PUBLIC ACCOUNTS COMMITTEE TO INVESTIGATE

IMMIGRATION DEPT’S NIISE PROJECT p2

T H U R S DAY, M A RC H 2 8 , 2 0 2 4 t h e e d g e m a l ay s i a . c o m
ISSUE 741/2024

CEOMorningBrief HOME: Computer Forms shareholders reject re-election of executive director at AGM p6
Malaysia risks fiscal slippages if govt delays subsidy reforms, ANZ warns p9
WORLD: Cipollone says ECB has room to cut rates swiftly despite wage rebound p14
Exodus from Thai stocks worsens on deepening corporate setback p16
Yellen warns China’s industry ramp-up is distorting world economy p20

Vote on citizenship law amendments postponed

to June Parliament session
Report on Page 4.
123RF.COM

Implementation of high-
value goods tax delayed
as MOF yet to table bill
Report on Page 3.
 T H U R S D AY M A R C H 2 8 , 2 0 2 4
the edge ceo morning brief
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KUALA LUMPUR (March 27):The Pub-
lic Accounts Committee (PAC) is set to
launch an investigation into the National
Integrated Immigration System (NIISe)
project, its chairperson said.
The committee was surprised by the High
Court’s decision, which ordered the govern-
ment to pay a sum of RM231.5 million to Aw-
anbiru Technology Bhd (Awantec), formerly
known as Prestariang Bhd, for the termination
of the National Immigration Control System
(SKIN) project, Datuk Mas Ermieyati Sam-
sudin said at a news conference.
Notably, the amount awarded to Awan-
tec was only one-third of the company’s
RM733 million claim in relation to the
project termination.
The committee plans to summon wit-
nesses from the Home Ministry, Immigra-
tion Department, Malaysian Administrative
Modernization and Management Planning
Unit as well as cybersecurity experts and ven-
dors involved in NIISe and SKIN, she said.
The proceedings are expected to take
place after the Hari Raya celebration and will
be conducted under Dewan Rakyat’s Stand-
ing Order 77(1)(d), Mas Ermieyati noted.
Both the SKIN and NIISe projects aim
to replace the Malaysian Immigration Sys-
KUALA LUMPUR (March 27): Malay-
sia is open to proposals to extend the East
Coast Rail Line to the border and integrate
it with the Thai rail network or future infra-
structure,Transport Minister Anthony Loke
said on Wednesday.
The relationship between Malaysia and
Thailand should be seen as mutually bene-
ficial, rather than a “zero-sum game,” Loke
told the Senate. Both countries share polit-
ical and economic challenges that provide
opportunity for collaboration, he noted.
One of the areas for focus will be on
enhancing connectivity in cargo and pas-
senger transport networks between the two
nations, Loke said. Malaysia is prepared to
share the latest developments of the ECRL
project with Thailand, he added.
Note: Dear readers, there will be no CEO Morning Brief on Friday (Mar 29, 2024) as we are taking a break for Nuzul Al-Quran.
We will be back on Tuesday (Apr 2, 2024). For the latest news during the holidays, check out https://www.theedgemalaysia.com/.
2 THEEDGE CEO MORNING BRIEF
H O M E
published by
(266980-X)
. 603-77218000
tel
Level 3, Menara KLK, 1 Jalan PJU 7/6,
Mutiara Damansara, 47810, Petaling Jaya,
Selangor, Malaysia
Public Accounts
Committee
to investigate
Immigration Dept’s
NIISe project
BY CHOY NYEN YIAU
theedgemalaysia.com
tem (myIMMs), which has been in place
for over 20 years.
The SKIN project, valued at RM3.5 bil-
lion, was awarded to Prestaring Skin Sdn
Bhd (PSKIN) back in August 2017 by the
previous Barisan Nasional government under
Datuk Seri Najib Razak’s administration.
However, in December 2018, the Pa-
katan Harapan government led by Tun Dr
Mahathir Mohamad decided to terminate
the project in favour of a new system to
save government funds.
In April 2019, Awantec took legal action
against the government, seeking RM733 mil-
Malaysia open to
extend ECRL to
Thailand, says Loke
BY CHOY NYEN YIAU
theedgemalaysia.com
The comments come as Thailand moots
a massive one-trillion-baht (RM129 billion)
Chumphon-Ranong Land Bridge project
that could bypass the Malacca Straits and
Singapore.
Thailand Prime Minister Srettha Tha-
visin proposed the CRLB project in No-
vember last year, which would see the con-
publisher + . Ho Kay Tat
ceo
editor - in - chief
. Kathy Fong
chief commercial officer . Sharon Teh
chief operating officer . Lim Shiew Yuin
editors . Jenny Ng . Tan Choe Choe
Lam Jian Wyn
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lion for the termination of the SKIN project,
which had a 15-year contractual agreement.
Both parties failed to reach an agreement
following talks, leading PSKIN to pursue
legal recourse.
After a five-year legal battle, the High
Court ruled in favour of Awantec on
March 14 this year, ordering the govern-
ment to pay RM231.55 million plus legal
costs incurred during the litigation process.
Additionally, the court directed the pay-
ment of RM80,000 for the final legal fees.
Meanwhile, the NIISe project, valued
at RM1.16 billion, was initially awarded
to Iris Corp Bhd in January 2021 but was
later scrapped by the current administra-
tion through a notice dated Aug 10, 2023,
with effect from Aug 14, 2023.
Iris announced its intention to take its
dispute with the Home Ministry over the
cancellation of its contract for the NIISe
project to arbitration.
The Home Ministry is currently un-
dertaking the bidding process for the NI-
ISe 2.0 project, with three companies re-
portedly shortlisted by the government,
namely Dagang NeXchange Bhd (DNeX),
HeiTech Padu Bhd, and Theta Edge Bhd,
as reported by The Edge.
struction of two Thai ports — Ranong in
the West and Chumphon in the East, con-
nected by road or rail — allowing ships to
bypass Malaysian ports.
On Feb 16, the Thai parliament ap-
proved the proposed mega project report
with a vote of 269 in favour versus 147
against, despite concerns having been raised
about the land bridge’s environmental im-
pact and profitability.
Read the full story
Read also: GLICs have no plans to invest
in Thailand’s Chumphon-Ranong Land
Bridge megaproject, says Loke
 T H U R S D AY M A R C H 2 8 , 2 0 2 4
KUALA LUMPUR (March 28): Despite
eager anticipation within the business com-
munity for details on the high-value goods
tax (HVGT), the Ministry of Finance
(MOF) did not introduce the HVGT Bill
in the current session of Parliament as was
originally planned.
Parliament adjourned on Wednesday
and will reconvene from June 24 to July 18.
As a result, the implementation of
HVGT will no longer take place on May
1, which was the date proposed during the
Budget 2024 speech.
“It looks like it [not implemented on
May 1] will be the case,” agreed a tax con-
sultant following the matter.
HVGT, previously known as the luxu-
ry goods tax, was first announced in the
revised Budget 2023 tabled in February
last year, with a tax rate expected to range
from 5% to 10%.
Since the tabling of Budget 2024, de-
tails have been scarce. MOF has remained
mum on the criteria for which such goods
will be subject to tax and have yet to an-
nounce the types of luxury items which
would fall under the said tax, except for
jewellery and watches that were mentioned
in the budget speech.
In a written parliamentary reply on
KUALA LUMPUR (March 27): The fed-
eral government’s 2024 revenue is project-
ed to increase to RM312.159 billion, af-
ter taking into account Budget 2024’s tax
measures, contributed by higher tax reve-
nue collection and better economic growth.
Deputy Finance Minister Lim Hui
Ying said tax revenue remains the main
contributor at 79.5% of total revenue, or
12.57% of gross domestic product (GDP),
while non-tax revenue represents 20.5%
(or 3.24% of GDP).
“Revenue collection will be supported
by strong economic growth and measures
taken to further increase revenue mobili-
sation by expanding the tax base and im-
proving tax compliance and transparency,”
she said in response to a question from
Muhammad Ismi Mat Taib (PN-Parit) on
measures taken by the Finance Ministry to
review the current taxation structure, taking
into account current economic changes.
Lim said the government is commit-
ted and has taken steps to diversify and
increase the country’s sources of income.
She explained that revenue mobilisa-
tion measures include broadening the tax
revenue base, improving and revising tax
structures and legislation, and the provi-
sion of tax incentives.
“This will be made via the implementation
of the MediumTerm Fiscal Strategy (MTRS)
to ensure that medium term tax planning is
3 THEEDGE CEO MORNING BRIEF
H O M E
Implementation
take effect on May 1 if approved.
The government anticipates generat-
of high-value
ing an additional RM700 million annually
from HVGT.
goods tax delayed
Sources say that the hold-up in the bill
has been due to disagreement on the defi-
as MOF yet to
nition of “high-value goods” as well as the
price range of the items subject to the tax,
table bill
despite ongoing dialogues and consulta-
tions with retail industry players and the
tax fraternity.
“There were some consultations and
BY CHOY NYEN YIAU discussions done but then there was no
theedgemalaysia.com news following that,” said a person privy
to the discussions.
THE EDGE This lack of clarity has left retailers in
a lurch for over a year.
Jewellers especially have been vocal
about the tax, with many saying that a
threshold that is too low would be dam-
aging to the industry. They have also said
that many of their customers are mostly
folks from the working class who save up
to purchase items like gold and jewellery
as investment or celebratory purposes.
The Malaysia Gold Association
Feb 29, MOF stated that the bill related (MGA) had recently proposed a higher
to the proposed HVGT would be tabled threshold of RM50,000 and a 5% tax
in the parliamentary session that had just rate for gold jewellery under the HVGT
concluded, with proposed legislation to implementation.
more organised and in line with expenditure.
MOF sees
“Additionally, the government has also
enacted the Public Finance and Fiscal Re-
Putrajaya’s 2024
sponsibility Act 2023 effective Jan 1, 2024,
which is expected to strengthen the country’s
revenue rising
governance and fiscal discipline,” she said.
Lim also said the government has ex-
to RM312 bil —
panded the scope of the service tax to in-
clude logistics, brokerage, underwriting
deputy minister
and karaoke services in Budget 2024.
The service tax rate was also raised to
8% from 6% for all services, with the ex-
ception of food and beverages, telecom-
Bernama munication, parking and logistics services.
“The government will also implement
the luxury goods tax, capital gains tax and
e-invoicing this year to expand the coun-
try’s revenue base,” she said.
Meanwhile, in his supplementary ques-
tion, Muhammad Ismi also asked about
the government’s measures to deal with
fraud and dishonest tax declaration.
Lim said the government is of the view
that the existing legal provisions and ad-
ministrative procedures are generally suffi-
cient to overcome irregularities and abuses
in the existing and new taxation structures.
“Furthermore, in line with Budget
2024, the government will implement e-in-
voicing in stages which will help detect
non-compliance more effectively.The min-
istry will, nevertheless, continue to monitor
the situation from time to time,” she added.
 T H U R S D AY M A R C H 2 8 , 2 0 2 4
KUALA LUMPUR (March 27): The de-
bate and vote on the proposed amend-
ments to the Federal Constitution concern-
ing citizenship laws have been postponed
to the next Dewan Rakyat session which
is scheduled to begin on June 24.
Shortly after Home Minister Datuk
Seri Saifuddin Nasution Ismail tabled the
Constitution (Amendment) Bill 2024 for
its second reading on Wednesday, Speak-
er Tan Sri Johari Abdul announced the
adjournment of the current session.
The bill, which requires the support of
at least two-thirds or 148 of Dewan Rak-
yat members to be passed, was initially
scheduled to be debated and voted upon
on Wednesday.
When introducing the bill, Saifuddin
reiterated that the amendments are not
about denying human rights, but ensuring
careful management of how citizenship is
granted to safeguard the nation and its
people.
He said this approach aligns with the
objectives of the Home Ministry, which
aims to maintain peace, national securi-
ty, and eradicate all forms of subversive
threats, extremism, espionage, sabotage,
violence and terrorism while ensuring
the harmony of the Malaysian people as
a whole.
“Malaysia, as a member state of the
United Nations’ Convention on the Rights
of the Child, has never denied the granting
of citizenship to children stranded in the
country. There is still a pathway to citizen-
ship for children in this category,” he said.
KUALA LUMPUR (March 27): The
Ministry of Finance (MOF) clarified that
the RM356.56 million contract awarded
to Edaran IT Services Sdn Bhd in early
January this year is not related to the im-
plementation of the e-Invoicing system by
August 2024.
Instead, the contract pertains to the Sis-
tem Maklumat Kastam (SMK) mainframe
hardware and software rental service for
the Royal Malaysian Customs Department,
which hosts the primary customs taxation
and inland tax management systems man-
aged by the customs department.
“The contract involves a 48-month
rental of mainframe hardware from January
1, 2024, to December 31, 2027, replacing
the existing SMK mainframe hardware,
which reached end-of-support status on
August 31, 2023,” MOF said in a written
parliamentary reply to Datuk Seri Wee Ka
Siong (BN-Ayer Hitam) on Wednesday.
The primary scope of the contract in-
cludes providing professional technical
support and periodic maintenance ser-
vices throughout its duration, along with
4 THEEDGE CEO MORNING BRIEF
H O M E
Vote on
The bill, among others, seeks to amend
Part II of the Second Schedule to the
citizenship law
Constitution to accord equal rights to
children born overseas to Malaysian
amendments
mothers.
Prior to this amendment, a child born
postponed to
overseas could only acquire citizenship if
one’s father is a Malaysian citizen.
June Parliament
Other amendments, which have come
under criticism from human rights groups
session
include a revision to Clause 2 of Article 15
of the Constitution to lower the age limit
for citizenship application to 18 from 21,
in line with the voting age in Malaysia, as
BY CHOY NYEN YIAU well as adjustments to the definition of a
theedgemalaysia.com child as provided in the Child Act 2001
and the age of majority as provided in the
Age of Majority Act 1971.
The bill also seeks to amend clause (1)
of Article 15 of the Constitution to impose
an additional requirement of having ad-
equate knowledge of the Malay language
on any married woman applying for citi-
zenship by registration.
Furthermore, it aims to amend Part II
of the Second Schedule to the Constitu-
tion by revising paragraph (a) of Section
1 to specify that only a child born within
Malaysia, with at least one parent being
a citizen at the time of the child’s birth, is
eligible for citizenship.
However, the government has aban-
doned its plan to do away with automatic
citizenship for foundlings and abandoned
children, which are covered under Article
19B and Section 1(e) of Part 2 of Schedule
2 of the Constitution.
Edaran’s
Regarding the implementation of e-In-
voices, MOF noted that the Inland Reve-
RM356.56 mil
nue Board of Malaysia is in the process of
developing the MyInvois system, expected
contract unrelated
to be fully operational before August 2024.
“This system aims to facilitate the ex-
to E-Invoicing
change and management of e-invoices in a
structured electronic format between sell-
system
ers and buyers, accessible free of charge
to all taxpayers,” MOF added.
implementation,
Edaran IT Services Sdn Bhd is a whol-
ly-owned unit of Edaran Bhd. Edaran’s sub-
says MOF
stantial shareholders areValiant Chapter Sdn
Bhd, holding a 23.8% stake, Kauthar Sdn
Bhd (8.17%) and Unique Pyramid (7.93%).
Valiant Chapter is wholly-owned by
BY CHOY NYEN YIAU Zamri Samsuddin, while Unique Pyramid
theedgemalaysia.com is owned by Ruzila Ab Kadir, according to
checks with the Companies Commission
migration services for systems and data of Malaysia.
from the current mainframe to the new one Meanwhile, Kauthar is 95%-owned by
for the four regional zones of the customs Edaran’s founder Tan Sri Tajudin Ram-
department computer center. li, while the remaining 5% is held by his
Additionally, the contract involves of- spouse Puan Sri Faridah Abdullah. Taju-
fering technical training services and tech- din’s son, Fazlan Azri Tajudin, sits on the
nology transfer to customs officers. company’s board as an executive director.
 T H U R S D AY M A R C H 2 8 , 2 0 2 4 5 THEEDGE CEO MORNING BRIEF

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 T H U R S D AY M A R C H 2 8 , 2 0 2 4
KUALA LUMPUR (March 27): Com-
puter Forms (M) Bhd said its sharehold-
ers rejected a motion to re-elect executive
director (ED) Pang Nan Yew at the com-
pany’s annual general meeting (AGM) on
Wednesday.
Accordingly, Pang is deemed to have
retired from the group’s board, the print-
ing and packaging solutions provider said
in a stock exchange filing.
Seventy shareholders voted against
the motion, versus 48 who supported the
re-election of Pang as a director.
Pang has over 31 years of experience in
the manufacturing industry, having spent
25 years in Sharp Manufacturing Corp (M)
Sdn Bhd (SMC), with his last position be-
ing deputy general manager.
The 61-year-old was subsequently ap-
pointed as an advisor to Mepcom Poly-
mer Sdn Bhd, where he devised marketing
strategies for MPSB, especially in mainland
China and Southeast Asia.
According to Computer Forms’ latest
annual report, Pang was appointed as ED
in May 2022, together with Hoo Swee
Guan.
At Wednesday’s AGM, Hoo received
support from 114 shareholders to remain
on the board, while just four persons voted
against the motion.
Hoo, 42, is a practising accountant. He
has also been serving as ED at Fitters Di-
versified Bhd since November 2021 and
BCM Alliance Bhd since Jan 4, 2021.
For the financial year ended Sept 30,
2023 (FY2023), Pang drew a total remu-
neration of RM491,000 from Comput-
KUALA LUMPUR (March 27): KNM
Group Bhd has signed a share purchase
agreement with two buyers to sell its whol-
ly-owned unit FBM Hudson Italiana SpA,
a heat exchanger and high-pressure equip-
ment manufacturer.
Under the agreement, both buyers,
namely BM Carpenterie Oil & Gas Srl and
Officine Piccoli SpA, will take over the 11.5
million euro loans that FBM Hudson owes
to KNM as settlement for sale consideration.
The buyers will pay the first one million
euros within five business days upon fulfil-
ment of all conditions precedent, and one
million euros monthly instalments for the
following four-month period, according to
the bourse filing.
The remaining 11.5 million euros will
be repaid over 10 years through equal an-
nual instalments, said KNM in its stock ex-
change filing.
Milan-based BM Carpenterie will be
buying a 60% stake in FBM Hudson at
9.9 million euros, while Verona-based
Officine Piccoli will be acquiring the re-
6 THEEDGE CEO MORNING BRIEF
H O M E
Computer Forms
shareholders
reject re-election
of executive
director at AGM
BY CHESTER TAY
theedgemalaysia.com
er Forms, the highest among the group’s
board members, followed by Hoo who re-
ceived RM445,000.
Pang and Hoo’s combined remunera-
tion represented 66% of Computer Forms’
total remuneration for directors and senior
management of RM1.41 million.
At the AGM, shareholders approved the
payment of up to RM350,000 directors’
fees and additional fees or benefits of up
to RM50,000 for FY2024.
Both Pang and Hoo were appointed to
Computer Forms’ board in May 2022 to-
gether with Wong Kok Seong, Kho See Yi-
ing, and Tan Li Sin. All three of them also
held directorships in Fitters Diversified.
They replaced the previous board after
Sanichi Technology Bhd group managing
director Datuk Seri Dr Pang Chow Huat in
March 2022 bought a 65% stake in Com-
puter Forms from Tan Sri Tan Hua Choon
for RM79.91 million.
Chow Huat subsequently launched a
KNM signs agreement
to sell Italian unit for
16.5 mil euros, of which
11.5 mil to be repaid
over 10 years
BY CHESTER TAY
theedgemalaysia.com
maining 40% stake at 6.6 million euros.
KNM announced that the agreement is
subject to obtaining the Golden Power clear-
ance from the Italian government.
According to the International Associ-
ation of Defense Counsel, the Italian gov-
ernment’s Golden Power refers to its special
power to stop any foreign direct investment,
or halt corporate transactions involving stra-
tegic assets that include defence, national
security, and infrastructure such as transpor-
mandatory take-over offer at 60 sen per
share, which resulted in no change to his
shareholding.
Chow Huat held on to his sharehold-
ings until a year later, before offloading a
majority of the shares between March 27
and March 31, 2023, and ceasing to be a
substantial shareholder.
In March 2023, Computer Forms’ share
price dropped significantly from RM2.75
in the beginning of the month, to just 23
sen by March 27, when Chow Huat started
selling his stake.
Prior to that, the counter climbed in a
rather steep pattern, starting November
2023 at RM1.18, and more than doubled
within three months to its historical high
of RM2.92 on Jan 12, 2023.
The steep share price appreciation was
despite the fact that the group undertook
a 30% private placement, raising RM71.2
million between Sept 2022 and January
2023 in three tranches, priced between
96.4 sen and RM2.375 apiece.
Chow Huat owns 8.4% stake in Fitters
Diversified as at Sept 26, 2023.
Computer Forms also went through oth-
er notable boardroom changes in FY2023,
including the resignation of Datuk Wira
Justin Lim Hwa Tat, who was wanted by
the Malaysian Anti-Corruption Commis-
sion (MACC) for allegedly directing and
approving five payments totaling RM2.5
million from Sersol Bhd to a private com-
pany named HGC Legacy Enterprise.
Read the full story
tation, energy and communications.
The Italian government had rejected the
disposal once in November last year when
KNM proposed to sell FBM Hudson to
United Arab Emirates’ Petro MAT FZCO
for 22 million euros.
KNM said it received binding and ir-
revocable offers from BM Carpenterie and
Officine Piccoli to acquire FBM Hudson
in February.
KNM said the proposed disposal is ex-
pected to result in an estimated loss of about
RM94.34 million.
“In view of the continued loss-making
operations of KNM Europa and uncertain-
ty in business prospect, KNM Group has
decided to exit this loss-making segment
and the expected proceeds to be received
from the proposed disposal of FBM Hudson
Italiana, albeit in tranches, to be withheld
to repay borrowings and for working capital
purposes,” said KNM.
Shares of KNM closed half sen or 6.25%
higher at 8.5 sen on Wednesday, giving it a
market capitalisation of RM343.9 million.
 T H U R S D AY M A R C H 2 8 , 2 0 2 4
Zantat makes
impressive ACE
Market debut,
closes with 50%
premium
BY HEE EN QI
theedgemalaysia.com
KUALA LUMPUR (March 27): Calci-
um carbonate producer Zantat Holdings
Bhd ended its maiden trading day on Bur-
sa Malaysia’s ACE Market at 37.5 sen, a
premium of 12.5 sen or 50% over its ini-
tial public offering (IPO) price of 25 sen.
The counter surged by as much as 17
sen or 68% to 42 sen, after opening at a
premium of 15 sen or 60% to 40 sen. It
was the most active stock on Bursa Ma-
laysia with 92.91 million shares traded.
At 37.5 sen per share, the group is valued
at about 12.5 times its price-earnings ratio,
based on a net profit of RM6.77 million and
basic earnings per share of three sen for the
financial year ended Dec 31, 2023 (FY2023).
Its market capitalisation stands at RM105 mil-
lion, based on a share capital of 280 million.
Looking ahead, managing director Ivan
Chan said the group expects the glove indus-
try which has been in oversupply, to recover in
the second half of the year, and that this would
generate extra revenue for the company, as
its products are used as fillers in the industry.
He also expected demand from India
to remain strong. India accounts for 60%
of Zantat’s total revenue.
“As for our new [bioplastic] products,
we are planning to expand our footprint
to Australia, New Zealand and Europe.
KUALA LUMPUR (March 27):Total sur-
face decorative products company Topmix
Bhd began taking orders from investors
on Wednesday for its initial public offer-
ing (IPO) on the ACE Market that would
raise up to RM25.6 million.
The IPO, which is priced at 31 sen apiece,
comprises a public issuance of 82.7 million
new ordinary shares, which represents 21% of
the enlarged share capital, as well as an offer
for sale of 19.7 million existing shares, which
represents 5% of the enlarged share capital, by
way of private placement to selected investors.
Out of the 82.7 million new shares, the
company allocated 19.7 million shares to the
public, 7.9 million shares to eligible persons
and 55.1 million shares to Bumiputera and
select investors through private placement.
7 THEEDGE CEO MORNING BRIEF
H O M E
From left: M&A Securities Sdn Bhd head of corporate finance Gary Ting, Zantat Holdings Bhd
independent director Poo Lap Tuck, Zantat executive director Chan Jee Chet, Zantat co-founder
and deputy chairman Chan Hup Ooi, Zantat MD Ivan Chan, Zantat chairman Yap Yoon Kong, Zantat
independent director Gan Seng Kian, Zantat independent director Rima Ramona Muhammad Arif and
M&A Equity Holdings Bhd MD Datuk Bill Tan
Zantat Holdings Bhd
Vol (mil) Sen
10 40 sen 40
8 39
6 *37.5 sen 38
4 37
2 36
0 35
9am 4.59pm
Mar 27, 2024
*As at market close on first day
of listing (March 27)
Source: Bloomberg
We are collaborating with strategic part-
ners to produce compostable garbage bags,
which will be exported to these countries,
hopefully by this year,” he told the press
after the listing ceremony on Wednesday.
Zantat Perak Plant 1, whose products
are primarily exported for the plastic in-
dustry in India, achieved an average uti-
lisation rate of 94% for the nine months
ended Sept 30, 2023 (9MFY2023).
However, Zantat Perak Plant 2, which
Topmix begins
taking orders for
IPO to raise up to
RM26 mil
BY HEE EN QI
theedgemalaysia.com
Applications for the IPO will close on
April 4, while the listing is set for April 23.
The company sees a pricing-earn-
ing ratio of 14.3 times, based on its net
profit of RM8.5 million for the financial
ZANTAT
is used to produce bioplastic compounds,
recorded a utilisation rate of 28% during
the same period.
“This is why we are expanding the research
and development (R&D) facilities to boost
sales and the utilisation rate of the plant,” said
Zantat’s executive director Chan Jee Chet.
However, Chan said that the company
is finding it difficult to recruit talent for its
R&D facilities, primarily due to the spe-
cialised nature of the industry. He hopes
the company’s listing status would now
make it more appealing to potential talents.
In a March 18 bourse filing, Zantat said
it posted a net profit of RM1.1 million or
0.5 sen per share for its fourth quarter
ended Dec 31, 2023 (4QFY2023), on the
back of RM31.7 million in revenue.
There were no comparative figures for
the corresponding quarter a year ago, as
it was the first interim financial report an-
nounced by Zantat, in compliance with
listing requirements.
Zantat’s IPO was oversubscribed by
130.15 times, its public portion attract-
ing RM459.01 million worth of orders,
or about 33 times the RM14 million that
it aimed to raise from the offering.
M&A Securities was the adviser, sponsor,
underwriter and placement agent for the IPO.
year ended Dec 31, 2022 (FY2022).
For the financial period ended Sept 30,
2023 (9MFY2023), the group reported a
net profit of RM5.6 million, on the back
of RM51 million.
According to its statement on Wednes-
day, the company plans to use 44.2% of
its proceeds, or RM11.3 million, for gen-
eral working capital and 23.3%, or RM6
million, for business expansion.
It will also allocate 20.8% of its proceeds,
or RM5.3 million, to expand into the assem-
bly of melamine-faced chipboard products.
The remaining RM3 million, or 11.7%, will
be used to defray listing expenses.
M&A Securities serves as the principal
adviser, sponsor, underwriter, and place-
ment agent for the IPO exercise.
 T H U R S D AY M A R C H 2 8 , 2 0 2 4 8 THEEDGE CEO MORNING BRIEF

H O M E

Reduced
KUALA LUMPUR (March 27): A reduc-
VS Industry Bhd
tion in orders from key customers in Ma-
quarterly earnings
orders from
laysia, China and Indonesia continued to
weigh on the earnings of electronic man- Net profit Revenue
(RM mil) (RM mil)
key customers
ufacturing services (EMS) provider VS
Industry Bhd as its net profit for the sec- 80 1400

1294

1162
continue to weigh
ond financial quarter ended Jan 31, 2024
(2QFY2024) almost halved from the pre-

1153
60

928

1147
on VS Industry’s
vious corresponding quarter. 1200

1004
The reduced orders, which was also the
40

997
2Q earnings
same reason the group cited for the fall in
1000

895
the previous 1QFY2024 earnings, affected
20
the overall utilisation rate of its production

51.3
34.6
60.7
30.4
26.8
66.1
26.8
capacity,VS Industry said in a filing to Bur-

sa Malaysia on Wednesday.
VS Industry’s net profit for 2QFY2024
fell 47.3% to RM16 million from
RM30.36 million in the previous year, as
revenue slipped 22% to RM895.02 mil-
lion from RM1.15 billion.
Despite the lower quarterly earnings,VS
Industry declared a second interim dividend
of 0.3 sen per share, payable on April 30,
2024.This brings the total dividend per share
for the current financial year to 0.6 sen com-
pared with the 0.8 sen it declared during the
corresponding period in the previous year.
For the first half of FY2024 (1HFY2024),
net profit amounted to RM64.99 million,
down 28.6% from RM91.07 million in the
same period the previous year, as revenue
BY EMIR ZAINUL
theedgemalaysia.com
dropped 16.1% to RM2.05 billion from
RM2.44 billion previously.
Looking ahead, VS Industry said it is
seeing encouraging signs as orders from
its key customers are gradually rising again
underpinned by normalization of inventory
level and improving sentiments.
“In addition, the launching of new mod-
els by certain customers serves to sustain
market interest as well,” it said.
On top of that, VS Industry said there
are also ongoing discussions with pro-
spective customers that are charting good
progress, as it looks to broaden its clien-
16
0 800
3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q
FY2022 FY2023 FY2024
*Financial year ends on July 31
Source: Bursa Malaysia
tele by the end of the calendar year.
“All in all, the board opines that the fi-
nancial performance of the group for the
remaining quarters [will] gradually reflect
improving performance, and [is] firmly sup-
ported by our lean balance sheet with low
net gearing and healthy cash flow,” it added.
At Wednesday’s closing bell, shares of VS
Industry were one sen or 1.21% higher at
83.5 sen, giving it a market value of RM3.22
billion. Some 119,700 shares were traded.

Gamuda 2Q net
KUALA LUMPUR (March 27): Gamuda Net profit quarter-on-quarter was
Bhd’s net profit rose 7.29% to RM208.8 up 7.05% from RM195.04 million in

profit rises 7% as
million in the second quarter ended Jan 31, 1QFY2024, as revenue grew 18.76% from
2024 (2QFY2024) from RM194.62 million RM2.8 billion in the immediate preceding

overseas projects
a year earlier, on the back of higher revenue quarter, thanks to higher property earnings
from its overseas projects. in 2QFY2024.

continue to drive
Revenue more than doubled to RM3.33 However, Gamuda’s net profit for the first
billion year-on-year against RM1.44 bil- half of the financial year 2024 (1HFY2024)

lion in 2QFY2023, the construction
group said in a filing to Bursa Malaysia
on Wednesday.
“Overseas projects stepped up to fill the
gap left by the decline in domestic revenue
and earnings as the MRT2 [MRT Sungai
Buloh-Serdang-Putrajaya line] project was
completed last year,” Gamuda said.
Gamuda’s quarterly
The group said its quarterly revenue
from overseas projects surged to 77% of financial performance
overall revenue, while quarterly net profit
from overseas projects surged to 58% of
overall net profit.
“Gamuda Engineering’s quarterly reve-
nue from overseas projects tripled to RM2.1
billion from RM662 million last quarter [of
2023], whilst overseas net profit more than
doubled to RM72 million from RM34 mil-
lion last quarter [of 2023] on the back of the
earnings
declined 70.38% to RM403.84 million ver-
sus RM1.36 billion in 1HFY2023, while
revenue surged twofold to RM6.14 billion in
1HFY2024 as compared to RM2.75 billion
BY ANIS HAZIM in the same period last year, mainly driven
theedgemalaysia.com by stronger overseas performances of the
construction and property divisions.
On its prospects, Gamuda said that its
performance this year will be driven by over-
seas construction activities as projects in
Net profit Revenue Australia and Taiwan continue to accelerate.
(RM mil) (RM bil)
“Moving forward, the resilience of the
300 4
3.42 3.33 group is underpinned by a large construc-
2.80 tion order book of RM24 billion and un-
3 billed property sales of RM6.7 billion. On
200
2.07 top of that, the group has a healthy balance
2 sheet with a comfortable net gearing of
1.31 1.44
100 29%, well below its self-imposed gearing
1 limit of 70%,” it added.
1,16.8

194.6

223.4

251.7

195.0

208.8

progress of Australian projects,” it noted. Shares in Gamuda closed eight sen or

Gamuda Land’s overall revenue in- 0
1Q 2Q 3Q 4Q 1Q 2Q
0 1.54% higher to RM5.27 on Wednesday,
creased by 70%, and net profit grew by FY2023 FY2024 valuing the group at RM14.59 billion. The
62%, driven by stronger performances from Source: Bursa Malaysia
counter has risen 14.81% year-to-date and
both overseas and domestic projects. 28.85% in the past one year.
 T H U R S D AY M A R C H 2 8 , 2 0 2 4
KUALA LUMPUR (March 27): Malaysia
faces higher risk of missing its own fiscal
targets if the government delays targeted
subsidy implementation at a time when
inflation is expected to remain benign,
Australia & New Zealand Banking Group
(ANZ) cautioned.
The comment comes amid concerns
over lower-than-expected registration in
the Padu central database crucial for eval-
uation of eligibility and targeted delivery
of assistance. Padu has seen a sharp rise in
registration in the past one week, Econo-
my Minister Rafizi Ramli said on Monday
and will continue to rise until the March
31, 2024 deadline.
“Any push-back in targeted subsidy
implementation will raise the risk of fis-
cal slippage,” ANZ warned in its econom-
ic outlook report for the second quarter.
“This is not our base case for now.”
Malaysia has been trying to shrink a
long-running fiscal deficit that stretches
back to the 1998 Asian Financial Crisis.
Most recently, the government has intro-
duced a slew of measures ranging from
trimming subsidies to imposing additional
taxes in a bid to fix its weakened finances.
The key is the withdrawal of subsidies
for fuel and other non-essential items wide-
ly panned by economists for being wasteful.
KUALA LUMPUR (March 27): Malay-
sia’s producer price index (PPI), which
measures price changes of goods at the
producer level, increased by 0.3% in Feb-
ruary 2024 from -0.6 % in January 2024,
the Department of Statistics Malaysia said.
Chief statistician Datuk Seri Dr Mohd
Uzir Mahidin said the agriculture, forest-
ry and fishing sector rose 6.0% (January
2024: 3.2%), contributed by the growing
of perennial crops (8.1%), fishing (7.5%)
and animal production (4.3%) indices.
“At the same time, the mining sector
recorded an increase of 5.3% (January:
-1.3%) with the index of extraction of
crude petroleum posting a 7.9% increase.
“The water supply index went up 3.6%
in February 2024 (January: 0.6%) follow-
ing the increase in water tariffs across the
country starting Feb 1, 2024.The electricity
and gas supply sector was also slightly up by
0.1% in February (January: -0.8%),” he said.
Meanwhile, Mohd Uzir said the man-
ufacturing sector continued to decline by
0.7% (January: -0.9%), attributing this to a
drop in the manufacture of coke and refined
petroleum products (-12.6%), and manu-
facture of food products (-3.3%) indices.
“On a monthly basis, PPI local produc-
tion increased by 0.7% after a decline of
0.1% in the previous month. The man-
ufacturing sector remained unchanged,
9 THEEDGE CEO MORNING BRIEF
H O M E
Malaysia risks
fiscal slippages
if govt delays
subsidy reforms,
ANZ warns
BY JASON NG
theedgemalaysia.com
To soften the blow on cost of living, the
government has pledged to dish out cash
and other aid. This year, the government
is targeting to narrow its budget gap as a
proportion of economic output to 4.3%
from 5% last year.
“How the government will calibrate fuel
subsidies and by how much is unclear, but
their impact on inflation is unlikely to be
severe,” ANZ said. It forecasts average infla-
tion for 2024 at 2.8% versus 2.5% in 2023.
Government expenditure contracted
8.2% year-on-year in January as revenues
shrank 15.1%; revenues were closer to the
historical run-rate while expenditure un-
derperformed, ANZ flagged.
DOSM:
Malaysia’s
producer price
index up 0.3%
in February
Bernama
while all other sectors recorded an increase
in February.
“The mining sector went up 5.7% with
the increase in both the extraction of crude
petroleum (5.8%) and extraction of nat-
The slow start to expenditure could be
“deliberate, given the uncertainty around
the fuel subsidy,” it noted.
Broadly, ANZ forecasted Malaysia’s
economy to expand 4.3% this year, in
line with official projections for 4%-5%
growth, as slowing household consump-
tion will likely be compensated by stronger
investment and exports.
Growth in consumer credit “cannot
continue at the current pace” amid high
level of household debt at around 82% of
gross domestic product, ANZ said. Fast-
er growth in wages will be constrained as
labour force participation is already near
a historical high, and gains in real pur-
chasing power from lower inflation have
been realised.”
A turn in the investment cycle is “evi-
dent in indicators,” such as fixed asset-re-
lated loans, capital goods imports and for-
eign direct investment flows and in the
balance of payment, ANZ said. The pace
of decline in exports of electrical and elec-
tronic products is easing while their im-
ports are rising, it highlighted.
Rising inbound shipment of electronic
intermediates typically signal stronger ex-
ports ahead and “we anticipate Malaysia’s
exports to recover in the second half of the
year,” ANZ added.
ural gas (5.2%) indices. The agriculture,
forestry and fishing sector rose 2.6% due
to the growing of perennial crops (4.3%)
and fishing (3.7%),” he said.
For the utility sector, he said electric-
ity and gas supply and water supply in-
creased by 0.9% and 2.7% respectively
in February.
On the PPI local production by stage
of processing, Mohd Uzir said the crude
materials for further processing index in-
creased by 5.6% in February (January:
2.3%), with the non-food materials index
posting an increase of 6.0%.
“The finished goods index inched up
by 1.1% (January: 0.5%), attributed to the
increase in the capital equipment (2.9%)
index.
“On the other hand, the Intermediate
materials, supplies and components index
continued to decrease by 1.7% (January:
-2.0%) due to the processed fuel and lu-
bricants (-12.9%) and materials and com-
ponents for manufacturing (-0.5%) indi-
ces,” he said.
On a monthly basis, he said all inde-
ces posted an increase in February, with
crude materials for further processing up
by 2.7%, while finished goods and inter-
mediate materials, supplies and compo-
nents indices increased by 0.7% and 0.1%
respectively.
 T H U R S D AY M A R C H 2 8 , 2 0 2 4
KUALA LUMPUR (March 27):The Min-
istry of Investment, Trade, and Industry
(Miti) said that low salary is the cause of
a shortage of local skilled workers com-
prising graduates, although demand from
industries continues to increase.
Deputy Minister Liew Chin Tong quot-
ed the quarterly statistical report issued
by the Malaysian Bureau of Labour Sta-
tistics, Department of Statistics Malaysia
(DOSM), which reported 49,500 vacan-
cies for high-skilled positions in the man-
ufacturing sector in the second quarter of
2023 (2Q2023).
Apart from that, data in 3Q2023 from the
Institute of Labour Market Information and
Analysis reported a total of 22,248 vacancies
in the professional, scientific and technical
sectors, involving 5,734 local companies.
“Looking at this data, the production of
graduates in Malaysia can be considered suf-
ficient to meet the demand from industries.
“However, most of them choose to
work abroad due to better salary offers
and working environments or engage in
the gig economy,” he said.
He said this in response to a question
from Senator Datuk Mustafa Musa, who
asked the ministry to state the estimated
employment for technical, engineering, sci-
ence, and technology skilled workers re-
KUALA LUMPUR (March 27): The
Ministry of Energy Transition and Water
Transformation (Petra) has introduced a
solar incentive scheme (Solar for Rakyat
incentive scheme or Solaris) to encourage
installation of solar photovoltaic (PV) sys-
tems by domestic users.
In a statement on Wednesday, Fadillah,
who is also deputy prime minister, said that
solar PV installation in residential premises
by domestic users represents a “quick win”
in Putrajaya’s bid to boost its renewable
energy (RE) efforts.
“Considering its significant potential, the
installation of solar PV systems in residential
premises should be expanded to support the
government’s efforts to increase RE capacity
in the electricity supply system to 70% by
2050 and to reduce carbon emissions from
the electricity supply sector,” Fadillah said.
Solaris will offer a rebate of up to
RM4,000 per kilowatt alternating current
(kWac) to new net energy metering (NEM)
users who submit NEM applications to the
Sustainable Energy Development Authority
(Seda) Malaysia on or after April 1, 2024.
The scheme, which will be adminis-
tered by the Tenaga Nasional Bhd (TNB),
is open to all Malaysian citizens with a one-
time limit per individual, who is a TNB
account holder, as well as first-time ap-
plicants for the NEM Rakyat programme.
10 THEEDGE CEO MORNING BRIEF
H O M E
Low salary
reason why
graduates turning
down local skilled
jobs, Senate told
Bernama
quired by investors in 2024, considering the
statement that the government had to use
skilled foreign labour, resulting in a deficit
of job opportunities for local graduates.
Liew also referred to a recent study titled
“ShiftingTides: Charting Career Progression
of Malaysia’s Skilled Talents” by Khazanah
Research Institute, which reported that the
number of overqualified new graduates con-
tinues to increase and they face issues of low
pay, with 65.6% of graduates in 2021 receiv-
ing starting salaries of less than RM2,000.
Elaborating further, Liew said Miti
and the Ministry of Higher Education
(MoHE), together with other ministries,
Fadillah: Govt
aiming to spur
residential solar
PV installation
via Solaris
BY ANIS HAZIM
theedgemalaysia.com
have outlined comprehensive measures to
ensure unemployed graduates find jobs
in industries that match investors’ needs,
thereby meeting market demand.
“Miti and MoHE together with other
ministries are managing the ‘work-based
learning’ programmes to align TVET
(Technical and Vocational Education and
Training) with industry needs, along with
other programmes to create an environ-
ment where graduates and professionals
can work alongside technical workers to
meet industry demands,” he said.
Nevertheless, Liew said the industries
must be prepared to pay high salaries.
It is worth noting that the rebate is
based on a “first come, first served” basis
for NEM quotas applied from April 1 to
Dec 31, 2024. Meanwhile, NEM Rakyat
applications obtained must be operational
no later than March 31, 2025, or until all
Solaris rebate quotas are exhausted.
“The rebate payment will only be made
after the installation and operation of the so-
lar PV system under the NEM Rakyat pro-
gramme, in the name of the bill holder and
will be deposited into the user’s local bank
account, subject to the terms and conditions
of the claim,” he said.
To further expand public involvement
in RE, Fadillah said that the government
has also agreed to approve an additional
quota of 100 megawatts (MW) under the
NEM Rakyat programme, increasing the
allocated quota to 350MW.
Applications for quotas for the NEM
Rakyat programme are open until Dec 31,
2024, or until all allocated quotas are ex-
hausted, whichever comes first.
“With these provisions, Petra believes
that Solaris can attract more domestic
users to participate and benefit from the
installation of solar systems in residential
premises, thereby contributing to ener-
gy transition aspirations and the coun-
try’s carbon-neutral targets by 2050,” he
added.
 T H U R S D AY M A R C H 2 8 , 2 0 2 4 11 THEEDGE CEO MORNING BRIEF

H O M E

NEWS IN BRIEF

KJTS bags housekeeping job for Jabil’s Penang manufacturing plants Eduspec bags RM30 mil 5G hardware
KUALA LUMPUR (March 27): Building support services provider KJTS Group Bhd has testing job from EG Industries unit
secured a housekeeping service and floor polishing jobs at six different manufacturing KUALA LUMPUR (March 27): Eduspec Holdings
plants located in Penang. In a Bursa Malaysia filing on Wednesday, KJTS said its Bhd has secured a RM30 million contract
subsidiary ETC Cleaning Services Sdn Bhd had accepted letters of awards (LOAs) from from electronic manufacturing services (EMS)
Jabil Sdn Bhd and Jabil Circuit Sdn Bhd, both owned by the US-based product solutions provider EG Industries Bhd to provide testing
company, Jabil Circuit Inc. KJTS said that the value of the contracts is expected to be services for EG Industries’ 5G optical modules
finalised upon the execution of the agreements. All the housekeeping services and and other related components. According to
floor polishing jobs will begin on April 1, 2024 and the scope of work will include a Eduspec’s bourse filing on Wednesday, the
three-year housekeeping service until March 31, 2027. Housekeeping services for Jabil job was awarded to the education technology
Circuit will be spread across several manufacturing plants, including Plant 2 and Jabil products and services provider’s wholly-owned
Batu Kawan. Plant 3 will be operational for six months until Sept 30, 2024, Plant 8 for unit, Eduspec Technology Sdn Bhd, from EG
five months until Aug 31, 2024, and the Bukit Minyak warehouse for two years and Industries’ wholly-owned subsidiary SMT
five months until Aug 31, 2026. “The award letters will not have any effect on the share Technologies Sdn Bhd (SMTT). The independent
capital and shareholding structure of KJTS. The award letters, however, are expected to testing services Eduspec is to provide under the
contribute positively towards the earnings and net assets of KJTS until the expiration of contract include testing and validating SMTT’s
the award letters,” it added. — by Anis Hazim 5G optical printed circuit board assembly and
other related components and products. The
contract spans one year commencing from April
BNM saw total RM11.5 bil in e-payments last year, Senate told 1, 2024, according to the group. Eduspec added
KUALA LUMPUR (March 27): Bank Negara Malaysia (BNM) recorded a total of RM11.5 that the job is expected to contribute positively
billion in cashless payment transactions last year, thanks to the availability of 4G and 5G to its consolidated earnings. “The group intends
coverage, as well as internet services throughout the country, the Senate was told on to finance the commitment [required for the
Wednesday. Deputy Minister of Digital Datuk Wilson Ugak Umbong said that this figure was contract] via internally generated funds and/or
an increase from RM9.5 billion in 2022 and RM7.2 billion in 2021. “The ministry will continue a fundraising exercise, of which if undertaken,
to collaborate with various parties in encouraging entrepreneurs to adopt cashless payment the details will be announced in due course,” it
methods in line with technological advancements. “In this regard, BNM is the leading agency also noted. Shares in Eduspec ended unchanged
in promoting the use of e-payments among consumers and businesses to facilitate easy and at 14 sen, valuing the group at RM164.2 million.
secure digital transactions,” he said when winding up the debate on the motion of thanks for Meanwhile, EG Industries’ shares closed three
the royal address on Wednesday. Through the Jendela initiative previously implemented by sen or 2.34% lower at RM1.25, giving the
the Ministry of Communications, Wilson said the 4G network coverage is being expanded company a market capitalisation of RM584.75
throughout the country so that 100% coverage in populated areas (CoPA) can be achieved by million. — by Izzul Ikram
2025. He said Digital Nasional Berhad (DNB) will also complete 7,509 5G sites nationwide to
further increase 5G access. With a 100% CoPA for 4G networks achieved and the completion PT Resources’ 3Q profit jumps on
of the 7,509 5G sites, it is hoped that the adoption of digital payments, especially among small higher domestic and overseas sales
entrepreneurs, will be able to be expanded throughout the country, he added. — Bernama KUALA LUMPUR (March 27): Frozen seafood
supplier PT Resources Holdings Bhd reported
Cyber Security Bill passed in Dewan a net profit of RM14.56 million for its latest
Rakyat with majority voice vote
BERNAMA quarter, over seven times the RM1.97 million
it made a year earlier, as revenue increased
KUALA LUMPUR (March 27): The
amid higher domestic and overseas demand.
Dewan Rakyat on Wednesday passed
Earnings per share rose to 2.47 sen from 0.37
the Cyber Security Bill 2024, which is
sen. Revenue for the three months ended Jan 31,
aimed at bolstering national cybersecurity
2024 (3QFY2024) came in at RM165.04 million,
by mandating compliance with specific
up 42.96% from RM115.44 million in 3QFY2023,
measures and standards. Digital Minister
according to the group’s bourse filing. The group
Gobind Singh Deo tabled the bill for its
critical national data, implement the said domestic demand rose by RM17.2 million
second reading, and it received approval
code of practice, conduct cybersecurity or 29.9% year-on-year during the quarter as the
through a majority voice vote after
risk analyses and audits, report Chinese New Year approached while overseas
Members of Parliament from both sides
cybersecurity incidents and engage demand increased by RM32.3 million or 56%,
of the aisle debated on it. In his winding-
in cybersecurity exercises,” he said. primarily driven by higher demand from China
up speech, Gobind clarified that Clause
Despite the bill indicating that federal customers. PT Resources declared a second
2(2) of the bill, which grants immunity
or state governments would not face interim dividend of 0.65 sen per share, to be paid
from prosecution to both the federal
prosecution for non-compliance with its on May 17. For the first nine months of FY2024,
and state governments, does not imply
provisions, Gobind reiterated Putrajaya’s the group’s net profit more than doubled to
leniency toward the authorities. He said
commitment to ensuring full compliance RM37.95 million from RM17.83 million in the
the federal and state governments remain
with the bill’s provisions by both federal preceding year’s corresponding period, while
bound by the proposed law, as government
and state agencies, emphasizing that revenue rose 14.68% to RM408.38 million from
entities as mentioned in the bill encompass
adherence to existing laws would be RM356.09 million, supported by higher foreign
ministries, federal agencies and state
closely monitored and enforced. — by sales, particularly from China. — by Luqman Amin
governments. “These government entities
are obligated to provide information on Choy Nyen Yiau
Read the full story
 T H U R S D AY M A R C H 2 8 , 2 0 2 4
Shahrol: Najib was ‘grand chess-master’
in SRC and 1MDB
KUALA LUMPUR (March 27): Datuk Seri
Najib Razak was the “grand chess-master”
who “moved things around” to facilitate
projects involving SRC International Sdn
Bhd and even 1Malaysia Development Bhd
(1MDB), the court heard on Wednesday.
Datuk Shahrol Azral Ibrahim Halmi, a
former director of SRC and former 1MDB
chief executive officer (CEO), testified that
whenever the two companies were man-
dated to execute a project, there would be
larger pieces that were “moved around” to
facilitate these projects, resulting in the SRC
board agreeing with some decisions on the
assumption that Najib had access to more
information (than they were privy to).
Testifying in the ongoing US$1.18
billion (RM4 billion) civil action brought
by SRC against Najib and former 1MDB
chief investment officer Nik Faisal Ariff
Kamil, who was also former finance minis-
ter, Shahrol alluded to the placing of loans
that SRC had acquired from Retirement
Fund Inc (KWAP) into “time deposits”
before they were to be utilised for invest-
ments in Indonesia, in the energy and re-
sources sectors.
“My view at that time was that Najib
was like a grand chess-master on the board.
One clear example in the SRC case is that
[investing in] uranium was put into SRC’s
mandate. Around 2010, there was already
a plan to diversify our electricity sources.
“And sure enough, a separate company
called Malaysian Nuclear Power Corporation
was set up sometime in 2010 to kickstart the
nuclear programme in Malaysia. That was
transformed into the Nuclear Energy Plan
Implementation Office (NEPIO), (which was
put) directly under the PM’s Department,”
Shahrol said to defence counsel Muham-
mad Farhan Muhammad Shafee’s question.
Shahrol elaborated that this was also his
experience in 1MDB, where he served as
CEO.
SRC board raised concerns over ‘time
deposits’ but signed off on it the very
next day
Shahrol said that the board had raised some
concerns over the “time deposits”, which
were investments, and decided to hold off
on them, but had ultimately approved them
as they were pre-authorised by Najib.
“So, it was natural for me to assume in this
particular case, that ‘Oh, we (the board) had
these concerns but Nik (Faisal) showed us in
black and white, [Najib’s] signature saying
that he agreed to this move’, so we said in that
12 THEEDGE CEO MORNING BRIEF
H O M E
BY TARAN I PALANI & TIMOTHY ACHARIAM
theedgemalaysia.com
ZAHID IZZANI/THE EDGE
case ‘we are okay with it because [Najib] may
know something more’,” Shahrol explained,
adding that this was his thought process but
he could not speak for the other directors.
Muhammad Farhan was asking Shahrol
to explain how the SRC board could have
given its approval a day after it had decided
to hold off the decision to make an advance
payment while waiting for more information
on the “time deposits”.
The defence lawyer suggested that the
board had breached its fiduciary duty to
the company, to which Shahrol disagreed.
Shahrol: I do not remember if there was
a presentation by the bankers (for more in-
formation), as requested by the board. I re-
member signing this (resolution) and I can-
not be 100% sure but I believe that it was
Nik (Faisal) who brought me the Director’s
Resolution Circular (DCR) and showed me
the Shareholder’s Resolution to approve the
transaction.
Muhammad Farhan: By virtue of you
signing this DCR, that would be inconsistent
with the board’s own directions the day be-
fore, as you said you have not met the bankers
or seen any presentations.
Shahrol: Correct.
Muhammad Farhan: So all those con-
cerns raised literally the day before, effectively
amounted to nothing?
Shahrol: Yes.
Muhammad Farhan: This is also
despite you yourself saying that the (SRC)
board has a fiduciary duty to protect the
company’s assets. Don’t you think that is a
bit reckless?
Shahrol: We were under instructions.
In my mind, when Nik (Faisal) presented
this proposal to the board and when he
encountered the board’s resistance (about
the payment), he came back with a DCR
with a signed Shareholder’s Resolution,
telling us that this is okay with the (then)
PM (Najib), so therefore, [to] please com-
ply. So my frame of mind was that if this
was what Najib wanted done, he should
know something more than I do.
Shahrol also added that it was normal
to assume that a political head of the gov-
ernment would have more information on
certain things beyond a company’s board.
The money that went to these “time de-
posits” were syphoned off by fugitive busi-
nessman Low Taek Jho (more commonly
known as Jho Low) to shell companies as-
sociated to him and his associates; US$120
million of the RM4 billion KWAP loans were
also funnelled into Najib’s personal accounts.
Najib wanted SRC M&A amended
to have ultimate say on directors’
appointments
Earlier, Shahrol also testified that Jho Low
had told him that Najib wanted certain ar-
ticles to be included in the SRC’s memo-
randum and articles of association (M&A)
to have the ultimate say on the appoint-
ment of directors.
In relation to the article that no director
could be appointed or removed without for-
malisation of the position by Najib, Shahrol
said, “The background is that this article is
copied directly from the 1MDB M&A. I was
personally involved in the discussions leading
up to the inclusion and even the design of this
article. He (Jho Low) added that the initial
view was that 1MDB and SRC needed to be
free from political interference. That is why
specifically, there is no member of a political
party or Member of Parliament (in 1MDB
or SRC). Also, the stipulation was that there
should be no civil servants on the board”.
Shahrol added that the direction, as
communicated by Jho Low, was that Najib
wanted this in place, so that any removal or
appointment of directors must go through
him. “So, I disagree with the statement that
[Najib] doesn’t have a free hand over the ap-
pointment of the directors, because he is ul-
timately the person to say, ‘yes’ or ‘no’ to any
director’s appointment,” he said on the stand.
Shahrol said that although the articles said
such decisions would go through the board
and be formalised by the prime minister,
in practice, the board would “never move
ahead” to appoint a director without Najib’s
prior approval.
Read the full story
 T H U R S D AY M A R C H 2 8 , 2 0 2 4
Japanese
authorities confer
on weak yen, hint
at intervention
option
BY TETSUSHI KAJIMOTO
Reuters
TOKYO (March 27): Japan’s three main
monetary authorities held an emergency
meeting on Wednesday to discuss the weak
yen, and suggested they were ready to in-
tervene in the market to stop what they
described as disorderly and speculative
moves in the currency.
In a sign of growing urgency to put a
floor under the yen after the currency fell
to a 34-year low against the dollar, the
Bank of Japan, the Finance Ministry and
Japan’s Financial Services Agency held a
meeting late in Tokyo trading hours.
In a briefing afterwards, top currency
diplomat Masato Kanda said he “won’t
rule out any steps to respond to disorder-
ly FX moves”. Kanda also said the BOJ
would respond through monetary policy
if currency moves affected the economy
and price trends.
The dollar slipped against the yen on
news of the meeting and was last at 151.32
as Kanda spoke. Earlier, the yen was at
151.97, weaker than the 151.94 level at
which Japanese authorities stepped in dur-
ing October 2022 to buy the currency.
The yen has continued to lose ground
despite a historic shift away from negative
interest rates by the BOJ last week.
A weaker yen makes Japanese imports
more expensive, fuelling inflation and
making the cost of living higher.
(March 27): People’s Bank of China gov-
ernor Pan Gongsheng said the country will
aim to boost currency cooperation with
Asian economies to enhance financial sta-
bility in the region.
He spoke about the benefits of bilat-
eral currency swaps in supporting trade
and investment activities during a panel
at China’s Boao Forum, without provid-
ing details. Pan added that Asian countries
should cooperate to have a bigger say at
the International Monetary Fund, and that
China attaches high importance to finan-
cial risk prevention.
Bilateral currency swaps between cen-
tral banks are financing arrangements in
13 THEEDGE CEO MORNING BRIEF
W O R L D
Earlier in the day, Finance Minister
Shunichi Suzuki said authorities could take
“decisive steps” against yen weakness - lan-
guage he hasn’t used since 2022 when Ja-
pan last intervened in the market.He made
his remarks shortly after the dollar spiked
on strong US data.
“Now we are watching market moves
with a high sense of urgency,” he told re-
porters.
“If there’s excessive moves, we will take
decisive steps and not rule out any options.”
Christopher Wong, a currency strategist
at OCBC in Singapore, said markets were
gingerly testing to see where’s the line for
Tokyo.
“I think that the risk of intervention is
quite high, because this is a new cycle high,”
he said, adding that if Tokyo doesn’t act, it
would just encourage people to push the
dollar/yen a lot higher in the next few days.
Bank of Japan governor Kazuo Ueda
said on Wednesday that the central bank
would also keep a close eye on currency
moves and their impact on economic and
price developments.
“Currency moves are among factors
that have a big impact on the economy
PBOC chief
seeks to deepen
currency ties with
Asian economies
Bloomberg
REUTERS
and prices,” Ueda told parliament, when
asked about the yen’s recent sharp declines.
A weaker yen also makes exports from
the world’s fourth largest economy cheaper.
National Australia Bank forex strategists
said ripples from the decline were being
felt elsewhere and said that a recent sharp
drop in China’s yuan may be a policy re-
sponse to protect the competitiveness of
Chinese exports.
“It’s not just a yen story. It has a domino
effect that causes downside risk to other cur-
rencies,” said NAB strategist Rodrigo Catril.
While the BOJ raised interest rates for
the first time since 2007 last week, markets
now believe the next hike may be some
time away.
That has reinforced the yen’s use in
carry trades, in which investors borrow
in a currency with low interest rates and
invest the proceeds in a higher-yielding
currency. Japanese investors can also get
much stronger returns abroad, depriving
the yen of support from repatriation flows.
For the current quarter that ends later
this week, the yen is the worst-perform-
ing major currency, down more than 7%
on the dollar.
which one country’s central bank can ex-
change its own currency for another. Chi-
na has signed deals with Asean member
states, Japan and Korea under the Chiang
Mai Initiative.
Pan on Monday said in a statement that
he’d continue efforts to open up China’s
financial sector. He also underscored that
the property market is on a “solid foun-
dation.”
The central bank has taken several steps
to shore up confidence in an ailing econo-
my, including cutting the amount of money
that banks need to keep in reserve. Analysts
expect the PBOC to deliver two more cuts
to the reserve requirement ratio this year.
 T H U R S D AY M A R C H 2 8 , 2 0 2 4
(March 27): The European Central Bank
(ECB) may be able to lower interest
rates “swiftly” even as workers receive
large wage increases to catch up with
two years of elevated inflation, accord-
ing to executive board member Piero
Cipollone.
A recovery in salaries is needed for
Europe’s struggling economy to regain
some momentum, the Italian official said
on Wednesday, stressing that pay rises
should moderate with time. Inflation,
meanwhile, is retreating, meaning the
point at which monetary settings can be
loosened is nearing, he said.
“An excessive focus on short-term
wage developments may not take into
full consideration the recovery in wages
that can — and needs to — take place for
the euro area’s currently fragile recovery
to gain a stronger footing,” Cipollone
said in a speech in Brussels.
“If incoming data confirm the scenar-
io foreseen in the March projections, we
should stand ready to swiftly dial back
our restrictive monetary policy stance,”
he said.
The remarks are Cipollone’s most ex-
plicit on rates since his appointment to
the ECB in November and cement his
status as one of its leading dovish voices.
While officials in Frankfurt are largely
in agreement about starting rate cuts at
June’s meeting, there appears to be less
harmony on how quickly borrowing costs
should fall as uncertainty over inflation
remains elevated.
The process of easing rates should
(March 27): Ratings agency S&P Glob-
al on Tuesday downgraded five regional
US banks to due to their commercial real
estate (CRE) exposures, in a move likely
to reignite investor concerns about the
health of the sector.
The ratings agency downgraded First
Commonwealth Financial, M&T Bank,
Synovus Financial, Trustmark and Val-
ley National Bancorp to “negative” from
“stable”, it said.
“The negative outlook revisions re-
flect the possibility that stress in CRE
markets may hurt the asset quality and
performance of the five banks, which have
some of the highest exposures to CRE
loans among banks we rate,” S&P said.
Representatives for the banks did not
immediately respond to request for com-
ments outside business hours.
Investor concerns over regional banks’
CRE exposure intensified this year after
New York Community Bancorp flagged
a surprise quarterly loss citing provisions
on soured CRE loans, which triggered a
14 THEEDGE CEO MORNING BRIEF
W O R L D
proceed “step by step”, with its effect on
Cipollone says the struggling eurozone economy to be
monitored closely, Latvian central bank
ECB has room to governor Martins Kazaks said earlier in
the day.
cut rates swiftly “Uncertainty is high and here we need
to be very cautious,” he said. “We don’t
despite wage want inflation to revive, but at the mo-
ment it looks like this dragon is pinned
rebound to the ground.”
Thursday also brought the first data
on consumer-price growth for March
BY ALEXANDER WEBER & JORGE VALERO from a major European economy as
Bloomberg Spain reported an uptick to 3.2%. The
acceleration was down to government
BLOOMBERG support for energy costs being rolled
back, with underlying inflation soften-
ing slightly more than anticipated.
For the euro area as a whole, Bloomb-
erg Economics predicts a dip to 2.4% for
this month, while a separate nowcast
model suggests it could abate to as low
as 2.2%, accounting for the latest Span-
ish data. The reading is due from Eu-
rostat on April 3.
Cipollone said policymakers shouldn’t
lose sight of a more than year-long ma-
laise for the 20-nation euro-area econ-
If incoming data omy. Its biggest member, Germany, will
confirm the scenario barely grow in 2024, according to fore-
foreseen in the March casts published on Thursday by institutes
projections, we that advise the government in Berlin.
should stand ready to “We should remain proportionate
swiftly dial back our going forward given an economy that
has stagnated for 18 months, risks to
restrictive monetary the economic outlook that are skewed
policy stance.” to the downside, and credit conditions
that are in restrictive territory,” he said.
sell-off in US regional banking shares.
S&P Global The bank has sold assets to shore up its
balance sheet.
downgrades Investors and analysts have been wor-
ried that higher borrowing costs and
outlooks on five lingering low occupancy rates for office
spaces in the aftermath of the Covid-19
regional US banks pandemic could result in more lenders
taking losses as borrowers default on
to ‘negative’ loans.
Tuesday’s downgrades come a year
after the collapse of Silicon Valley Bank
BY MEHNAZ YASMIN and Signature Bank, which heightened
Reuters investor sensitivity about the health of
US regional banks.
REUTERS In addition to CRE exposure, the sec-
tor is also facing challenges from the ris-
ing cost of retaining deposits amid high
interest rates.
As of Tuesday, S&P had negative out-
looks on nine US banks, or 18% of those
it rates, it said, adding most of those rat-
ings “relate, at least in part to sizable CRE
exposures.” The company rates a range
of banks of varying sizes.
 T H U R S D AY M A R C H 2 8 , 2 0 2 4
Rescuers give up
hope of finding
more survivors
from Baltimore
bridge collapse
BY MIKE SEGAR & GABRIELLA BORTER
Reuters
BALTIMORE (March 27): Rescuers have
lost hope of finding more survivors of the
Baltimore bridge collapse, the coast guard
said, as efforts switched on Wednesday to
looking for bodies of the missing and more
answers to why a container ship smashed
into the span.
Search divers were expected to return
near dawn to the waters surrounding the
twisted ruins of the bridge in Baltimore
Harbour to search for six workers missing
and now presumed dead.
The disaster has forced the indefinite
closure of the Port of Baltimore, one of the
busiest on the US Eastern Seaboard, and
created a traffic quagmire for Baltimore
and the surrounding region.
As the odds of their survival vanished,
the search for the missing workers was sus-
pended on Tuesday evening, 18 hours after
they were thrown from the fallen Francis
Scott Key Bridge into the frigid waters at
the mouth of the Patapsco River.
“We do not believe that we’re going to
find any of these individuals alive,” Coast
SINGAPORE (March 27): Organised
crime rings who fuelled an “explosion” of
human trafficking and cyber scam cen-
tres during the pandemic have expanded
from Southeast Asia into a global network
making up to US$3 trillion (RM14.2 tril-
lion) a year, the head of Interpol said on
Wednesday.
“Driven by online anonymity, inspired
by new business models and accelerated
by Covid, these organised crime groups
are now working at a scale that was un-
imaginable a decade ago,” Interpol secre-
tary general Jurgen Stock told a briefing
at the global police coordination body’s
Singapore office.
“What began as a regional crime threat
in Southeast Asia has become a global hu-
man trafficking crisis, with millions of vic-
tims, both in the cyber scam centres and
as targets.”
The new cyber-scam centres, often
staffed by unwilling staff trafficked with
15 THEEDGE CEO MORNING BRIEF
W O R L D
Guard Rear Admiral Shannon Gilreath
said at a briefing.
Maryland state police and US Coast
Guard officials said diminished visibility
and increasingly treacherous currents in
the wreckage-strewn channel made con-
tinued search efforts on the river too risky
to continue overnight.
Starting at 6am (1000 GMT) on
Wednesday, “we’re hoping to put divers in
the water and begin a more detailed search
to do our very best to recover those six
missing people,” state police Colonel Ro-
land Butler told reporters late on Tuesday.
Rescuers pulled two other workers from
the water alive on Tuesday, and one of them
was hospitalised. The six presumed to have
perished included workers from Mexico,
Guatemala and El Salvador, according to
the Mexican Consulate in Washington.
Officials said all eight were part of a work
crew repairing potholes on Key Bridge’s road
surface when the Singapore-flagged contain-
er vessel Dali, leaving Baltimore bound for
Southeast
Asia human
trafficking now
a global crisis,
Interpol says
BY YANTOULTRA NGUI
Reuters
the promise of legitimate jobs, had helped
organised crime groups diversify their rev-
enue from drug trafficking, Stock said.
Drug trafficking businesses still con-
tributed 40% to 70% of criminal groups’
income, he said.
“But we see groups clearly diversifying
their criminal businesses using drug traf-
REUTERS
A drone view
of the Dali
cargo vessel,
which crashed
into the Francis
Scott Key
Bridge causing
it to collapse,
in Baltimore,
Maryland on
March 26.
Sri Lanka, plowed into a support pylon of
the bridge at about 1.30am (0530 GMT).
A trestled section of the 1.6-mile
(2.6km) span almost immediately crum-
pled into the water, sending vehicles and
workers into the river.
The 948-foot (289m) ship had reported
a loss of propulsion shortly before impact
and dropped anchor to slow the vessel, giv-
ing transportation authorities time to halt
traffic on the bridge before the crash. That
move likely prevented a higher death toll,
authorities said.
Read also:
Port of Baltimore bridge collapse rattles
supply chains already rocked by troubles
in Panama and the Red Sea
Titanic law helps ship owner limit bridge
collapse liability
ficking routes also for trafficking of hu-
man beings, trafficking of arms, intellec-
tual property, stolen products, car theft,”
Stock said.
About US$2 trillion to US$3 trillion in
illicit proceeds are channelled through the
global financial system annually, he said,
adding that an organised crime group can
make US$50 billion a year.
The United Nations said last year that
more than 100,000 people had been traf-
ficked into online scam centres in Cam-
bodia. In November, Myanmar handed
over thousands of fugitive Chinese telecom
fraud suspects to China.
A Reuters investigation last year de-
tailed the emergence in Thailand of one
branch of such alleged cyber-crime and
its financing.
Stock praised Singapore for its success
in uncovering a money laundering case last
year involving seized assets amounting to
over S$3 billion.
 T H U R S D AY M A R C H 2 8 , 2 0 2 4
Exodus from Thai stocks worsens
on deepening corporate setback
(March 27): A market revival for Thailand
just isn’t coming.
The nation’s first election since 2019
was supposed to be the catalyst to drive
economic growth and bring back foreign
investors. Instead, the benchmark stock
index is set for its fifth quarterly decline,
foreign funds are selling, and the baht is
the second worst-performing currency in
Asia.
“Thai stocks will have to wait for a
clear rebound in corporate earnings to
spur any big rally,” said Narongsak Plod-
mechai, chief executive officer of SCB As-
set Management Co, which oversees about
US$50 billion (RM236 billion) of assets.
“It’s very unlikely to see earnings growth
gaining momentum” given the sluggish
economy, he said.
The slowing growth — both in the
economy and corporate earnings — means
Thailand is becoming the least attractive
market in Southeast Asia. Analysts have
cut corporate earnings estimate to a two-
year low, data compiled by Bloomberg show,
while a much-touted fiscal stimulus has
been delayed.
Bualuang Securities Pcl, a unit of Bang-
kok Bank, expects the benchmark equity
index to hover in the range of 1,320 to
1,450 points in the second quarter, around
the current level.
Foreign funds sold a net US$5.5 billion
of Thai stocks in 2023, the most since 2020.
While more than half of the US$1.9 billion
exodus this year was due to the transfer of
assets controlled by the Charoen family for
estate planning, the outflows were already
the biggest in Asia before that, according
to data compiled by Bloomberg.
“Thai stocks have lost their charm for
some time even with domestic investors,”
said Jessada Sookdhis, chief executive of-
ficer of Finnomena Co, which manages
16 THEEDGE CEO MORNING BRIEF
W O R L D
BY ANUCHIT NGUYEN
& EDUARD GISMATULLIN
Bloomberg
The slowing growth —
both in the economy
and corporate earnings
— means Thailand
is becoming the least
attractive market in
Southeast Asia.
about US$1 billion of assets. “The out-
flows of foreign funds will further weaken
the sentiment on Thai stocks because any
major rally is unlikely without the buying
of international investors.”
Corporate earnings dropped 11%
last year, data from the stock exchange
showed. The decline was mostly triggered
by poor demand from consumers strug-
gling with high household debt, according
to Kitpon Praipaisarnkit, a strategist at
UOB Kay Hian Securities Thailand Pcl.
The fortunes of Thai Credit Bank Pcl
is telling of the broader economic ma-
laise.The lender, which is focused on small
businesses including food stall owners,
has fallen 10% from its initial public of-
fering price since its debut last month.
Meanwhile, leading retailer Central Retail
Corp has slid 12% this year, while Bang-
kok Bank fell 11%.
Prime Minister Srettha Thavisin has
been calling for a rate cut, as manufactur-
ing production fell for a 16th month. Bank
of Thailand (BOT) Governor Sethaput
Suthiwartnarueput has said that was no
panacea for the economy’s structural prob-
lems, and kept the policy rate unchanged
in the February meeting.
Investors are siding with the BOT,
with global funds selling US$612.5 mil-
lion worth of bonds in March, suggesting
they don’t expect a reduction from the
2.5% rate. That’s a fourth straight month
of net outflows.
“BOT has remained split on a rate cut
possibility which has meant a less favour-
able environment for Thai bonds,” said
Aditya Sharma, a strategist at Natwest
Markets.
Meanwhile, analysts at Goldman Sachs
Group Inc said there is significant scope
for the baht to underperform against its
peers. Thai exports have lagged com-
petitors as the country isn’t part of the
high-tech semiconductor supply chain,
they said.
The nation’s Election Commission
submitted a petition in March to disband
the nation’s largest opposition party for
breaching a charter over efforts to amend
the royal defamation law.
The case “is likely to be the most im-
portant event to monitor, as it could
prompt street protests”, Nomura Hold-
ings Inc economists, including Charnon
Boonnuch and Euben Paracuelles wrote in
a note earlier this month. Move Forward
Party was the most popular one based
on last year’s election results, they added.
That may disrupt the economy further.
The government expects annual growth
of 2.2%-3.2% this year.
“The key reason why Thailand is un-
derperforming versus peers ultimately is
because of weak macroeconomic growth
outlook in the short term,” said Tanawat
Ruenbanterng, an analyst at Tisco Secu-
rities Co. “The market also is disappoint-
ed by the lack of government stimulus
measures.”
 T H U R S D AY M A R C H 2 8 , 2 0 2 4
LONDON/NEW YORK (March 27):
Dealmaking in global equity capital mar-
kets had its strongest start in three years
in 2024 as economic uncertainty waned
and stocks rallied, but a revival in initial
public offerings has lagged.
Bankers carried out US$143.9 billion
(RM681.2 billion) of stock sales world-
wide so far this year, the best first quarter
since 2021, according to Dealogic data.
However, IPO volumes were flat on the
same period last year and less than half the
levels seen in early 2022, with US$22.4
billion raised in the first quarter so far.
With interest rate cuts forecast, bankers
and investors expect more stock listings in
the months ahead, building on the success
of earlier deals.
“The US has had a reasonably strong
start, Europe feels like it’s coming back,
and the Middle East will continue to be
busy, especially after Eid,” said Edward
Sankey, global head of equity capital mar-
kets at HSBC.
Shares in social media platform Reddit
and technology group Astera Labs soared
after making their debut in New York last
week, tapping into investor enthusiasm for
artificial intelligence.
Swiss skincare group Galderma, Eu-
rope’s largest IPO since Porsche in Sep-
tember 2022, had a stellar start, trading
18% above its issue price on its first day.
Not all new stocks have had the same
warm welcome. The newly listed shares of
German perfume retailer Douglas plunged
on their debut last week.
While investors are happy to pay up for
large, attractive companies, mid-cap firms
JPMorgan bets
on new wealth
planning tool to
draw investments
BY TATIANA BAUTZER
Reuters
NEWYORK (March 27): JPMorgan Chase
seeks to expand the reach of its wealth man-
agement business and bring in more invest-
ments by offering a new planning tool to its
54 million Chase retail customers.
The Wealth Plan tool has about 10 mil-
lion users, said Sam Palmer, the general
manager of JPMorgan’s Chase Sapphire
credit card program who was previously in
charge of wealth products. Clients have cre-
ated roughly a million financial plans, double
17 THEEDGE CEO MORNING BRIEF
W O R L D
Global IPO revival
lags first quarter
share sales as
markets rally
BY PABLO MAYO CERQUEIRO & ECHO WANG
Reuters
With interest rate
cuts forecast, bankers
and investors expect
more stock listings
in the months ahead,
building on the success
of earlier deals.
like Douglas are finding it harder to go pub-
lic, according to a Europe-based fund man-
ager, who spoke on condition of anonymity.
Investors need to have some success
stories before putting much more mon-
ey to work.
“We need to see this cohort of deals
perform, and we need consistency of in-
vestor returns in the next tranche of subse-
quent transactions before the IPO market
fully reopens,” said Tom Swerling, global
ECM head at Barclays.
the number that had been previously creat-
ed directly with financial advisers, he said.
“Planning helps people think about what
they truly want in life,” Kristin Lemkau,
CEO of JPMorgan Wealth Management,
said in a statement. “It’s not enough to say
you want to retire.Yes, but when? Where?”
For example, clients can use the tool to
IPO recovery
Despite the setback, bankers are confident
that more deals will get done this year, with
the US election making for a narrower IPO
window in the second half.
“There are a handful of quality IPOs
expected post-Easter and we’d expect those
to go well,” said Martin Thorneycroft, head
of cash ECM at Morgan Stanley for Eu-
rope, the Middle East and Africa.
Buyout firm CVC Capital Partners and
Italian luxury brand Golden Goose are
among those preparing to go public as soon
as next quarter.
US cyber security software start-up Ru-
brik is also planning to launch an IPO as
early as next month, sources previously
told Reuters.
Sales of publicly traded shares will con-
tinue to account for a large chunk of activ-
ity in the coming months, with companies
and shareholders taking advantage of high
stock prices, bankers said.
So far this year they have raised
US$97.4 billion by selling stakes in firms
like Sensodyne-maker Haleon, soft drink
group Keurig Dr Pepper and London
Stock Exchange Group.
One of the most awaited deals is the
sale of further shares in Saudi Arabia’s oil
giant Aramco, which sources said could
boost the country’s finances and its aim
to diversify the economy away from oil.
European countries such Germany,
Greece and Italy have also been turning
to block trades to dispose of holdings in
banks and utilities, with more expected to
keep bankers busy while the IPO market
gets back on its feet.
BLOOMBERG
include retirement locations and fine-tune
their estimated living costs. The tool can
also initiate meetings with financial advisers,
who also use it to design the plans.
JPMorgan is the largest US bank. But
its wealth division, with 5,400 advisors and
about US$900 billion in assets under super-
vision, is smaller than competitors’.
 T H U R S D AY M A R C H 2 8 , 2 0 2 4
Singapore
prime office rents
jump to highest
since 2008
BY LOW DE WEI
Bloomberg
(March 27): Office rents in Singapore
reached a 15-year high in the first quarter,
defying the commercial property slump
plaguing other major financial hubs.
Gross effective monthly rents for premi-
um office space in the city’s central business
district jumped to S$11.42 (RM40.10) per
sq ft in the first three months of the year,
according to data released by Jones Lang
LaSalle Inc on Wednesday. That’s the most
since the last quarter of 2008 and reverses
a drop of 0.5% in the prior two quarters.
The city-state has so far avoided a ma-
jor downturn in the commercial real estate
market, which is hitting the largest Western
cities and regional rivals like Hong Kong.
The strength is underpinned by a wide-
spread return-to-office push and a boom
in private wealth.
“Enquiry levels have risen, and these are
stemming from firms in professional and
financial services as well as the consumer
goods sectors,” said Andrew Tangye, head
of office leasing and advisory for JLL Sin-
gapore, in a statement.
In addition, vacancies for prime office
space reached a post—pandemic low of
5.3% in the first quarter, compared with
5.5% in the three months before, accord-
ing to the data.
China’s Country
Garden hires Kroll to
carry out liquidation
analysis — Reuters
BY XIE YU & SCOTT MURDOCH
Reuters
HONG KONG/SYDNEY (March 27):
Country Garden has hired Kroll to carry
out a liquidation analysis ahead of a court
hearing in mid-May, according to three
sources, as the embattled Chinese devel-
oper pushes ahead with its offshore debt
restructuring plan.
China’s biggest private developer is fac-
18 THEEDGE CEO MORNING BRIEF
W O R L D
BLOOMBERG
Data from Jones Lang LaSalle Inc on Wednesday
shows gross effective monthly rents for premium
office space in the Singapore’s central business
district jumped to S$11.42 (RM40.10) per sq ft in
the first three months of the year, the most since
the last quarter of 2008.
Most leasing activity is still from small-
to-mid sized tenants while large occupier
demand remains weak, Tangye said. For in-
stance, Meta Platforms Inc will cut space in
Singapore in the second half of this year.
Separate data published by CBRE Group
Inc on Wednesday showed that monthly
prime office rents in the core central busi-
ness district rose for the 12th straight quar-
ter to S$11.95 per sq ft. But the property
consultancy warned that some sectors such
as technology and banking may see consol-
idation of office requirements after layoffs.
JLL estimates that tenants have not
been secured for more than 1.5 million
sq ft of office space coming online in 2024
and 2025. More than three million sq ft
(300,000 sq m) of office space will be com-
pleted this year, according to estimates
from the Urban Redevelopment Authori-
ty.That’s more than three times the amount
that entered the market last year.
Read the full story
ing a liquidation petition for non-payment
of a US$205 million (RM969.3 million)
loan, with a court hearing in the case set
for May 17.
Companies that are restructuring their
debt normally conduct an independent
liquidation analysis to assess potential re-
covery rates for creditors that they can
present in court, legal experts said. Peer
China Evergrande had picked Deloitte for
a liquidation analysis, before a court or-
dered its winding up in January.
Kroll, the New York-headquartered fi-
nancial advisory firm, is expected to con-
duct an independent business review of
Country Garden before projecting a re-
covery rate for the developer’s creditors
under a liquidation scenario, according to
the three sources who had direct knowl-
edge of the matter.
Hong Kong
homebuyers flock
to new projects,
shunning used
flats
BY SHAWNA KWAN
Bloomberg
(March 27): Hong Kong home-
buyers are snapping up new prop-
erties after the government cut
taxes last month.
Following the removal of prop-
erty levies, developers have sped
up project launches and set com-
petitive prices to capture the in-
creased demand. That appears to
be working as Wheelock Properties
Ltd sold 368 units in just a few
hours on Saturday — the best sin-
gle-day sales since the tax policy
change — after pricing the apart-
ments at a discount.
It’s a sign that Hong Kong’s
property market, which has suf-
fered from the worst slump in
more than two decades, is finally
seeing relief. As part of its budget
released late last month, the city’s
government removed measures
originally designed to cool an
overheated market.
But the strength in the prima-
ry market is also putting pressure
on used homes, with transactions
weakening after an early rebound.
Sales at the city’s 10 biggest es-
tates, which serve as a gauge for
secondary market performance,
declined for the second week to
just 19 this weekend, according to
Centaline Property Agency Ltd.
“Buyers are more interested in
the primary market as developers
can offer financing plans for buy-
ers at a time when interest rates
are high,” said Martin Wong, head
of research and consultancy for
Greater China at Knight Frank.
“Firsthand inventory is also high,
so there’s not much room for price
increases. Developers’ strategy is
mostly to sell homes with dis-
counts.”
Secondhand home sellers, in
contrast, can’t do much to lure
buyers besides cutting prices, he
added.
 T H U R S D AY M A R C H 2 8 , 2 0 2 4
(March 27): The battery unit of Tsingshan
Holding Group Co Ltd, the world’s top
nickel producer, plans to build a plant in
Indonesia, the latest in a series of Chinese
investments that will help the Southeast
Asian nation step up from commodities
production to more lucrative processing
and manufacturing.
REPT BATTERO Energy Co Ltd’s
first overseas battery factory will be housed
alongside Tsingshan’s existing operations
in Weda Bay and could begin operating as
soon as next year.The intention is to steal a
march on rivals planning new capacity else-
where in the world, and take advantage of its
parent for raw materials and infrastructure.
Locating in Indonesia could also head off
concerns over trade frictions that threaten
to disrupt exports from China.
“Many battery manufacturers are build-
ing factories and ramping up in Europe and
North America, but we expect their capac-
ity will only operate from around 2026 or
BYD sees 20%
sales growth
this year despite
earnings miss
BY DANNY LEE & LINDA LEW
Bloomberg
(March 27): Although BYD Co overtook
Tesla Inc in the last three months of 2023 as
the world’s biggest seller of electric cars and
is targeting a 20% rise in sales this year, post-
ing net income just below analysts’ projec-
tions was enough to trigger the worst selloff
in the Chinese company’s shares in a year.
BYD’s stock slumped 6.1% in Hong
Kong after the carmaker reported a net in-
come of 30.04 billion yuan (RM19.56 bil-
lion) for 2023 on Wednesday.While that was
the midpoint of a preliminary forecast of
29 billion yuan to 31 billion yuan given in
January, the result missed the 30.94 billion
yuan average forecast by analysts.
The Shenzhen-based company told an-
alysts of the sales goal in a call, people fa-
miliar with the matter said. Morgan Stanley
analysts cited the figure in a report, adding
that BYD is confident of steady profits this
year, and calling it “impressive” against a
challenging sector backdrop. BYD shares
rose 11% last year.
The results, reaction and prognosis un-
derscore the dramatic ups and downs in
the market for electric vehicles (EVs). As an
industry leader, BYD may struggle to keep
19 THEEDGE CEO MORNING BRIEF
W O R L D
Tsingshan unit
plans Indonesian
battery plant as
trade frictions
mount
Bloomberg
after,” Jason Hong, US general manager
of REPT, said in an interview. “We want
to get ahead of them with the factory in
Indonesia.”
China is one of Indonesia’s top investors,
spending more than US$7 billion there last
year, with much of the cash deployed on
building out processing facilities for the na-
tion’s abundant reserves of raw materials.
BLOOMBERG
hold of its share because of seasonal swings
in sales during the Lunar NewYear holiday
in China — where BYD’s sales are concen-
trated. At the same time, smaller compet-
itors — such as Li Auto Inc and Zhejiang
Leapmotor Technology Co — have seen
Jakarta has ambitions to develop as a hub
for electric vehicles (EVs), a sector in which
China leads in terms of sales. Indonesia
is the world’s biggest miner of nickel and
No. 2 for cobalt, ingredients crucial to the
production of EV batteries.
REPT began by selling batteries for en-
ergy storage systems, but has since expand-
ed to carmakers including Stellantis NV, Li
Auto Inc and SAIC Motor Corp. It ranked
as China’s No. 9 in terms of EV battery in-
stallations in the first two months of 2024,
up from No. 11 last year, according to China
Automotive Battery Innovation Alliance.
The company listed in Hong Kong in
December (2023), at a time when EV sales
growth has slowed after a period of rapid
expansion. REPT warned last month that
its net loss in 2023 could be as much as two
billion yuan (US$277 million), or four times
worse than the previous year, due to lower
prices, delayed payments from customers
and the costs of expansion.
their share surge as they exceed earnings
expectations.
The 20% growth target implies 3.6 mil-
lion vehicle sales in 2024. BYD’s outlook
for exports is strong, with the goal of selling
500,000 vehicles outside China this year,
and then doubling that in 2025, according
to people familiar with the carmaker’s call
with analysts.
BYD sold 3.02 million electric and hy-
brid vehicles last year — a record — includ-
ing 942,000 in the final quarter to meet
its annual target. Discounting in that pe-
riod including giving incentives to dealers
caused net income to slip quarter-on-quarter
to 8.67 billion yuan.
 T H U R S D AY M A R C H 2 8 , 2 0 2 4
Yellen warns
China’s industry
ramp-up is
distorting world
economy
BY CHRISTOPHER ANSTEY
Bloomberg
(March 27): US Treasury Secretary Janet
Yellen said she plans to press China in an
upcoming visit to the country on a ramp-
up in its industrial capacity that’s distort-
ing the global economy.
“China’s overcapacity distorts global
prices and production patterns and hurts
American firms and workers, as well as
firms and workers around the world,”Yel-
len said in excerpts of remarks she’s set to
deliver Wednesday on a visit to Georgia.
“We have raised overcapacity in previous
discussions with China and I plan to make
it a key issue in discussions during my next
trip there.”
Yellen is visiting Norcross, Georgia,
to showcase the reopening of a US so-
lar-cell manufacturing facility that shut
in 2017 under the pressure of “cheap im-
ports flooding the market.” China today
dominates the global solar energy indus-
(March 27): President Xi Jinping met
with a group of American business lead-
ers in Beijing including Blackstone Inc’s
Stephen Schwarzman and Qualcomm
Inc’s Cristiano Amon as China is seek-
ing to restore confidence in the econo-
my and keep relations with the US on a
stable footing.
The Chinese leader on Wednesday met
with representatives from American busi-
ness, strategic and academic communities.
State broadcaster CCTV named the exec-
utives present and said they took a group
photo before the event.
The meeting lasted more than an hour
and a half, with delegates raising ques-
tions and Xi answering them, according
to a person with knowledge of the matter,
who asked not to be identified discussing
a private event. Xi said he doesn’t see
the need for Washington and Beijing to
decouple, and that he wants American
businesses to invest in China, the per-
son said.
Xi also acknowledged issues with the
domestic economy, adding that officials
can handle them and the Chinese economy
20 THEEDGE CEO MORNING BRIEF
W O R L D
try after years of policy support for its
domestic companies.
China’s industrial-policy legacy “led
to substantial overinvestment” in prod-
ucts including steel and aluminum, which
aided that country’s production and em-
ployment “but forced industry in the rest
of the world to contract,” Yellen said.
“Now, we see excess capacity building
in ‘new’ industries like solar, EVs, and
lithium-ion batteries,” Yellen said in the
excerpts released by the Treasury.
The US Treasury chief is expected
to head to China for a second trip since
Washington and Beijing re-engaged in
high-level diplomacy.
Faced with a powerful drag on growth
from a crisis in China’s real estate sector,
President Xi Jinping and his lieutenants
have been prioritising the manufacturing
sector. The “new three” growth drivers of
Xi says US CEOs
should invest in
China, economy
hasn’t peaked
Bloomberg
BLOOMBERG
REUTERS
electric vehicles, batteries and renewable
energy have been a particular focus, along
with advanced technology semiconductor
production.
Beijing’s moves haven’t only unsettled
US policymakers. The European Union
this month moved toward imposing addi-
tional tariffs on Chinese EVs entering the
bloc, citing new proof that the government
in Beijing is providing illegal financial sup-
port for the industry.
Yellen in her visit to Georgia will be
highlighting Biden administration poli-
cies to help build up the US’ own renew-
able-energy industry. The Suniva Inc so-
lar-cell manufacturing plant she’s set to
visit is slated to reopen this spring. Suni-
va’s revived fortunes are due in part to
incentives from the Inflation Reduction
Act and its measures to “onshore clean
energy manufacturing,” Yellen said.
hasn’t peaked, the person said, describing
the talks as open and frank.
China’s Ministry of Foreign Affairs did
not immediately respond to a request for
comment on the details of the meeting. It
said during a regular briefing on Wednes-
day that Xi had stated China’s position to
the CEOs.
Beijing is trying to show it welcomes for-
eign businesses, but whipsawing tensions
withWashington, a shaky economic recovery
and raids on consulting firms have damped
investor enthusiasm. For global executives,
the meeting was a chance to underscore in-
terest in participating in the Chinese market
despite deepening geopolitical tensions and
moves in China to favour local competitors.
China and the US should “seek com-
mon ground on major issues while reserv-
ing differences on minor ones,” Xi said, ac-
cording to CCTV. He added that he hopes
for more exchanges between the people of
both countries.
Read also: China’s industrial profits
return to growth as conditions stabilise
 T H U R S D AY M A R C H 2 8 , 2 0 2 4
(March 27): As many as eight million UK
workers are at risk of losing their jobs to
artificial intelligence (AI) with current gov-
lose eight million
ernment policy, the Institute for Public Pol-
icy Research (IPPR) warned.
AI already impacts 11% of tasks done
by UK staff, a figure that could rise to al-
analysis warns
most 60% if firms integrate the technology
more deeply, the think tank warned in a
report published Wednesday. Part-time,
entry level and back-office jobs such as
customer service are most at risk but high-
er-paying jobs will increasingly be affected.
The findings highlight the challenges
facing the government as it increasingly
bets on AI to cure the UK’s productivi-
ty problem. Companies across the board
are using AI to drive up efficiency, while
the UK Chancellor of the Exchequer an-
nounced an £800-million (RM4.77-tril-
lion) investment in technology and AI to
boost public-sector output.
“Already existing generative AI could
lead to big labour market disruption or it
could hugely boost economic growth, ei-
ther way it is set to be a game changer for
millions of us,” said Carsten Jung, senior
BERLIN/SYDNEY/BEIJING (March 27): A
World Trade Organization (WTO) panel has
found that duties imposed by Australia in a
Australian duties
steel products dispute with China were flawed
— a ruling that Canberra said it accepted.
on Chinese steel
China launched the complaint in June
2021 — during a period of intense bilateral po-
products were
litical and trade tensions — over anti-dumping
and anti-subsidy measures on railway wheels,
wind towers and stainless steel sinks.
In all three categories, the WTO said
Australia’s investigating authority, the An-
ti-Dumping Commission (ADC), had acted
inconsistently with some articles of its rules.
Australian Trade Minister Don Far-
rell said in a statement that the panel had
found some technical issues with how the
duties were calculated.
“Australia will engage with China and
take steps to implement the panel’s find-
ings,” Farrell said.
“The report does not diminish the in-
tegrity of Australia’s trade remedies system.
Our system is evidence-based and non-dis-
criminatory, and will continue to respond
21 THEEDGE CEO MORNING BRIEF
W O R L D
BLOOMBERG
economist at IPPR, which analysed 22,000
UK stands to
tasks in the UK across all job types.
“A jobs apocalypse is not inevitable —
government, employers and unions have
the opportunity to make crucial design
jobs from AI,
decisions now that ensure we manage
this new technology well. If they don’t
act soon, it may be too late.”
In its own report published in Novem-
ber, the government acknowledged that AI
was already affecting jobs in the finance
BY IRINA ANGHEL and insurance sector. It called for schools
Bloomberg and employers to equip workers with the
skills they need to adapt.
Government policy will make the dif-
ference between job losses and economic
growth in the context of AI adoption, the
IPPR report said.
Modelling the potential impact of a
“second wave” of AI adoption on the jobs
market, the IPPR found the technology
could add as much as £306 billion per
year to the UK economy without any job
losses in the best-case scenario, depending
on government policy. AI could also deliver
wage gains of as much as 30%.
Without any policy changes, researches
estimated AI will wipe out eight million
jobs with no economic gains.
The UK lags India, the US, Germa-
ny, Canada and Israel when it comes to
AI skills, separate research from Linke-
dIn showed. That’s as fewer than half of
UK businesses are investing in upskill-
ing their workers, according to Janine
Chamberlin, UK country manager for
the employment-focused social media
platform.
REUTERS
effectively to unfair trade practices.”
WTO says
China called WTO’s ruling objective,
fair and unambiguous, and urged Austral-
ia to rectify what it called “violations” by
removing the disputed tariffs.
Canberra had imposed duties totalling
10.9% on Chinese wind towers, 17.4%
on railway wheels, and up to 60.2% on
stainless steel sinks.
flawed
Australia and China, its largest trading
partner, are rebuilding ties after a period of
strained relations, which hit a low in 2020
after Canberra called for an independent
BY RENJU JOSE, LIZ LEE, RACHEL MORE investigation into the origin of Covid-19.
& MADELINE CHAMBERS Other trade spats, including one over
Reuters high Chinese tariffs on Australian barley,
have been resolved.
China will complete a review into tariffs
on Australian wine by the end of March,
and it is also reviewing curbs on lobster
imports, Farrell said this month.
Read also: Australia survives sold-out Tay-
lor Swift shows without spike in inflation
 T H U R S D AY M A R C H 2 8 , 2 0 2 4 22 THEEDGE CEO MORNING BRIEF

M A R K E T S

CPO RM 4,136.00-100.00 OIL US$ 86.01-0.24 RM/USD 4.7345 RM/SGD 3.5128 RM/AUD 3.0888 RM/GBP 5.9770 RM/EUR 5.1256

Top 20 active stocks

NAME VOLUME CHANGE CLOSE YTD MARKET
(MIL) (RM) CHANGE CAP
(%) (RM MIL)
ZANTAT HOLDINGS BHD 92.9 0.125 0.375 - -
SP SETIA BHD GROUP 73.6 0.000 1.420 77.50 6,323.7
EKOVEST BHD 64.7 0.010 0.490 0.00 1,453.1
LAMBO GROUP BHD 56.0 0.000 0.030 50.00 46.2
COMPUTER FORMS MALAYSIA BHD 49.5 -0.010 0.140 -20.00 37.5
VELESTO ENERGY BHD 46.7 0.000 0.290 26.09 2,382.5
SIME DARBY PROPERTY BHD 39.4 0.005 0.920 47.20 6,256.8
MALAYSIAN RESOURCES CORP BHD 39.3 -0.005 0.660 48.31 2,948.6
EVERSENDAI CORP BHD 36.8 -0.020 0.315 90.91 246.0
ISKANDAR WATERFRONT CITY BHD 36.7 0.025 0.850 16.44 783.0 World equity indices
MMAG HOLDINGS BHD 36.0 0.005 0.175 84.21 296.7 CLOSE CHANGE CHANGE CLOSE CHANGE CHANGE
UEM SUNRISE BHD 32.7 0.050 1.210 48.47 6,120.8 (%) (%)
MAH SING GROUP BHD 32.5 0.050 1.240 49.40 3,010.3 DJIA * 39,516.73 234.40 0.60 INDONESIA 7,310.09 -55.57 -0.75
DESTINI BHD 32.3 -0.005 0.035 -41.67 74.9 S&P 500 * 5,216.36 12.78 0.25 JAPAN 40,762.73 364.70 0.90
MY EG SERVICES BHD 29.1 0.000 0.790 -3.07 5,892.7 NASDAQ 100 * 18,192.76 -17.78 -0.10 KOREA 2,755.11 -1.98 -0.07
YTL CORP BHD 28.0 0.030 2.610 38.10 28,622.3 FTSE 100 * 7,930.96 5.18 0.07 PHILIPPINES 6,903.53 5.36 0.08
INGENIEUR GUDANG BHD 27.6 -0.005 0.160 23.08 242.7 AUSTRALIA 7,819.61 39.38 0.51 SINGAPORE 3,251.71 18.38 0.57
MINETECH RESOURCES BHD 26.1 -0.005 0.155 6.90 276.6 CHINA 2,993.14 -38.34 -1.26 TAIWAN 20,200.12 73.63 0.37
WIDAD GROUP BHD 25.8 -0.010 0.085 -82.47 263.2 HONG KONG 16,392.84 -225.48 -1.36 THAILAND 1,380.83 3.60 0.26
CTOS DIGITAL BHD 25.6 0.060 1.340 -4.96 3,095.4 INDIA 72,996.31 526.01 0.73 VIETNAM 1,283.09 0.88 0.07
Data as compiled on Mar 27, 2024 Source: Bloomberg Data as compiled on Mar 27, 2024 * Based on previous day’s closing Source: Bloomberg

Top gainers (ranked by %) Top losers (ranked by %)

NAME CLOSE CHANGE VOLUME YTD MARKET NAME CLOSE CHANGE VOLUME YTD MARKET
(%) (‘000) CHANGE CAP (%) (‘000) CHANGE CAP
(%) (RM MIL) (%) (RM MIL)
KEY ALLIANCE GROUP BHD 0.010 100.00 833.9 0.00 36.8 BORNEO OIL BHD 0.005 -50.00 8,111.4 -66.67 60.0
XIDELANG HOLDINGS LTD 0.030 20.00 360.1 20.00 63.5 FOCUS DYNAMICS GROUP BHD 0.010 -33.33 390.0 -33.33 63.7
SAUDEE GROUP BHD 0.030 20.00 1,186.9 20.00 46.9 MLABS SYSTEMS BHD 0.010 -33.33 332.3 -33.33 14.5
ALDRICH RESOURCES BHD 0.035 16.67 17,084.2 -12.50 39.0 TECHNA-X BHD 0.010 -33.33 629.6 -33.33 22.1
YGL CONVERGENCE BHD 0.150 15.38 3,391.2 15.38 40.8 MERIDIAN BHD 0.055 -31.25 4,611.9 -42.11 12.4
ECOBUILT HOLDINGS BHD 0.080 14.29 83.1 -11.11 33.7 ZEN TECH INTERNATIONAL BHD 0.015 -25.00 2,347.2 -25.00 43.9
TFP SOLUTIONS BHD 0.045 12.50 1.4 -18.18 26.3 MQ TECHNOLOGY BHD 0.015 -25.00 473.0 -40.00 22.8
GREEN PACKET BHD 0.045 12.50 953.4 12.50 89.8 ALAM MARITIM RESOURCES BHD 0.020 -20.00 166.0 -33.33 30.6
INNITY CORP BHD 0.465 12.05 0.1 -3.12 64.8 SANICHI TECHNOLOGY BHD 0.020 -20.00 170.8 -20.00 28.1
HB GLOBAL LTD 0.095 11.76 2,698.1 5.56 74.3 GOLDEN PHAROS BHD 0.505 -13.68 4,957.0 53.03 71.1
HO HUP CONSTRUCTION CO BHD 0.195 11.43 1,051.3 -22.00 101.1 HEITECH PADU BHD 1.890 -13.30 7,654.4 114.77 191.3
PRG HOLDINGS BHD 0.150 11.11 5,266.7 -14.29 64.7 DESTINI BHD 0.035 -12.50 32,264.1 -41.67 74.9
SENHENG NEW RETAIL BHD 0.320 10.34 16,452.7 -3.03 480.0 REXIT BHD 1.270 -11.81 7,952.0 46.82 220.0
ASTRAL ASIA BHD 0.120 9.09 1,143.6 4.35 79.2 MCLEAN TECHNOLOGIES BHD 0.195 -11.36 1,603.8 18.18 38.5
MAGNA PRIMA BHD 0.560 8.74 36.3 36.59 223.5 PDZ HOLDINGS BHD 0.040 -11.11 1,090.2 -20.00 23.5
NETX HOLDINGS BHD 0.130 8.33 18,775.8 4.00 121.9 PROGRESSIVE IMPACT CORP BHD 0.080 -11.11 4,530.8 -15.79 52.4
DFCITY GROUP BHD 0.330 8.20 2.8 -7.04 34.8 WIDAD GROUP BHD 0.085 -10.53 25,758.9 -82.47 263.2
ZELAN BHD 0.070 7.69 291.4 -12.50 59.1 MTOUCHE TECHNOLOGY BHD 0.045 -10.00 342.7 -10.00 41.7
D’NONCE TECHNOLOGY BHD 0.070 7.69 349.1 -50.00 32.6 KEIN HING INTERNATIONAL BHD 1.280 -9.86 938.7 -13.51 139.4
GE-SHEN CORP BHD 3.500 7.69 691.1 201.72 428.8 MARINE & GENERAL BHD 0.245 -9.26 4,782.6 8.89 177.4
Data as compiled on Mar 27, 2024 Source: Bloomberg Data as compiled on Mar 27, 2024 Source: Bloomberg

Top gainers (ranked by RM) Top losers (ranked by RM)

NAME CLOSE CHANGE VOLUME YTD MARKET NAME CLOSE CHANGE VOLUME YTD MARKET
(RM) (‘000) CHANGE CAP (RM) (‘000) CHANGE CAP
(%) (RM MIL) (%) (RM MIL)
AMWAY MALAYSIA HOLDINGS BHD 7.360 0.340 105.8 32.04 1,209.9 MALAYSIAN PACIFIC INDUSTRIES 30.300 -0.680 121.8 7.45 6,027.6
MALAYSIA AIRPORTS HOLDINGS BHD 9.900 0.270 13,526.7 34.51 16,518.7 HEITECH PADU BHD 1.890 -0.290 7,654.4 114.77 191.3
VITROX CORP BHD 7.640 0.260 285.5 4.80 7,223.0 RCE CAPITAL BHD 2.590 -0.260 4,120.4 -15.36 1,898.1
GE-SHEN CORP BHD 3.500 0.250 691.1 201.72 428.8 PETRONAS DAGANGAN BHD 21.500 -0.260 635.0 -1.56 21,359.3
CHIN HIN GROUP BHD 4.360 0.230 631.1 23.51 7,714.6 CARLSBERG BREWERY MALAYSIA 18.380 -0.240 286.7 -4.67 5,619.6
SCIENTEX BHD 4.130 0.220 5,159.3 8.40 6,406.7 REXIT BHD 1.270 -0.170 7,952.0 46.82 220.0
APOLLO FOOD HOLDINGS BHD 7.150 0.200 178.8 24.13 572.0 KEIN HING INTERNATIONAL BHD 1.280 -0.140 938.7 -13.51 139.4
UNITED PLANTATIONS BHD 24.500 0.200 334.3 37.64 10,162.2 CHIN TECK PLANTATIONS BHD 7.600 -0.130 20.4 0.54 694.4
ZANTAT HOLDINGS BHD 0.375 0.125 92,909.0 - - VSTECS BHD 2.450 -0.110 2,948.4 85.61 873.6
ALLIANZ MALAYSIA BHD 19.940 0.120 29.6 8.13 3,548.7 AEON CREDIT SERVICE M BHD 6.120 -0.110 851.0 9.87 3,125.0
TECK GUAN PERDANA BHD 1.990 0.110 683.1 15.70 79.8 AXIATA GROUP BHD 2.690 -0.090 10,784.4 13.03 24,699.4
SAM ENGINEERING & EQUIPMENT M BHD5.040 0.110 281.8 26.26 3,412.0 GOLDEN PHAROS BHD 0.505 -0.080 4,957.0 53.03 71.1
NEGRI SEMBILAN OIL PALMS BHD 3.900 0.100 27.5 24.60 273.8 MEGA FIRST CORP BHD 4.340 -0.080 363.0 17.62 4,091.6
NESTLE MALAYSIA BHD 118.000 0.100 114.5 0.34 27,671.0 UWC BHD 2.910 -0.080 2,447.9 -17.33 3,206.7
HENGYUAN REFINING CO BHD 3.210 0.090 1,776.8 4.56 963.0 NATIONGATE HOLDINGS BHD 1.530 -0.080 16,481.7 1.32 3,173.1
GAMUDA BHD 5.270 0.080 6,599.1 14.81 14,586.2 AYER HOLDINGS BHD 7.000 -0.080 3.0 3.70 524.0
BONIA CORP BHD 1.790 0.070 348.9 -0.56 358.7 TOYO VENTURES HOLDINGS BHD 1.000 -0.080 834.2 -24.24 132.9
BURSA MALAYSIA BHD 7.460 0.060 604.2 7.96 6,037.4 MESINIAGA BHD 1.480 -0.070 1.0 7.25 89.4
CTOS DIGITAL BHD 1.340 0.060 25,614.7 -4.96 3,095.4 GREATECH TECHNOLOGY BHD 4.700 -0.070 442.8 -2.08 5,894.7
UEM SUNRISE BHD 1.210 0.050 32,723.6 48.47 6,120.8 GENETEC TECHNOLOGY BHD 2.030 -0.070 2,797.0 -13.98 1,573.5
Data as compiled on Mar 27, 2024 Source: Bloomberg Data as compiled on Mar 27, 2024 Source: Bloomberg