FBMKLCI
1839.55 +13.87pts (+0.76%)
Volume 2.014b Value 2.114b
1) THE KLCI spurt
today recording a 5th consecutive winning streak following the stronger US
market before the conclusion of the 2 day FOMC meeting tonight. In the regional
market, bourses were noticeably stronger following optimism from the West as the
NIKKEI+1.46%,KOSPI 1.84% followed thru and the SHCOMP +1.50, HSI +1.27% HSCEI
+1.66% reported hefty gains on hopes of more favourable policies from the
government. In the local market, PLANTATION +1.90% related names outperformed
the broad market led by heavyweights KLK +4.36%, IOICORP +1.47%, FGV +2.58% and GENP +2.98%;
simultaneously pushing the index towards the 200SMA (1840pts). Market breadth
was positive today with gainers beating losers by 586 : 232. Futures closed at
1843 (3.5pts premium)
2) Heavyweights : CIMB+3.71% RM6.43, KLK +4.36% RM23.44,
GENTING +1.81% RM9.55, PPB +3.65% RM15.30, TM +1.87% RM7.05, IOICORP +1.47%
RM4.81, YTL +2.46% RM1.66 (ex 9.5sens), MISC -2.60% 6.72.
3) DBT : IDMENSN 20mil @ RM0.103 (4.70% PUC @ 8.4%
premium), KNM 5mil @ RM0.70 (14.2% discount), MUIPROP 1.03mil @ RM0.415
4) Situational:-
PRTASCO-4.37% RM1.53 - One of the embattled directors of
Protasco Bhd Tey Por Yee has responded to the suit filed against him by
Protasco with a counter suit claiming failure by management of the company to
exercise their authority for the benefit of the company. Tey, suing in a
representative capacity on behalf and for the benefit of Protasco, is alleging
that Protasco's senior management had made RM10 million in secret profits from
the aborted PT Anglo Slavic Indonesia (PT ASI) deal and is suing to recover the
said amount.
5) PERDANA
Entered into a Memorandum of Agreement to dispose of one
unit of offshore support vessel to Hauston Limited, a company incorporated in
the British Virgin islands for total consideration USD28.5 million. The Sale
Consideration was arrived at on a willing buyer willing seller basis after
taking into consideration the net book value of the Vessel as at 31 October
2014 of RM92.0 million and the original cost of investment of RM108.0m.
The expected time of delivery of the Vessel to the Buyer
is before the end November 2014. The Disposal is part of the fleet renewal
programme. The Company had earlier announced the acquisition of additional two
units of 500-men Accommodation Work Barges.
The gain on the Disposal is approximately RM1.0 million and the proceeds
will be channeled to meet its operating expenses, repayment of bank borrowings
and funding new acquisition of assets.
+ve as the new built AWB have already been earmarked for
charter by existing clients. Earnings unlikely to be affected by the volatile
oil prices as most of its vessels have secured long term contracts hence
offering visibility in its profitability in the next two years at least.
Accumulate.
6) Market - The CI is likely to take a breather after
bouncing 4% from its low of 1766 pts set on 17 Oct. We however continue to
expect the market to close higher for the year barring any further external
shocks and advise to accumulate on dips.
