Monday, July 8, 2013

Market Roundup | 4 July 2013


 

FBMKLCI   1771.34pts   +2.13pts  (+0.12%)  Volume  1.176b   Value RM1.579b

 

1) The KLCI saw tepid trading as it traded within a 6 pts band in the positive region after the US market were higher on positive jobs number while concerns over political issue in Portugal eased and turmoil in the Egypt calmed after the current Egyptian president was ousted. In the local market, lower liners saw buying interest with SMALL CAP index +1.92% due to active trading with gains from SCOMIES +13.04%, PUNCAK +9.63%, MYEG +8.86%. Market breadth was positive with gainers thumping losers 487 : 221. Futures closed 1775.5 (4pts premium).

 

2) Heavyweights : GENM +1.81% RM3.94, CIMB +0.49% RM 8.29, MAYBANK +0.38% RM10.50, PBBANK +0.23% RM17.02, KLK +0.84% RM21.64, UEMS +1.37% RM2.99, PETGAS -0.948% RM20.90, PETDAG -1.45% RM25.80.

 

3) DBT : ASDION 17.022mil @ RM0.30 ( 25.627% PUC @ 22% discount), DUTALND 15.4mil @ RM0.48 (1.82% PUC @ 8.6% discount), TROP 3.063mil @ 1.81 (6% discount)

 

 

4) Situational:-

 

GOLDIS -0.5% RM1.99 - Goldis has backed off from a deal which would have seen its shareholders pocketing RM1.72 a share or ending up as privately-held Steady Paramount Sdn Bhd's stakeholders. The board had arrived at this decision after taking into consideration the negative feedback from Goldis' shareholders on the proposed distribution. Goldis has a 30.59% stake in IGB, which is its jewel in the crown, and shareholders were asked to part with the controlling stake in one of Malaysia's biggest developer at below its market value.

 

5)AXIATA : Celcom Axiata Berhad , a wholly-owned-subsidiary of Axiata Group had on 4 July 2013 entered into a Master Collaboration Agreement with Altel Communications Sdn Bhd ("Altel") for the purpose of collaborating to develop, establish, build, operate and manage shared infrastructure for the provision by both Celcom and Altel of communication services in Malaysia. The Master Agreement defined the scope and principles for the implementation of the Proposed Collaboration in the following areas:- a)Spectrum Sharing & b) encapsulates the general terms and conditions with regards to the arrangement for Altel to appoint Celcom as the exclusive infrastructure and wholesale provider of the Mobile Virtual Network Operator ("MVNO") Services ;

 

Neutral. The rationale is to establish a smart alliance that will benefit both Celcom and Altel in achieving their short and long term business goals & is also in line with the Government's call for telecommunication companies/mobile operators to join forces to accelerate broadband penetration in the country. Agreement does not have any material effect on the earnings, gearings and net assets of the Axiata Group for the year financial ending 31 December 2013.

 

6) Market:  With the US markets closed for Independence Day, the technical bounce is expected to follow through tomorrow. This is especially true for lower liners  with the gains likely to be captured in the 1st half of the trading day - take profit into strength.