FBMKLCI 1651.84
+9.76pts (+0.59%)
Volume 1,133mil Value RM1,741mil
1) KLCI continued its recent rally raising in tandem with
the regionals after Dow hit a new all time high and US services industry saw
expansion at the fastest pace in a year. Plantation+1.52% outperformed the
market led by IOICORP and FGV after Felda reports its refineries in Lahad Datu
remains in operations allying fears of closure. Market breadth remained
positive with advancers outpacing decliners 501:231. Future closed 1655
(3points premium)
2) Heavyweights: UMW+6% RM13.76, IOICORP+2.04% RM5.00,
GENTING+1.73% RM10.02, PBBANK+0.37% RM16.18, TENAGA+0.58% RM7.00, YTL+1.85%
RM1.69, FGV+2.9% RM4.61, PPB+1.82% RM12.34
3) DBT: SCABLE 20.74mil @ RM1.33 (10.7% discount), SCOMI
3mil @ RM0.35
4) Situational:
ALAM+4.88% RM0.86: Alam Maritim announced that its
wholly-owned subsidiary, Alam Maritim SB, has secured two letters of award to
provide underwater services to an unnamed local oil and gas company. The
contracts, with a total value of approximately RM24.9m, are for a maximum of 21
days and 150 days respectively and not renewable.
5)QL Resources: Announced that its wholly owned subsidiary,
QL Lian Hoe (S) Pte Ltd had on 6 March
2013 entered into a conditional agreement to acquire 100% interest in Zhongshan
True Taste Food Industrial Co Ltd (ZC) for a cash consideration of RMB18.8
million (RM9.4 million). The consideration was arrived at based on willing
buyer-willing seller basis, taking into consideration the net tangible assets
of ZC as at 31 December 2012 as well as the deemed revaluation surplus arising
from the revaluation of the real property. The acquisition is funded by internally
generated funds of QL Group. ZC is principally involved in the business of
producing various kinds of quick-frozen minced fish fillets, other flavoured
foods, purchasing, processing and selling agricultural products domestically in
PRC. The Acquisition of ZC is in line with the Group's expansion plan to
venture into the China market for its marine products manufacturing division..
The Acquisition will not have any effect on issued and paid up share capital of
QL and has no material effect on QL's Group earnings, net assets and gearing
for the financial year ending 31 March 2013 - Neutral.
6) Market: continued rotational play into lower liners as
the index grinds higher; with a
potentially contentious general
elections around the corner, we would advocate to take advantage of this
rebound to reduce exposure in Malaysian stocks.
