FBMKLCI
1864.31 +2.73pts (+0.15%)
Volume 3.410b Value 2.341b
1) The KLCI rose for a 5th consecutive day lifted by
sentiments from the West as the US gained overnight after weaker jobs data
reinforced speculation that the Fed's wouldn’t rush to raise interest rates. In
the regional market, bourses were generally stronger led by China's SHCOMP
+0.92% after it rose for a 5th consecutive
week, HSI +0.62% also gained after the benchmark index surpassed the 25,000
mark during its intraday before closing just below. In the local scene,
TECHNOLOGY index +1.43% continue to outperform the market today boosted by
familiar names such as INARI +4.06%, UNISEM +3.33%, MPI +3.03% and GLOBETRONICS
+1.85%. Market breadth was flat today with gainer inching past losers by 439 :
407. Market futures closed at 1863.5
(0.5pts discount).
2) Heavyweights : BAT +2.20% RM72.36, GENM +1.62% RM4.38,
MAYBANK +0.40% RM10.04, CIMB +0.43% RM6.96, KLK -1.68% RM23.30, SKPETRO -0.71%
RM4.15, AXIATA -0.28% RM6.95.
3) DBT : APFT 34mil @ RM0.15 (10.787% PUC @ 16.7% discount), MASTEEL 9mil @ RM1.0244
(3.95% PUC), REACH 7.596mil @ RM0.6985, YINSON 3mil @ RM2.93
4) Situational:-
REACH -6.00% RM0.705 - Reach Energy Bhd, the RM750mil IPO
dropped on its first day of trade at Bursa Malaysia after completing the
country’s largest initial public offering (IPO) by a shell company with no
existing assets. Shares of Reach Energy fell 6.0% to 70.5 sen, down from its
offer price of 75 sen per share as we saw 294mil shares traded in the market
whilst the warrants saw 556mil being swapped. The syariah-compliant SPAC is
looking to buy firms in both the exploration and production segments of Asia’s
oil and gas sector, following in the footsteps of Hibiscus Petroleum, Sona
Petroleum and Cliq Energy.
5) ICON
Icon Bahtera (B) Sdn Bhd (“IBSB”), Its wholly owned
subsidiary has recently entered into an agreement to charter one accommodation
work boat to Zell Transportation Sdn Bhd (“ZELL”), with Brunei Shell Petroleum
as the end customer. This is for a firm period of five years with an option to
extend the hire by a further two years.
Another subsiadiary, Icon Offshore Group Sdn Bhd, , has
recently received a LOI pertaining to the contract extension of an additional 1
year from an international oil and gas service provider for the provision of
two AHTS. These contracts are valued at
approximately RM297 million, inclusive of the option period.
In a separate announcement:
Icon Fleet Sdn Bhd (IFSB), a wholly-owned subsidiary, had
signed a binding and conditional term sheet with Zell Transportation Sdn Bhd
(“ZELL”) to form a JV for the provision of offshore support vessels (“OSV”) to
service contracts and operations in Negara Brunei Darussalam (“Proposed JVA”).
SK Line 600, an accommodation work boat, will be transferred to IBSB. The
completion of the Proposed JVA shall take place on 1 January 2015. The Parties
shall unconditionally subscribe whereby IFSB and ZELL will have a 49% and 51%
stake in IBSB respectively. IFSB’s investment in IBSB will be financed by
internally generated funds.
6) Market: the market is expected to continue it's consolidation
stage with reporting season providing some clue on the market direction
