FBMKLCI
1636.71 -17.66pts
(-1.07%) Volume 1.987b Value RM 2.071b
1) The KLCI continued its fall for a fourth consecutive
day despite the stronger US mkt overnight as the continuous outflow of foreign
funds amid the weaker Ringgit impacted the CI. Regional was marginally lower
led by STI -1.30% after the country narrowed its growth forecast for 2015 amid
weaker econs data, NIKKEI -0.42%, HSI -0.09%, SHCOMP 0.01%, ASX -0.65%. FINANCE
index lost the most grounds today dragged by heavyweights MAYBANK -3.18%,
PBBANK -0.84%, AMBANK -3.30%, CIMB -1.17%. Market breadth was largely negative
today as losers outpaced gainers by 529 : 290. Market futures closed at 1627.5 (9pts discount).
2) Heavyweights : MAYBANK-3.18% RM8.52, SIME -2.85%
MR8.16, PBBANK -0.84% RM18.72, AMBANK -3.30% RM5.26, CIMB -1.17% RM5.05,
GENTING -1.52% RM7.76, GENM -1.97% RM3.97, SKPETRO -2.66% RM2.19.
3) DBT: RSAWIT
52mil @ RM0.50 (3.66% PUC), GESHEN 29.504mil @ RM0.81 (36.88% PUC @ 5.3%
discount), UNISEM 17.647mil @ RM1.70 (2.42% PUC).
4) Situational:-
MPHBCAP -2.41% RM1.62 - The joint venture to redevelop
the Gombak site of the once-popular but now-long-closed Mimaland recreational
park has been terminated. MPHB Capital Bhd (MPHB Cap) told Bursa Malaysia that
its 98.2% owned subsidiary Mimaland Bhd, which owns the 324.0 acre land
(comprising seven parcels), and Bandar Raya Developments Bhd's (BRDB) unit
Magna Senandung Sdn Bhd entered into a deed of termination on August 10.
GESHEN -9.52% RM0.855 -
Ge-Shen Corporation Bhd has received a takeover offer from Pelita
Niagamas Sdn Bhd at 81 sen a share - which is sharply lower than the closing
price of 92.5 sen at midday on Tuesday. Pelita Niagamas also offered 81 sen for
the remaining redeemable convertible preference shares.
5) GOB :announce that Pertanian Taman Equine SB, a
wholly-owned subsidiary, had on 11 August 2015 entered into a conditional Sale
and Purchase Agreement with Kemaris Residences Sdn Bhd for the proposed
disposal of a parcel of leasehold land situated in Mukim Petaling, Negeri
Selangor measuring approximately 19.24 acres, for a cash consideration of
RM43.3m. The Proposed Disposal is expected to be completed within 6 months.
Proceeds will be used mainly for repayment of bank borrowings ( RM30m) &
working Capital ( RM5.6m). The proposed disposal is expected to give rise to a
net gain of cRM15.9m for the financial year ending 31 March 2017 ; Neutral on
news. The disposal will improve cash-flow through realisation of a portion of
the group's investment in development land into cash. It will also improve the
gearing position as part of the proceeds generated will be utilised towards
reducing bank borrowings & provide a good source of working capital for
it's property development activities. Group is still seen as an attractive
alternative Penang mainland play, given its sizeable landbank in Batu Kawan
neighbouring the proposed golf course and theme park land, as well as its
pipeline residential projects planned. The land is just five minutes away from
the end of the Penang Second Bridge.
6) Market : The negative trending momentum indicators
suggest that the selling pressure could lead to further weakness. Next support
for the index seen at 1625 points.
Meanwhile, we look forward towards the upcoming Malaysia GDP report that
will be released on Thursday for guidance on the market direction.