FBM30 1596.33 +10.89 pts (+0.69%) Vol 1.25b Value RM2.08b
1) The market opened higher, with blues generally well supported on this last trading day of the quarter, before late buying pushed it up to close 1596.33 pts. This on the back of mixed regional markets, which steadied as investors eyed key events that could dictate market trends in the coming months as the quarter drew to a close. Plantation +0.85% & Finance +0.72% are the main sectoral gainers - CIMB +1.2%, Maybank +0.8%, HLBank +1.9%, KLK +1.9%, IOIC +1.3%. Market breath was positive, with
gainers edging losers 402:360. Futures closed 1594 pts (2.33 pts disc).
2) Heavyweights: Axiata +1.17%, Digi 3%, Genting -2.7%, Maxis +1.5%,Tenaga +1.1%, TM +1.1%, PChem +0.9%.
3) DBT: Esso 175.5m @ 3.41 (65% PUC, 4% disc - Exxonmobil's holding), Complete 35m @ 0.35 (29% PUC, 15% disc).
4) Takaful +8.6% : follow through buying from earlier report that said Co was the only direct exposure to the fast growing Takaful & Islamic insurance industry. Co is expected to outpace the industry's premium growth of 20% in the next 3-5 years, due to market share gain. Stock has added 17% over the last 3 trading days.
TWS Plant -1% : after it proposed to acquire a 60% stake in Retus Plantation SB, a wholly owned unit of TWS Plant's parent company Tradewinds (M) Bhd. Retus Plantation owns 5 oil palm estates in Sibu, Sarawak under a provisional lease of state land measuring 10,436 ha. This include a palm oil mill situated on 16.4ha within Pasai Estate.
Cypark +4.3%: after Co signed a MOU with First Myanmar Investment Co Ltd (FMI) to cooperate in the field of waste management & renewable energy in Myanmar. The MOU, will see upon completion of a intensive due diligence, the preparation of a full proposal to the govt of Myanmar for the development of a large scale renewable energy project mainly from waste biogas and biomass. The MOU will remain in effect for a period of 12 months.
5) UMW: has announced that it's wholly owned subsidiary UMW Standard Drilling SB has received a Letter of Contract Amendment & Extension from Petronas Carigali SB for a 2-year extension of the provision of a Jack-Up Drilling Rig "NAGA 3", contract dated Jan 2011. The commencement date of the extension shall be 22 March 2012 and valid until 21 March 2014. The value of the contract is approximately USD105m ; +ve, the extension is expected to contribute positively to group earnings from 2012 to 2014. Management has revealed that the listing of UMW's O&G division is back on the table. However, given the fragmented nature of it's O&G investments, we do not expect the proposed listing to happen before 2013.
6) Market - with expectations of the 13th General Elections to be held at the end of May to early June, the local bourse is expected to pull-back and consolidate around the KLCI 1550 levels in Q2.
