FBMKLCI
1852.66 -6.86pts (-0.37%)
Volume 2.220b Value 1.968b
1)The KLCI remained resilient recovering from a low of
-11pts to close down 6pts after the sharp sell off in the US market despite the
better jobless claim numbers. In the regional market, weaker sentiments from
the West continue to suppress bourses as HSI -0.79%, SHCOMP -0.18%, HSCEI
-1.85% all closed in negative territory just before the release of retail sales
number next week. In the local scene, most of the stock closed lower on profit
taking with CONSTRUCTION -0.74% index losing the most grounds weighed by IJM
-1.06%, WCT -2.17%, MUHIBBAH -3.01%, MRCB -1.22%. Market breadth was negative
with losers outpacing gainers by 522 : 312. Futures closed at 1848 ( 4.5pts
discount).
2) Heavyweights : BAT+0.9% RM62, ASTRO+0.9% RM3.35,
KLK+0.8% RM23.92, NESTLE-1% RM67.24, PBBANK-1.1% RM19.70, POS-1.5% RM4.68,
FGV-1.5% RM4.59.
3) DBT : CAP 108m @ RM0.35 ( 18% PUC ), A&M 20m @
RM1.20 ( 5.5% PUC, 9% disc), DESTINI 8m @ 0.35 ( 39% disc), TITIJAYA 5m @ RM2.
4) Situational:-
DIALOG -2.71%
RM3.58 - Dialog's subsidiary Dialog E&C
SB (DEC) was
served with a notice
of arbitration from Tanjung
Langsat Port SB
(TLP) following the provision of an engineering, procurement,
construction & commissioning (EPCC)
contract in 2006.
The RM89.5m contract
was for the development of the 100,000 cu m oil
terminal project at Tanjung Langsat Port, Johor when it suffered losses and
damages caused by a fire in Aug 2008 in
a part of the facility after the completion and handover of the project by DEC.
TLP making claims that the fire was due to the latter's breaches of its
obligations under the contract thus will attempt to proceed with a legal suit
to claim between MYR546.6m-561.24m.
5)MATRIX
Matrix proposed a Bonus Issue which entail the issuance
of up to 152,881,850 Bonus Shares on the basis of one (1) Bonus Share for every
two (2) existing.
The share premium account and retained profits of the
Group, based on audited consolidated financial statements for the FYE 31
December 2013 is RM69,228,673 and RM179,423,984 respectively is adequate to
cover the capitalisation required for the Proposed Bonus.
In a separate announcement with reference pertaining to
the Sale and Purchase Agreement dated 8 July 2013 between Koperasi Sendayan
Labu Seremban Berhad and Matrix Concepts, Matrix Concepts has fully settled the
balance purchase price and the registration of the memorandum of transfer into
its name has been duly effected on 10 April 2014.
+ve Despite the + 20% YTD the stock remains attractively
priced at 7.3x PE 2014 with a yield of 6.2%. BOW.
6) Market - Weakness likely to persist in the early part
of the week as the sharp decline in the US markets spill over into European
markets today. However we expect the recent support level of 1804pts on the
KLCI to hold.
