Highlights of the day
IGB REIT’s initial portfolio comprises 2 properties,
namely, Mid Valley Megamall and The Gardens Mall located at the Mid Valley
City, which have a combined NLA of over 2.5m sq ft. These two malls are
capturing multiple target customer segments due to their size and diversified
tenant mix. At an indicative IPO price of RM1.25, IGB REIT will be the largest
REIT in Malaysia
§
Telekom
Malaysia
Excluding 1HFY12 tax incentive of RM87.8m from TM’s normalised PATAMI of
RM406.4m, 1H adjusted net profit of RM318.6m came in within house but below
consensus full year estimates at 47% and 42%, respectively. We reduce our
target price of RM4.78 to RM4.48 after stripping out the capital repayment of
30 sen that has been distributed to shareholders. Despite decent 1HFY12
results, we view that TM’s positive aspects have been fully reflected in the
share price, with growing downside risk from intense competition particularly
in the HSBB segment. Coupled with a
capital downside of 25%, we downgrade our HOLD recommendation to SELL.
Other reports
§ Kuala Lumpur Kepong
(Results Review): 3QFY12: Below expectations (Maintain HOLD, TP: RM19.54) [download
report]
§ UEM Land
Other
Malaysian news
§
Sime Darby: Aims
for 1m hectares by 2015
§ AirAsia: May order
100 aircraft
§ AirAsia: Indonesia
§
Media
Chinese: Mulls M&A in radio, television
§
Litrak: Gets
RM80m from government for toll hike delay
§ Litrak: Cannot
confirm possible stake sale by Gamuda
§
Ahmad Zaki: Wins
RM174m MRT project
§ Oil
& Gas: Petronas gets nod for Progress Energy buy
§ Oil
& Gas: Petronas, Tokyo Gas sign LNG deal
Global
news
§ US: 2Q2012
growth exceeds prior estimate
§ US
§ US
§ Europe: Greece
§ Brazil
§ South Korea
§ Thailand
