FBMKLCI
1711.29 +4.95pts (+0.29%) Volume
790.9mil Value RM2,273mil
1) KLCI reached a new all time high of 1718.08
(+11.74pts) just before midday on persistent buying by funds on key
heavyweights led by CIMB and AMBANK. Regional markets were also firmer after US
reported unemployment claims that were lower than estimated. Index closed off
best as KLK, BAT, Petgas trimmed its gains during auction period. Market value
ballooned to above RM2bn as heavyweights dominated top vol list. Retailers
continue to shy away as low vol persisted with mid-small caps quiet. Market
breadth was positive with advancers leading decliners 360:297. Futures closed
1714pts (3points premium).
2) Heavyweights: CIMB+0.65% RM7.77, AMBANK+1.66% RM6.72,
GENTING+0.78% RM10.32, SIME+0.43% RM9.45, MAXIS+0.89% RM6.79, ASTRO+2.8%
RM2.95, DIGI+0.66% RM4.57, KLK-1.2% RM21.38
3) DBT: SUNWAY 15.4mil @ RM2.98 (1.19% PUC), PMCORP
14.84mil @ RM0.12, PARAMON 2.56mil @ RM1.40 (9.7% discount)
4) Situationals:
PCHEM+0.16% RM6.48:
Petronas Chemicals Group and BASF Nederland BV plan to jointly invest
US$500 million (RM1.5 billion) in an integrated aroma ingredients complex in
Gebeng, Kuantan. The proposed complex will comprise a plant for citral and
precursor plants, which will be integrated with the existing facilities of
BASF-Petronas Chemicals located in Gebeng. The two companies will also invest
in downstream production for aroma ingredients, including a new world-scale
plant for L-menthol and a plant for citronellol. The proposed project will be
developed in phases, with the first plant expected to be operational in 2016
and creating some 110 new jobs.
5)Crestbuilders : Further to the announcement dated 29
March 2012, The Board announced that its 51% owned subsidiary, Intan Sekitar
Sdn Bhd had on 26 April 2013 entered into a Joint Land Development Agreement
with Syarikat Prasarana Negara Berhad ("Prasarana") for development
of a parcel of prime commercial land, Lot 60, Section 45, Bandar Kuala Lumpur,
Wilayah Persekutuan Kuala Lumpur located at Dang Wangi LRT station measuring
approximately 2.72 acres. The Salient Terms of the Joint Land Development
Agreement are as follows:- 1) The proposed development is a mixed commercial
development which comprises of a retail mall, upscale premium serviced
residential suites and offices with a total GDV of approximately RM1.038 billion.2)
Prasarana shall be entitled to 21.2% per cent of the Gross Development Value
which is estimated at RM220m.
+ve, the Joint Land Development Agreement will not have
any significant effect on the earnings or net assets of CBHB for the financial
year ending 31 December 2013, but is expected to contribute positively to the
future earnings of CBHB. Co's Dang Wangi project is expected to be rolled out
in 2H13. We also expect CBH to firm its JV project to develop the Lembaga Getah
Malaysia (MRB) site (GDV: RM1.33b). Currently, CBH has a tender book size of
RM2b contracts, including the single largest Langat 2 water treatment plant.
Trading at attractive PER'13 of 6x coupled with attractive 5.3% yield. Backed
by a strong recurring income from Tierra Crest @ Kelana Jaya and sitting on OB
RM500m, trades at huge discount to NTA RM2.13-trading buy.
6) Mkt - index may continue to be supported above 1700pt
lvl next week as month end closing window dressing activities may persist. Blue
chips will be preferred as safer investment option in light of imminent GE13.
