Highlights of the day
§
Astro
Malaysia
Astro Malaysia Holdings Bhd (AMH) is on track to raise
some RM4.6bn from its listing after it acquired the Malaysian businesses of
Astro All Asia Networks Limited (AAAN) (which was privatized back in 2010) as
part of its reorganization process in March 2011 and April 2011. We initiate
coverage on AMH with a HOLD recommendation. Our target price of RM3.09 is based
on DCF valuation (WACC: 7.4%, β: 1.5, terminal growth: 1%).
§
SapuraKencana
Petroleum (Results Review): 1HFY13
came in within expectations (Maintain HOLD, TP: RM2.46) [download
report]
1H FYE Jan 2013 net profit rose 45% y-o-y to RM218m which appears to be
below ours and market’s estimates. However, based on the extrapolation of
2QFY13 net profit of RM176m (1QFY13: RM41m) which includes Kencana Petroleum
Bhd (KPB) earnings, PATAMI was within our and market’s full-year forecasts of
RM536m and RM566m, respectively. The merger cost of RM120m has been reflected
in the 1H results. Y-o-y comparisons are pointless because 1HFY13 earnings
consolidated KPB results which was absent in the previous year. Maintain Hold
with a target price of RM2.46 based on 20x CY13 EPS of 12.3sen.
Other reports
Other Malaysian news
§
IJM Corp: To
buy stake in Scomi
§
CIMB: Wants
more revenue to come from abroad
§ CIMB: Hires ahead of
Indian brokerage licence
§
BRDB: Over
75% acceptance for takeover offer
§ Economy: Reserves
stand at RM432.2bn
§ IPO: Astro share
oversubscribed
§
Infrastructure: Government
mulls rail link with Asean, Chinese cities
§ Transportation:
CSR ZhuZhou signs MoA with government
Global news
§ US: Fed's
Williams sees expanded QE3 in 2013, end by 2014
§ Europe: Eurozone
push hits hurdle in Berlin
§ Europe: Germany
losing patience with Spain
§ Europe: Cyprus
§ Japan
§ South
Korea
§ Singapore
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