FBMKLCI
1781.75 -5.12pts (-0.29%) Volume 2.962b Value RM1.823b
1) The KLCI traded most of the morning in positive
territory but struggled to maintain its momentum in the afternoon on lack of
buying interest; bucking the stronger US market overnight. Regional bourses
were generally positive with the NIKKEI +1.39% breaching the 19,000 mark, its
highest level since 2000 buoyed by a weaker Yen; SHCOMP +0.73%, HSI +0.11% on
news that China could allow local authorities to convert some debt into
municipal or provincial bonds. In the local market, the INDUSTRIAL index -0.72%
lost the most ground weighed by MISC -1.68%, BAT -1.89%, PPB -2.08%. Market
breadth was negative as losers outpaced gainers by 471 : 372. Futures closed at
1772 (9.5pts discount).
2) Heavyweights : CIMB +1.20% RM5.92, SKPETRO -2.91%
RM2.34, GENTING -1.44% RM8.21, AXIATA -0.85% RM7.03, MAXIS +1.13% RM7.15, MISC
-1.68% RM8.20, PBBANK -0.33% RM18.34, IOICORP -1.10% RM4.50.
3) DBT: SUMATEC 66mil @ RM0.2005 (1.895% PUC @ 24.7%
discount), HIBISCS 1.89mil @ RM0.70 (15.7% discount), RPB 1.318mil @ RM0.38
(2.6% discount), PERDANA 1.018mil @ RM1.17 (12.8% premium).
4) Situational:-
WILLOW +3.85% RM0.810 - the Company's wholly-owned
subsidiary, Willowglen Services Pte Ltd has been awarded a contract valued at
approximately RM10,650,000 by PowerGas Limited, Singapore for the Maintenance
and Capacity Expansion Works of the PowerGas SCADA System 2014. The
commencement date of the contract is on 11 March 2015 and will be completed by
10 March 2017
MALTON -2.91% RM0.835 - the Company's wholly owned unit,
Rentak Sejati Sdn Bhd reported that its RM83.67 million Shah Alam land disposal
deal with buyer Hedgeford Ventures Sdn Bhd had been terminated. The sale and
purchase agreement involved a 4.8ha (12 acre) leasehold industrial tract in
Kampung Melayu Subang in Shah Alam, Selangor. This follows Hedgeford's
rejection of Rentak Sejati's request for a further time extension to fully
comply with the conditions under the SPA.
5) PUNCAK - announce that it had received a written
request from Pengurusan Air Selangor Sdn Bhd
for a further extension of time for the fulfilment of the conditions
precedent stated in the conditional SPA dated 11 November 2014, from 9 March
2015 till 9 April 2015 ("3rd Extension of Time"). (The SPA was for
the proposed disposal of the entire equity interest & preference shares in
Puncak Niaga SB to Pengurusan Air Selangor & 70% equity in Sykt Bekalan Air
Selangor ) - Neutral on news. The Menteri Besar of Selangor recently confirmed
in a media interview that the water agreement between the Selangor state and
the federal governments lapsed and will not be extended. This latest twist of
events is a major negative surprise, that after seven years of negotiations,
things could go back to square one should the Federal Government and the
Selangor State Government fail to reach an amicable solution - Avoid.
6)Market : Investors are likely to take on a wait-and-see
stance due to the potential earlier-than-expected US interests rate hike &
domestic buying interest remaining lacklustre. Range bound trading likely to
continue, between 1780-1810 points.
