FBMKLCI
1869.21 +4.34pts (+0.23%)
Volume 2.517b Value 2.117b
1) The KLCI closed
at its day high boosted by selected plantation name KLK, PPB, FGV at the close
while overall market was relative flat ahead of important U.S data tonight. In
the regional market, SHCOMP +0.80% continued to trend higher for a 5th session
led by property & financial on speculation the government is planning to
loosen financial curbs. In the local market, PLANTATION +0.83% index
outperformed other sectors as CPO prices gained for a 3rd consecutive day to
close above the RM2000pmt, biggest gainers were KLK +4.93%, FGV +1.85%, UTDPLT
+0.51%. Market breadth was negative with losers beating gainers by 430 : 390.
Futures closed at 1858.5 (11 pts discount).
2) Heavyweights : TENAGA -0.48% RM12.34, DIGI -0.86%
RM5.75, IOICORP -0.82% RM4.79, KLK +4.93% RM23.40, PETGAS +1.42% RM22.84, IHH
+1.44% RM4.92, PPB +2.04% RM15.00, AMBANK +1.49% RM6.77
3) DBT : MULPHA 40mil @ RM0.46 (1.69% PUC @ 4.2%
discount), LUSTER 30mil @ RM0.10 (1.90% PUC @ 13.1% discount), DESTINI 12.5mil
@ RM0.60 (1.56% PUC 2 RM5.6% discount), YILAI 12.253mil @ RM1.20 (7.66% PUC @
5.3% premium), FURNWEB 4mil @ RM0.80 (2.76% PUC @ 5.9% discount)
4) Situational:-
FAVCO +1.51% RM3.36 – Subsidiaries of Favelle Favco have
secured purchase orders for offshore and tower cranes worth RM119.9m. The
cranes maker said orders came from China Merchants Heavy Industry (Jiangsu) Co
Ltd, Shanghai Shipyard Co., Ltd and Melbourne-based Form 700 Pty Ltd. The
company said the above contracts are expected to contribute positively to the
earnings and net assets of the group for the financial year ending Dec 31, 2014
and beyond.
5) HL INDUSTRIES (HLIB)
With reference to the various announcements in relation
the proposed disposals of 100% Hume Industries M’sia & the entire 175m
6-year 2% non-cumulative irredeemable convertible preference shares of RM1 each
in Hume Cement to Narra Industries Berhad for a total consideration of RM348m
to be satisfied by the issuance of 348m new Narra shares at RM1 per share. Upon
the completion of the proposed disposals, HLIB shall proposed a capital
reduction of the capital of HLIB in accordance with Section 64 of the Companies
Act 1965 involving a reduction in its share premium reserve and a capital
distribution of 345m Narra shares on the basis of 1,080 Narra shares for every 1,000
HLIB shares.
HLIB is pleased to announce that the High Court of Malaya had granted an
order today confirming the reduction of the share premium reserve of HLI
pursuant to Section 64 of the Act for the Proposed Capital Distribution.
The sealed order is in the process of being extracted and
an office copy of the order will be lodged with the Registrar of Companies. The
book closure date for the Proposed Capital Distribution will be announced in
due course.
This announcement is positive for HLIB but is substantially discounted
in HLIB share price & it has rallied 54% since its first announcement in
Sept’13.
6)Market: current consolidation is expected to continue with KLCI
immediate support at 1860.
