL L IOTT
WE
PIX BY BLOOMBERG
19
M
gi
tr
an
Inside the Abarth, the tuning specialist Carlo Abarth developed his 1300 OT Periscopio
from a Fiat 850 chassis. It has a 145hp, inline four-cylinder engine, and a five-speed
manual transmission.
19
Th
d
re
se
b
re
m
19
O
af
tr
to
15
FO CU S 17
BERG
d
m
er
o
io
d
id
st
ce
he
The Lambo comes with a five-speed manual gearbox and has fewer than 98,169.98km
on it. Estimated price: US$750,000 (RM3.1 million).
18 H O M E
Shelter for
battered
husbands needed,
says psychologist
KUALA LUMPUR: The proposal to set up special shelters for
men abused by their wives is
relevant and necessary, a psychologist said.
Universiti Kebangsaan Malaysia psychology lecturer Muhammad Ajib Abd Razak said
in Western countries, such
shelters had long existed, with
various modules and intervention methods used comprehensively to help the victims.
In the West, the people
have an open attitude and
keep to the principles of human
rights, he told Bernama here.
However, he said, the proposal might not yet sink in
because of societys negative
perception, stigma and prejudice against abused husbands.
The husband is seen, in
the context of cultural practices, religion, race and ethnicity, as a symbol of leadership and guidance for the
wife, he said.
He added that the proposal must take into account the
confidentiality and safety of
those concerned.
The proposal is seen as giving men a way to resolve their
family issues.
They also need help, such
as counselling and advice, from
ulama or family members, he
said. Bernama
Ministries to discuss
steps to handle heatwave
KUALA LUMPUR: A meeting is
to be held today at the natural resources and environment ministry to discuss what measures
to take in view of the current hot
and dry weather caused by the El
Nino phenomenon. Its minister
Datuk Dr Wan Junaidi Tuanku
Jaafar said the meeting, to be
held at 2.30pm, would discuss
the need to establish a ministry-level national committee
on the matter. Representatives
of several other ministries and
agencies will also attend the
meeting, he told Bernama at the
Parliament lobby. It is feared that
the current hot and dry weather,
which is expected to last up to
June, may adversely affect the
biodiversity in the country and
give rise to haze. Bernama
BAUXITE ACTIVITY RESUMES ... Two months after a moratorium on bauxite mining was enforced on Jan 15,
work resumed yesterday on the transport of the ore and the clearing of bauxite deposits in Kuantan Port. The temporary cessation of
activity was ordered by the cabinet to allow a standard operating procedure to be introduced to control the pollution arising from the
activity. Photo by Bernama
PM condemns Ankara
bomb attack
IN BRIEF
COMMENT 19
As embassies move to
Nine Elms, demand
for luxury flats wanes
BY LIM YIN FOONG
Chinese 100 yuan banknotes and a US one dollar banknote are seen in this picture illustration. For more than 20 years, China has
kept the yuans value against the dollar in a very tight range. Photo by Reuters
20 W O R L D B U S I N E S S
IN BRIEF
Asciano broken up in
A$9.05b joint takeover
SYDNEY: Australian logistics
giant Asciano said yesterday
it was recommending a A$9.05
billion (RM28 billion) takeover
deal between two rival local and
international suitors, breaking
up the companys ports and rail
assets. The announcement ended a bidding war for Asciano,
a major Australian rail, freight
and port operator, between a
consortium led by Canadas
Brookfield Infrastructure Group
and a group led by Australias
Qube that includes a Chinese
sovereign wealth fund. Qube
will split the port business with
Brookfield, whose consortium
members include government
wealth fund the Qatar Investment Authority. AFP
W O R L D 21
Mass killer
makes Nazi
salute as he sues
Norway state
BY GWL A DYS FOU C HE
President Vladimir Putin said its military goal had been on the whole
completed.
Putin on Monday ordered the
withdrawal of the main part of Russias forces after talks with long-standing ally, Syrian President Bashar
al-Assad.
The surprise move won backing
from Angolas Ambassador Ismael
Gaspar Martins, who holds the Security Councils rotating presidency
this month.
But hopes for a breakthrough at
IN BRIEF
Western powers is expected to put
more pressure on Assad to negotiate
during the Geneva talks.
The Russian ambassador to the
UN Vitaly Churkin also said the
Kremlins move would boost chances
of a diplomatic solution to the conflict now in its sixth year.
The White House said President
Barack Obama had spoken to Putin
following Russias announcement,
and discussed the next steps required to fully implement the cessation of hostilities. AFP
First Myanmar
civilian president
elected in decades
Htin Kyaw will take office on April 1
BY KELLY M AC NAM ARA
& HLA-HLA HTAY
Htin Kyaw (second from left) and Suu Kyi (centre) leaving the parliament in Naypyitaw,
Myanmar, yesterday. Suu Kyis choice of Htin Kyaw to act in her place is seen as a
testament to her absolute faith in his loyalty. Photo by Reuters
US Congress calls IS
atrocities genocide
State prosecutors filed for the arrest of Lula last week after charging
him with money laundering for concealing ownership of a beachfront
condo, in a case that had been separate from the investigation overseen by Moro in the southern city
of Curitiba.
Accepting a cabinet position
would give Lula immunity from
Moro, though not from Brazils Supreme Court. Reuters
22
live it!
WE
(Fro
exec
MA
be
ind
iza
Ax
sta
in
ple
rs
as
an
ly.
bra
fou
P
A
C
live it! 23
WELLBEING . THE ARTS . WINE+DINE . STYLE+DESIGN . LEISURE
MUSIC
BY HANNAH M ERICAN
events and will showcase duets between Siti, Anggun, Afgan, Faizal Tahir, Hafiz Suip and Cakra Khan.
They will be accompanied by a 47 piece orchestra
featuring The Gotham All Stars, a funky band of
players hailing from New York City. The Gotham
All Stars have previously worked with big names in
the music industry including Mariah Carey, Justin
Timberlake and Katy Perry.
Xpax customers will stand a chance to catch this
exclusive concert as they will be giving away 2,500
exclusive twin passes to anyone who is active on
Yonder Music. They can do this by sending an SMS
<ON SITI> to 28882 and to subscribe to any monthly
internet pack. This will activate the Yonder Music
app. To find out more visit www.xpax.com.my for
ticketing options.
Personal
ASSISTANT
CO MPI L ED BY HA NNAH M ER ICAN
WATCH some of Shakespeares best lm adaptations with Kuala Lumpur Performing Arts
Centres (KLPac) Worlds Best Movies: William
Shakespeare 400 years this week. In celebration of 400 years of Shakespeare, KLPac will
be presenting some of the playwrights work
that has been adapted to lm. The lms chosen
have been curated by Datuk Faridah Merican
and Joe Hasham OAM. Films in the screening
include Shakespeare in Love, Gnomeo & Juliet
and West Side Story. Entry is subject to rst
come rst serve basis. The movie screenings
will be on from today until Saturday and starts
at 8pm. Admission is free. KLPac is located at
Jalan Strachan, Sentul, Kuala Lumpur. For
more information call (03) 4047 9000.
24 F E AT U R E
Want to be a nancial adviser in the US? All you have to do is pass the Uniform Investment Adviser Law Examination, a three-hour
exam that covers a variety of law and investment-related subjects.