MAHB CONFIRMS MACC VISITED HQ TO INVESTIGATE COVID-19

PRIVATE SCREENING AND TESTING CONTRACT AWARD p6

T H U R S DAY, J U LY 2 2 , 2 0 2 1 w w w. t h e e d g e m a r k e t s. c o m
ISSUE 220/2021

CEOMorningBrief HOME: MR DIY’s profit seen hitting RM707m in FY22, surpassing Nestle’s p4
AirAsia seeks extension for private placement p7
Syed Saddiq to be charged with CBT involving over RM1m tomorrow — source p8
WORLD: Four of Hong Kong’s top banks halt some Evergrande mortgages p16
JPMorgan entices Dimon to stick around with surprise award p18
SAM FONG/THE EDGE

14 mil doses
of Sinovac vaccine
to be sold to private
sector and states this
month, says DPM
Report on Page 3.
 t h u r s d a y J u ly 2 2 , 2 0 2 1 2 TheEdge CEO morning brief

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h o m e

Covid-19: Vaccine tracker

Daily cases dip

Individuals who received the first dose only Fully inoculated with second dose
(mil)

to 11,985 but
6
Total 15.07
administered: million doses
5,531,996
4,769,909

fatalities climb to 4 Population given at least

one dose of vaccine: 31.48% (10.3 million individuals)

new high of 199 2

Population fully inoculated: 14.57% (4.77 million individuals)

by Sulhi Khalid & Syafiqah Salim
theedgemarkets.com
KUALA LUMPUR (July 21): Malaysia
recorded 199 deaths linked to Covid-19 to-
day, a new record high figure, even as new
infections dip to 11,985 from yesterday’s
12,366, according to health director-gen-
eral Tan Sri Dr Noor Hisham Abdullah.
The previous highest fatalities recorded
was on July 18, with 153 deaths. The latest
fatalities raised the coronavirus death toll in
the country to 7,440, versus the cumulative
951,884 cases recorded in the country since
the first infection was detected here last year.
Selangor remains the state with the
highest number of infections today at
5,550, followed by Kuala Lumpur at 1,174,
and Kedah at 800.
Active cases climbed further to 137,587,
as daily recoveries came in lower than new in-
fections at 7,902.To date, 806,857 individu-
als have been declared cured from Covid-19,
translating into a recovery rate of 84.8%.
There are now 927 patients under intensive
care, with 459 requiring breathing assistance.
97.6% of today’s cases in Categories 1 & 2
Of the new infections, 48.9% or 5,850 of
cases were classified as Category 1 (no
symptoms), while 48.7% or 5,847 cases
were classified as Category 2 (mild symp-
toms), according to Dr Noor Hisham.
Only 1.5% or 178 cases were classified
as Category 3 (pneumonia), 0.4% or 45
cases as Category 4 (pneumonia requir-
ing oxygen therapy), and 0.5% or 65 cases
under Category 5 (critical and requiring
respiratory support).
53,287
2021
0 792
March 2 March 18 May 15 June 15 July 20
Registration: 19.16 million people Target:
26.18 million
(to be vaccinated)
Individuals with at least one dose: 10.3 million
0 5 10 15 20 25 30
Source: Covid-19 Immunisation Task Force (CITF)
The new cases were detected from 95,772
tests done — down from yesterday’s 124,519 Daily Covid-19 deaths since
— indicating a positivity rate of 12.51%. March 1, 2021
199
200 Malaysia’s Covid-19
Vaccination rate falls to lowest in nine death toll: 7,440
days with 299,593 doses on July 20 150 (as of July 21, 2021)
Malaysia administered 299,593 doses of
100
the Covid-19 vaccine yesterday (July 20),
the lowest after nine days of daily dos- 50
es coming in above 300,000, and down
29.5% from 424,936 the day before. 0
March 1, 2021 July 21, 2021
Of the new doses, 204,064 were giv-
en out as first shots, while the remaining Sources: Ministry of Health,
CPRC Kebangsaan
95,529 were second shots, according to the
Covid-19 Vaccine Supply Access Guaran-
tee Special Committee (JKJAV). ed the two-dose regimen, representing
Selangor delivered the highest daily 14.57% of the country’s population.
number of first doses yesterday at 82,892,
followed by Kuala Lumpur (43,857) and R0 declines to 1.12
Johor (25,731). For second doses, Sar- According to Dr Noor Hisham, the coun-
awak administered the most daily shots try’s basic reproduction number (R-naught
at 34,270, followed by Kuala Lumpur or R0) for Covid-19 infections nationwide
(25,636) and Selangor (24,552). declined to 1.12 on July 20 from 1.14 the
The cumulative number of Covid-19 day before, withTerengganu having the high-
vaccine doses delivered nationwide stood est R0 at 1.31 (up from 1.3 on July 19), fol-
at 15.07 million as of yesterday. A total lowed by Sabah at 1.25 and Kedah at 1.23.
of 4.77 million individuals have complet- co n ti n u es o n Page 3
 t h u r s d a y J u ly 2 2 , 2 0 2 1
from Page 2
Daily Covid-19 figures:
As at July 20, 2021:
Vaccine doses administered 299,593
% of population fully vaccinated 14.57
% of population with at least
one dose 31.48
As at July 21, 2021:
Number of new cases 11,985
Number of individuals tested 95,772
Positivity rate (%) 12.51
Category 1 5,850 (48.9%)
[no symptoms]
Category 2 5,847 (48.7%)
[mild symptoms]
Category 3 178 (1.5%)
[with pneumonia] rectly to interested parties had received the
Category 4 45 (0.4%)
[with pneumonia, requiring
oxygen therapy]
Category 5 65 (0.5%)
[critical & requiring assisted
ventilation]
Number of patients in ICU 927
ICU capacity utilisation (%) 66.79
Number of deaths 199
Updated as at 7:30 pm, July 21, 2021
Sources: CITF, MoH
The R0 projects the average number
of people that each new Covid-19 patient
will infect, or what is termed the effective
reproduction number. An R0 of less than
1.0 means the infection is not spreading.
The states or federal territories with an
R0 below 1 were Sarawak at 0.95 (up from
0.93), Labuan at 0.75 (down from 0.77),
and Perlis (0).
30 new clusters, 17 from workplaces
The Health Ministry also identified 30
new clusters today — comprising 17 from
workplaces, with the rest being from com-
munities, high-risk groups, religious and
private education clusters.
To date, 3,329 clusters have been iden-
tified, with 2,398 declared ended, leaving
931 active clusters.
Read also:
EMCO in three localities in Pahang,
one in Sabah starting Friday Click here
Covid-19: Sarawak detects 76 more
Delta variant cases Click here
MoH uses new drug to prevent
covid-19 patients’ health conditions
from getting more severe Click here
3 TheEdge CEO morning brief
h o m e
14 mil doses of
Sinovac vaccine to
be sold to private
sector and states this
month, says DPM
Bernama
SHAH ALAM (July 21): A total of 14 mil-
lion doses of Sinovac vaccine will be sold
by Pharmaniaga Bhd to interested states
and private companies from this month un-
til September, said Deputy Prime Minister
Datuk Seri Ismail Sabri Yaakob.
He said the sale of the vaccine doses di-
approval of the Covid-19 Vaccine Supply
Access Guarantee Special Committee and
could further expedite efforts to achieve
herd immunity earlier than scheduled.
“States are also interested in buying di-
rectly, for example Selangor which has long
asked for vaccine to be sold directly to them
but this committee has its own programme
schedule, and that is why we can’t give di-
rectly,” he said at a press conference today.
Earlier, Ismail Sabri witnessed the
handover of the last batch of Sinovac vac-
cine doses to Health Minister Datuk Seri
Dr Adham Baba, who represented the gov-
ernment, by Pharmaniaga group managing
director Datuk Zulkarnain Md Eusope.
He said Pharmaniaga managed to supply
12 million doses of Sinovac vaccine four-and-
a-half months ahead of the original contract
FMM hopes govt
allows non-essential
sectors to resume
at 50% capacity
Bernama
KUALA LUMPUR (July 21): The Feder-
ation of Malaysian Manufacturers (FMM)
hopes the government will allow manufac-
turing companies in all non-essential sectors
to resume at 50% workforce capacity regard-
less of whether they are located in Phase 1
or 2 of the National Recovery Plan (NRP).
Its president Tan Sri Soh Thian Lai said
manufacturers in the non-essential sectors,
especially micro, small and medium enter-
prises (MSMEs), are currently in a dire state
of affairs and are already severely impacted
by the prolonged business suspension.
schedule, and on July 19 the government
agreed to purchase another two million doses
of Sinovac to cover Operation Surge Capacity.
He said the list of companies and states
that applied to purchase vaccine would be
referred to the COVID-19 JKJAV for review.
“They can also make reservations di-
rectly with Pharmaniaga and will be re-
ferred to JKJAV because the names of the
recipients listed may have been duplicat-
ed or have received the vaccine,” he said.
On the flexibility to be given to those who
have completed two doses of COVID-19
vaccine, Ismail Sabri said the matter is still
under in-depth study by the government.
“Maybe one of the conditions for us is to
allow factories to reopen when more than
80 per cent of their workers have completed
two doses of vaccination, and when we can
sell the vaccine directly to these factories and
after that, I believe they can be allowed to
apply for permission to reopen their factories.
“We believe that even though two doses have
been given, the Ministry of Health considers it
still not completely safe, but at least two doses
along with other conditions such as screening
tests every two weeks and so on can help, but
the matter is still being discussed,” he said.
Ismail Sabri added, the government has
also received various suggestions on relaxa-
tion of restrictions, including couples living
apart who would be allowed to travel inter-
state when they have been fully vaccinated but
some also think the time is not suitable yet.
“There are also suggestions to allow
businesses or industries that have never had
a cluster to operate or to give permission
to fully vaccinated customers to dine at
restaurants. This is one view we have re-
ceived and we are still studying,” he said.
According to the FMM’s latest survey, the
non-essential sectors’ sales have been severely
impacted, and businesses are facing severe
cash flow constraints since pending and fu-
ture orders are interrupted with no certainty
on when operations are be allowed to resume.
“Meanwhile, suppliers are expecting to
be paid on time, wages to employees have
to be paid in full even if no actual work was
performed, utilities and rental payments
are due, logistics cost has increased due to
cancellation/postponement of shipments
and/or cargo being stuck at ports, and there
are penalties imposed on delays of delivery.
“This has put most businesses in the
non-essential sectors in an extremely pre-
carious situation with the risk of collaps-
ing, resulting in high unemployment if re-
strictions on business operations continue
indefinitely,” he said in a statement today.
Soh said there is also the fear that if they are
not allowed to resume operations immediately,
many will not be around to help rebuild the
economy once businesses are allowed to reopen.
 t h u r s d a y J u ly 2 2 , 2 0 2 1
MR DIY’s profit seen hitting RM707m
in FY22, surpassing Nestle’s
by Syafiqah Salim
theedgemarkets.com
KUALA LUMPUR (July 21): Kenanga
Research anticipates MR DIY Group
(M) Bhd’s net profit will soar to RM707
million in the financial year ending Dec
31, 2022 (FY22) or 11.2 sen per share
versus RM451 million or 7.2 sen in cur-
rent FY21.
Given the bullish earnings forecast,
Kenanga Research pegs its target price
for MR DIY at RM4.10, valuing the
home improvement outlet chain at a
price-earnings ratio of 36 times of its
earnings forecast of FY22.
On the-back-of-an-envelope calcula-
tion, MR DIY will be valued at nearly 57
times of profit forecast of FY21 based
on the target price of RM4.10.
Kenanga Research’s forecast is the
highest among analysts who track the
company, according to Bloomberg. The
market consensus forecast of MR DIY’s
net profit is RM517.7 million in FY21
and RM647.2 million in FY22.
To put things in perspective, the
market estimate of Nestle (Malaysia)
Bhd’s annual profit is RM676.5 million
for FY22, with the highest forecast at
RM750 million. Meanwhile, the con-
sensus forecast of AEON Co (M) Bhd’s
annual profit is at RM114.1 million with
the highest estimate at RM131 million,
Bloomberg’s data showed.
MR DIY closed at RM3.34, down 14
sen, on Wednesday, giving it a market
capitalisation of RM20.96 billion.
In a note to its clients on Wednes-
day, Kenanga Research said it believes
MR DIY deserves a high premium as
its forecast three-year average (FY19-
22) net profit compound annual growth
rate (CAGR) of 31% is higher than its
regional peers’ 10%.
The company posted a net profit of
RM124.79 million in the first quarter
ended March 31, 2021, more than dou-
ble of RM58.46 million achieved in the
previous corresponding quarter. Quar-
terly revenue jumped to RM870.18 mil-
lion from RM534 million the year before.
Kenanga Research analyst Ahmad
Ramzani Ramli said MR DIY is oper-
ating in an under-penetrated home im-
provement retail market and is the largest
home improvement retailer in Malaysia
with no major domestic competitor in
sight.
4 TheEdge CEO morning brief
h o m e
A screaming buy
Stockbroking firm Target price (RM) Recommendation
Kenanga Research 4.10 Outperform
Credit Suisse 4.50 Outperform
Hong Leong Investment Bank Research 4.79 Buy
Am Investment Bank Research 4.48 Buy
RHB Research 4.71 Buy
UOB Kay Hian Research 4.85 Buy
JP Morgan 5.00 Overweight
CGS-CIMB Research 4.36 Add
Maybank Kim Eng 4.00 Hold
Source: Bloomberg
the edge file photo na’s massive economies of scale, the ro-
bust balance sheet providing it ample
cash for expansion, and its net cash po-
sition ahead allowing MR DIY to deliver
sustainable dividends,” he said.
Despite the ongoing Covid-19 pan-
demic, the analyst noted that the group
saw a 63% top line growth year-on-year,
underpinned by its large networks all
over Malaysia and Brunei.
The home improvement retail space
in Malaysia is expected to chalk a CAGR
of 10.2% between FY19 and FY24.
“It is still largely under-penetrated,
thus offering the group an opportunity
to open new stores and new catchment
areas — as such, it is targeting to open
175 stores each year in FY21/22 (FY20:
141 stores opened).
Mr DIY Group (M) Bhd “This ambitious target includes the
opening of 50 MR DOLLAR stores —
RM offering popular everyday essentials at
5 RM2 and RM5 — and 25 stores for
MR TOY — supplying value-for-mon-
ey toys for the underserved,” said Ah-
4 mad Ramzani.
Furthermore, Kenanga Research ex-
RM3.34
3
pects the group to achieve a net cash
position in FY21, comfortable enough
to comply with its 40% dividend pay-
2 out policy and fund further expansion
in FY22.
RM1.59 “[The company’s] gross margins have
1 been stable and robust, with gross mar-
Oct 23, 2020 July 21, 2021
gins averaging 43% (FY17-20) despite
Source: Bloomberg
having over 72% of its products sourced
from China whose economies of scale
have kept imported product costs low
“We are positive on MR DIY for its and helped further by a favourable ring-
robust growth potential driven by both git against the yuan.
higher market demand for its products “The introduction of MR TOY is like-
and store expansion, strong GP (gross ly to sustain margins further. Its product
profit) margins (above 40%) with the mix is reviewed every quarter and chang-
absence of near- and long-term margin es are made if needed to maintain these
volatility thanks to its supply source, Chi- robust margins,” added Ahmad Ramzani.
 T H U R S D A Y J U LY 2 2 , 2 0 2 1 5 THEEDGE CEO MORNING BRIEF

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 t h u r s d a y J u ly 2 2 , 2 0 2 1 6 TheEdge CEO morning brief

h o m e

MAHB confirms
KUALA LUMPUR (July 21): Malaysia
Airports Holdings Bhd (MAHB) said to-

MACC visited
day the Malaysian Anti-Corruption Com-
mission (MACC) had recently visited its

HQ to investigate
headquarters to investigate the company
over tender award issues, confirming a re-

Covid-19 private
port by The Edge Malaysia weekly.
According to MAHB, the MACC came

screening and
to its office and requested information and
documentation relating to the multi-bil-

testing contract
lion ringgit Covid-19 private screening and
testing contract award for Kuala Lumpur

International Airport (KLIA) that was
awarded to BP Clinical Lab Sdn Bhd.
“The company has given full cooper-
ation and complied with all MACC re-
quirements, and there has been no further
enquiry from MACC,” MAHB said in a
filing with Bursa Malaysia today.
The airport operator, however, reiterat-
ed that there was no enquiry by the graft-
buster about its Automated People Mover
(APM) Replacement tender, which has yet
to be concluded.
On the APM, MAHB already issued a
statement on Monday asserting that pro-
award
by emir zainul
theedgemarkets.com
curement processes for all its tenders were
conducted in strict compliance with the
procurement standard operating proce-
dures (SOPs), with the Anti-Bribery Man-
agement System (ABMS) serving as an ad-
ditional safeguard to provide another layer
of control within the company’s processes.
It said these controls were placed at both
human and process levels and would act as
an intervention to close any possible gaps.
To recap, in an article entitled “MACC
investigating MAHB”, The Edge weekly
claimed that Pestech International Bhd,
in partnership with Canada-based Bom-
bardier, is said to be the front runner for
the aerotrain contract.
According to The Edge weekly, specu-
lation is rife that the Pestech-Bombardier
bid, said to be above the RM750 million
mark, is considerably higher than the low-
est bid, at less than RM600 million.

KUALA LUMPUR (July 21): Sapura
Energy Bhd has secured seven contract
wins and extensions in Malaysia and Thai-
land for its engineering and construction
(E&C), operations and maintenance
(O&M), and drilling segments with a com-
bined value of RM1.2 billion.
For the E&C segment, its unit Sapura
Offshore Sdn Bhd won contracts from PT-
TEP Sarawak Oil Ltd and Enquest Petro-
leum Production Malaysia Ltd under the
Pan Malaysia Transportation and Installa-
tion of Offshore Facilities 2021 campaign.
In a statement to Bursa Malaysia, Sapu-
ra Energy said the scope of work from PT-
TEP includes transportation and installa-
tion, engineering, survey, interfacing, topside
installation and handover, and removal of
temporary structures.The contract duration
is for eight months, effective Feb 2, 2021.
As for the EnQuest contract, it is for
the replacement of a 10-inch gas lift sub-
sea pipeline and risers. The five-month job
is expected to be completed by the fourth
quarter of 2021.
For the O&M segment, Sapura Ener-
gy’s Sapura Fabrication Sdn Bhd secured
contracts from EnQuest, as well as Sarawak
Shell Bhd (SSB) and Sabah Shell Petro-
leum Company Ltd (SSPC).
The contract from EnQuest is for the
provision of maintenance, construction, and
modification for its PM8 Extension Produc-
tion Sharing Contract for one year, starting
March 14, 2021. The award from SSB and
SSPC is for the provision of topside major
maintenance services works in various pro-
Sapura Energy
wins seven
contracts worth
RM1.2b in
Malaysia,Thailand
by syafiqah salim
theedgemarkets.com
jects located offshore Sabah and Sarawak,
from April 29, 2021 to Aug 19 2023.
In the drilling segment, Sapura Drilling
Asia Sdn Bhd secured two contracts from
Petronas Carigali Sdn Bhd for drilling ac-
tivities offshore Malaysia.
The first contract that started on April
26, 2021, is the provision of tender-assist
drilling rig services for two years, with an
optional two-year extension.The contract is
on a call-out basis, subject to rig availability
and suitability with client’s requirement.
The second award — an integrated rig,
drilling, and completion (i-RDC) services
contract for six wells offshore Malaysia —
was secured in partnership with Hallibur-
ton. The awarded i-RDC services contract
is the first of its kind in Malaysia for an
offshore drilling campaign, said Sapura En-
ergy. “Scheduled to commence in the third
quarter of 2021, the contract will be exe-
cuted by Sapura Esperanza semi-submers-
ible tender-assist drilling rig,” it added.
Sapura Drilling was also awarded a new
contract and a contract extension for its
drilling rigs from the PTTEP group of
companies.
PTTEP Energy Development Com-
pany Ltd awarded Sapura Drilling with a
contract, with optional extensions for up
to 12 months, for the tender assist drilling
rig Sapura T-17. The three-year job will
start between Oct 15 and Nov 15, 2021.
Sapura Drilling also got a four-month
contract extension till Oct 31, 2021, from
PTT Exploration and Production Pub-
lic Company Ltd and PETTEP Interna-
tional Ltd for the tender assist drilling rig
Sapura T-18.
Sapura Drilling has now eight drilling
rigs contracted for work in 3QFY22, in-
creasing its fleet utilisation rate to 57%,
said Sapura Energy.
Sapura Energy’s share price rose half
a sen or 4.17% to close at 12.5 sen, giv-
ing the group a market capitalisation of
RM2 billion.
 t h u r s d a y J u ly 2 2 , 2 0 2 1
AirAsia seeks
extension
for private
placement
by tan siew mung
theedgemarkets.com
KUALA LUMPUR (July 21): AirAsia Group
Bhd is seeking an extension from Bursa Ma-
laysia to complete the private placement of
198.18 million shares that it has yet to issue.
In a bourse filing, the low-cost carrier
said it had submitted an application to
Bursa on Monday for an extension of time
from Aug 2 up to Dec 31 for the company
to implement the private placement.
AirAsia did not reveal the reason for the
extension it is seeking in today’s filing. The
airline intends to raise a total of RM454.51
million from share placement to recapi-
talise, on top of cash call and raising bor-
rowings. So far, it has raised RM336.47
million via placement of new shares.
To recap, the low-cost carrier placed out
100.37 million shares in March at 86.5 sen
per share, raising RM86.82 million, and
369.85 million shares in the first round
in February at 67.5 sen per share, raising
RM249.65 million.
Hong Kong’s well-known poker play-
er Stanley Choi Chiu Fai emerged as a
substantial shareholder of AirAsia after
he pumped in RM112.79 million to take
KUALA LUMPUR (July 21): Green Packet
Bhd, through its wholly-owned subsidiary Ki-
plepay Sdn Bhd (KPSB), has received approv-
al from Bank Negara Malaysia (BNM) to roll
out three new features for its e-money busi-
ness which operates the e-wallet “kiplePay”.
The three new features are a new e-wallet
limit of RM10,000, issuance of VISA virtual
and physical prepaid cards linked into ki-
plePay, and the Electronic Know-Your-Cus-
tomer (e-KYC), Green Packet said in a
statement today.
“We feel the e-KYC is a perfect solution
to provide non-face-to-face onboarding of
customers to facilitate payment services,
ensuring security and data integrity for
users and merchants alike,” said KPSB
acting chief executive officer Ricky Lew.
The e-KYC feature is a crucial aspect for
KPSB to enforce when offering its e-money
products to the market, added Green Packet.
The approved e-KYC feature will be
able to digitally identify a customer by per-
forming due diligence and risk assessment
7 TheEdge CEO morning brief
h o m e
AirAsia Group Bhd rating
Broking companies Recommendation Target price (RM)
Affin Hwang Investment
Credit Suisse
CGS-CIMB
BNP Paribas Equity
DBS Bank
KAF Seagroatt & Campbell
Macquarie Underperform 0.50
Maybank Kim Eng Sell 0.36
Nomura Reduce 0.36
UOB Kay Hian Sell 0.68
Source: Bloomberg
up the private placement then.
AirAsia’s share price shot up to RM1.21
in March upon completion of the share
price placement. However, the rally was
not sustainable. The stock has fallen 31%,
or 38 sen, from its peak at RM1.21 in
March. It closed at 83 sen today.
The application for extension came a
week after AirAsia announced its cash call
through a proposed renounceable rights
issue of up to RM1.024 billion in nomi-
nal value of seven-year redeemable con-
vertible unsecured Islamic debt securities
(RCUIDS) with a nominal value of 75 sen
each. The rights issue is on the basis of two
RCUIDS with one free detachable warrant
for every six ordinary shares in AirAsia
The airline is in the midst of securing
the undertakings from its co-founders Tan
Sri Tony Fernandes and Datuk Kamaru-
din Meranun for their portion of the rights
issue. The duo control 26.4% in the com-
pany and have the right to subscribe to
RM257.27 million or 25.1% of the intend-
BNM approves
three new features
in Green Packet’s
e-wallet kiplePay
by emir zainul
theedgemarkets.com
Buy
Neutral
1.20
0.92
Reduce 0.24
Reduce 0.61
Fully valued
Hold
0.55
0.80
AirAsia Group Bhd
RM
1.4
1.2
1.0
RM0.865
0.8
RM0.83
0.6
Jan 4, 2021 July 21, 2021
Source: Bloomberg
ed RM1.02 billion fundraising.
It is also looking for underwriters for half
of the rights issue not to be subscribed by
the duo — representing RM358.62 million
or 35% of the total fundraising.
by analysing the information gathered.
Meanwhile, Green Packet said the VISA
Principal Licence to issue virtual and phys-
ical prepaid cards linked into kiplePay’s
e-wallet will enable users to make payments
to any merchant both online and offline
that accepts payments via the Visa network.
With the approval from BNM, kiple-
Pay users will also be able to make trans-
actions with a higher e-wallet limit up to
RM10,000 by using kiplePay mobile ap-
plication or kiplePay VISA prepaid card.
“The issuance of the kiplePay Visa Pre-
paid card and new wallet limit of RM10,000
is in line with KPSB’s business expansion
plan to enhance kiplePay’s e-wallet service
which will allow users to perform higher val-
ue transactions.The increased e-wallet limit
will also pave the way for new services such
as remittance, opening of a salary account
and recruiting large merchants,” Lew added.
Shares of Green Packet were down 0.5
sen or 2.13% to close at 23 sen for a mar-
ket capitalisation of RM283.63 million.
 t h u r s d a y J u ly 2 2 , 2 0 2 1
Syed Saddiq to
be charged with
CBT involving
over RM1m
tomorrow
— source
by Adam Aziz
theedgemarket s.com
KUALA LUMPUR (July 21): Former
youth and sports minister Syed Saddiq
Syed Abdul Rahman is expected to be
charged tomorrow over the alleged mis-
appropriation of over RM1 million be-
longing to a political party.
He is expected to be charged at
the Sessions Court here with criminal
breach of trust (CBT) under Sections
403 and 405 of the Penal Code, a source
told The Edge.
Syed Saddiq, who is the member
of Parliament (MP) for Muar, is also
expected to be charged under the An-
ti-Money Laundering, Anti-Terrorism
Financing and Proceeds of Unlawful Ac-
tivities Act 2001 at the Sessions Court
in Johor Bahru at a later date.
The amount involved is estimated
to be RM1.12 million, the source said.
In a video tweet confirming the court
case, Syed Saddiq said “it has been over
a year” since he was threatened with
court charges for not joining the ruling
Perikatan National coalition.
He added that he will attend the
court proceedings at 8.30am tomor-
row, and has scheduled a press confer-
ence at 8pm.
Investigations against the lawmaker
began in June 2020 after a police report
was lodged over the loss of RM250,000
which he had kept.
He reported that the money belonged
to him and his parents, and went missing
from his Petaling Jaya home.
Syed Saddiq is currently serving as an
independent MP while awaiting the ap-
proval for the registration of the Malay-
sian United Democratic Alliance, which
he founded in September 2020 and is
currently the president.
After a hiatus amid the Emergency Or-
dinance since January 2021, Parliament
is scheduled to have a special sitting for
five days from July 26 to debate measures
to address the Covid-19 pandemic, fol-
lowed by an actual sitting for the Dewan
Rakyat which will take place from Sept 6.
8 TheEdge CEO morning brief
h o m e
Haily debuts
at premium
on Bursa ACE
Market
by Izzul Ikram
theedgemarkets.com
KUALA LUMPUR (July 21): Haily Group
Bhd’s share price rose about 20% past 80 sen
in Bursa Malaysia morning trade today from
the builder’s initial public offering (IPO) price
of 68 sen on its ACE Market debut.
On market close, Haily shares settled at 74
sen after trading between 72.5 sen and 81.5
sen apiece. The closing price gives Haily a mar-
ket capitalisation of about RM131.96 million,
based on the company’s expanded number of
issued shares of 178.32 million.
Its IPO involved a public issue of 30 million
new shares and an offer for sale of 18 million ex-
isting shares in the company at 68 sen each. Haily
raised RM20.4 million for business expansion
from the public issue of 30 million new shares.
In a statement in conjunction with its listing
today, Haily’s independent non-executive chair-
man Mohd Jaffar Awang (Ismail) said the listing
marks an important milestone for Haily. “I believe
the listing exercise will help to unlock the potential
of the group by enhancing our reputation as we
market our construction services and expand our
customer base in Malaysia,” Mohd Jaffar said.
He said the group plans to continue focus-
ing on its core competency in the construction
of residential and non-residential buildings in
Johor while leveraging its experience to extend
its reach to other districts. Haily has so far com-
pleted 65 construction projects, with a total
contract value of RM1.29 billion since 2008.
“Our group will be able to leverage our capa-
bilities as a Grade G7 contractor, which allows
us to bid [for] and carry out any size of building
construction projects irrespective of the contract
value.We have ongoing projects that can sustain
us at least until 2023. Currently, Haily has 18
building construction projects as well as two civil
engineering-related construction projects.The to-
(From left) Haily chief
executive officer (CEO)
and executive director
Yoong Woei Yeh, executive
director See Swee Ling,
founder and executive
director See Tin Hai,
independent non-executive
chairman Mohd Jaffar
Awang (Ismail), senior
independent non-executive
director Tan Sui Huat and
independent non-executive
director Ong Kheng Swee at
the listing ceremony.
Haily Group Bhd
sen
85
80
77 sen
75
74 sen
70
IPO price: 68 sen
65
9am 4.59pm
July 21, 2021
Source: Bloomberg
tal secured contract value and unbilled contract
value as at June 10, 2021 stood at RM460.04 mil-
lion and RM249.58 million respectively,” he said.
Haily also plans to expand into industrial
building construction to address opportunities
provided by economic developments in Johor.
The group has completed six industrial building
construction projects, with a total of 68 units
of factories located in Johor Baru and Kulai,
said Mohd Jaffar.
“We will use part of the proceeds raised from
our IPO exercise to purchase additional construc-
tion machinery and equipment mainly to facili-
tate better scheduling of our construction work
when the projects require concurrent usage and
in anticipation of future growth,” he said.
Haily intends to distribute dividends of at
least 30% of its annual profit attributable to its
shareholders after its listing, though the com-
pany said it is not a legally-binding obligation
or guaranteed commitment.
“Dividends declared and distributed by the
group for the financial year ended Dec 31, 2017
(FY17), FY18, FY19 and FY20 were RM10.01
million, RM5.25 million, RM6 million and
RM2.5 million respectively,” Haily said.
Last Friday, the company announced a net
profit of RM2.8 million and revenue of RM43.3
million for the first quarter ended March 31,
2021 (1QFY21). It also proposed an interim
dividend of 1.68 sen a share for FY21, to be
paid at a date to be decided later.
TA Securities Holdings Bhd was the prin-
cipal adviser, sponsor, underwriter and place-
ment agent for the IPO.
 t h u r s d a y J u ly 2 2 , 2 0 2 1
Hextar Global
joins consortium
to establish
digital bank
by Syafiqah Salim & Adam Aziz
theedgemarkets.com
KUALA LUMPUR (July 21): Hextar Global
Bhd has inked a consortium agreement with
Dagang NeXchange Bhd’s (DNeX) major
shareholder Arcadia Acres Sdn Bhd and Fass
Payment Solutions Sdn Bhd’s special purpose
vehicle Ihsan Equity Sdn Bhd to set up a Sya-
riah-compliant digital bank.
According to a joint statement today by
agrochemical producer Hextar Global, Arca-
dia Acres and Ihsan Equity, the agreement was
inked pursuant to the submission of an appli-
cation for a digital banking licence to Bank
Negara Malaysia (BNM) on June 30, 2021.
This is the first time the three parties are
collaborating, the partners said. “The consor-
tium is also expected to include developmen-
tal agencies entrusted by the Government of
Malaysia to upgrade and improve the low-
er-and middle-income earners in the coun-
try,” they said.
Hextar Global executive director Datuk
Eddie Ong Choo Meng said Arcadia Acres
has prepared a very comprehensive propos-
al which sets out clearly a blueprint to pro-
mote financial inclusion and literacy, especially
among the underserved through digital bank-
ing services that are also Syariah-compliant.
Ong said Hextar Global sees Arcadia Acres
and Ihsan Equity as ideal partners to lead this
push into the digital banking space.
Being one of the largest agrochemical
producers in Malaysia with over 30 years of
experience, Ong said Hextar Global has the
KUALA LUMPUR (July 21): Following a
sunset review initiated in January, Malaysia
will continue imposing the same rate for an-
ti-dumping duties on imports of prepainted,
painted or colour coated steel coils originating
or exported from China and Vietnam.
The Ministry of International Trade and
Industry (MITI), in a statement today, said the
duty imposed on all producers and exporters
from China is 52.1%.
As forVietnam, the duty imposed is 12.06%
for Maruichi Sun Steel Joint Stock Co, 34.85%
for NS Bluescope Vietnam Ltd, and 34.85%
for other producers/exporters, while Nam Kim
Steel Joint Stock Co is not eligible for any an-
ti-dumping duties.
The Royal Malaysian Customs Department
9 TheEdge CEO morning brief
h o m e
Bidders of Malaysia’s five digital banking licenses
1. Consortium of Paramount Corp Bhd, Star Media Group Bhd, RCE Capital Bhd,
Prosper Palm Oil Mill Sdn Bhd and an unnamed technology partner
2. A 40:60 JV between AEON Credit Service (M) Bhd and parent AEON Financial Service Co Ltd
3. Consortium of Green Packet Bhd, Zico Holdings Inc and M24 Tawreeq Sdn Bhd
4. Consortium of Pertama Digital Bhd, Crowdo Holdings Pte Ltd and INFOPRO Sdn Bhd
5. A 40:60 JV between RHB Bank Bhd and Axiata Group Bhd via Boost Holdings Sdn Bhd
6. Consortium of Sunway Bhd and partners
7. ManagePay Systems Bhd with up to 3 partners
8. Consortium of iFAST Corp, LTAT’s Koperasi Angkatan Tentera Malaysia, THZ Alliance,
and 99 Speedmart founder Lee Thiam Wah
9. Consortium of Boustead Holdings Bhd, Angkatan Koperasi Kebangsaan Malaysia Bhd
and an independent insurance brokerage company
10. Consortium of AirAsia Group Bhd via BigPay, MIDF, private equity firm Ikhlas Capital
Master Fund Pte Ltd, and another foreign conglomerate
11. Consortium of Hextar Global Bhd, with DNeX’s major shareholder Arcadia Acres
Sdn Bhd, and Fass Payment Solutions Sdn Bhd’s SPV Ihsan Equity Sdn Bhd
12. Consortium of PUC Bhd with two state governments and a conglomerate
List is non-exhaustive.
Sources: Bursa Malaysia, The Edge
infrastructure to provide ready access to cor- cadia Acres owned an indirect 15.01% stake.
porates and small holders as well as under- Arcadia Acres also owns a 30.3% stake in
served communities within the agriculture IT and telecommunication firm Theta Edge
sector in Malaysia and regionally. Bhd, in which Lembaga Tabung Haji holds
“We have been keenly looking at the digital a 38.4% stake.
economy as an area for us to expand into and Arcadia Acres managing director Zainal
to complement our current businesses.With ‘Abidin Abd Jalil said Arcadia Acres via DNeX
a platform of eight listed entities within the andTheta Edge has experience in undertaking
larger Hextar group of companies which are digital technology-related government projects
involved in a wide range of industries such within a highly regulated environment, which
as agriculture (agrochemicals and fertilisers), provides Arcadia Acres the expertise to build
healthcare (rubber gloves), telecommunica- an optimal infrastructure for an entity like a
tions (fibre optic cables), renewable energy digital bank.
(solar), logistics and consumer products, we Ihsan Equity, meanwhile, is a special-pur-
are able to provide access to layers of thriv- pose vehicle set up by Fass Payment, Datuk
ing ecosystems which could be tapped by the Abu Huraira AbuYazid, Mohamad Khir Am-
bank. Hence, our excitement at being part of ran and DAT Capital LLC, USA to operate
this collaboration,” he said. as a non-bank financial institution. Fass Pay-
Arcadia Acres, a wholly-owned bumiput- ment is an e-money licence holder approved
era investment holding company, is the sin- by BNM, the partners said.
gle largest shareholder in DNeX, which is in At 3.42pm today, Hextar Global’s share
semiconductor fabrication, IT, and oil and gas. price fell two sen or 1.52% to RM1.30 with
DNeX’s Bursa filing on June 16 showed Ar- a market value of about RM1.7 billion.
Anti-dumping
will enforce the collection of the anti-dumping
duties for a period of five years, effective July
duties unchanged
20, said MITI. On Jan 22, 2021, MITI initi-
ated an administrative review (sunset review)
for steel coils
concerning the anti-dumping duties imposed
based on a petition filed by CSC Steel Sdn
imported from
Bhd, on behalf of the domestic industry.
The review was carried out to determine
China,Vietnam
whether the continued imposition of the an-
ti-dumping duties is necessary to offset dump-
ing and whether the injury would be likely to
continue to recur if the duties were removed
by Emir Zainul or varied, the ministry explained.
theedgemarkets.com MITI added that interested parties can
have access to the non-confidential version
of the public by submitting a written request
to its office.
 t h u r s d a y J u ly 2 2 , 2 0 2 1
Analysts expect
AMMB’s disposal
of AmGeneral to
enhance its capital
position but
reduce earnings
by Tan Siew Mung
theedgemarkets.com
KUALA LUMPUR (July 21): Analysts be-
lieve AMMB Holdings Bhd’s disposal of its
stake in AmGeneral Insurance Bhd (AGIB)
to US-based Liberty Mutual Insurance Bhd
(LIB) will help the banking group enhance
capital and strengthen its balance sheet.
Hong Leong Investment Bank Research’s
analyst Chan Jit Hoong views the disposal
as a “mild” positive development as it could
potentially pocket some gains of RM300 mil-
lion to RM400 million to AMMB and bump
up its common equity tier 1 (CET1) ratio
by 60 basis points.
He reckoned the disposal proceeds will be
ploughed back to drive AMMB core bank-
ing business and strengthen its CET1 ratio,
especially after the drawback from the unex-
pected global settlement with the Ministry
of Finance on legacy alleged 1MDB-relat-
ed dealings.
“Other details are scarce for now, but
we estimate that the reduction ownership
of the enlarged AGIB and LIB entity, will
result in AMMB’s earnings to drop 2-3%;
AGIB, on itself, typically contributes 7-10%
to group’s normalized net profit,” Chan said
in a note today.
“Overall, our forecasts are unchanged.
While valuations seem to be undemand-
ing, there are no compelling catalysts to re-
rate the stock,” he added while retaining his
“hold” call and target price (TP) of RM2.85
on the stock.
CGS-CIMB Research’s analyst Winson
Ng is neutral on the deal as he noted that
despite the potential disposal gain, it “will
reduce AMMB’s general insurance earnings
contributions in the longer term”.
While estimating the disposal could rake
in an estimated one-off gain of RM343.5 mil-
lion to AMMB, he expects AMMB to keep
the cash proceeds to boost its capital ratio
rather than pay it out as a special dividend.
“Based on our analysis, the deal will re-
duce general insurance contributions to
AMMB’s net profit in the longer term due
to the lower net profit for LIB (RM41.2 mil-
lion in financial year ended Dec 31, 2019)
versus that for AGIB (RM248.4 million in
10 TheEdge CEO morning brief
h o m e
financial year ended March 31, 2020). Also,
we do not project a significant increase in
LIB’s net profit in the longer term,” he said.
Ng retained his “reduce” call on AMMB
with a TP of RM2.63 due to potential share
price overhang following the private place-
ment. The private placement, which led to
an issuance of 300 million new shares and
increased its share base by 10%, was com-
pleted on April 14 and fully factored into
his forecasts, Ng added.
Meanwhile, Maybank Investment Bank
Research’s analyst Desmond Ch’ng expects
the impact to AMMB’s earnings from a re-
duced stake following the insurance stake
sale to be “minimal”.
“The partial disposal of AmGeneral is
expected and positively, AMMB will hold
a 30% stake in a larger general insurance
group while the sale should enhance its cap-
ital ratios,” he noted.
“AmGeneral contributes to about 11% of
group earnings but with AMMB maintain-
ing a 30% stake in the enlarged entity and
with a banca agreement in place, we expect
the loss in earnings to be <2%,” he added.
According to Ch’ng, the acquisition cost
to LIB of RM2.29 billion prices AGIB at a
historical price to book value (PBV) of about
1.4 times, which is lower than the PBV of
1.8 times to 2 times for historical merger
and acquisitions.
“It is not surprising given that competi-
tion has heated up since the detariffication of
the industry and economic conditions have
weakened,” he said.
As the cost of RM2.29 billion for a 21%
stake would translate to RM481 million, he
expects this would enhance AMMB’s CET1
to 11.6% from 11.1%.
He maintained “buy” on AMMB with
an unchanged TP of RM3.50.
AMMB announced on Monday (July 19)
that its 51%-owned AmGeneral Holdings
Bhd will be disposing of its entire 100% stake
in AGIB to LIB for RM2.29 billion, to be
satisfied via cash and a 30% stake in LIB.
The deal will result in AMMB holding a 30%
interest in the LIB and AGIB businesses.
At 10.58am, AMMB slipped two sen
or 0.68% to RM2.90, valuing the group at
RM9.68 billion.
CIMB Thai’s
6MFY21 net
profit drops
31% y-o-y on
higher expected
credit losses
by Syafiqah Salim
theedgemarkets.com
KUALA LUMPUR (July 21): CIMB
Group Holdings Bhd’s 94.8%-owned
CIMB Thai Bank PCL’s net profit
dropped 31.1% year-on-year (y-o-y)
for the six-month period ended June
30, 2021 (6MFY21) to 954.8 million
baht (RM123.6 million) from 1.4 bil-
lion baht in the previous year.
This was due to a 19.1% y-o-y in-
crease in expected credit losses, reflected
by elevated provisions from economic
uncertainty and credit migration from
customers affected by the pandemic.
In a statement, CIMB Thai said its six-
month consolidated operating income fell
8.1% y-o-y to 7.28 billion baht from 7.93
billion baht, due to a drop in net interest
income and other income, which was off-
set by an expansion in net fee and service
income. Its cost-to-income ratio, howev-
er, improved to 56.7% in 6MFY21 com-
pared to 59.5% in 6MFY20, as operating
expenses dropped.
CIMB Thai’s net interest margin
(NIM) over earning assets stood at
3.2% in 6MFY21, compared to 3.3%
recorded last year, due to lower inter-
est income on loans and hire purchase
business.
As at June 30, 2021, gross loans
stood at 217.8 billion baht, down 4.1%
from Dec 31, 2020, while deposits (in-
clusive of bills of exchange, debentures
and selected structured deposit prod-
ucts) were at 242.9 billion baht, down
3.4% from 251.4 billion baht as at end
December 2020. Gross non-perform-
ing loans (NPL) were at 10.6 billion
baht, translating to an impaired loan
ratio of 4.8% compared to 4.6% as at
Dec 31, 2020.
“The higher NPL ratio was mainly
due to the decrease in total loan out-
standing balance, while the non-per-
forming loans have not significantly
changed. However, CIMB Thai con-
tinues to exercise high credit risk un-
derwriting standards and risk manage-
ment policies,” it said.
T H U R S D A Y J U LY 2 2 , 2 0 2 1 11 THEEDGE CEO MORNING BRIEF
 t h u r s d a y J u ly 2 2 , 2 0 2 1
Poh Huat pauses operations in
Vietnam
KUALA LUMPUR (July 21): Furniture
manufacturer Poh Huat Resources
Holdings Bhd has temporarily halted
the operations of its main subsidiary.
Poh Huat Furniture Industries Vietnam
Joint Stock Company in the Binh Duong
and Dong Nai provinces in Vietnam, to
comply with the Vietnamese government’s
orders to close non-essential businesses
to contain the spread of the pandemic.
Noi employee has so far shown any
symptoms of infections, it said, adding
the subsidiary will undertake screening
and quarantine measures in the event
any employee exhibits any symptoms or
is confirmed Covid-19 positive. It said
the paused operations are expected to
delay shipment of orders to customers
in the US, and management is taking
measures to reschedule delivery dates for
the affected parties. On the impact to its
financial performance, Poh Huat said it
will make the necessary announcements
as it is currently monitoring and
assessing the situation. — by Lynette Hew/
theedgemarkets.com
Kejuruteraan Asastera enters deal
with Vodex to expand mechanical
work division
KUALA LUMPUR (July 21): Electrical and
mechanical engineering services provider
Kejuruteraan Asastera Bhd (KAB) said its
wholly-owned KAB Technologies Sdn Bhd
(KABT) has inked a binding term sheet
with Vodex Technical Services Sdn Bhd
to expand its mechanical work division.
Under the term sheet, a special purpose
vehicle named TVT Link Tech Solutions
Sdn Bhd was formed, with KABT holding
60% stake and Vodex holding 40%. “The
employees and all existing operations
and maintenance (O&M) contracts will
be novated to TVT Link. These O&M
contracts are expected to provide an
estimated 10% additional contribution
to the group’s bottom line,” said KAB
in a statement. Separately, KAB noted
it has been listed as a constituent of
the FTSE Bursa Malaysia EMAS Index
(FBM EMAS Index), which comprises the
FTSE Bursa Malaysia Top 100 Index and
FTSE Bursa Malaysia Small Cap Index.
“Being a constituent of the FBM EMAS
Index, the group will be provided with an
environmental, social and governance
(ESG) rating in accordance with globally
accepted FTSE4Good Methodology and
Rating Model,” it added. — by Izzul Ikram/
theedgemarkets.com
12 TheEdge CEO morning brief
h o m e
news In brief
Favelle Favco secures RM121.1 mil purchase orders
KUALA LUMPUR (July 21): Favelle Favco Bhd has secured purchase orders for offshore
cranes, tower cranes, compressor system manpower, upgrade work and solar system with
a combined value of RM121.1 million. The construction cranes manufacturer said in a
bourse filing that the purchase orders were secured from Federal Hardware Engineering
Co Pte Ltd, Hyundai Engineering and Construction Co Ltd, G A Caelli Holdings Trust,
Afcons Infrastructure Limited, Advance Gas Turbine Solutions Sdn Bhd, Malaysia LNG Sdn
Bhd, Muhibbah Marine Engineering Sdn Bhd and PTTEP Sarawak Oil Ltd. The orders are
expected to be delivered by between the end of this year and the third quarter of 2022.
— by Tan Siew Mung/ theedgemarkets.com
Bursa seeks public feedback Axis REIT’s 2Q income up 9.27%,
on regulatory amendments for declares DPU of 2.4 sen
appointment and independence of KUALA LUMPUR (July 21): Axis Real
directors Estate Investment Trust (REIT) announced
KUALA LUMPUR (July 21): Bursa Malaysia a 9.27% increase in its net property income
Bhd has issued a consultation paper (NPI) for the second quarter ended June
seeking public feedback on its proposed 30, 2021 (2QFY21) to RM53.44 million
amendments to the Main Market and ACE from RM48.91 million in the same quarter
Market listing requirements in relation last year, on higher property income
to the appointment and independence with an expanded property portfolio. It
of directors. In pursuance of good also announced a second interim income
governance, leadership continuity, and distribution per unit (DPU) of 2.4 sen, which
board independence, it has proposed to will be paid on Aug 30, its bourse filing
limit the tenure of an independent director today showed. The commercial property
to not more than 12 years from the date of REIT — which has offices, warehousing and
his first appointment; and to require a listed manufacturing facilities under its portfolio
issuer to have and publish on its website, a fit — reported an 8.81% increase in revenue
and proper policy for the appointment and during the quarter to RM60.38 million
reappointment of directors of the company from RM55.49 million. For its half-year
and its subsidiaries. To aid listed issuers, ended June 30 (1HFY21), the group’s NPI
Bursa Malaysia will be providing guidance, rose 6.29% to RM103.26 million from
illustrations and better practices relating RM97.15 million recorded in the previous
to the fit and proper policy. Bursa Malaysia year’s corresponding period. Revenue grew
said interested parties may submit their 6.89% to RM117.86 million from RM110.26
comments and feedback on the proposed million. The group’s total assets stood at 51
amendments by Sept 1 via the consultation in 1HFY20, compared with 57 now, with
paper at https://www.bursamalaysia.com/ portfolio occupancy of 94%, with a weighted
regulation/public_consultation. — by Emir average lease expiry of 5.2 years. — by Sulhi
Zainul/ theedgemarkets.com Khalid/ theedgemarkets.com
Mercedes-Benz Malaysia announces two senior appointments
KUALA LUMPUR (July 21): Mercedes-Benz Malaysia has appointed Sagree Sardien as its
president and chief executive officer (CEO) and Mercedes-Benz Cars (MBC) SEA II head
of region effective June 1, while Edmin Naidoo was named MBC Malaysia & SEA II vice-
president of customer services effective July 1. In a statement, Mercedes-Benz Malaysia
said Sardien, who has over 20 years of automotive experience, is succeeding Dr Claus
Weidner, who previously led the group since
2015. Sardien, who started as the head of
operations in South Africa for Daimler’s fleet
management division, moved to Stuttgart,
Germany, in 2018, where she was the head of
sales for region overseas markets, comprising
Japan, South Korea, Australia, New Zealand,
the Middle East, Egypt, Turkey and South
Africa. Naidoo, meanwhile, has been with
the brand for over 25 years, with experience Sardien (left) has over 20 years of automotive
in the customer service retail and wholesale experience, while Naidoo has been with the
business. — by Izzul Ikram/ theedgemarkets.com brand for over 25 years.
 t h u r s d a y J u ly 2 2 , 2 0 2 1 13 TheEdge CEO morning brief

h o m e

reuters

Ex-Goldman
Sachs banker
in 1MDB
corruption case
gets smaller ankle
bracelet
by Elizabeth Dilt s Marshall
Reuters

NEW YORK (July 21): A former Gold-

man Sachs banker charged in connection
with a multibillion-dollar scandal at Ma-
laysia’s state investment fund 1MDB won
a Brooklyn judge’s permission to replace
his ankle monitor with a smaller one so
he can jog more comfortably.
Federal prosecutors objected to the
smaller ankle monitor, arguing that the
former head of investment banking for
Goldman Sachs in Malaysia could become
a greater flight risk.
Lawyers for Roger Ng said the “cum-
bersome and heavy nature” of the GPS
monitoring device, which constantly
streamed Ng’s location to authorities,
made it uncomfortable for Ng to run,
which is his preferred method of exercise.
U.S. District Judge Margo Brodie ruled
the request to switch to the smaller device,
which notifies authorities only when Ng
leaves and returns to his home, was rea-
sonable, in part because Ng has followed
his probation terms for the past two years.
Ng is on probation pending trial in
Brooklyn federal court where he stands
accused of conspiring to violate an an-
ti-bribery law and launder money. Ng
pleaded not guilty to those charges last
December.
Goldman Sachs helped sell $6.5 bil-
lion of bonds for 1MDB, which former
Malaysian Prime Minister Najib Razak
launched over a decade ago to promote
economic development.
U.S. and Malaysian authorities said
fund officials and accomplices looted
some of the money to spend on luxuries
and finance Hollywood films, while Gold-
man bankers paid more than $1.6 billion
in bribes to officials in Malaysia and Abu
Dhabi for 1MDB business.
Tim Leissner, another former Gold-
man banker, pleaded guilty in 2018 over
his role in the scandal. He has not been
sentenced.
In May 2019, Ng was extradited from
Malaysia to the United States, where he
was released in exchange for a $20 mil-
lion bond and required to wear an ankle
bracelet. https://reut.rs/3wPGRUR

PAC to resume
KUALA LUMPUR (July 21): Khairy Ja-
maluddin and Tengku Datuk Seri Zafrul

proceedings
Tengku Abdul Aziz are among those who
will appear before the Parliament Pub-

on vaccine
lic Accounts Committee (PAC) when
it resumes its proceedings on Covid-19

procurement on
vaccine procurement and administration
in Malaysia next Tuesday.

Khairy, who is the National Covid-19
Immunisation Programme (PICK) co-
ordinating minister, will be recalled on
July 27, while Tengku Zafrul, the finance
minister, will appear before the com-
mittee the following day, PAC chair-
man Wong Kah Woh said in a statement
today.
The PAC will also hear explanations
from Accountant-General Datuk Dr Ya-
cob Mustafa on July 28, it said.
On Jan 5 this year, the PAC began its
proceedings on the matter by hearing
explanations from Khairy, who is also
the science, technology and innovation
minister, and Health Minister Datuk
Seri Dr Adham Baba.
July 27
Bernama
“After considering the latest devel-
opments on Covid-19 vaccine procure-
ment throughout the six months when
the emergency was in force, the PAC is
of the view that the government needs to
give a more detailed explanation to this
committee as the scenario has changed
compared to that in January,” Wong said.
Wong said the proceedings on the is-
sue would be conducted based on pow-
ers derived from Standing Order 77(1)
(d) of the Dewan Rakyat Standing Or-
ders, which allows the PAC to examine
any other matters it deems appropriate.
The PAC is committed to completing
a report on the issue of Covid-19 vac-
cine procurement and its administration
to the people in Malaysia — for tabling
in Parliament the latest by the Second
Meeting of the Fourth Session of De-
wan Rakyat scheduled for October to
December, the statement said.
 t h u r s d a y J u ly 2 2 , 2 0 2 1
Tony Pua: We are severely
under-testing for Covid-19 to detect
cases and outbreaks in community
Media Statement by Tony Pua, DAP Na-
tional Publicity Secretary and Member of
Parliament for Damansara in Kuala Lum-
pur on Wednesday, 21 July 2021:
B
ased on rising positivity rate of
around 10% today, we are se-
verely under-testing for COV-
ID-19 to detect cases and out-
breaks in the community.
Yesterday, the Ministry of Health
(MoH) reported 12,366 COVID-19 posi-
tive cases from 124,519 test samples. That
translates to a positivity rate of 9.93%.
The positivity rate continues to increase
compared to the weekly positivity rate
as shown in the chart below. And the in-
crease is despite a recent increase in test
sampling since last week.
As can be seen from the chart above,
during the first week of MCO3.0 starting
23 May 2021, MoH carried out 109,601
average daily tests to return 7,631 average
daily positive cases or 6.96% positivity.
However, for 6 subsequent weeks until
10 July, MoH actually carried out signif-
icantly fewer tests despite high and rising
positivity. The positivity rate is well above
the World Health Organisation (WHO)
threshold of 5% where the spread of
COVID-19 is deemed under control.
It was only last week that MoH finally
carried out more tests than they did dur-
ing the first week of MCO3.0. For week
starting 11 July, an average of 120,165
tests were carried out daily, which re-
turned a positivity of 9.35% or 11,237
14 TheEdge CEO morning brief
h o m e
by Tony Pua
positive results daily.
The above data tells us a few simple
facts.
1. The significant drop in testing — a
massive drop of 34% for the week
starting 20 June compared to the
first week of MCO, has contributed
to a major failure to detect tens of
thousands of cases in the community
which then caused more infections as
reflected in the rising positivity rate.
2. When comparing the testing data be-
tween the first week of MCO3.0 and
the last week (11-17 July), the posi-
tivity rate has increased by more than
34% from 6.96% to 9.35%. Howev-
er, despite an increase in testing last
week, it was increased by an average
of 9.6% only.
This simply means that we are still se-
verely under-testing for COVID-19 in our
community based on the current number
of cases uncovered.
In the past, MoH has repeatedly
dismissed calls for mass-scale COV-
ID-19 testing across the country ever
since last year. Health director-general
(DG) Tan Sri Dr Noor Hisham Abdul-
lah favoured the ‘targeted’ approach in
Covid-19 testing.
We would like to highlight that we do
not have an issue with a ‘targeted test-
ing’ approach. However, there is a stark
difference between ‘targeted testing’ and
‘limited testing’. What the MoH has in
effect been practicing is a ‘limited test-
ing’ approach.
A ‘targeted testing’ approach has to
correspond to test outcomes and results.
When the tests returns a positivity above
5%, the targeted testing approach should
automatically increase the number of tests
to a sample size that will return and re-
duce the positivity to less than 5%.
Hence, if the positivity rate has ef-
fectively risen to 10% as it has over the
past few days, it the number of targeted
samples to be tested has to effectively
double as well in order to meaningfully
and effective record and determine the
number of infected in the community.
This is the first step towards quarantine
and isolation, and where possible contact
tracing to prevent the infection rate from
spiralling out of control as it had over the
past 2 months.
We call upon MoH to drastically in-
crease its targeted testing and put in place
a National Testing Plan, as part of a whole
of government and whole of nation ap-
proach to fighting COVID-19 and its
variants. This plan is not for the MoH
to execute alone, but for all stakeholders
including private hospitals, private clinics,
factories and work places, and even indi-
viduals via the now available self-test kits.
We must build a national capacity to
test at least 1%, that is approximately
300,000 tests a day as a contingency to
deal with any further outbreaks in the
future.
 T H U R S D A Y J U LY 2 2 , 2 0 2 1 15 THEEDGE CEO MORNING BRIEF

IF YOU ARE
NOT PART OF
THE SOLUTION
YOU WILL BE
PART OF
THE PROBLEM
Vaccinations reduce infections and save lives*

Get yourself vaccinated

Get your family, friends and colleagues

to register for vaccination

Join the race to build herd immunity

*Covid-19 Vaccines Advice

– World Health Organization

*Benefits of Getting Covid-19 Vaccines

– US Centre For Disease Control & Prevention

THIS IS A COMMUNITY SERVICE MESSAGE ON FIGHTING COVID-19

 t h u r s d a y J u ly 2 2 , 2 0 2 1
Four of Hong Kong’s top banks halt
some Evergrande mortgages
by Lulu Yilun Chen, Shawna Kwan,
Jun Luo & Denise Wee
Bloomberg
HONG KONG/SHANGHAI (July 21):
HSBC Holdings plc, Bank of China Ltd’s
Hong Kong unit, and at least two other major
lenders have stopped providing mortgages to
buyers of China Evergrande Group’s unfin-
ished residential properties in Hong Kong,
the latest sign of dwindling confidence in the
developer’s financial strength.
The lenders, which also include Hang
Seng Bank and Bank of East Asia (BEA),
suspended new mortgages for Evergrande’s
two projects under construction in Hong
Kong after re-evaluating the risks of such
loans, people familiar with the matter said,
asking not to be identified discussing pri-
vate information.
Evergrande said in a statement it is
sticking with plans for its Hong Kong pro-
jects and expects any impact from indi-
vidual banks’ decisions to be “mild”. The
developer said it will consider allowing
buyers to delay transactions by 60 days if
they are impacted.
BEA declined to comment and repre-
sentatives for the three other banks did
not immediately comment.
The unusual move by four of Hong
Kong’s biggest mortgage lenders to act in
unison underscores how dramatically per-
ceptions of Evergrande have deteriorated
in recent weeks. Shares of the world’s most
indebted developer have tumbled 28% just
this month and several of its dollar bonds
have plunged to record lows. The com-
pany’s 2025 dollar note sank by about six
cents on Wednesday to 49 cents on the
16 TheEdge CEO morning brief
w o r l d
The unusual move by four
of Hong Kong’s biggest
mortgage lenders to act in
unison underscores how
dramatically perceptions
of Evergrande have
deteriorated in recent weeks.
dollar, suggesting investors are bracing for
a potential default.
A major payment failure by Evergrande
would likely have severe repercussions for
China’s financial system, eroding confidence
in other highly leveraged property compa-
nies, shadow lenders, and potentially even
some banks. Officials from China’s top fi-
nancial regulator told Evergrande founder
Hui KaYan at the end of June that he should
solve his company’s debt problems as quickly
bloomberg
as possible, emphasising the need to avoid
major economic shocks, people familiar with
the matter said earlier this month.
The mortgage halt “could be a fresh sign
banks are protecting themselves as they’re
increasingly worried about Evergrande”,
Bloomberg Intelligence analysts Daniel Fan and
William Hau wrote in a note on Wednesday.
The development may push Evergrande to-
wards more “radical action”, such as selling
a stake in itself to a state-owned Chinese
company or pursuing more wide-ranging
asset sales, the analysts wrote.
Evergrande has two projects in Hong
Kong that are still under construction. The
Vertex in Cheung Sha Wan area, which
has more than half of the 414 units sold,
is slated to finish by the end of October.
Emerald Bay II is due to finish at the end of
next month and has sold 97% of its homes,
according to mReferral Corp (HK) Ltd,
a mortgage referral company.
HSBC, Bank of China’s Hong Kong unit,
and Hang Seng are the biggest mortgage
lenders for unfinished residential projects in
Hong Kong, with HSBC providing 25% of
the loans in the market in June, according
to mReferral. BEA ranked 7th.
Doubts about Evergrande’s finances have
intensified amid a drumbeat of news about
wary lenders and missed payments to suppli-
ers. Bloomberg reported last month that sev-
eral large Chinese banks had reduced their
lending to Evergrande, though others were
allowing the company to roll over portions
of credit lines it had already tapped.
The developer, which reported more than
US$300 billion of total liabilities at the end
of 2020, has repeatedly said its relationships
with creditors are normal and has made all
of its payments to bondholders on time.
 t h u r s d a y J u ly 2 2 , 2 0 2 1
(July 21): A Singapore court on Wednesday
ruled in favour of liquidating Hyflux Ltd,
following a years-long saga in one of the city-
state’s most high-profile distressed cases.
The ruling came in a hearing that was
adjourned from July 12 after Utico FZC,
one of Hyflux’s suitors, asked to be heard
on its application to intervene in the case.
Hyflux said last month the judicial manag-
er terminated discussions with United Arab
Emirates-based Utico as it was unable to
meet the conditions required.
The hearing comes after the court-ap-
pointed manager in charge of the troubled
water-treatment company since November
applied last month to wind up the firm. Ju-
dicial manager Borrelli Walsh Ltd said in a
statement in June that “the remaining val-
ue” of the Hyflux Group is best realized in
a liquidation.
The decision may cap a drawn-out saga
around the company, which has left retail in-
vestors and creditors holding losses. Hyflux
began a court-supervised debt restructuring
process in May 2018 and faced about S$2.8
billion (US$2.1 billion) of claims. It received
multiple offers from several bidders along
France rolls out
health pass as
Covid-19 cases
soar
BBC
(July 21): A new Covid health pass has
come into effect in France amid a surge
of new infections.
From Wednesday, people need proof
of vaccination, a negative test or recent
recovery from Covid to enter most mu-
seums and cinemas.
Later lawmakers will debate whether to
extend its use in August for entry to cafes,
restaurants and shopping malls.
It comes the day after Health Minister
Olivier Véran announced 18,000 new in-
fections in just 24 hours.
This was compared to fewer than 7,000
cases a day last week, a surge of 150%, as
the highly contagious Delta variant spreads
throughout the country.
“We have never seen this before,” he
told the National Assembly, saying Del-
ta had led to far larger rises in cases than
previous variants, like those first spotted
in the UK or South Africa.
President Emmanuel Macron an-
nounced the plans for a health pass earlier
17 TheEdge CEO morning brief
w o r l d
Singapore court
favours winding
up Hyflux in sign
saga ending
by Ameya Karve
Bloomberg
hyflux.com
this month, as well as compulsory vacci-
nation for all health workers by Septem-
ber. Surveys suggest there is widespread
vaccine hesitancy in France.
Mr Macron’s plans have proved contro-
versial. Protests against new coronavirus
rules in France saw demonstrators van-
dalising two vaccination centres this week.
“Health Dictatorship” is what protest-
ers here are calling it.
If the government has its way, in a few
short weeks, you won’t be able to sit down
for a coffee at a Paris café — or board a
train — without proof that you’re Cov-
id-free, vaccinated or immune. This so-
called Health Pass is the government’s an-
swer to infection rates that are rising faster
than France has ever seen in this pandemic.
the way, none of which concluded.
The court onWednesday also asked Utico
to pay S$5,000 to the judicial manager be-
cause it applied to be heard without having
ownership of any Hyflux debt or tie-ups with
any of its creditors. Even as the hearing sets
Hyflux on the path to liquidation, the com-
pany still awaits probes from Borelli Walsh
and several Singapore government agencies.
Hyflux said last month that the judicial
manager has gathered the information nec-
essary to conduct thorough enquiries into
the assets, business affairs and dealings of the
group. In June 2020, Singapore authorities
launched a joint investigation into the firm
and its directors that included suspected false
and misleading statements and breaches of
disclosure requirements.
A piecemeal sale of Hyflux’s assets has al-
ready started, with the company announcing
earlier this month that Keppel Infrastructure
Trust will acquire from it the remaining 30%
stake in a desalination plant for S$12 million.
Bloomberg News had reported in June that
sales in the liquidation process would likely
bring in less than S$200 million, a fraction
of the amount creditors are claiming.
reuters
Already, from today, there’ll be no rou-
tine access to cinemas, theatres, museums
— no trips to Disneyland Paris — with-
out it.
But it’s the plan to extend that restric-
tion to everyday public places — cafes,
shopping centres and public transport —
that’s causing the biggest backlash.
Some MPs have reported receiving
death threats ahead of the debate today.
And some protesters sparked fury last
week by comparing these government re-
strictions to the singling out of Jews dur-
ing France’s war-time Nazi occupation.
A majority of French people appear to
support the plan, with many believing it’s
the only way to avoid yet another lock-
down.
 t h u r s d a y J u ly 2 2 , 2 0 2 1
JPMorgan entices
NEWYORK (July 21): Jamie Dimon’s five-
year retirement joke just got serious.
The billionaire chief executive officer
(CEO) of JPMorgan Chase & Co was grant-
ed a special gift to persuade him to lead the
biggest US lender for another “significant
number of years”. He was awarded 1.5 mil-
lion stock appreciation rights, which are like
options and will let him capture a profit if the
stock price rises in the coming years.
At 65, Dimon is the only sitting bank
CEO who led a major firm through the fi-
nancial crisis. He took over JPMorgan in
2005, and built it into the biggest and most
profitable bank in the country.
Dimon’s tenure, and the question of who
may eventually succeed him, has long been
a topic of interest across the financial indus-
try and beyond. It came into heightened fo-
cus last year when Dimon was sidelined for
four weeks after he underwent emergency
heart surgery. And the firm is also fresh off
its biggest leadership shake-up in years, put-
ting Marianne Lake and Jennifer Piepszak at
the front of the race to potentially take over
the top job.
Dimon himself has found ways to be
non-committal about when he will call it
quits. His favourite quip: The date is five
years away, no matter when he is asked.
“This special award reflects the board’s
desire for Mr Dimon to continue to lead
the firm for a further significant number of
years,” JPMorgan’s board said in a regulatory
filing on Tuesday.
Dimon’s options are worth around US$50
million on paper, according to Terry Adam-
(July 21): Jeff Bezos made big news on
Tuesday and not just for flying into space.
In a press conference following his
11-minute Blue Origin flight, the Ama-
zon.com Inc founder announced a US$100
million award to José Andrés.
The Nobel Peace Prize-nominated chef
will donate the money to World Central
Kitchen, the nonprofit he cofounded in
2010 that helps feed and support people
in disaster-stricken areas around the world.
Recently, it has fed flood victims in affect-
ed parts of Germany.
Bezos announced the prize as part of a
newly created Courage and Civility Award
that recognizes people who are working on
solutions to global issues.
Van Jones, a CNN political contribu-
tor and founder of Dream Corps, was also
awarded US$100 million. “They can give
all to their own charity or they can share
their wealth. It’s all up to them,” said Bezos.
“I’m really grateful for this award, and
the incredible support from Jeff and the
entire Bezos family,” said Andrés in a state-
ment. “World Central Kitchen was born
18 TheEdge CEO morning brief
w o r l d
son, an equity-valuation specialist who is the
managing director of Technical Compensa-
Dimon to stick
tion Advisors. JPMorgan did not disclose its
own valuation of them.
around with
The board gave the award to motivate
Dimon, who already has a US$2.1 billion
surprise award
fortune, to keep doing his job well. Dimon,
who received US$31.5 million in compen-
sation for 2020, will not be able to exercise
the options for at least five years, and must
by Han nah Levitt & Anders Melin hold any net shares gained from the award
Bloomberg until mid-2031.
For the next five years, the board can take
away as many as half of his options if the
The billionaire chief executive bank’s performance is “unsatisfactory for a
officer (CEO) of JPMorgan sustained period of time”, if the bank’s annual
Chase & Co was granted a profit excluding certain items turns negative,
special gift to persuade him or if the bank’s business units do not meet
to lead the biggest US lender certain financial thresholds.
The bank’s share price has nearly quad-
for another “significant rupled over the last decade, and is up 18%
number of years”. this year.
It is not unusual for companies to grant
bloomberg large one-off awards to senior executives
when they sign new employment agreements
or as part of succession planning. But Wall
Street banks have largely shied from such
grants since the financial crisis.
In May, the firm named Lake and
Piepszak as the co-heads of JPMorgan’s
sprawling consumer and community bank-
ing business, effectively elevating them in
the race to the financial world’s most prized
throne. Daniel Pinto, the bank’s president, is
still widely seen as the obvious replacement
for Dimon in an emergency, though a less
Jamie Dimon likely candidate in a slow and orderly handoff.
Bezos gives
from the simple idea that food has the pow-
er to create a better world. A plate of food
US$100 mil to
is a plate of hope … it’s the fastest way to
rebuild lives and communities.”
chef José Andrés
The chef, who will open two restau-
rants in New York later this year, plans to
after return
revolutionize disaster and hunger relief.
Among his specific goals is to double
from space
food aid around the world and to change
the way 3 billion people — which, he notes,
are mainly women — cook food.
“This award itself cannot feed the world
by Kate Krader on its own. But this is the start of a new
Bloomberg chapter for us — it will allow us to think
beyond the next hurricane to the bigger
reuters challenges we face. People of the world:
now is the time to think really big, to solve
hunger with the fierce urgency of now,”
continued Andrés in his statement.
Bezos’s move follows a recent string of
high-profile support for Andrés. In De-
cember, the Duke and Duchess of Sus-
sex partnered with World Central Kitchen
to build four new relief centers, starting
with one in the Caribbean island nation
of Dominica.
 t h u r s d a y J u ly 2 2 , 2 0 2 1
J&J raises 2021
earnings forecast
as quarter beats
expectations
by Riley Griffin
Bloomberg
NEWYORK (July 21): Johnson & Johnson
(J&J) has raised its annual adjusted earnings
and revenue forecast as quarterly sales re-
bounded strongly from a year ago, when the
pandemic stifled non-Covid procedures.
The healthcare giant boosted its profit
forecast to US$9.60-US$9.70 a share, up
from as much as US$9.57, helped by the
performance of its drug and medical-de-
vice units and sales of Covid-19 shots. The
company also raised its revenue outlook to
as much as US$94.6 billion from an earlier
range that topped out at US$91.6 billion.
J&J expects its single-dose Covid vac-
cine, which uses a different technology from
(July 21): Daimler AG lowered the sales
outlook for its main Mercedes-Benz lux-
ury-car division amid a persistent global
semiconductor shortage that’s hampered
vehicle production.
The German carmaker now sees full-year
unit shipments at the prior-year level, from
significantly above last year’s level previously,
it said Wednesday in a statement.
“The entire industry is currently strug-
gling with longer delivery times, which un-
fortunately also affect our customers,” Chief
Executive Officer Ola Kallenius said. “We are
doing what we can to minimize the impact.”
Rivals from Volkswagen AG to Jeep mak-
er Stellantis NV coped with the scarcity of
chips better than initially feared, but warned
the issue may weigh on earnings in the sec-
ond half of this year. Facing limitations on
just how many assembly lines they can keep
running, automakers are prioritizing output
of their biggest money makers and abstain-
ing from discounts customers are accus-
tomed to even from luxury brands.
Despite the chip shortage, second-quar-
ter revenue came in better than analysts ex-
pected, climbing to 43.5 billion euros ($51.2
billion). Earnings before interest and taxes
surged to 5.19 billion euros, the company
said, confirming preliminary numbers re-
leased last week. Profit margin at the cars
and vans division reached double digits for
a third straight quarter.
Daimler had forecast in April that its
main Mercedes-Benz unit will be more
19 TheEdge CEO morning brief
w o r l d
messenger RNA shots developed by Pfizer
Inc and Moderna Inc, to generate US$2.5
billion in 2021.
Though the shot is only drawing a frac-
tion of sales generated by its rivals, J&J an-
ticipates deliveries will rise later this year.
“Our production levels have rebounded
significantly,” chief financial officer Joseph
Wolk said in an interview. “A lot of ship-
ments will go out in the fourth quarter.”
All cylinders firing
Second-quarter adjusted earnings were
US$2.48 a share, the drug maker said, beat-
ing analysts’ average estimate of US$2.29.
Revenue of US$23.3 billion also beat
Wall Street’s view. Across the board, J&J’s
units outperformed last year’s second quar-
ter, when countries around the world went
into lockdown.
“All three segments are hitting on all
cylinders,” Wolk said. “I take that as a very
strong sight of the health of the company.
We’re better positioned today than enter-
ing the pandemic.”
Click here to read the full story
Daimler cuts
Mercedes-Benz
sales outlook on
chip shortage
by Christoph Rauwald
Bloomberg
profitable than it’s been in years, thanks to
resurgent vehicle demand in the midst of
the pandemic. At the time, it raised its pro-
jection for annual return on sales for its cars
and vans division to 10% to 12%, up from
8% to 10%.
The Stuttgart-based manufacturer plans
to spin off its sprawling truck division lat-
er this year. Mercedes-Benz will update
investors on plans for battery technology
and its growing lineup of electric vehicles
on Thursday.
Mercedes this year revved up its EV
rollout with the new EQS sedan, the bat-
tery-powered sibling to its flagship S-Class,
as traditional carmakers broaden their attack
on Tesla Inc. The company will be making
eight fully electric cars on three continents
next year. It flanked the EQS with the com-
pact EQA and plans to unveil the electric
version of its bestselling E-Class sedan lat-
er this year.
Airbus delivers
first A350 jet
from Chinese
completion
plant
by Stella Qiu & Jamie Freed
Reuters
BEIJING/SYDNEY (July 21): Airbus
on Wednesday delivered the first A350
widebody jet from its Tianjin final as-
sembly line to China Eastern Airlines,
further bolstering its industrial footprint
in China relative to rival Boeing Co.
The work conducted in Tianjin on
the jet includes cabin installation, paint-
ing, production flight test, and aircraft
delivery, Airbus said in a statement.
Foreign media were not allowed to
attend the delivery event in Tianjin.
Airbus has been more aggressive
than Boeing in moving parts of its man-
ufacturing process to China in the hope
of increasing its share of sales in the
world’s biggest market for new planes.
Airbus expects to deliver this year a
total of five A350s from Tianjin.
In 2008, Tianjin became the com-
pany’s first final assembly line for the
A320 narrowbody jet outside Europe,
and in 2017 it became a completion
and delivery facility for the A330.
Boeing waited until December, 2018
to open its first completion plant in
China at Zhoushan for the 737 MAX.
But, the model was grounded three
months later following a second fa-
tal crash and its return to service has
yet to be approved by China’s aviation
regulator.
Airbus has been gaining market
share in China as the domestic travel
market has rebounded to pre-COV-
ID levels, while Boeing is still grap-
pling with Chinese scrutiny over the
737 MAX and a dearth of orders amid
broader U.S.-China tensions.
Airbus delivered 99 planes to China
last year and 64 more in the first half
this year despite the global pandemic,
although Chinese airlines have used
COVID-related border restrictions as
an excuse to defer taking some deliv-
eries from overseas.
Customers in the Asia-Pacific re-
gion have unfilled orders for 123
A350 planes as of end-June, the latest
data from the European planemaker
showed.
 t h u r s d a y J u ly 2 2 , 2 0 2 1
Eyeing IPO,Volvo
Cars to take full
control of its
Chinese business
by Niklas Pollard & Yilei Sun
Reuters
STOCKHOLM/BEIJING (July 21): Vol-
vo Cars has struck a deal to buy out par-
ent company Zhejiang Geely Holding from
their joint ventures in China, in a move that
could make a potential initial public offer-
ing (IPO) for the Swedish automaker more
attractive to investors.
Hangzhou-based Geely, which also owns
a 9.7% stake in Daimler, said earlier this
year it was considering options for Volvo,
including an IPO and stock market listing.
In February, Geely’s Hong Kong-listed unit
Geely Automobile and Volvo Cars scrapped
plans to merge.
“These two transactions will create a
clearer ownership structure within both
Volvo Cars and Geely Holding,” Geely’s
chief executive officer (CEO) Daniel Li said
in a statement, which did not refer to the
possible IPO.
Analysts expect other foreign automakers
to strike similar deals in China, the world’s
biggest car market, when the country’s re-
TOKYO (July 21): Japanese electronic
components maker Nidec Corp said on
Wednesday its first-quarter operating prof-
it jumped 60% to ¥44.6 billion (US$406
million), helped by a rebound in demand
for motors for electric vehicles (EVs) and
home appliances.
Nidec, better known for producing elec-
tric motors for computer hard drives and
smartphones, is trying to capture around a
third of an emerging market for energy-sav-
ing EV motors known as e-axles. Demand
for those is widely expected to increase 10
times over the next decade.
As it expands into auto parts, Nidec on
Monday said it had agreed to consider a
joint venture with Taiwan’s Hon Hai Tech-
nology Group to develop EV motors. The
companies in a news release said they would
aim to establish the venture in 2022, helping
Nidec expand into new markets and ensur-
ing a stable supply of motors for Hon Hai.
In April, Nidec, which supplies e-axles to
automakers including China’s Guangzhou
Automobile Co Ltd and France’s Peugeot,
announced plans to invest ¥200 billion over
a decade to build a production hub in Serbia
20 TheEdge CEO morning brief
w o r l d
quirement for auto manufacturing to be car-
ried out with a local joint venture partner is
lifted next year.
Such rules for electric-car makers have
already been lifted, allowing Tesla Inc to al-
ready make and sell vehicles via fully owned
operations in China.Volkswagen has gained
control of an electric-car unit in the eastern
city of Hefei.
Volvo Cars’ deal, financial terms for
which were not disclosed, will give it full
ownership of its manufacturing plants in
Chengdu and Daqing, its Chinese sales
company, and its research and development
facility in Shanghai.
Volvo Cars sold over 166,000 vehicles in
China last year, and its dealers are offering
heavy discounts to compete with other pre-
mium brands like BMW and Audi.
The Gothenburg-based company was
bought by Geely from Ford in the aftermath
of the global financial crisis more than a dec-
ade ago, and has since shared ownership of
its Chinese plants with its parent.
Volvo Cars said the transactions, which
are subject to regulatory approval, would be
carried out in two steps, starting in 2022 and
seen formally completed in 2023.
Volvo Cars CEO Hakan Samuelsson said
in June the company was making progress
towards a possible IPO later in 2021, and
that while it would continue to share plat-
forms and components with Geely, they
would do so at “an arm’s-length distance”,
consistent with the way independent com-
panies do business.
Japan’s Nidec
books 60%
quarterly profit
rise on EV motor
demand
by Tim Kelly
Reuters
that will manufacture motors for EVs and
household appliances.
Nidec’s earnings result for the three
months to June 30, up from ¥28 billion a
year earlier, was better than the ¥41.2 bil-
lion average of six analyst estimates com-
piled by Refinitiv.
The company stuck to its full-year fore-
cast for operating profit of ¥180 billion.
That is lower than the ¥193.5 billion aver-
age of 22 analyst estimates, Refinitiv data
showed.
reuters
Foxconn,
Nidec plan EV
motor venture
in Taiwan by
year end
by Reed Stevenson
Bloomberg
(July 21): Foxconn Technology Group’s
automobile arm and Nidec Corp. said
they plan to establish a Taiwan-based
joint venture by the end of this year as
they deepen ties by developing and sell-
ing powertrains for electric vehicles.
The companies will “conduct feasibil-
ity studies and contract negotiations with
the aim of concluding a joint venture,”
they said in a statement Wednesday. The
venture will focus on development, pro-
duction and sales of traction motors and
related systems. Other details will be de-
cided in further talks, they said.
Foxconn, the world’s biggest assem-
bler of iPhones, and Nidec signed an
agreement in March to supply traction
motors — the collection of components
including the motor, gears and drive
shaft that propel a vehicle — to global
automakers, combining their large-scale
manufacturing experience.
Foxconn’s Foxtron Vehicle Technolo-
gies was established last year as a venture
withYulon Group, also based in Taiwan.
In October, Foxconn unveiled an open
and customizable EV software and hard-
ware platform called MIH, on which oth-
ers are invited to contribute hardware,
software and components.
Kyoto-based Nidec, a key supplier in
the electric-motor industry, is pushing
deeper into the global auto market. The
roster of automakers buying its motors
includes China’s Guangzhou Automobile
Group Co. and France’s Peugeot SA.
Read also: Tesla plans to open its
charging network to other EVs later
this year Click here
 t h u r s d a y J u ly 2 2 , 2 0 2 1
(July 21): Firms that manage the wealth
and personal affairs of rich people are in-
creasingly looking to make bets on crypto.
That’s according to Goldman Sachs Group
Inc, which found that nearly half the family
offices it does business with want to add dig-
ital currencies to their stable of investments.
The bank reported that 15% of re-
spondents in a recent survey — which
included responses from more than 150
family offices worldwide — are already in-
vested in cryptocurrencies.
Another 45% would be interested in diving
into the space as a hedge for “higher inflation,
prolonged low rates, and other macroeconom-
ic developments following a year of unprece-
dented global monetary and fiscal stimulus.”
The interest from family offices shows
how these sometimes secretive companies
that manage the affairs of the rich are turn-
ing into a force across multiple markets.
Of the firms that participated in the sur-
vey, 22% had assets under management of
US$5 billion or more, and 45% oversaw
US$1 billion to US$4.9 billion.
Some family offices have long been in-
vestors in private equity and real estate,
but have recently been one of the biggest
drivers of the boom in special purpose ac-
quisition companies, or SPACs.
Just like that phenomenon, the past year’s
crypto-market frenzy has lured mainstream
financial institutions, athletes and celebrities.
As family offices grow in size and influ-
Central China’s
Henan province
swamped after
heaviest rain in
1,000 years
by Ryan Woo & Stella Qiu
Reuters
BEIJING (July 21): Large swathes of Chi-
na’s central Henan province were under wa-
ter on Wednesday, with at least a dozen peo-
ple dead in its capital Zhengzhou after the
city was drenched by what weather watchers
said was the heaviest rain in 1,000 years.
With more rain forecast across Henan for
the next three days, the government of Zheng-
zhou, a city of over 12 million on the banks of
theYellow River, said 12 people were reported
to have died in a flooded subway line, while
more than 500 were pulled to safety.
Video on social media onTuesday showed
commuters chest-deep in murky floodwaters
21 TheEdge CEO morning brief
w o r l d
Ultra-rich are now
turning to crypto
after driving the
SPAC boom
by Mary biekert
Bloomberg
ence, critics are also pushing for more regu-
lation, especially after the implosion of Bill
Hwang’s Archegos Capital Management
hit banks with billions of dollars in losses.
Respondents in the survey also indicated in-
terest investing in the “digital asset ecosystem.”
The majority of families want to talk to us
“about blockchain and digital ledger technolo-
gy,” said Meena Flynn, who helps lead private
wealth management for Goldman. There are
many who think that “this technology is going
to be as impactful as the internet has been from
an efficiency and productivity perspective.”
Other survey respondents, however, in-
dicated they still had underlying concerns
about the long-term value of digital curren-
cies, despite the financial industry’s more
recent embrace of crypto and emerging
blockchain technologies.
Bitcoin — the largest cryptocurrency —
is now more than 50% below its record high
on a train in the dark and an underground
station turned into a large, churning pool.
“The water reached my chest,” a survivor
wrote on social media. “I was really scared, but
the most terrifying thing was not the water,
but the diminishing air supply in the carriage.”
Due to the rain, the authorities halted bus
services, as the vehicles are powered by elec-
tricity, said a Zhengzhou resident surnamed
Guo, who spent the night at his office.
“That’s why many people took the subway,
and the tragedy happened,” Guo told Reuters.
levels near US$65,000 in mid-April. Prices,
which on Tuesday slid below US$30,000
for the first time in a month, are still up
more than 230% from a year earlier.
Family offices have proliferated this cen-
tury, partly due to the boom in tech billion-
aires. More than 10,000 family offices global-
ly manage the wealth of a single family, with
at least half having started this century, ac-
cording to EY. A 2019 estimate by researcher
Campden Wealth valued family office assets
at almost US$6 trillion globally, larger than
the entire hedge fund industry.
The firms vary markedly in size. Some
manage hundreds of millions of dollars, while
others oversee the fortunes of multi-billion-
aires such as Sergey Brin and Jeff Bezos.
Many choose obscure names to operate
out of the public eye. Alphabet Inc. founder
Brin’s family office, Bayshore Global Man-
agement, gets its name from the location of
the company’s headquarters. Charles and
David Koch named theirs after the year their
grandfather emigrated to America: 1888.
They’ve also surged in number across
Asia following booming fortunes of the re-
gion’s ultra-wealthy, with China’s Jack Ma
and real estate billionaire Wu Yajun both
establishing their own family offices in the
past decade. Meantime, members of the
ultra-wealthy based outside Asia including
Bridgewater Associates founder Ray Dal-
io are increasingly setting up branches of
their family offices in the area.
reuters
Residents, holding
umbrellas amid heavy
rainfall, wade through
floodwaters on a road
in Zhengzhou, Henan
province, China.
From the evening of Saturday until late
Tuesday, 617.1 millimetres (mm) of rain fell
in Zhengzhou, about 650 km (400 miles)
southwest of Beijing.That’s almost on par with
Zhengzhou’s annual average of 640.8 mm.
The amount of rainfall in Zhengzhou
witnessed over the three days was one seen
only “once in a thousand years”, local me-
dia cited meteorologists as saying.
Click here to read the full story
 t h u r s d a y J u ly 2 2 , 2 0 2 1
(July 21): BHP Group is considering
getting out of oil and gas in a multi-
billion-dollar exit that would accelerate
its retreat from fossil fuels, according to
people familiar with the matter.
The world’s biggest miner is reviewing
its petroleum business and considering
options including a trade sale, said the
people, who asked not to be identified
as the talks are private. The business,
which is forecast to earn more than $2
billion this year, could be worth an es-
timated $15 billion or more, one of the
people said.
BHP’s energy assets make it an out-
lier among the world’s biggest miners
— rival Anglo American Plc has already
exited thermal coal under investor pres-
sure and BHP is trying to follow suit.
The company has long said the oil busi-
ness was one of its strategic pillars and
argued that it will make money for at
least another decade. But as the world
(July 21): Singapore is facing the greatest
competition yet to its status as the domi-
nant marine fuel supplier in Asia, with Chi-
na luring more ships to its shores following
a rapid expansion of its port and refining
facilities.
China’s marine fuel sales — known in
the industry as bunkering — have almost
doubled over the past five years and the
nation is banking on attracting ships that
travel to nearby ports in major economies
such as South Korea and Japan. Singa-
pore still has a commanding position as
the top supplier to a sector valued at over
$30 billion in Asia, but Chinese growth is
accelerating.
The epicenter of China’s bunkering is
Zhoushan, an archipelago to the south of
Shanghai on the east coast. Some of the
nation’s newest and biggest crude oil refin-
eries are being built in the area, while the
government has introduced tax incentives
that make Chinese fuels more competitive.
“Singapore has had an edge over oth-
er Asian ports on all parameters,” said
Jayendu Krishna, director at Drewry Mar-
itime Advisors. “It continues to be so to-
day, however, slowly other ports have been
trying to catch up. Zhoushan will certainly
capture a share of the vessels from other
north east Asian ports.”
Singapore — also the world’s biggest
ship refueling hub — sold about 50 mil-
lion tons of bunker fuels last year, or a
fifth of the global total. Industry consultant
OilChem estimates China’s sales rose for
a fifth straight year to 16.9 million tons.
SeaCred, a marine intelligence agency, val-
ued the Asian bunker fuel market at $31
billion to $32 billion in 2020.
22 TheEdge CEO morning brief
w o r l d
BHP said to mull
oil exit in retreat
from fossil fuels
by Thomas Biesheuvel, Dinesh Nair
& Ruth David
Bloomberg
tries to shift away from fossil fuels, BHP
wants to avoid getting stuck with assets
that become more difficult to sell, the
people said.
The deliberations are still at an ear-
ly stage and no final decision has been
made, the people said. A spokesman for
BHP declined to comment.
The move comes as oil supermajors
grapple with how to respond to inves-
tor pressure over climate, in some cases
Singapore’s
grip on US$30b
oil market
challenged by
China
Bloomberg
The world’s busiest ports are in China
thanks to its massive manufacturing indus-
try, and boosting its bunkering capabilities
adds clout to supportive businesses. The
local government is spending 520 million
yuan ($80 million) to expand the anchor-
age and build new shipping channels at
Zhoushan, while refiners are pumping out
higher volumes of low-sulfur fuel oil, now
essential under new global rules that man-
dates ships use cleaner fuels.
“China’s bunkering business is closely
catching up with that of Singapore,” Zhang
Xiaoli, a former official with the customs
authority in Zhejiang province, which in-
cludes Zhoushan, told an industry confer-
ence last month. She predicted the nation’s
marine fuel sales will be 40% of Singapore’s
this year — or about 20 million tons based
on 2020 data.
China has issued more than 10 bun-
kering licenses to companies operating in
the free-trade zone of Zhoushan, and has
also introduced a low-sulfur fuel oil futures
contract to the Shanghai International En-
ergy Exchange to improve transparency on
by shrinking their core production and
adding renewable energy assets.
BHP wants to exit while it can still
get a good price for the assets, aiming to
repeat a 2018 sale of its shale business to
BP Plc for $10.4 billion, the people said.
And unlike big-oil rivals, BHP doesn’t
depend on profits from the energy busi-
ness, which are dwarfed by the com-
pany’s giant iron ore and copper units.
The timing could be good for an oil
exit. The economic recovery from Cov-
id-19 has transformed the fortunes of oil
producers, with Brent oil futures having
rallied about 60% in the past year.
By contrast, the company’s efforts to
get out of thermal coal so far have been
disappointing, after early bids for mines
in Australia came in lower than the com-
pany’s own valuations last year.
Click here to read the full story
pricing.The actual LSFO fuel being sold at
the port was at $546 a ton on Monday, $3
higher than Singapore, after being cheaper
than the city-state in April, according to
data from the Marine Bunker Exchange.
Zhoushan has been more competitive
with its prices this year and Stena Bulk ves-
sels traveling to China will likely utilize the
port for refueling more often, said Yvonne
Rittfeldt, head of bunker procurement at
the shipping company, which transports
crude and refined products. However, Sin-
gapore is more reliable with its efficient and
timely delivery of fuel, she added.
Singapore has geographical superiority
where it counts. It sits at the crossroads of
a centuries-old trade route that links the
region to Europe, the Middle East and
the U.S. Gulf Coast. The construction of
Southeast Asia’s first container port in
1972 helped the city-state map a path to
the top marine fuel supplier spot, and it’s
planning for the world’s biggest automat-
ed terminal.
Singapore has a vast refining and stor-
age network to keep the steady stream of
vessels refueled, and it’s also bolstered its
credentials around transparency recently.
Strict measures for monitoring bunker fuel
deliveries were introduced last year, follow-
ing on from the addition of flow meters
in 2017, which gives shippers assurance
the quantity of fuel they purchased will
be delivered.
“The regional bunker fuel pie is big
enough to support growth for key ports,
but Singapore will remain the main bun-
kering hub in the foreseeable future,” said
Victor Shum, vice president of energy con-
sulting at IHS Markit.
 T H U R S D A Y J U LY 2 2 , 2 0 2 1
M A R K E T S
CPO RM 4,395.0056.00 OIL US$ 70.561.21 RM/USD 4.2332 RM/SGD 3.0958 RM/AUD 3.0973 RM/GBP 5.7674 RM/EUR 4.9845
Top 20 active stocks
NAME VOLUME CHANGE CLOSE YTD MARKET
(MIL) (RM) CHANGE CAP
(%) (RM MIL)
BORNEO OIL BHD 326.6 -0.005 0.030 -25.00 215.6
PASUKHAS GROUP BHD 299.1 0.005 0.11 -69.52 23.2
KANGER INTERNATIONAL BHD 173.0 0.000 0.075 -48.28 209.7
SYSTECH BHD 164.1 0.010 0.315 57.5 108.9
SERBA DINAMIK HOLDINGS BHD 112.0 -0.005 0.430 -75.57 1595.1
RAMSSOL GROUP BHD 102.0 0.085 0.755 0.00 -
HAILY GROUP BHD 96.3 0.06 0.74 0 132
CAREPLUS GROUP BHD 94.7 0.200 2.170 6.13 1195.8
AT SYSTEMATIZATION BHD 88.9 0 0.065 -64.86 285.6
SERSOL BHD 87.6 -0.02 0.46 135.9 99.1
EP MANUFACTURING BHD 77.9 0.065 0.67 109.38 113.2
CTOS DIGITAL BHD 65.8 -0.04 1.58 0 3476
LKL INTERNATIONAL BHD 63.1 0.010 0.310 -66.12 175.7
GREENYIELD BHD 63 -0.02 0.3 57.89 100.1
ADVENTA BHD 61.9 0.27 2.07 35.29 316.3
DAGANG NEXCHANGE BHD 58.6 -0.015 0.75 233.33 2140.6
SEDANIA INNOVATOR BHD 53.3 0.035 0.89 513.79 309
DATAPREP HOLDINGS BHD 46.2 0.13 1.57 772.22 1051.9
HLT GLOBAL BHD 43.9 0.055 0.935 -17.98 661.2
SAUDEE GROUP BHD 40.6 -0.01 0.19 -54.43 135.7
Data as compiled on Jul 21, 2021 Source: Bloomberg
Top gainers (ranked by %)
NAME CLOSE CHANGE VOLUME YTD MARKET
(%) (‘000) CHANGE CAP
(%) (RM MIL)
LAMBO GROUP BHD 0.015 50.000 24263.1 -50.00 74.8
SMIS CORP BHD 1.05 25 20332.3 114.29 44.3
GIIB HOLDINGS BHD 0.285 21.280 3316.0 -53.66 103.4
GOLDEN PHAROS BHD 0.505 20.240 7620.7 106.12 70.2
TALAM TRANSFORM BHD 0.030 20.000 919.0 0.00 128.9
NEXGRAM HOLDINGS BHD 0.030 20.000 29797.9 -33.33 97.5
INIX TECHNOLOGIES HOLDINGS BHD 0.130 18.180 22784.4 -57.38 60.7
INNITY CORP BHD 0.740 15.630 3349.1 92.21 103.2
BIG INDUSTRIES BHD 1.270 15.450 23162.5 179.12 67.2
IDIMENSION CONSOLIDATED BHD 0.075 15.380 2476.5 -6.25 20.4
ADVENTA BHD 2.070 15.000 61883.6 35.29 316.3
SINARAN ADVANCE GROUP BHD 0.085 13.330 728.9 -66.67 59.8
RAMSSOL GROUP BHD 0.755 12.69 102014.1 0 -
XOX BHD 0.045 12.500 1573.0 -59.09 178.7
ENCORP BHD 0.315 12.500 6387.8 34.04 99.6
EP MANUFACTURING BHD 0.670 10.740 77878.5 109.38 113.2
CWG HOLDINGS BHD 0.470 10.590 2286.5 42.42 59.1
CAREPLUS GROUP BHD 2.170 10.150 94714.9 6.13 1195.8
IBRACO BHD 0.600 10.090 53.0 15.38 297.8
KARYON INDUSTRIES BHD 0.275 10 21966.1 27.91 130.8
Data as compiled on Jul 21, 2021 Source: Bloomberg
Top gainers (ranked by RM)
NAME CLOSE CHANGE VOLUME YTD MARKET
(RM) (‘000) CHANGE CAP
(%) (RM MIL)
GENETEC TECHNOLOGY BHD 17.6 0.62 490.2 917.34 890.9
HARTALEGA HOLDINGS BHD 7.89 0.31 7335 -35.01 26963.8
SUPERMAX CORP BHD 3.69 0.3 36262.1 -36.88 9659.1
ADVENTA BHD 2.07 0.27 61883.6 35.29 316.3
TOP GLOVE CORP BHD 4.16 0.23 38975.9 -31.22 33299.2
SMIS CORP BHD 1.05 0.21 20332.3 114.29 44.3
CAREPLUS GROUP BHD 2.17 0.2 94714.9 6.13 1195.8
KOSSAN RUBBER INDUSTRIES 3.49 0.18 9871.9 -20.74 8905.2
BIG INDUSTRIES BHD 1.27 0.17 23162.5 179.12 67.2
COMFORT GLOVE BHD 2.11 0.16 14775.7 -28.23 1224.7
RAPID SYNERGY BHD 8.3 0.15 34.4 25.76 887.2
DATAPREP HOLDINGS BHD 1.57 0.13 46178.8 772.22 1051.9
CARLSBERG BREWERY MALAYSIA 21.6 0.12 244.4 -7.06 6604.2
OPTIMAX HOLDINGS BHD 1.27 0.11 1172.9 36.56 342.9
NESTLE MALAYSIA BHD 133.5 0.1 72.3 -3.89 31305.8
INNITY CORP BHD 0.74 0.1 3349.1 92.21 103.2
RAMSSOL GROUP BHD 0.755 0.085 102014.1 0 -
GOLDEN PHAROS BHD 0.505 0.085 7620.7 106.12 70.2
VITROX CORP BHD 16.76 0.08 396.9 14.01 7914.3
GETS GLOBAL BHD 2.23 0.08 85.7 8.78 633.3
Data as compiled on Jul 21, 2021 Source: Bloomberg
23 THEEDGE CEO MORNING BRIEF
World equity indices
CLOSE CHANGE CHANGE CLOSE CHANGE CHANGE
(%) (%)
DOW JONES 34,511.99 549.95 1.62 INDONESIA 6,029.98 12.58 0.21
S&P 500 4,323.06 64.57 1.52 JAPAN 27,548.00 159.84 0.58
NASDAQ 100 14,728.21 179.12 1.23 KOREA 3,215.91 -16.79 -0.52
FTSE 100 6,988.14 107.01 1.56 PHILIPPINES 6,476.21 -110.99 -1.68
AUSTRALIA 7,308.72 56.49 0.78 SINGAPORE 3,119.00 7.80 0.25
CHINA 3,562.66 25.87 0.73 TAIWAN 17,458.79 -69.95 -0.40
HONG KONG 27,224.58 -34.67 -0.13 THAILAND 1,540.88 2.02 0.13
INDIA 52,198.51 -354.89 -0.68 VIETNAM 1,270.79 -2.50 -0.20
Data as compiled on Jul 21, 2021 Source: Bloomberg
Top losers (ranked by %)
NAME CLOSE CHANGE VOLUME YTD MARKET
(%) (‘000) CHANGE CAP
(%) (RM MIL)
VSOLAR GROUP BHD 0.010 -33.33 4465.7 -75.00 42.7
EDUSPEC HOLDINGS BHD 0.015 -25.00 730.0 -25.00 36.4
COMPUGATES HOLDINGS BHD 0.015 -25.00 1071.5 -25.00 46.0
KEY ALLIANCE GROUP BHD 0.030 -14.29 1386.5 -40.00 70.6
BORNEO OIL BHD 0.030 -14.29 326623.9 -25.00 215.6
JOE HOLDING BHD 0.035 -12.50 1629.8 -68.18 107.1
SANICHI TECHNOLOGY BHD 0.035 -12.50 3694.5 -87.61 49.1
MQ TECHNOLOGY BHD 0.070 -12.50 365.3 -48.15 51.1
K SENG SENG CORP BHD 0.830 -11.70 17638.0 41.88 95.6
FOCUS DYNAMICS GROUP BHD 0.04 -11.11 3002.2 -93.85 254.9
CHINA OUHUA WINERY HOLDINGS 0.045 -10.00 55.8 -25.00 30.1
TOP BUILDERS CAPITAL BHD 0.050 -9.09 5437.5 -56.52 31.4
ECM LIBRA GROUP BHD 0.200 -9.09 19.4 -13.04 96.0
TRIVE PROPERTY GROUP BHD 0.060 -7.69 422.5 -55.76 63.2
ALAM MARITIM RESOURCES BHD 0.065 -7.14 1847.7 -23.53 93.2
TRI-MODE SYSTEM M BHD 0.720 -7.10 5131.0 48.45 119.5
QUALITY CONCRETE HOLDINGS BHD 1.14 -6.56 36.7 14 66.1
KELINGTON GROUP BHD 1.150 -6.50 3657.7 36.09 739.5
GREENYIELD BHD 0.3 -6.25 62956 57.89 100.1
YBS INTERNATIONAL BHD 0.455 -6.19 20907.2 145.95 112.1
Data as compiled on Jul 21, 2021 Source: Bloomberg
Top losers (ranked by RM)
NAME CLOSE CHANGE VOLUME YTD MARKET
(RM) (‘000) CHANGE CAP
(%) (RM MIL)
MALAYSIAN PACIFIC INDUSTRIES 41.200 -0.500 90.2 58.71 8194.5
KUALA LUMPUR KEPONG BHD 19.480 -0.240 306.1 -17.74 21005.0
PETRONAS DAGANGAN BHD 18.54 -0.2 178.8 -13.36 18418.6
BLD PLANTATION BHD 9.000 -0.200 0.3 8.43 841.5
WIDETECH MALAYSIA BHD 3.520 -0.200 370.5 486.67 157.5
FRASER & NEAVE HOLDINGS BHD 26.040 -0.160 140.7 -18.83 9550.9
PANASONIC MANUFACTURING 32.26 -0.16 7.8 4.74 1959.7
PPB GROUP BHD 18.260 -0.140 471.1 -0.54 25976.7
MR DIY GROUP M BHD 3.340 -0.140 8427.3 7.05 20963.8
DUFU TECHNOLOGY CORP BHD 4.420 -0.140 1168.3 35.58 2327.9
GREATECH TECHNOLOGY BHD 6.000 -0.130 2251.5 31.87 7512.0
KOBAY TECHNOLOGY BHD 3.390 -0.120 2140.9 325.52 1018.0
K SENG SENG CORP BHD 0.830 -0.110 17638.0 41.88 95.6
CI HOLDINGS BHD 3.350 -0.110 264.6 76.32 542.7
ATA IMS BHD 2.400 -0.100 1994.6 0.84 2886.9
SOUTHERN ACIDS MALAYSIA BHD 3.700 -0.100 1.0 -2.63 506.7
PENTAMASTER CORP BHD 5.240 -0.100 1924.9 3.76 3732.5
UWC BHD 5.360 -0.100 1549.6 9.39 5899.4
MANULIFE HOLDINGS BHD 2.210 -0.090 3.0 9.95 457.4
HENGYUAN REFINING CO BHD 4.41 -0.090 436.5 -26.38 1323
Data as compiled on Jul 21, 2021 Source: Bloomberg