FBM30 1594.98 +12.25 pts ( 0.77%) Volume 932.6m
Value RM1.46b
1) The KLSE traded higher, despite lower regionals, as a
surge in Spanish borrowing costs to a record quashed optimism following
yesterday's election of pro-bailout parties in Greece. Index was strong
throughout the day, surging at the end to close at day's high. Retail interest
returned, as penny stocks dominated market volume NICORP+1.7%, GPRO+14%, MTRONIC+4.3%, FOCUS. Technology sector outperformed,
JCY+5.6%, MPI+0.3%. The broader market was positive, with gainers leading
losers 467:264. Futures closed 1597.5 pts ( 2.52 pts prem).
2) Heavyweights: YTL+2.5% RM2.05, PPB+2.3% RM16.06,
DIGI+2% RM4.10, BAT+1.9% RM56.00, DRB+2% RM2.55, UMW+1.8% RM8.84,
MRCB-2.2% RM1.76, PARKSON-0.7% RM4.55, BURSA-0.5% RM6.14.
3) DBT: KPJ-WA 6m @ RM4.05, HAPSENG 3m RM1.75, NAGAMAS 2m @ RM0.40.
4) Situationals:
AIRASIA +1.9% RM3.70 : after Group CEO TS Tony Fernandes
appointed Aireen Omar to run the budget airline's Malaysia operations. Aireen
will be the CEO & ED effective July 1. Tony will remain as the group's CEO
but will move on to lead it's regional operations called AirAsia Asean in
Jakarta. This move widely anticipated .
TENAGA +0.5% RM6.52
: after Co inked a MOU with PT PLN ( Indonesian state owned utility
company ) & PT Bukit Asam ( company
primarily involved in coal mining & a holder of the production operation
mining permit) in Indonesia. The agreement will facilitate
cross-border electricity exchanges to benefit the 2 countries & will cover
the construction of a 275 kV inter connection line from Teluk Gong in Malacca
to Garuda Sakti in Sumatera, Indonesia.
5) KPS: announced that it's wholly owned subsidiary
Perangsang Telco SB (PTSB) has entered into an Investment & Shareholders
Agreement with 3 parties ( Samena, Connect Mena & Ceres Telekoms SB) for
the proposed investment in a Mobile Virtual Network Operator ( MVNO) business
via a 30% equity stake in Ceres at a total cost of RM24.24m. Ceres holds a
Network Service Provider (NSP) licence from MCMC as well as a Application
Service Provider (ASP) , all necessary to operate & provide services as a
MVNO in Malaysia ; Rationale - proposed
investment provides the Perangsang group with the opportunity to participate in
the Malaysian mobile telecommunication industry. PTSB has a strong partner in
the Friendi Group, which has a leading MVNO position in South Asia, Middle East
& Africa region. Group is also in the process of merging it's regional
operations with that of the Virgin Mobile group. If done, would provide Ceres
with instant access to the globally recognised Virgin Mobile brand for future
development.
6) Mkt: 2 tier market with core blues trading water as
investors await FOMC's decision while 2nd and 3rd liners will attract
rotational interest; potential trading buys are Muhibah, LionInd, Kinsteel,
AnnJoo, Cypark, LionCorp, HiapTeck.