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CEOMorningBrief
 TÜRKIYE HALTS TRADING IN STOCK MARKET AFTER
US$35 BIL WIPEOUT p15
T H U R S DAY, F E B RUA R Y 9 , 2 0 2 3 w w w. t h e e d g e m a r k e t s. c o m
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CEOMorningBrief
HOME: White paper on improper procurement of Covid-19 vaccine to be tabled in Parliament, says Anwar p2
UOB sees Malaysia’s GDP growth at 8.5% in 2022, 4% in 2023 p4
Retailers, hoteliers urge govt for moratorium on new electricity tariff p6
TMC Life Sciences’ 2Q net profit falls 20% on depreciation and tax expenses p8
WORLD: Credit Suisse dials back Asia risk controls after bankers revolt p22
BLOOMBERG

Not the right time

to raise SRR
in near term
Report on Page 3
 T H U R S D AY F E B R U A RY 9 , 2 0 2 3
the edge ceo morning brief
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BLOOMBERG
Prime Minister Datuk
Seri Anwar Ibrahim
PUTRAJAYA (Feb 8): A white paper on
the improper procurement of Covid-19
vaccine by the previous government will
be tabled in the coming Parliament ses-
sion, said Prime Minister Datuk Seri An-
war Ibrahim.
PUTRAJAYA (Feb 8): Malaysia will chan-
nel over US$2 million (over RM8.6 mil-
lion) to Türkiye and Syria to help the vic-
tims of the strong earthquake that struck
the two countries early Monday (Feb 6).
Prime Minister Datuk Seri Anwar Ibra-
him said the Cabinet has agreed to the Ma-
laysian government donating US$1 million
for the purpose, while the other US$1 mil-
lion would come from the Sultan of Johor
Sultan Ibrahim Almarhum Sultan Iskandar.
At the same time, the prime minister
said that the Federal Territories Islamic
Religious Council had allocated RM1 mil-
lion in humanitarian aid, mostly to also be
channelled to Türkiye dan Syria.
The strong 7.8-magnitude earthquake hit
southern Türkiye and northern Syria early
Monday morning, bringing down buildings
and killing thousands of people in the two
countries.The tremors were reported to have
been felt in Cyprus and Lebanon.
Meanwhile, Anwar said Malaysia would
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H O M E
on Wednesday (Feb 8), Anwar said
Health Minister Dr Zaliha Mustafa
White paper would give the details when the white
on improper paper is tabled.
“This white paper will be tabled be-
procurement of cause in the early stage, irregularities were
detected. It is believed that it did not follow
Covid-19 vaccine regulations or the required process. The
procurement of certain types of vaccine
to be tabled in was very doubtful in terms of the amount
and cost involved,” he said.
Parliament, “The main question is also not who
was the minister but the ministers involved
says Anwar should reply and give an explanation on
the matter,” Anwar said without naming
anyone.
Bernama The finance ministry had earlier del-
egated powers to the health ministry
and science, technology and innova-
tion ministry to finalise the procure-
He said the procurement was done ment of vaccines at their respective
by the then health minister without ministry level.
the agreement of the Attorney-Gener- The move was part of efforts to facili-
al (AG). tate and speed up the implementation of
Speaking at a press conference af- the National Covid-19 Immunisation Pro-
ter chairing the Cabinet meeting here gramme (PICK).
Earthquake:
“This is because the first team has been
so effective, the Turkish government re-
Malaysia to
quested for more,” the prime minister said.
On Feb 6, the first SMART team was
channel over
deployed to help in the SAR operations in
Türkiye, as a sign of Malaysian solidarity
US$2 mil to
with those affected by the disaster.
Anwar said the Ministry of Defence is
Türkiye, Syria
also in the midst of putting together a team
of military doctors and paramedics to be
sent to Türkiye.
“This team of military doctors and par-
Bernama amedics is also prepped to set up a field
hospital in Türkiye, just awaiting confirma-
also deploy its second Special Malaysia tion of the need from the country,” he said.
Disaster Assistance and Rescue Team On the SAR operations in Syria, Anwar
(SMART) to Türkiye on Wednesday (Feb said the donations to the country would
8) night to join in the search and rescue be made through the International Red
(SAR) operations there. Cross Society (IRCS).
The team under the National Disaster “This is because there are restrictions...
Management Agency (Nadma)’s purview Our envoy in Syria will ensure (that) the
will comprise 70 members of SMART and distribution of finds and medical purchas-
the Malaysian Fire and Rescue Department. es be made through the IRCS,” he added.
 T H U R S D AY F E B R U A RY 9 , 2 0 2 3 3 THEEDGE CEO MORNING BRIEF

H O M E

Not the right time

KUALA LUMPUR (Feb 9): Raising the “For businesses, outstanding loans grew
statutory reserve requirement (SRR) ra- by 5%, as the growth in loan repayments

to tighten SRR
tio for banks may not be a good idea in outpaced that of loan disbursements. Loan
the near term, in view of a slowdown in disbursements continued to record sus-

the global economy and even a possible
recession.
When contacted by The Edge, Dr Yeah
Kim Leng, professor of economics at Sun-
way University Business School said tight-
ening the SRR will be a “contrary move”
to the current conditions. This is because
higher SRR will result in higher cost of
funds for banks and may ease their lend-
ing activities.
“We are currently at the inflection point
— it is uncertain which direction we should
go. So we need to be more vigilant and
flexible in the sense that should the glob-
al economy take a turn for the worst, or
(should the) domestic confidence wors-
en, that will result in faster-than-expected
weakening in the domestic economy.Then,
tightening credit conditions will further
weaken growth (for the local economy),”
he explained.
The central bank relaxed the SRR to
2%, from 3%, at the onset of the Covid-19
pandemic on March 19, 2020, to ensure
banks had sufficient liquidity to weath-
er the crisis, as well as support economic
growth during this period of uncertainty.
The current SRR of 2% is the lowest since
the Global Financial Crisis in 2009.
The SRR is an instrument used by the
in near term
BY JUSTIN LIM
theedgemarkets.com
central bank to manage liquidity. Banking
institutions are required to maintain bal-
ances in their statutory reserve accounts
equivalent to a certain proportion (which
is determined by the SRR rate) of their
eligible liabilities.
Apart from the macroeconomic per-
spectives, Yeah views that current loan
growth is still within a sustainable range
and that it is not generating overheating
concerns. He opines that “reasonable” loan
growth should be between 4% and 6%.
“Importantly, we need to ensure that
credit growth is led by business lending,
which has a greater multiplier effect on the
economy, such as for high quality invest-
ment that can raise output for the country,
generate jobs, (and) increase income and
exports’ earnings,” he said.
In releasing the 3Q gross domestic
product, Bank Negara Malaysia (BNM)
announced that net financing expanded
by 5.4% during the quarter.
tained growth, particularly in the manu-
facturing and wholesale trade sectors.
“For households, outstanding loans
grew by 6.2% amid high growth in loan
disbursements for the purchase of houses
and cars. High growth in loan repayments
was also observed for households, as most
repayments have fully resumed during the
quarter.”
The central bank has indicated that the
country’s growth in 2023 is expected to
moderate amid a slower global economy,
and likewise, the headline and core inflation
figures — though they will remain elevated
amid lingering demand and cost pressures.
“The global economy continues to be
weighed down by elevated cost pressures,
higher interest rates, and Covid-19-related
disruptions in China. These factors more
than offset the support from positive la-
bour market conditions, and the full re-
opening of economies and international
borders,” it said.
In view of the economic headwinds,
BNM paused the key rate hike at its first
Monetary Policy Committee meeting in Jan-
uary this year. In 2022, the central bank
increased the overnight policy rate by four
times for a cumulative 100 bps (basis points)
to 2.75%, from a record low of 1.75%.

Banking sector still an ‘overweight’ despite potential SRR tightening

BY JUSTIN LIM
Banks’ CY23F core net profit growth and dividend yield (existing vs.
theedgemarkets.com
assuming SRR tightening) (based on CGS-CIMB’s estimates / assumptions)
KUALA LUMPUR (Feb 8): As the risks
from Covid-19 have subsided, Bank Ne-
gara Malaysia (BNM) may tighten the
statutory reserve requirement (SRR),
which, in turn, would drag banks’
earnings prospects, according to CGS-
CIMB Research.
Notwithstanding that, the research
house has reaffirmed an “overweight”
stance on banks, predicated on potential
rerating catalysts of a swift core net profit
(CNP) growth of 20.5% projected for
2023 and the expansion in net interest
Status quo Assuming SRR tightening
For CY23 Core net profit Dividend Core net profit Dividend
growth (%) yield (%) growth (%) yield (%)
Maybank 16.6 5.6 13.9 5.5
Public Bank 27.7 4.6 23.6 4.5
Hong Leong Bank 9.2 3.5 7.4 3.5
RHB Bank 37.3 7.4 32.9 7.1
AMMB Holdings 7.3 5.3 3.7 5.1
Alliance Bank 14.7 6.6 10.5 6.4
Affin Bank 49.5 4.8 36.9 4.4
Bank Islam 26.2 5.5 19.9 5.2
Total 20.5 5.4 17.1 5.2
Sources: CGS-CIMB Research Estimates, Company Reports

margin amid the upcycle for the over-

night policy rate (OPR).
However, the CNP growth for banks
would come down to 17.1%, assuming
SRR is tightened. Similarly, for banks’
dividend yield, he anticipated this would
result in a lower yield of 5.2% against
the previous estimate of 5.4%, based on
simple average.
“Based on our simulation, the tight-
ening of SRR would reduce banks’ aggre-
gate net profit by 3.2% (FY2024 for Hong
Leong Bank Bhd, AMMB Holdings Bhd
and Alliance Bank Bhd; FY2023 for the
rest),” its analyst Winson Ng said in a note
on Wednesday (Feb 8).
“Within our coverage universe, we see
the smallest impact on Maybank [Malayan
Banking Bhd] at 2.3% of its net profit
as about 25% of its revenue is generat-
ed from overseas markets. The impact
would be the greatest on Affin Bank Bhd
at 8.4%, based on our estimate, due to
the low base of its existing statutory re-
serve,” he added.
CO N TI N U ES O N PAG E 4
 t h u r s d ay f e b r u a ry 9 , 2 0 2 3
KUALA LUMPUR (Feb 8): UOB Global
Economics & Market Research estimates
Malaysia’s economy to grow by 6.3%
year-on-year in the fourth quarter of 2022
(4Q2022), above its preliminary forecast
of 5.5% but lower than the Bloomberg es-
timate of 6.8%.
The research house’s forecast for the
full-year is 8.5% (from its preliminary fore-
cast of 8.3% and 3.1% in 2021, Bloomberg
estimate: 8.6%).
Actual 4Q gross domestic product
(GDP) numbers will be released on Fri-
day (Feb 10).
For 3QFY2022, the country posted
GDP growth of 14.2%.
The contraction in 4Q2022, UOB said,
mainly reflects the fading effects of pent-up
demand post reopening as well as subdued
global demand as a result of aggressive
global monetary policy tightening and pro-
longed Covid lockdowns in China.
“The potential quarter-on-quarter con-
traction would justify the surprise decision
by Bank Negara Malaysia to hold interest
rates unchanged on Jan 19, whereby the cen-
tral bank cited a need to assess the impact
of cumulative four back-to-back rate hikes
(between May 2022 and Nov 2022) on the
economy,” it added in a note on Wednesday.
For 2023, UOB expects Malaysia’s
growth momentum to moderate further
to 4%. The official estimate is 4% to 5%.
“More restrictive global monetary poli-
cy settings, potential escalation of geopolit-
ical tensions, weaker-than-expected global
demand, ongoing global tech downcycle,
and domestic policy changes are key down-
from Pag e 3
Net interest margins compression
Ng said banks have benefited from the
lower SRR since March 2020, as the stat-
utory deposit maintained by banks with
BNM is interest-free, and hence, no in-
come is generated for this fund.
However, he said the SRR tightening
would reduce banks’ net interest margins
by an estimated 5.9 basis points (bps),
but this should be more than offset by
the positive impact from the series of
OPR hikes (100bps in 2022 and the ex-
pected 50bps in 2023).
Should the SRR be tightened, he esti-
mated that banks would have to top up their
statutory reserves by RM39.4 billion, which
he thinks banks will be able to achieve given
their strong liquidity positions.
“In FY2021, banks’ liquidity coverage
ratios — the key barometer for liquidity —
ranged between 135.6% and 180.1%, which
were significantly higher than the minimum
requirement of 100%,” he elaborated.
4 TheEdge CEO morning brief
h o m e
UOB sees
Malaysia’s GDP
growth at 8.5%
in 2022, 4% in 2023
by sufi muhamad
theedgemarkets.com
side risks to the country’s economic outlook
ahead, while being weighed down by year-ago
high statistical comparison base,” said UOB
economists Julia Goh and Loke Siew Ting.
In 4Q2022, Goh and Loke expect the
services sector to record an 8% growth
year-on-year with the volume index of ser-
vices maintained at a double digit rate of
11.7% from 23.1% in 3Q2021.
“This comes on the back of a further
recovery in tourism-related sectors (i.e.
food & beverages, accommodation, and
transport & storage) amid improving la-
bour market conditions,” they said.
The manufacturing sector is likely the
second biggest contributor to overall GDP
growth in 4Q2022 despite lower gains of
3.9% from 13.2% in 3Q2022, the econ-
omists said.
“The projected slowdown is partly due
to year-ago high base effects and slower
global growth prospects amid ongoing
global tech down cycle, weighing across
all domestic and export-oriented manu-
facturing sub-sectors.”
Loan growth won’t be affected
Ng does not expect the SRR tightening to
impact the banking industry’s loan growth
as the liquidity positions of all major local
banks are at comfortable levels — even af-
ter the tightening of SRR — to meet the
credit demand in the banking system.
“In addition, we believe Bank Negara
Malaysia would ensure that any SRR tight-
ening does not impede the banks’ ability
to lend, which is essential to support eco-
nomic growth. We are projecting slower
loan growth of 4%-5% for 2023, versus
5%-6% for 2022.This is not because of any
negative impact from SRR tightening but
rather due to our projected weaker GDP
(gross domestic product) growth forecast
of 4.4% in 2023 versus 8.4% in 2022.”
“In addition, we think that the strong
expansion of around 8% in auto loans in
2022 would not be sustainable and could
moderate to the low single-digit rates, in
line with our expectations of lower car sales
in 2023,” he explained.
The mining sector, they said, is expect-
ed to hold up at a decent pace of 6.6%
from 9.2% in 3Q2022 due to improved
mining output by 6.2%. Both crude oil
and natural gas output should rise by 4.4%
and 7.5% respectively in 4Q2022.
Goh and Loke said the agricultural sec-
tor is expected to expand for the second
straight quarter by 3%, driven by higher
production of crude palm oil, while the
construction sector is estimated to expand
by 8.2% based on the 15.7% increase in
total value of construction work done in
4Q2022.
“All four construction sub-segments
continued to log improvement in their
value of work done, with that of non-resi-
dential, civil engineering, and special trades
maintaining double-digit gain,” they noted.
They also stated that domestic demand
is projected to remain resilient even as
households were still hit by high living costs
and rising interest rates, thus providing
support to the overall GDP in 3Q2022.
“Private consumption growth is project-
ed to hold up at 10.5% (3Q2022: 15.1%)
on the back of persistent government sup-
port and higher employment. Private in-
vestment is anticipated to recover further
while government expenditure is set to be
lifted by continued cash assistance, sub-
sidy bills and election-related expenses,”
they added.
The economists said external demand
is anticipated to soften on account of sub-
dued global demand, which is also expect-
ed to trigger stock withdrawal activities
in 4Q2022.
Banking stocks lose ground
Amid news that SRR could be adjust-
ed upward soon, banking stocks domi-
nated the top losers list on Wednesday
(Feb 8), with Hong Leong Financial
Group Bhd being the top loser (by
value) after it fell 2.1% or 38 sen to
RM17.92.
This was followed by CIMB Group
Holdings Bhd, which dropped 18 sen or
3.2% to RM5.40, Hong Leong Bank,
which slipped 18 sen or 0.9% to RM20,
and RHB Bank Bhd, which fell 15 sen
or 2.7% to RM5.51.
Maybank, however, bucked the
downtrend in the banking sector,
as it gained one sen or 0.1% to
RM8.64.
The Financial Services Index on Bur-
sa Malaysia shrank 1.12% to 15,954.56
points.
CGS-CIMB’s picks for the sector are
Hong Leong Bank, RHB Bank and Pub-
lic Bank Bhd.
T H U R S D AY F E B R U A RY 9 , 2 0 2 3 5 THEEDGE CEO MORNING BRIEF
 T H U R S D AY F E B R U A RY 9 , 2 0 2 3
KUALA LUMPUR (Feb 8): Retailers
and hoteliers are urging the government
to provide commercial users a moratorium
till end-2023 on the newly implemented
electricity surcharge — which has been
upped to 20 sen per kWh since the start of
this year from 3.7 sen per kWh throughout
2022 — so that their businesses can first
recover from the pandemic’s impact.
In a joint statement on Wednesday (Feb
8), seven associations representing retailers
and the owners and operators of hotels,
theme parks and shopping malls lament
that their monthly energy bills have gone
up by at least 20% to 30% compared to the
previous year, despite similar usage levels.
The associations were: Bumiputera Re-
tailers Organisation, Malaysian Association
of Hotels, Malaysian Association of Hotel
Owners, Malaysia Budget and Business
Hotel Association, Malaysian Association
of Themepark and Family Attractions, Ma-
laysia Retailers Association and the Ma-
laysia Shopping Malls Association.
They said their members were among
the hardest hit during the pandemic and
KUALA LUMPUR (Feb 8): Malaysia’s
overall residential overhang situation has
improved in the third quarter of 2022
(3Q2022) to 29,534 units, from 34,092
units in the previous quarter, according
National Property Information Centre
(Napic) director Aina Edayu Ahmad.
Speaking at a press conference for PEPS
Property Market Outlook for 2023, she
noted that the market activity as of 3Q2022
is more positive compared to the previ-
ous year, but it has yet to return to the
pre-Covid level.
“The overhang has been absorbed grad-
ually.... [But] the economic sector is impor-
tant, and we are waiting to see the 4Q2022
report by Bank Negara [Malaysia],” she said.
Aina was one of the speakers at the
15th Malaysian Property Summit 2023
(15MPS) event on Wednesday (Feb 8)
organised by the Association of Valuers,
Property Managers, Estate Agents and
Property Consultants in the Private Sec-
tor of Malaysia (PEPS). The theme of the
summit is “A New Dawn”.
In her session titled “Overview of the
Malaysian Property Outlook”, she point-
ed out that the 29,534 units are valued
at RM19.95 billion. Condominiums and
serviced apartments are the biggest con-
tributor for the overhang number.
The majority of the total residential
overhang units are those priced between
RM500,000 and RM1 million at 31.6%.
However, while properties priced above
RM1 million only constitute 15.1% of the
total overhang, the segment contributes to the
6 THEEDGE CEO MORNING BRIEF
H O M E
Retailers,
hoteliers urge govt
for moratorium
on new electricity
tariff
BY HAILEY CHUNG
theedgemarkets.com
only started to recover from the second
quarter of last year, when the country’s
border reopened.
However, they have yet to be able to ful-
ly capitalise on the recovery period due to
“the lingering after-effects of the pandemic,
such as manpower shortage and the grow-
ing general caution for people to travel”.
“Additionally, recent legislation such as
the minimum wage revision and amend-
ments to the Employment Act have further
Napic director Aina Edayu Ahmad (third from right), with (from left) PEPS president Subramaniam
Arumugam, PEPS exco member James Wong, PEPS exco member Elvin Fernandez, 15MPS organising
chairman Keith Ooi and PEPS exco member Datuk Siders Sittampalam at the press conference.
Malaysia’s
residential
overhang improves
in 3Q2022
BY RACHEAL LEE
theedgemarkets.com
highest value at RM8.65 billion or about 43%.
Johor has the highest overhang number
(5,348 units), followed by Penang (5,222
units) and Selangor (4,386 units).
Another issue she revealed is the resi-
dential transaction activities in the market.
She explained that similar to the residential
transaction in 2012, residential transac-
tions for 9M2022 were still dominated by
properties priced RM300,000. Such a sce-
hampered our industries’ recovery process.
Now, we also have to contend with this im-
mense and sudden upsurge in energy bill
price that hits below the belt,” they said.
The constant and increasing pressure
on their businesses, especially at a time
when Malaysia is stepping up its efforts
to be the tourism destination of choice, is
taking its toll on them, making them unable
to operate efficiently and effectively, which
stands to undercut these efforts, they said.
“We hope to hear a favourable response
soon and we are always open for talks with
the ministry for the overall betterment of
the industry in Malaysia,” they added.
The new 20 sen per kWh electricity
tariff rate was announced by the Minis-
try of Natural Resources, Environment
and Climate Change in mid-December
last year, and is applicable on all medium
voltage and high voltage users, as well as
multinational corporations, from Jan 1 to
June 30 this year.
Read the full story
nario poses questions on the country’s ef-
fort to transform into a high-income state.
Meanwhile, in his opening remarks,
PEPS president Subramaniam Arumugam
proposed that the government re-introduce
the Home Ownership Campaign for both the
primary and secondary markets together with
a reduction in real property gains tax rates.
“It will be a boost for the buyers, giv-
ing them the incentive to own properties,
and sellers by allowing them to dispose of
their properties. With such an initiative, the
overall unsold stock is expected to clear
and it will stimulate the industry to move
forward,” he said.
Also, he urged for a relook at the new Ma-
laysia My Second Home policy framework,
which has since affected foreigners’ sentiments
towards investing in Malaysia.The relook, he
added, is necessary to attract quality inves-
tors into the country without compromising
its ability to compete with the neighbours, in
order to place Malaysia in the forefront.
 t h u r s d ay f e b r u a ry 9 , 2 0 2 3
IHH
Healthcare’s
Türkiye
operations
unaffected by
earthquake
by Priyatharisiny Vasu
theedgemarkets.com
KUALA LUMPUR (Feb 8): IHH
Healthcare Bhd, which has a private
healthcare facility in Türkiye, said
its operations are unaffected by the
7.8-magnitude earthquake that struck
southeastern Türkiye and northwest-
ern Syria early Monday (Feb 6).
In response to The Edge’s queries,
IHH said on Wednesday (Feb 8) that
its hospital in Adana is located some
distance away from the epicentre of
the quake.
“We are not directly affected and re-
main operational to focus on serving the
community,” said IHH spokesperson.
IHH owns a 90% interest in Aci-
badem Holdings, a private health-
care provider in Türkiye that offers
integrated healthcare services in
Türkiye, Macedonia, Bulgaria, the
Netherlands and Serbia.
“All of us at IHH are deeply sad-
dened by this disaster and our hearts
go out to all who have been affected.
“Our immediate and overriding pri-
ority is to support our Acibadem col-
leagues in Turkiye, to ensure the safety
of our staff and render humanitarian
and healthcare assistance. Acibadem
is mobilising resources to extend med-
ical care and support in the affected
region,” said the spokesperson.
Last Thursday, IHH announced
that Acibadem is buying Kent
Health Group, which operates the
largest private hospital in Türkiye’s
third largest city of Izmir.
Izmir Kent Hospital will be Aci-
badem’s 19th hospital in Türkiye and
25th globally.
Shares of IHH dipped 1.82% in the
last two days, with the lowest recorded
on Tuesday (Feb 7) at RM5.86.
On Wedesday’s close, IHH’s share
price fell 0.7% or four sen to RM5.92,
giving the healthcare group a market
capitalisation of RM52.13 billion.
7 TheEdge CEO morning brief
h o m e
KUALA LUMPUR (Feb 8): UEM Sun-
rise Bhd’s plan to buy a freehold land sit-
uated near the Kuala Lumpur Convention
Centre (KLCC) has fallen through after
conditions precedent under the sale and
purchase agreement (SPA) were not ful-
filled within the conditional period, which
expired on Tuesday (Feb 7).
As the SPA had lapsed, UEM Sunrise
said the vendor Nipponkey Sdn Bhd will
refund its indirect wholly owned subsidiary
Lucky Bright Star Sdn Bhd the deposit, in-
cluding any interest accrued, within 14 days.
Lucky Bright Star will also return the
relevant documents to Nipponkey, UEM
Sunrise said in a Bursa Malaysia filing.
The parcel of land measuring 6.39 acres is
situated at Lot 228, Jalan SultanYahya Petra
(formerly known as Jalan Semarak), which is
approximately 2.5km northeast of KLCC.
When UEM Sunrise first announced the
DOSM:Wholesale,
retail trade hits
all-time high of
RM137.3 bil
in Dec 2022
by Sufi Muhamad
theedgemarkets.com
KUALA LUMPUR (Feb 8): The Depart-
ment of Statistics Malaysia (DOSM) an-
nounced that Malaysia’s wholesale and
retail trade as at December 2022 rose to
a record RM137.3 billion, expanding by
13.8% from December 2021 figures.
This was due to the retail trade sub-sec-
tor reporting an increase of 22.7% or
RM11 billion to RM59.5 billion, while
the wholesale trade sub-sector rose 4.7%
or RM2.7 billion to RM60.3 billion.
Motor vehicles sales had also expanded by
20.3% or RM3 billion to RM17.5 billion, said
DOSM in a statement onWednesday (Feb 8).
“For month-on-month comparison,
sales value of wholesale and retail trade
rose 2.3%, an increase of RM3 billion,
mainly supported by motor vehicles which
grew 9.3%,” said chief statistician Datuk
Seri Dr Mohd Uzir Mahidin.
In terms of performance across sub-sec-
tors, retail sales in non-specialised stores in
retail trade grew 24.7% or RM4.4 billion
to RM22.4 billion, while sales in special-
ised stores rose by 30.7%. Likewise, other
sub-sectors also recorded positive growth,
namely automotive fuels (44.4%), house-
UEM Sunrise’s
KLCC land buy
falls through
by Hailey Chung
theedgemarkets.com
proposed acquisition on Aug 4 last year,
it said the total purchase price of RM384
million will be satisfied in cash of RM235.8
million and in-kind of RM148.25 million.
Shares in UEM Sunrise were down
1.9% to close at 26 sen on Wednesday,
giving it a market value of RM1.32 billion.
Read the full story
hold goods (12.6%), food, beverages and
tobacco (16.0%), information and com-
munication equipment (9.8%), cultural
and recreation goods (3.9%), stalls and
market (17.8%), and retail sales not in
stores, stalls or market (11.4%).
“For month-on-month comparison,
sales of this sub-sector [retail trade] went
up 1.2%,” said Uzir.
The motor vehicle sub-sector’s growth
in December 2022 was underpinned by an
expansion of motor vehicle sales by 24.8%
or RM2 billion to RM10 billion, followed
by sales of motor vehicle parts and accesso-
ries and maintenance (27.3%) and repair
of motor vehicles (30.9%).
“However, sales, maintenance and re-
pair of motorcycles slipped 29.8% in Dec
2022. On a monthly basis, sales of this
sub-sector increased 9.3% ... mainly con-
tributed by sales of motor vehicles which
rose 13.8%,” Uzir stated in the statement.
Additionally, the wholesale trade
sub-sector recorded positive growth due to
the wholesale of household goods sub-sec-
tor which rose by RM900 million or 7.6%
to RM12.3 billion in December 2022.
“This was followed by wholesale of agri-
cultural raw materials and live animals [at]
18.2% to record RM5.5 billion. Similarly,
wholesale of food, beverages and tobacco
also increased 6.1% to RM12.2 billion.”
“On the other hand, other specialised
wholesale decreased 0.3% to settle at
RM22.5 billion.
“For monthly comparison, wholesale
trade grew 1.4% which was mainly contrib-
uted by other specialised wholesale which
increased 1.7%,” according to Uzir.
Read the full story
 t h u r s d ay f e b r u a ry 9 , 2 0 2 3
TMC Life
Sciences’ 2Q net
profit falls 20%
on depreciation
and tax
expenses
by Syafiqah Salim
theedgemarkets.com
KUALA LUMPUR (Feb 8): TMC
Life Sciences Bhd’s net profit for the
second quarter ended Dec 31, 2022
(2QFY2023) declined 20.49% to
RM5.49 million from RM6.91 million
a year earlier, due to a sharp increase
in depreciation and tax expenses.
Its depreciation and amortisation
expenses ballooned to RM6.3 million
from RM2.92 million, while finance
costs jumped 21-fold to RM2.46 mil-
lion from RM116,000.
In contrast, quarterly revenue
grew 23.85% to RM73.34 million
compared with RM59.22 million in
2QFY2022, driven by an increase in
Thomson Hospital Kota Damansara’s
(THKD) capacity and the recovery of
the fertility business, according to the
group’s filing with the bourse.
For the six months ended Dec
31 (6MFY2023), the group’s net
profit was up by 7% to RM11.72
million from RM10.95 million,
partially offset by depreciation
and amortisation as well as high
tax expenses. Its six-month revenue
climbed 30% to RM145.21 million
from RM111.9 million.
“The group is monitoring the
global economic issues, particular-
ly inflation that might impact the
group’s performance. Barring any
unforeseen headwinds, the increased
capacity in THKD and the recov-
ery of the fertility business are ex-
pected to contribute positively to
the growth of the group going for-
ward,” said the healthcare group
which is 70.35%-owned by Singa-
pore billionaire Peter Lim Eng Hock
via Sasteria (M) Pte Ltd.
TMC Life’s share price, which
has risen 19% in the past year, closed
at 65.5 sen on Wednesday (Feb 8) —
up one sen or 1.55% — for a market
value of RM1.14 billion.
8 TheEdge CEO morning brief
h o m e
BAT Malaysia managing director Nedal Salem
BAT Malaysia’s
4QFY2022 net
profit down 14%,
declares 21 sen
dividend
by Syafiqah Salim
theedgemarkets.com
KUALA LUMPUR (Feb 8): British Ameri-
canTobacco (Malaysia) Bhd (BAT Malaysia),
the country’s largest tobacco company by rev-
enue, posted its second straight quarterly net
profit decline in the fourth quarter ended Dec
31, 2022 (4QFY2022), reporting a net profit
of RM61.73 million compared with RM71.46
million a year ago.The decline was partly due
to the one-off prosperity tax of 33%.
As a result, earnings per share came in
lower at 21.6 sen for 4QFY2022, compared
with 25 sen for 4QFY2021.
Quarterly revenue also fell 10.6% to
RM770.66 million, from RM861.89 mil-
lion in 4QFY2021.
Nevertheless, the group declared a
fourth interim dividend of 21 sen per share,
amounting to RM60 million for the finan-
cial year ended Dec 31, 2022 (FY2022),
payable on March 7.
For the full year FY2022, BAT Ma-
laysia’s net profit was down 7.8% to
RM262.52 million from RM284.86 mil-
lion in FY2021, as revenue slipped 1.54%
to RM2.6 billion from RM2.64 billion.
Annual volume fell 2% compared with
2021.
BAT Malaysia said it saw an overall mar-
ket share decline of 0.8% year-on-year in
2022, mainly attributed to the delisting of
Kent and Pall Mall brands during the year.
But in line with the downtrading trend
observed in the market, the group’s val-
ue-for-money brands captured an addition-
al 1% share of market in 2022.
“Despite the contraction of the industry’s
overall share of the premium segment by 1%
during the year, the group’s Dunhill brand had
secured [an] additional 1.1% share in this seg-
ment, indicating the premium brand’s strong
foothold,” BAT Malaysia said in a statement.
As the group’s focus remains on tobacco
harm reduction, BAT Malaysia said it will
introduce innovative products, offering alter-
native choices with reduced risk potential to
the adult Malaysian smokers.
“With the launch of our tobacco heated
product, glo, that hit the market in February
2023, we are now able to offer an alterna-
tive choice with reduced risk potential to the
adult Malaysian smokers.This is in line with
our commitment towards building A Better
TomorrowTM,” BAT Malaysia managing
director Nedal Salem said.
“We are also encouraged by the new gov-
ernment’s priority to implement economic
reforms to stimulate growth and strengthen
the foundations of the country. This in part
can be achieved through reducing leakages
stemming from the tobacco black market and
creating a new revenue stream by implement-
ing taxation for reduced risk products such as
vape, which remains unregulated,” he added.
In Budget 2022, various measures were
announced by the previous government to
reduce the levels of tobacco black market
including the introduction of a single-en-
try point policy in the northern region, en-
hanced controls at landing points including
private jetties, and a special rewards scheme
for enforcement to stop smuggling activities.
“[Hence], we strongly encourage the new
government to maintain these measures in
the February Budget 2023 tabling, while also
exploring science and evidence-based regula-
tions to legalise the vapour market,” he added.
BAT Malaysia shares finished up 20 sen
or 1.59% to RM12.80 on Wednesday (Feb
8), translating into a market capitalisation of
RM3.65 billion.The stock has risen 13.88%
year-to-date.
 T H U R S D AY F E B R U A RY 9 , 2 0 2 3 9 THEEDGE CEO MORNING BRIEF

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 t h u r s d ay f e b r u a ry 9 , 2 0 2 3 10 TheEdge CEO morning brief

h o m e

Malaysia
KUALA LUMPUR (Feb 8): Malaysia Avi- For its loyalty & travel solutions port-
ation Group (MAG) is implementing the folio, it covers MAG’s end-to-end travel

Aviation Group
Target Operating Model (TOM) to enable solutions and loyalty programmes while
the group to deliver its Long-term Busi- complementing its established strength

rolls out new

ness Plan 2.0 (LTBP 2.0) in a cohesive and and expertise in the airline and aviation
unified manner. service businesses, which include Journify,

organisational
MAG aims to break even by 2023 un- MHholidays, Firefly Holidays and Enrich.
der the LTBP 2.0. Philip See was appointed as CEO of the

structure with
The new operating model will see the portfolio, in addition to being the group’s
group operating as a full-fledged oper- chief sustainability officer.

new senior
ating company which will oversee three Meanwhile, the aviation services port-
dedicated profit centres, namely airlines, folio covers cargo, ground handling, train-

loyalty & travel solutions and aviation ser-
vices, according to the group’s statement
on Wednesday (Feb 8).
There will be greater emphasis on trans-
parency and accountability through a clear
profit and loss reporting structure, with
the empowering of each vertical to drive
business growth and the diversification of
the group’s revenue stream beyond its air-
lines business.
“The new set-up allows MAG to have
a more dynamic reporting structure under
each profit centre, including dedicated loy-
alty & travel solutions and aviation services
functions to drive revenue growth, promot-
ing better synergy as the group collectively
work towards fulfilling its Long-term Busi-
ness Plan 2.0 (LTBP 2.0) aspirations of
leadership team
by Sufi Muhamad
theedgemarkets.com
becoming Asia’s leading travel and aviation
services group,” said MAG group chief
executive officer Captain Izham Ismail.
In line with the new organisational
structure, MAG also announced a new
senior leadership team. Ahmad Luqman
Mohd Azmi was appointed as CEO of
airlines to oversee the group’s global,
domestic and segmented airlines, includ-
ing Malaysia Airlines, Firefly, MASwings
and AMAL.
ing and maintenance, repair and overhaul
(MRO) which comprises MABkargo, Aer-
oDarat Services, MAB Academy and MAB
Engineering.The portfolio will be overseen
by Mohd Nadziruddin Mohd Basri as the
CEO of aviation services.
Overall, Izham will continue to steer
on the entire MAG business support
functions and operations as group CEO
of MAG, supported by Boo Hui Yee as
group chief financial officer, Bryan Foong
as group chief strategy & transformation
officer, Datuk Mohd Khalis Abdul Ra-
him as group chief human capital officer,
Lau Yin May as group chief branding &
customer experience officer, and newly
appointed Clarence Lee as the group’s
chief digital & IT officer.

KUALA LUMPUR (Feb 8): Capital A
Bhd, the parent company of low-cost car-
rier AirAsia Aviation Group Ltd, has ap-
plied for licence to operate regional flights
from the Sultan Abdul Aziz Shah Airport in
Subang — also known as the Subang Air-
port — following the federal government’s
approval for the Subang Airport Regenera-
tion Plan, which will bring back scheduled
passenger flights and belly cargo flights us-
ing narrow-body jets to the airport.
Capital A chief executive officer Tan Sri
Tony Fernandes said the the Subang Air-
port has always been an asset in the Malay-
sia aviation industry and that its potential
should be fully utilised.
“In big cities like Kuala Lumpur, you
need to have more airports. I think it is a
very bold, [a] brave and right decision for
the domestic aviation industry in Malaysia.
“I imagine it will be more expensive to
fly from Subang Airport than the Kuala
Lumpur International Airport (KLIA), but
I think it is the right decision,” Fernandes
told reporters at the launch of AirAsia’s
new AI-powered concierge that replaced
its AirAsia Virtual Allstar, AVA, on Wednes-
day (Feb 8).
AirAsia plans to target a new group of
passengers for growth at the Subang Air-
port, and that routes would likely focus
on regional destinations, Fernandes said.
“Subang Airport will be a new capacity
Fernandes:
AirAsia has
applied to operate
flights from
Subang Airport
under the airport’s
regeneration plan
by Priyatharisiny Vasu
theedgemarkets.com
for us. As such, we do not look at diverting
capacity from klia2, but will target new
types of passengers. Someone who may
not have flown in AirAsia [will] fly AirAsia
because it is convenient. So it is all about
new growth,” he added.
In 2002, AirAsia, together with Ma-
laysia Airlines, was ordered to shift their
operations from the Subang Airport to
KLIA in Sepang, to increase the connec-
tivity and growth of KLIA, the country’s
premier airport.
On Monday (Feb 6), Transport Minis-
ter Anthony Loke Siew Fook said the pro-
posed Subang Airport Regeneration Plan,
or SARP, to regenerate the airport into a
premium city airport and aerospace hub
within the city centre had been approved
by the Cabinet on Feb 2.
Under the proposed plan prepared
by Malaysia Airports Holdings Bhd
(MAHB), belly cargo flights with nar-
row-body jets up to the size of A320/B737
or their equivalent will be accommodated
at the Subang Airport.
SARP will focus on the development
of the aerospace ecosystem, general avi-
ation/business aviation and city airports,
Loke said.
According to him, the ecosystem that will
be developed at Subang Airport will involve
seven components, namely an aerospace
industry centre; maintenance, repair and
overhaul centre; research and development
centre; general aviation operations; business
aviation operations; urban air mobility; and
regional commercial flight operations.
Loke further said MAHB would con-
clude a detailed redevelopment plan — in-
cluding the entire cost of the project — to
be presented again to the Cabinet before
the end of the first quarter of this year,
which is less than two months from now.
Read also: AirAsia enhances AI-powered
AVA chatbot four years after debut
 t h u r s d ay f e b r u a ry 9 , 2 0 2 3
Hektar REIT sees gain of RM41.6 mil
from revaluation of six assets
KUALA LUMPUR (Feb 8): Hektar Real
Estate Investment Trust (Hektar REIT)
said it carried out a revaluation on six of
its investment properties, resulting in
a net fair value gain of RM41.6 million.
The total value of the six properties —
Subang Parade, Mahkota Parade, Wetex
Parade,Central Square, Kulim Central,
and Segamat Central — rose to RM1.206
billion at at Dec 31, 2022, from RM1.165
billion previously. The net asset per unit
rose to RM1.269, from RM1.188. “The
purpose of the revaluation exercise was
to ascertain the current market values of
the properties for accounting purposes,
pursuant to Malaysian Financial Reporting
Standard (MFRS) 140: Investment
Properties,” Hektar REIT said in a filing
to the stock exchange. Hektar REIT units
closed 0.70% or half sen higher at 72 sen
on Wednesday (Feb 8), giving it a market
capitalisation of RM334.54 million. — by
Priyatharisiny Vasu
ACE Market-listed Ecomate
proposes transfer to Main Market
KUALA LUMPUR (Feb 8): After spending
over a year listed on the ACE Market of
Bursa Malaysia, Ecomate Holdings Bhd
eyes a move to the Main Market. In a
bourse filing on Wednesday (Feb 8), the
Muar-based ready-to-assemble furniture
maker proposed a transfer to the Main
Market to enhance the company’s prestige
and reputation, as well as promote its
corporate image. Ecomate said it had met
the requirements for the transfer of its
listing to the Main Market as set out in the
equity guidelines issued by the Securities
Commission Malaysia (SC) and the Main
Market Listing Requirements of Bursa
Securities. Ecomate posted a profit after
tax (PAT) of RM7.09 million in its most
recent audited financial year ended Feb
28, 2022 (FY2022), and an aggregate PAT
of RM21.44 million over the past three
audited financial years (FY2020-FY2022).
— by Izzul Ikram
11 TheEdge CEO morning brief
h o m e
news In brief
Crescendo buys three plots of land
in Johor for RM67.5 mil
KUALA LUMPUR (Feb 8): Crescendo Corp Bhd
(CCB) is buying three plots of land measuring
109.855 acres in Kota Tinggi, Johor, to expand
its landbank. The group said it is buying the
plots, located near its existing development
in Bandar Cemerlang, from Johor Land Bhd
for RM67.55 million. “The plots are located in
a strategic location and they will enable the
CCB Group to further expand its landbank
near its existing development. “The acquisition
will increase the landbank of the CCB Group
for property development and will contribute
positively towards the CCB Group’s long-term
growth in terms of cash flow and profitability,”
said CCB in a bourse filing. The group said
the purchase price was calculated at the rate
of RM14.50 per sq ft except for the Tenaga
Nasional Bhd transmission line area, which was
calculated at the rate of RM7.25 per sq ft. — by
Syafiqah Salim
EPF ups its stake in MyEG
KUALA LUMPUR (Feb 8): The Employees
Provident Fund (EPF) has increased its
direct stake in MyEG Services Bhd to
6.897%, the company said on Wednesday
(Feb 8). This came after the pension fund
bought 1.54 million MyEG shares on Feb
2, raising its interest in the information
technology services provider to 512.97
million shares from 511.9 million shares
(6.882%). The EPF has been accumulating
shares in MyEG since December last
year. So far, it has bought 12.8 million
shares in total. In a separate filing, My EG
notified that Kumpulan Wang Persaraan
(Diperbadankan) has bought 17.37 million
shares of the company and also sold 8.07
million shares. Both transactions took
place in the open market on Feb 7. KWAP
holds a direct stake of 6.107% and an
indirect stake of 1.187% in MyEG. MyEG’s
share price recovered on Wednesday
after falling to a two-year low of 70 sen
on Tuesday following a report that the
Immigration Department may directly
handle all immigration transactions from
2025. — by Syafiqah Salim
Perodua sales up 23% y-o-y
in January 2023
KUALA LUMPUR (Feb 8): Sales of
Perusahaan Otomobil Kedua Sdn Bhd
(Perodua) jumped 23% to 21,449 units in
January 2023, compared with 17,444 units
a year ago, while production jumped 40.2%
to 24,590 units from 17,538 units a year ago.
However, Perodua noted in its statement
on Wednesday (Feb 8) that the flood, severe
shortage of supply of semiconductor chips
and other parts, as well as manpower issues
did hinder production and sales a year
ago. “That being said, the improvements
in volume for both production and sales
indicate that the ecosystem is moving
as planned,” the compact car company’s
president and CEO Datuk Seri Zainal
Abidin Ahmad said. Perodua’s reported
achievement in January 2023 has met 6.83%
of its 2023 sales target and 7.45% of its 2023
production target. — by Hailey Chung
EG Industries proposes 10% private
placement to raise RM22 mil
KUALA LUMPUR (Feb 8): EG Industries
Bhd has proposed a private placement to
raise RM22.41 million to fund its business
expansion and working capital. The
placement entails the issuance of up to
40.93 million new shares — representing
10% of EG Industries’ issued shares — to
independent investors, the electronic
manufacturing services provider said
in a bourse filing. The company said the
assumed issue price of 54.75 sen represents
a discount of 9.95% to the five-day
volume weighted average market price
of EG Industries’ shares up to the latest
practicable date, of 60.80 sen. EG Industries
said it intends to increase the capacity
of its existing manufacturing factories in
Sungai Petani and boost the efficiency of
its production processes by constructing
an additional manufacturing factory at the
Batu Kawan Industrial Park in Penang. The
Batu Kawan factory — which is expected to
commence by the first quarter of 2024 — will
be used for production of the 5G photonics
modular products, box-build assembly
of the electrical and electronic products,
production office, as well as warehouse for
finished goods. — by Syafiqah Salim
 t h u r s d ay f e b r u a ry 9 , 2 0 2 3 12 TheEdge CEO morning brief

h o m e

Court sets May 26 for Najib’s application

to set aside first Mareva injunction
Zahid Izzani/The Edge

by Hafiz Yatim
theedgemarkets.com

KUALA LUMPUR (Feb 8): The High

Court (commercial division) has resched-
uled to May 26 the hearing of Datuk Seri
Najib Razak’s application to set aside the
first ex-parte (one-sided) Mareva injunc-
tion imposed on him by 1Malaysia Devel-
opment Bhd (1MDB) last year, which pre-
vents the former premier from disposing
or causing to reduce the value of any of his
assets with a total value of US$681 million.
The court also fixed the same date for
the inter-partes hearing of the Mareva in-
junction.
The rescheduling of the hearing fol-
lows Najib and his counsel Tan Sri Mu-
hammad Shafee Abdullah being current-
ly engaged in the 1MDB-Tanore trial at
the High Court (criminal division) before
judge Datuk Collin Lawrence Sequerah.
Originally, the hearing of both appli-
cations was fixed for Tuesday (Feb 7) be-
fore judge Atan Mustaffa Yussof Ahmad,
but it was instead transformed into case
management.
Although Atan Mustaffa had last No-
vember dismissed Najib’s application to at-
tend the hearing of the inter-partes Mareva
injunction and his application to set aside
the injunction, Tuesday (Feb 7)’s hearing
date was nevertheless vacated.
Hence, the court rescheduled the hear-
ing to May 26.
Najib is presently serving his 12-year
jail sentence after the Federal Court on
Aug 23 last year affirmed his guilty verdict
with regard to SRC International Sdn Bhd.
He had also been sentenced to a RM210
million fine.
A source familiar with the matter con-
firmed the new hearing date with The Edge.
1MDB, along with Global Diversified
Investment Company Ltd (a subsidiary
previously known as 1MDB Global In-
vestment Ltd or 1MDBGIL) had a year
ago on Feb 8, 2022, obtained an ex-parte
Mareva injunction against Najib to prevent
the dissipation of a sum of US$681 million,
which he purportedly had received from
the company and the subsidiary.
The Mareva injunction is a court order
that effectively freezes the assets of the per-
son when a legal action is currently being
heard in court. It is to prevent the transfer
of assets that may include money held in
banks or financial institutions.
The imposition of the injunction, how-
Datuk Seri Najib Razak
ever, allowed the former prime minister to
withdraw RM100,000 monthly to meet
his expenses.
Najib had applied to set aside the
ex-parte Mareva injunction last Feb 18,
citing that he does not have the amount
and that US$620 million had been re-
turned to the donor.
Circuitous trail of money to conceal
misappropriation of funds
1MDB, along with 1MDB Energy Ltd,
1MDB Energy (Langat) Ltd, 1MDBGIL,
and 1MDB Energy Holdings Ltd, had filed
a US$8 billion suit, wherein besides nam-
ing Najib, it had named 14 other former
directors and 1MDB former office bearers
in the suit.
In its statement of claim filed in May
2021, it alleged that the defendants, in-
cluding Najib as the former chairman of
the board of advisers, had facilitated the
companies to enter into sham agreements
to create a circuitous trail of money to
ease or conceal the misappropriation of
1MDB funds.
The companies further contended that
Najib disregarded his obligations under
Article 117 of the Memorandum of Arti-
cles of Association and abused his powers
in exercising his public functions to ma-
liciously commit fraud and misappropri-
ation, resulting in the fraudulent transfer
of funds and losses to them.
They contend that Najib should have
foreseen the losses incurred due to such
acts of misappropriation during each of
the phases — losses that every Malaysian
now has to bear.
They also claim that Najib abused his
position in causing further losses and
therefore, they are entitled to aggravated
and exemplary damages because of his ac-
tions in obstructing and hindering inves-
tigations into the wrongdoing, whereby
he obtained secret profits for himself or
his agents.
They further allege that Najib had taken
advantage of his position and power to in-
fluence, facilitate and cause fraud, so that
the management complied with his stated
intentions that ran contrary to 1MDB’s
corporate objectives, national interests, and
the interests of Minister of Finance Inc —
to benefit his stepson Riza Aziz, business-
man Low Taek Jho (Jho Low) and others.
Last March, the High Court (civil di-
vision) had imposed a second Mareva in-
junction on Najib, barring him from dis-
posing of, dealing with, or diminishing the
value of any of his assets inside and outside
of Malaysia, of up to RM42 million, pend-
ing the final determination of the suit filed
by SRC International on him.
 t h u r s d ay f e b r u a ry 9 , 2 0 2 3
Yu: Handling Najib’s accounts
‘stressful and challenging’
KUALA LUMPUR (Feb 8): Handling
the then prime minister Datuk Seri Najib
Razak’s accounts was “stressful and chal-
lenging”, claimed former AmBank rela-
tionship manager Joanna Yu Ging Ping,
who oversaw his accounts.
This was due to a number of factors,
namely that the accounts were frequently
low on funds, which then led to the pres-
sure to ensure that cheques issued would
not bounce.
Yu told the High Court this on Wednes-
day (Feb 8) while on the stand in the ongo-
ing 1Malaysia Development Berhad Tanore
(1MDB-Tanore) trial, where the former
prime minister faces four counts of abuse of
power and 21 counts of money laundering
involving RM2.28 billion of 1MDB funds.
The prosecution’s 41st witness said that
when fugitive financier Low Taek Jho (Jho
Low) had informed her that Najib would
be opening his accounts with the bank, she
“didn’t have any feeling of what to expect”;
but as time went on, it became “stressful
and challenging”.
“As time [went] by, the account[s]
[were] overdrawn and there was pressure
[not to allow the cheques to] bounce. We
were told [that we] can’t let the cheques
bounce. I was under pressure. Even the
branch called to say there were insufficient
funds. It was stressful,” she said.
Yu recounted that even before she was
the relationship manager for Najib’s ac-
counts, she was already overseeing some
accounts linked to 1MDB.
Yu also told the court on Wednesday
that besides Najib’s five accounts, she was
also overseeing accounts of other corpo-
rate clients. She added that prior to Na-
jib’s accounts, she had never handled a
sitting-PM’s account.
Responding to deputy public prosecutor
Ahmad Akram Gharib’s queries,Yu said that
she didn’t allow cheques to bounce as she
was afraid of potential negative repercussions.
“That’s the (then) PM’s account. If
you screw up, if you did anything
wrong...are you going to risk his
reputation?” she asked rhetorically.
Ahmad Akram also asked what
would happen if she faced a simi-
lar situation — cheques potentially
bouncing, insufficient funds — with
the other accounts she was handling.
Former AmBank relationship
manager Joanna Yu Ging Ping
13 TheEdge CEO morning brief
h o m e
by Tarani Palani
theedgemarkets.com
Yu: [If the] cheque bounces, the branch
had protocols to close the accounts if there
were frequent (cases of) insufficient funds.
Ahmad Akram: Why don’t you do it
here (close the account)? Why two sets of
rules for different people?
Yu: This was the (then) PM of Malay-
sia. [For the] bank to close the account at
that time, we were also concerned.
When asked later why she took it upon
herself to ensure that the cheques didn’t
bounce, she said that she was concerned
that the media would pick up the story
and the potential repercussions it would
have on the country.
Ahmad Akram: Was this your function
as a relationship manager?
Yu: For normal corporate or individu-
al accounts, [if] two times we don’t have
enough funds...automatically we would
close the accounts. [But] we made a bit
of leeway to make sure the (then) PM’s
cheques did not bounce.
Ahmad Akram: If you let it bounce,
what would happen?
Yu: In hindsight, so many things [could
have happened]. [With regards] the media,
we were just concerned [that they would
carry stories that said] Malaysian PM’s
cheques bounced. It could be anything. It
is a reputational risk to the PM. We didn’t
know. I was actually very stressed at that
time.
Najib is the sole signatory for the
cheques; no allegations that cheques
were not issued by him
Yu also confirmed that Najib was the sole
signatory for the cheques issued from these
accounts. She confirmed that cheques
could not be issued by the mandate hold-
er, Nik Faisal Ariff Kamil.
Ahmad Akram: To the best of your
knowledge, have there been any allegations
that any of the cheques issued by Najib
was not issued by him?
Yu: No.
The witness also confirmed that she
did not receive any complaints from Najib
or his mandate holder Nik Faisal over the
transactions in the accounts.
Ahmad Akram: Did you receive any
complaints from Najib or the mandate
holder (Nik Faisal) [saying that] the ac-
counts were not operating in accordance
with the mandate?
Yu: No, I did not.
Ahmad Akram: Did you receive any
accusation from the account holder (Na-
jib) or his mandate holder (Nik Faisal)
that you were exceeding your authority?
Yu: No.
Ahmad Akram: Did the account hold-
er (Najib) accuse you of conspiracy with
Jho Low while you were the relationship
manager for Najib’s accounts?
Yu: No.
She acknowledged that Najib had filed
a civil suit against her in 2019 — long
after the accounts were closed — for mis-
managing his accounts. However, the
High Court had struck out the suit
and the Court of Appeal had upheld
the decision.
The proceeding before Judge Da-
tuk Collin Lawrence Sequerah is set
to resume on Thursday with the con-
tinued cross-examination of Yu.
Read also:Yu: Protracted chat not
for my, or Jho Low’s benefit
 t h u r s d ay f e b r u a ry 9 , 2 0 2 3
(Feb 8): Malaysia, the world’s second-big-
gest palm oil producer, is weighing a range
of trade curbs to strike back against what
it calls unfair policies from the Europe-
an Union that block market access for the
tropical oil.
The Southeast Asian country will co-
ordinate its response with Indonesia, the
largest edible oils supplier globally. Strat-
egies being considered include slowing
commodities trade with Europe and re-
viewing imports from the bloc, accord-
ing to Malaysia’s Deputy Prime Minister
Datuk Seri Fadillah Yusof.
The EU agreed to a historic law in De-
cember that will stop products causing for-
est destruction from being sold in Europe-
an shops and supermarkets. Products like
wood, rubber, beef, leather, cocoa, coffee,
palm oil and soy won’t make it past the
port unless proven to be deforestation-free.
Malaysia and Indonesia are leading inter-
national criticism of the policy.
“If they’re too firm on their decision,
if they do not want to listen to us, I think
one of the areas that we can be looking at
together with Indonesia is how we should
look at Europe,” Fadillah, who is also Ma-
laysia’s Minister of Plantation and Com-
modities, said in an interview on Tuesday
(Feb 7). “If we are not fairly treated, I
think there should be some counterac-
tion by us.”
Foreign embassies
not authorised to
issue temporary
visit pass for
citizens to remain
in Malaysia —
Immigration DG
Bernama
KUALA LUMPUR (Feb 8): Foreign em-
bassies in Malaysia do not have the author-
ity to issue any form of pass or documents
for their citizens to reside in the country,
said Immigration director general Datuk
Seri Khairul Dzaimee Daud.
He said the issuance of visas and passes
to foreign nationals to live and work here
can only be issued by the Malaysian Im-
migration Department.
“The Immigration Department would
like to emphasise that any outside party
14 TheEdge CEO morning brief
h o m e
Malaysia weighs
trade curbs to
fight EU’s anti-
palm oil policies
by Anuradha Raghu
Bloomberg
bloomberg
Deputy Prime Minister Datuk Seri Fadillah Yusof:
Together with Indonesia, we want to make the
European Union realise their action is a one-
sided, unilateral decision.
has no right to interfere with the sover-
eignty and laws of this country,” he said in
a statement here on Wednesday (Feb 8).
The statement was issued in response
to a report by a migrant rights group that
a settlement raided by the authorities in
Nilai Spring, Negeri Sembilan, last week
was not an illegal colony.
According to Jakarta-based Migrant
Care, the foreigners who were detained in
the raid had been issued temporary visit
passes by the Indonesian authorities, and
the passes were valid for one year.
In the operation conducted on Feb 1, a
The two countries — which together
make up more than 80% of the world’s
palm oil supply — say the rule is discrim-
inatory. It will cut off market access for
millions of small farmers across the region,
Latin America and Africa who do not have
the means to meet the stricter traceabili-
ty requirements. Palm oil is used to make
everything from chocolate to lipstick, soaps
and detergents.
Indonesian talks
“The action by the EU is trying to phase
out smallholders from the system,” Fadil-
lah said from his office in Putrajaya. The
bloc keeps introducing new requirements
despite compliance from bigger plantations
on international sustainability standards, as
well as the Malaysian government’s com-
mitment to a greener economy and limiting
new plantation areas, he said.
Fadillah will head to Jakarta on Wednes-
day to discuss strategies with Indonesia.
The two countries will hold a joint minis-
terial press conference on Thursday.
On the possible trade measures, he
didn’t want to go into details of what Ma-
laysia and Indonesia may do, but said it
would be part of the discussion.
“Together with Indonesia, we want to
make the European Union realise their
action is a one-sided, unilateral decision,”
he said.
Zahid Izzani/The Edge
total of 67 Indonesians between the ages of
two months and 72 years were arrested for
not having valid identification documents,
as well as overstaying in the country and
other immigration offences.
Khairul Dzaimee said it was part of
the department’s duties to carry out the
operation, and should not be questioned
by any outside quarters.
“In fact, Malaysians are also penal-
ised by authorities abroad when they vi-
olate the host country’s immigration laws.
Therefore, all parties must respect the rule
of law of a country,” he added.
 T H U R S D AY F E B R U A RY 9 , 2 0 2 3
Türkiye halts
trading in
stock market
after US$35 bil
wipeout
BY TUGCE OZSOY & TAYLAN BILGIC
Bloomberg
ISTANBUL (Feb 8): Türkiye’s stock ex-
change suspended trading for the first time
in 24 years, following a selloff that erased
US$35 billion from the value of its main
equities gauge in the wake of two devas-
tating earthquakes.
“Our stock exchange has decided to
halt trading in equities, futures and op-
tions markets,” Borsa Istanbul said in a
statement on Wednesday morning, follow-
ing two market-wide circuit breakers. It
didn’t say when trading would resume.
The benchmark Borsa Istanbul 100
Index has lost 16% this week, erasing al-
most US$35 billion from the value of its
member stocks, in the aftermath of two
deadly earthquakes that struck Türkiye’s
southern region. Turkish stocks, which are
KAHRAMANMARAS/ANTAKYA, Tür-
kiye (Feb 8): President Tayyip Erdogan on
Wednesday admitted to problems with his
government’s initial response to a devastat-
ing earthquake in southern Türkiye amid
anger from those left destitute and frus-
trated over the slow arrival of rescue teams.
Erdogan, who contests an election in
May, said on a visit to the disaster zone
that operations were now working nor-
mally and promised no one would be left
homeless, as the combined death toll across
Turkey and neighbouring Syria climbed
above 11,000.
But across a swathe of southern Türkiye,
people sought temporary shelter and food
in freezing winter weather, and waited in
anguish by piles of rubble where family
and friends may lie buried. Rescuers were
still digging out some people alive. Others
were found dead.
There were similar scenes and complaints
in neighbouring Syria, where the impact of
Monday’s huge quake extended to.
The death toll from both countries
was expected to increase as hundreds of
collapsed buildings in many cities have
become tombs for people who had been
asleep in the homes when the quake hit
in the early morning.
15 THEEDGE CEO MORNING BRIEF
W O R L D
this year’s worst performers globally, en-
tered a technical bear market on Tuesday
after falling more than 20% from their
January high.
“At times of catastrophes like this,
suspending trading in the stock market
is a better decision in order to protect
investors,” said Haydar Acun, managing
partner of Marmara Capital in Istanbul.
Investing in equities is popular among lo-
cals as a hedge against the country’s ram-
pant inflation, which surged to a high of
around 86% in 2022.
Turkish leader
acknowledges
problems with
earthquake
relief effort
BY MEHMET CALISKAN,
HUSEYIN HAYATSEVER & ECE TOKSABAY
Reuters
In the Turkish city of Antakya, dozens
of bodies, some covered in blankets and
sheets and others in body bags, were lined
up on the ground outside a hospital.
Families in southern Türkiye and in Syr-
ia spent a second night in the freezing cold.
Many in the disaster zone had slept in
their cars or in the streets under blankets,
fearful of going back into buildings shaken
by the 7.8 magnitude tremor — Türkiye’s
deadliest since 1999 — and by a second
powerful quake hours later.
“Where are the tents, where are food
trucks?” said Melek, 64, in Antakya, saying
The death toll from the powerful earth-
quakes that hit ten Turkish cities and
parts of neighbouring Syria has already
topped 8,000, with emergency teams
racing against time to rescue potentially
thousands of victims trapped in the rub-
ble in freezing temperatures. Turkey has
begun deploying soldiers in areas hit by
the tremors following the announcement
of a three-month state of emergency.
Read the full story
she had not seen any rescue teams. “We
survived the earthquake, but we will die
here due to hunger or cold here.”
The death toll rose to 8,574 in Türkiye
on Wednesday. In Syria - already devas-
tated by 11 years of war — the confirmed
toll climbed to more than 2,500 overnight,
according to the government and a rescue
service operating in the rebel-held north-
west.
Turkish authorities released video of
rescued survivors, including a young girl
in pyjamas, and an older man covered in
dust, an unlit cigarette clamped between
his fingers as he was pulled from the debris.
In Syria’s Aleppo, staff at the Al-Razi
hospital attended to a man with bruised
eyes who said more than a dozen relatives
including his father and mother were killed
when the building they were in collapsed.
“We were 16 and 13 of us died. My
brother, one-and-a-half-year-old niece and
I got out. Thank God,” he said.
“My father, my mother, my brother,
his wife and their four children. The wife
and two kids of my brother who got out
with me also died.”
Read the full story
 t h u r s d ay f e b r u a ry 9 , 2 0 2 3
Ukraine's
President
Volodymyr
Zelensky (right)
and British Prime
Minister Rishi
Sunak outside
Number 10
Downing Street
in London.
(Feb 8): Ukrainian President Volodymyr
Zelenskiy arrived in the UK on Wednes-
day, only his second confirmed trip outside
the country since the war began, as Prime
Minister Rishi Sunak offered more training
for Ukrainian troops and fighter jet pilots.
Zelenskiy arrived at Stansted Airport out-
side of London in a Royal Air Force plane,
before heading into London to meet Sunak in
Downing Street and address UK lawmakers in
Parliament. He will also meet King Charles III
during his visit, the Press Association reported.
The leaders will discuss a “two-pronged”
approach to UK support for Ukraine, be-
ginning with an increase in military equip-
ment to help Ukraine counter Russia’s
expected new offensive, backed up by long-
term support, Downing Street said. Sunak
will also offer to bolster the UK’s training
offer for Ukrainian troops, including ex-
panding it to marines and fighter jet pilots.
The trip to the UK comes after a visit
Investigators end MH17 downing probe despite ‘indications’
Putin was involved
THE HAGUE (Feb 8): International
prosecutors said on Wednesday that they
had found “strong indications” that Rus-
sian PresidentVladimir Putin approved the
use in Ukraine of a Russian missile system
that shot down Malaysia Airlines Flight 17
(MH17) over eastern Ukraine in 2014.
However, they said evidence of Putin’s
and other Russian officials’ involvement
was not concrete enough to lead to a crim-
inal conviction, and that they would end
their probe without further prosecutions.
Russia has denied any involvement
with the downing of the civilian airliner,
which killed 298 passengers and crew.
“The investigation has now reached
its limit,” prosecutor Digna van Boet-
zelaer told a news conference in The
Hague. “The findings are insufficient
16 TheEdge CEO morning brief
w o r l d
Zelenskiy visits
London ahead of
expected Russian
offensive
by Kitty Donaldson
Bloomberg
to the US in December, when Zelenskiy
met President Joe Biden and addressed
Congress. It will likely be seen as a vote
of gratitude to the UK for being one of
Ukraine’s primary suppliers of military aid.
He is expected to use his address to the
British Parliament to seek to bolster sup-
port ahead of any new Russian offensive.
More than 10,000 Ukrainian troops
by Stephanie van den Berg,
Toby Sterling & Bart H Meijer
Reuters
for the prosecution of new suspects.”
In November, a Dutch court convicted
two former Russian intelligence agents and
a Ukrainian separatist leader of murder for
helping arrange the Russian BUK missile
system that was used to shoot the plane
down. The three men, who were tried in
absentia, remain at large. At the time the
plane was shot down, Ukrainian forces
were fighting Russian-backed separatists
in eastern Ukraine’s Donetsk province.
While Russia had annexed Crimea from
Ukraine in March 2014, it denied military in-
volvement in fighting in Donetsk at that time.
But as part of the conviction of the three
have also been trained at bases in the
UK, some on the Challenger 2 tanks that
Britain is providing, part of the £2 billion
(US$2.4 billion) in weapons and equip-
ment already approved for Ukraine.
Zelenskiy previously addressed Britain’s
Parliament via video link in March 2022,
two weeks after the start of the invasion. He
echoedWorldWar II Prime MinisterWinston
Churchill, vowing that Ukrainians “will fight
till the end at sea, in the air.We will continue
fighting for our land, whatever the cost.” It
drew him a standing ovation from lawmakers.
Zelenskiy’s arrival will boost Sunak,
who has faced domestic criticism over a
rocky start to his premiership and a lack-
luster cabinet reshuffle on Tuesday. It also
shows that Sunak’s decision not to send
fighter jets to Ukraine has not affected the
relationship with Kyiv. Former Prime Min-
ister Boris Johnson had urged Sunak to
increase support by sending planes.
“President Zelenskiy’s visit to the UK is
a testament to his country’s courage, deter-
mination and fight, and a testament to the
unbreakable friendship between our two
countries,” Sunak said in a statement. “Since
2014, the UK has provided vital training to
Ukrainian forces, allowing them to defend
their country, protect their sovereignty and
fight for their territory.”
“It also underlines our commitment to
not just provide military equipment for
the short term, but a long-term pledge to
stand shoulder-to-shoulder with Ukraine
for years to come,” Sunak added.
Read the full story
men in November, the Dutch court ruled
that Russia had in fact had “overall con-
trol” of separatist forces in Donetsk start-
ing from May 2014.
Prosecutors said on Wednesday that
they could not identify the specific sol-
diers responsible for firing the missile sys-
tem that downed the plane, which came
from Russia’s 53rd brigade in Kursk.
They cited a 2014 phone intercept be-
tween Russian officials as evidence that
Putin’s approval had been necessary be-
fore a request for equipment made by
the separatists could be granted.
In addition, they played a 2017 con-
versation between Putin himself and the
Russian-appointed chief administrator of
Ukraine’s Luhansk province, in which they
discussed the military situation and a pris-
oner exchange.
 T H U R S D AY F E B R U A RY 9 , 2 0 2 3
(Feb 8): Japanese Prime Minister Fumio
Kishida said that he will carefully consider
the market impact while choosing a new
Bank of Japan (BOJ) governor, indicating
little intention to signal an immediate shift
at the bank with a surprise decision.
“I’m considering the selection by paying
close attention to the potential impact on
financial markets,” Kishida said in response
to questions in Parliament on Wednesday
(Feb 8). “This is related to the fundamen-
tal direction of economic policy, and it’s
getting a lot of attention from the financial
and business worlds.”
The remarks are likely to boost market
speculation that he is leaning towards ei-
ther deputy governor Masayoshi Amam-
iya or his predecessor Hiroshi Nakaso for
his final choice. The two have consistently
been at the top of polls for who may re-
place Haruhiko Kuroda.
Kishida is reportedly planning to reveal
his pick next week, nominating someone
new to the top of the BOJ for the first time
in a decade.
“Since the financial crisis, close coordi-
nation with other major central banks, and
a high ability to understand and communi-
cate with market participants at home and
abroad has become critically important,”
COLOMBO (Feb 8): Sri Lanka’s economy
is expected to grow again from the end of
this year and the government hopes to ex-
tricate the country from its economic crisis
by 2026, President Ranil Wickremesinghe
told parliament on Wednesday (Feb 8).
The Indian Ocean island of 22 million
people has been struggling with its worst
economic turmoil since independence
from Britain in 1948, which has forced
it to default on loans and seek a US$2.9
billion bailout from the International Mon-
etary Fund (IMF).
“We are now moving from a negative
economy towards a positive one. By the
end of 2023, we can achieve economic
growth,” President Wickremesinghe said
in a special policy statement to parliament.
“We have now been able to increase the
foreign reserves which had fallen to zero
up to US$500 million.”
Sri Lanka’s official reserves reached
US$2.1 billion at the end of January, which
is the highest it has been in about a year,
latest central bank data showed.
The reserves include a US$1.5 billion
swap from China People’s Bank, which Sri
Lanka has been unable to tap as it requires
the island to have three months worth of
reserves.
Sri Lanka is also working its largest bi-
lateral lender, China, to obtain financing
assurances supporting a debt restructuring
17 THEEDGE CEO MORNING BRIEF
W O R L D
Kishida indicates
not wanting to
surprise market
with BOJ choice
BY TORU FUJIOKA
Bloomberg
Japanese
Prime Minister
Fumio Kishida
BLOOMBERG
Kishida said. “I will make my choice while by government officials as they said the
considering these points.” selection wasn’t over yet.
Kishida’s approval ratings have been Amamiya has been a favourite to suc-
hovering around a record low, likely giv- ceed Kuroda, with polls showing him as
ing him little appetite to risk shocking and the lead candidate for months.
jolting global financial markets. As the second favourite, Nakaso is
A local media outlet reported earlier this known for his international flair, strong
week that Amamiya has been approached network among central bankers abroad,
by the government for the job. But that and his key role in responding to financial
report was followed by a series of denials crises in the past.
to finalise an IMF programme, Wickrem-
Sri Lanka seen
esinghe added.
“We are in direct discussions with Chi-
returning to
na. We have received positive responses
from all parties. We are now working to-
growth by
wards unifying the approaches of other
countries and that of China.”
year-end,
India and Japan, Sri Lanka’s other key
lenders have already expressed support.
president says
Wickremesinghe said the government
could turn around the economy if the pub-
lic tolerated high direct taxes for another
six months. He said last month that the
BY UDITHA JAYASINGHE economy for the full year could contract
Reuters by 3.5% or 4.0% after shrinking 11% last
year.
“If we continue according to this plan,
REUTERS we can rise out of bankruptcy by 2026.
As I have been continuously appealing, if
all the parties in this Parliament join the
process to build the country, we would
be able to extricate from this crisis even
earlier.”
Recent increases in income tax have
hit salaried workers hard, with trade un-
ions and private sector professionals stag-
ing protests.
Wickremesinghe said the aim was to
reduce inflation to single digits by the
end of the year. Sri Lanka’s key inflation
rate, the Colombo Consumer Price Index,
eased to 54.2% in January from 57.2%
Sri Lanka's President Ranil Wickremesinghe in December.
 t h u r s d ay f e b r u a ry 9 , 2 0 2 3
Adani Ports
mulls repaying
US$605 mil debt
to calm investors
by Divya Patil
Bloomberg
bloomberg
(Feb 8): Gautam Adani’s ports unit is con-
sidering to repay about 50 billion rupees
(US$604.6 million or RM2.59 billion) of
loans, as the beleaguered Indian tycoon
seeks to trim debt after a short-seller at-
tack put his empire’s financial health and
corporate governance under scrutiny.
Adani Ports & Special Economic Zone Ltd
is mulling total loan repayment and prepay-
ment of that amount in the year starting in
April, which would improve net debt to earn-
ings before interest, taxes, depreciation, and
amortisation ratio to about 2.5 times, it said in
an earnings statement on Tuesday (Feb 7).The
ratio stands at just over three times currently.
India’s largest private-sector ports opera-
tor, which reported an earnings miss in the
latest quarterly earnings, also said it would
roughly halve its capital expenditure next
financial year, compared to the current year.
These developments come just a day after
a group statement saying the billionaire and
his family prepaid US$1.11 billion worth of
borrowings backed by shares in three group
companies, including Adani Ports, to allay
investor fears.Two other firms of the ports-to-
power conglomerate that reported earnings
on Tuesday showed strong growth in prof-
its, also potentially soothing nervous traders.
In another potential sign of encourage-
ment, people familiar with the matter said
Oaktree Capital Management, one of the
world’s largest opportunistic debt firms, and
Davidson Kempner Capital Management
were among those scooping up bonds re-
lated to the Adani empire in recent weeks.
The conglomerate’s finances have come
under scrutiny after US short-seller Hinden-
burg Research levied accusations of account-
ing fraud and market manipulation at Adani
Group, wiping more than US$100 billion
from its market capitalisation.
18 TheEdge CEO morning brief
w o r l d
Adani Group has repeatedly denied the
charges.
“To uphold the principles of good corpo-
rate governance, the management of Adani
Group entities are considering the appoint-
ment of independent firms/agencies” to look
into the issues of regulatory compliance around
related party transactions and internal controls,
among others, according to filings from the
firms, Ambuja Cements Ltd and Adani Green
Energy Ltd. “The management will assess the
necessary actions required, if any.”
‘Ease concerns’
The Adani Ports guidance “could ease con-
cerns around the firm’s liquidity and debt,
though governance and regulatory risks are
likely to linger,” Bloomberg Intelligence ana-
lyst Sharon Chen wrote. “This could also
offer assurance that it might not materially
increase related-party loans to support the
rest of the group, as free cash flows have been
earmarked for debt repayment.”
Listed firms of the Adani conglomerate,
which was forced to shelve a US$2.5 billion
share sale by its flagship Adani Enterprises
Ltd last week as the short-seller’s allegations
triggered a massive stock rout, have begun
reporting December quarter earnings this
week as investors look for cues on the robust-
ness of the companies’ operations.
Adani Ports reported a 16% drop in profit
to 13.2 billion rupees for the latest quarter,
missing analysts’ estimate of about 15 billion
rupees. Revenue rose 18% from the year-ago
period to 47.9 billion rupees but also fell
short of the estimates. Capital spending for
the year starting April is pegged between 40
billion rupees and 45 billion rupees.
Profit at Adani Green Energy, one of the
most levered companies in the conglomerate,
more than doubled to 1.03 billion rupees,
up from 490 million rupees for the same
quarter last year. Total income surged 54%
to 22.6 billion rupees, while total costs rose
45%, the company said in an exchange filing.
The renewables firm is on track to complete
8,300 megawatts of capacity by March, it
said, adding that bond covenants are within
stipulated limits.
Ambuja Cements, the larger of the two local
cement makers that Adani Group acquired last
year from Holcim Ltd, posted a larger-than-ex-
pected quarterly profit at 3.69 billion rupees,
up 46% from the year-ago period. Revenue
rose 10% and matched estimates at 41.3 billion
rupees, according to a separate filing.
The cement maker remains debt-free and
expects “cement demand to further grow in
coming quarters on the back of increased
infrastructure activities”, its chief executive
officer Ajay Kapur said in the filing.
Adani Transmission Ltd posted an earn-
ings beat on Monday as net income surged
78% — the only other group firm that has
announced its results so far.
bloomberg
India’s central
bank hikes
rates by 25 bps
as expected,
hints at more
to come
by Swati Bhat & Sudipto Ganguly
Reuters
MUMBAI (Feb 8): The Reserve
Bank of India (RBI) hiked its key
repo rate by 25 basis points (bps)
on Wednesday (Feb 8) as expected,
but surprised markets by leaving the
door open to more tightening, saying
core inflation remained high.
The central bank said that its pol-
icy stance remains focused on the
withdrawal of accommodation, with
four out of six members voting in
favour of that position.
Most analysts had expected a hike
onWednesday to be the final increase
in the RBI’s current tightening cycle,
which has seen it raise rates by 250
bps since May last year.
The monetary policy commit-
tee, comprising three members from
the central bank and three external
members, raised the key lending rate
or the repo rate to 6.50% in a split
decision.
Four of the six members voted in
favour of the move.
“The stickiness of core or under-
lying inflation is a matter of concern.
We need to see a decisive modera-
tion in inflation. We have to remain
unwavering in our commitment to
bringing down CPI (consumer price
index) headline inflation,” RBI gov-
ernor Shaktikanta Das said, while an-
nouncing the committee’s decision.
Read the full story
 T H U R S D AY F E B R U A RY 9 , 2 0 2 3
(Feb 8): Microsoft Corp showed off plans
to use new tools from startup OpenAI to
improve its little-used internet search and
browsing services, seeking to gain ground
against market leader Google by being first
to offer conversational responses powered
by artificial intelligence.
The company unveiled a new version of
its Bing search engine and Edge browser
that incorporate technology from OpenAI,
maker of the viral chatbot ChatGPT, a re-
vamp designed to make it easier for users to
create content and find answers on the web.
“This technology is going to reshape
pretty much every software category,” Mi-
crosoft chief executive officer Satya Nadella
said at an event on Tuesday (Feb 7) at the
company’s Redmond, Washington, head-
quarters. It’s “high time” innovation was
restored to internet search, he said.
The new Bing, which runs on an OpenAI
language model that is more advanced than
the one behind ChatGPT, can be switched in
and out of chat mode, and users can tap the
bot to compose emails.The new Edge browser
adds the AI-based Bing for chat and writing
text, and it can summarise web pages and re-
spond conversationally to queries.The answers
come with citations to their sources, so users
can see where the information is coming from.
A flurry of product announcements
from Microsoft and Google in recent weeks
comes amid a sudden intense focus on gen-
erative AI, which can generate new content
(Feb 8):Tencent Holdings Ltd is planning to
launch a Valorant e-sports league when the
hit shooter title debuts in China this year, one
of the strongest signs yet that the country’s
internet giants are getting back to business
after a two-year industry crackdown.
Tencent unit TJ Sports has held discus-
sions with top Chinese e-sports players in
recent days about setting up the competi-
tion, people familiar with the matter said.
It could kick off a tournament over the
summer at the earliest as Tencent rolls out
the game domestically, one of the people
said, asking to not be identified discussing
private information.
Talks are in their initial stages and Ten-
cent could push back its timeline, the people
said. But a Valorant league will help reboot
competitive online gaming in China after a
two-year lull, when pandemic restrictions
and Beijing’s clampdown on youth addic-
tion chilled the world’s largest gaming arena.
Launched globally in 2020, Valorant has
grown to become one of the most popular
e-sports titles, vying for a multibillion-dollar
market along with rival shooters like Bliz-
zard’s Overwatch. Tencent won approval to
roll out the title only in December, in what
investors took as a sign that the government
19 THEEDGE CEO MORNING BRIEF
W O R L D
Microsoft unveils
Bing search engine
using OpenAI
technology
BY DINA BASS
Bloomberg
from digital troves of text, photos and art.
Last week Microsoft unveiled a custom-
er-management programme that uses Ope-
nAI text-generation tools to compose emails
for salespeople, and jazzed up the premium
tier of its Teams chat and meeting software
with AI-written post-meeting notes.
Microsoft recently announced a multibil-
lion-dollar investment in OpenAI, solidifying
ties with the startup to get the inside track on
its artificial intelligence models like ChatGPT
and Dall-E, which have attracted millions of
users in just months. Beyond search, Microsoft
executives have said they want to add Ope-
nAI’s technology into Office productivity soft-
ware, security programs and video-game tools.
The new Bing search query box can ac-
cept up to 1,000 characters. In a demonstra-
tion, Microsoft vice-president Yusuf Mehdi
asked the chat-based engine about events in
Scottsdale, Arizona, during this weekend’s
Tencent plans
‘Valorant’ league
as gaming
crackdown eases
BY PEI LI & ZHEPING HUANG
Bloomberg
BLOOMBERG
was preparing to relax its grip on the sector.
Tencent’s shares extended gains in late
Hong Kong trading to climb as much as
1.8% before ending largely unchanged.
Super Bowl.The new Bing returned informa-
tion about a Super Bowl week party, a culi-
nary event and other related happenings.The
souped-up service can also estimate whether
an Ikea love seat will fit in a 2019 Honda Od-
yssey — Bing told Mehdi it wasn’t sure, and
it depends on whether the second and third
row of the vehicle are folded down.
Asked for an egg substitute in recipes,
Bing offered several choices and the meas-
urements of each that equals one egg. It also
discussed the properties of each substitute,
like which will make the recipe fluffier.
Microsoft said the new version of Bing
is available now as a preview, which means
users can try a limited number of queries.
People can also join a waitlist for full ac-
cess, which the company hopes to expand
to millions in the coming weeks, Mehdi
said. It also intends to bring the AI search
features to rival web browsers.
OpenAI CEO Sam Altman appeared at
the event to tout the company’s partnership
with Microsoft. “We’re so grateful to have
a partner to share our vision and values of
building advanced AI that is safe and will have
a very positive impact on society,” he said.
Read the full story
Read also: Alibaba tests ChatGPT-style
tool as AI buzz intensifies
Brokerages including Morgan Stanley have
raised their price targets on Tencent in
recent weeks, anticipating a recovery in
growth as restrictions ease and efforts to
sell video ads gain momentum.
“These are positive signs that China
tech companies are back to business with
regulatory headwinds largely behind,” said
Marvin Chen, an analyst at Bloomberg In-
telligence. “It is also in line with recent com-
ments from policymakers that innovation
is still in a prominent position for national
development.”
A Tencent representative said in a mes-
sage the company was making prepara-
tions related to Valorant and hadn’t con-
firmed a launch date for the game.
A Valorant extravaganza would add to
Tencent’s roster of Chinese competitive
leagues, spanning genres from battle are-
nas to racing and first-person shooters.Ten-
cent set up TJ Sports with US subsidiary
Riot Games Inc in 2019 to helm League of
Legends contests. Another unit runs tourna-
ments based on Honor of Kings, Tencent’s
long-running mobile cash-cow.
Read the full story
 t h u r s d ay f e b r u a ry 9 , 2 0 2 3 20 TheEdge CEO morning brief

w o r l d

US briefed 40 nations on China spy
balloon incident, diplomats and
official say
WASHINGTON/BEIJING (Feb 8):
The United States held briefings in
Washington and Beijing with foreign
diplomats from 40 nations about the
Chinese spy balloon that Washington
shot down on Saturday for spying over
US territory, a senior administration
official and diplomats said on Tuesday.
US Deputy Secretary of State Wendy
Sherman on Monday briefed nearly 150
foreign diplomats across 40 embassies,
the official said, while in Beijing the US
embassy gathered foreign diplomats
on Monday and Tuesday to present US
findings about the balloon. “We want to
make sure that we are sharing as much
as we can with countries around the
world who may also be susceptible to
these types of operations,” the senior
administration official said. Sherman’s
briefing was first reported by the
Washington Post. The appearance of the
Chinese balloon over the United States
last week caused political outrage in
Washington and prompted US Secretary
of State Antony Blinken to cancel a trip
to Beijing that both countries had hoped
would patch their frayed relations.
Blinken would have arrived in Beijing on
Sunday. A US Air Force fighter jet shot
down the balloon off the South Carolina
coast on Saturday, a week after it first
entered US airspace. China’s foreign
ministry has said it was a weather balloon
that had blown off course and accused the
United States of overreacting. — Reuters
news In brief
reuters
Hundreds of tractors enter Paris in protest against pesticide bans
PARIS (Feb 8): French farmers drove hundreds of tractors into Paris early on
Wednesday to protest against pesticide restrictions and other environmental
regulations they say are threatening farm production in the European Union’s
largest agricultural power. The action follows an EU court ruling last month that
overturned a French policy allowing sugar beet growers to use a banned insecticide,
raising concern from sugar beet growers of a further decline in plantings and
sugar factory closures. “These repeated bans and the inaction of the government
to support many sectors (cherries, apples, chicory, potato starch, etc.) condemn
agricultural production,” France’s largest farm union FNSEA, sugar beet union CGB
and young farmers group JA said in a statement. — Reuters
Japan to end blanket Covid-19 Fitch raises China’s growth forecast
testing for Chinese travellers, to 5% for 2023
says Japanese broadcaster BENGALURU/BEIJING (Feb 8): Rating
TOKYO (Feb 8): Japan is arranging to relax agency Fitch has revised its forecast
border control measures for visitors from for China’s economic growth in 2023
China as early as this month, Japanese to 5.0% from 4.1% previously, as
broadcaster FNN reported on Wednesday consumption and broader activity
(Feb 8). Japan plans to end blanket testing are recovering faster than initially
of Covid-19 for all travellers from China anticipated, after the end of the “zero-
upon arrival, the broadcaster said. It will Covid” regime. Fitch said the recovery
continue requiring negative Covid tests will be primarily led by consumption,
before departure, it said. China last month noting that many high-frequency
suspended issuing short-term visas for indicators have recently rebounded,
South Korea and Japan after announcing though still remain below pre-pandemic
it would retaliate against countries norms. Despite the forecast upgrade,
that required negative Covid tests for the rating agency expects the economic
travellers from China. South Korea’s rebound this year to be less vigorous
prime minister later last month suggested than that in 2021, when the economy
its Covid curbs on travellers from China posted gross domestic product (GDP)
could be lifted earlier than scheduled if growth of 8.4%. Fitch was the first major
infections eased in the latter, the Yonhap rating agency to upgrade China’s 2023
news agency reported. — Reuters economic growth forecast. — Reuters

Indonesia approves Malaysia’s
Genting Oil & Gas’s revised
development plan for Kasuri gas
project — ministry
JAKARTA (Feb 8): Indonesia has
approved a revised development plan
by Malaysia’s Genting Oil & Gas for the
first phase of its gas project in West
Papua, following changes in production
estimates, the energy ministry said in
a statement on Wednesday. Under the
revised plan, the estimated gas in place
for Asap, Kido and Merah structures
in West Papua’s Kasuri block rose to
2,673.7 billion standard cubic feet
(BSCFD) from 1,735 BSCFD previously,
Energy Minister Arifin Tasrif said in the
statement. “Production from this field
will be utilised by a fertiliser plant in
Papua and for a liquefied natural gas
plant,” Arifin said. Genting Oil & Gas
also signed an initial agreement with an
Indonesian state-controlled fertiliser
producer, Pupuk Kaltim, to supply 102
billion British thermal units of gas per
day to its US$1.5 billion fertiliser plant,
the statement said. — Reuters
 t h u r s d ay f e b r u a ry 9 , 2 0 2 3
(Feb 8): Increasing volatility in global sup-
ply chains means shipping lines must un-
dergo a radical restructuring to survive, ac-
cording to AP Moller-Maersk A/S.
“The way that supply chains have operated
over the last number of decades is no longer fit
for purpose,” Ditlev Blicher, the president of
Asia-Pacific for the shipping line, told reporters
in Singapore on Monday (Feb 6). “We believe
this environment of increased volatility is here
to stay, and it will likely accelerate.”
Global trade has been buffeted by major
disruptions in recent years, as the pandem-
ic and the war in Ukraine brought chaos to
shipping routes. But even before the Covid-19
pandemic, it was obvious supply chains needed
to change, according to Blicher.
Shipping lines have repeatedly tried to
streamline their operations, but they haven’t
been able to overcome the bottlenecks arising
from thousands of players acting in individual
slices all along the supply chain. It’s become
more pressing to invest in smarter technolo-
gy and logistics networks that extend beyond
adding shipping capacity, said Blicher.
Maersk, which boasts the world’s sec-
ond-biggest container fleet according to Al-
phaliner, is seeking to become an integrated
logistics provider that connects land, sea and
(Feb 8): Masayoshi Son is now personally on
the hook for about US$5.1 billion on side deals
he set up at SoftBank Group Corp to boost
his compensation, as losses mounted at its core
Vision Fund venture capital arm.
Son, whose stake in SoftBank grew in re-
cent months, also owns portions of the compa-
ny’s key investment vehicles.While these hold-
ings have sparked controversy due to corporate
governance concerns, the Japanese billionaire
has denied any conflict of interest.
His unrealised losses widened roughly
US$400 million from three months before.
The founder and chief executive of SoftBank
was down US$4.7 billion on the same side
deals through the September quarter.
Compensation has long been a con-
tentious issue at SoftBank. Japanese com-
panies pay some of the lowest executive
salaries in the world, reflecting a culture
where job-hopping by managers is still in-
frequent. Son himself has kept his pay at
¥100 million, now roughly US$760,000
— a rounding error in the US where CEOs
routinely make more than US$100 million.
As SoftBank grew into a global investor,
Son argued the company couldn’t keep talent
unless executives were allowed to cut side
deals that tied compensation to the compa-
ny’s performance.That’s exposed him further
to the current market downturn.
The Vision Fund unit posted a US$5 bil-
lion loss in its fourth straight quarter in the
red, sinking SoftBank’s shares on Wednesday
21 TheEdge CEO morning brief
w o r l d
Major shipping
line seeks supply-
chain overhaul
as chaos roils
global trade
by Ann Koh
Bloomberg
air.The company last year embarked on a strat-
egy to expand its airfreight services.
Maersk and MSC Mediterranean Ship-
ping Co last month agreed to discontinue
their partnership that allowed the two com-
panies to share vessels on some of the most
lucrative routes worldwide. Blicher said the
tie-up, which will end in 2025, wasn’t the
direction Maersk wanted to go.
While MSC has the world’s biggest fleet, it is
still actively adding shipping capacity to remain
in the top spot. Maersk on the other hand is
cutting back, and wants to build a system that
would allow it to better control cargo flows.
Masayoshi Son
now owes SoftBank
US$5.1 bil
on side deals
by Min Jeong Lee, Pei Yi Mak
& Takahiko Hyuga
Bloomberg
reuters
in their biggest drop in almost three months.
Son owns more than a third of the company,
according to Bloomberg calculations based on
company filings.
The global tech investor was hit by contin-
ued mark downs in its investments in unlisted
startups, which outweighed gains in its pub-
Containers typically face numerous de-
lays while heading to their destination dur-
ing black swan events, said Blicher. But a
better strategy would be to have warehouses
scattered across different ports, he said.That
would allow Maersk to consolidate shipments
originating from different parts of Asia at
a convenient hub, giving more flexibility to
send them to where demand is the greatest.
“We are building a structure where we
can take a container from China, one from
Vietnam, and another from Cambodia to a
port like Singapore, and open them up,” said
Blicher. “Then we put them together and
the customer can send them where they are
needed at that moment.”
To be sure, shipping lines made easy prof-
its during the pandemic. Spot container rates
surged to a record as shipyards ground to a
halt, resulting in a scarcity of vessels to meet
a spike in demand for e-commerce goods.
Now, with weaker global demand as major
economies struggle with inflation, companies
have been canceling voyages to align capacity.
“It wasn’t hard over the last 12 months to
make money — if you had something that
could float and could carry your contain-
er, that was not hard,” Blicher said. “Now,
skills matter.”
lic holdings. Chief financial officer Yoshimit-
su Goto said they applied “extremely strict”
standards in writing down investment loss-
es. SoftBank had invested in 472 companies
through its venture capital arm by December.
Portfolio losses ratcheted up Son’s defi-
cit to about US$2.9 billion from his Vision
Fund 2 interest, and US$344 million at the
Latin America fund, according to disclosures
for the December quarter. His remaining
deficit at SB Northstar was ¥246.1 billion
(US$1.85 billion).The debt totalled US$5.1
billion according to Bloomberg calculations
based on company disclosures.
The 65-year-old billionaire holds 17.25% of
a vehicle set up under SoftBank’s Vision Fund
2 for its unlisted holdings, as well as 17.25%
of a unit within the company’s Latin America
fund, which also invests in startups. He has a
33% stake in SB Northstar, a vehicle set up at
the company to trade stocks and derivatives.
There is no immediate deadline for repay-
ment and the value of Son’s positions could
improve in the future, and for SB Northstar,
Son has already deposited some cash and
other assets.The founder would pay his share
of any “unfunded repayment obligations” at
the end of the fund’s life, which runs 12 years
with a two-year extension.
Son’s net worth stood at US$12.3 billion af-
ter Tuesday’s close, after adjusting for his defi-
cit from his interests in SB Northstar, Vision
Fund 2 and the Latin America fund, according
to calculations by Bloomberg Billionaires Index.
 T H U R S D AY F E B R U A RY 9 , 2 0 2 3
Credit Suisse dials back Asia risk controls
after bankers revolt
(Feb 8): Credit Suisse Group AG, fight-
ing to stem a wave of investor outflows, is
dialing back some stringent anti money
laundering controls in Asia, after they drew
protests from clients and bankers and con-
tributed to staff departures.
A requirement that private bankers ver-
ify most of their clients’ sources of wealth
was eased near the end of last year, while
third-party transactions are no longer sub-
ject to executive approvals, according to
people familiar with the matter.
The backtracking highlights the delicate
balance facing the bank as it tries to tighten
operations following a series of scandals,
while hanging on to clients in one of the
fastest growing regions for money manage-
ment. The measures, more stringent than
at many peers, threatened to stall efforts
to recover from massive outflows that con-
tributed to another quarterly loss for the
embattled bank.
Credit Suisse took steps in 2021 to
tighten controls by commissioning Ernst
& Young (EY) to assess its wealth units’
anti money laundering procedures in Sin-
gapore and Hong Kong, in a revamp it
later internally dubbed “Project Starlight”.
The bank had drawn scrutiny after it
was among firms fined in 2017 by the
Monetary Authority of Singapore for
lapses linked to the bribery scandal at the
1MDB (1Malaysia Development Bhd)
fund in Malaysia. Elsewhere, the lender
sought to spruce up its image following a
series of missteps by some of its clients,
including collapses at Archegos Capital
Management and Greensill Capital, and
an accounting scandal at Luckin Coffee
Inc in China.
Credit Suisse said it initiated the in-
dependent review by EY to “provide ad-
ditional assurance of the quality of our
internal process and controls”.
The EY report, published in October
2021, found several problems that needed
to be addressed. It noted a high attrition
rate among compliance officers, sparked
by deteriorating relationships with private
bankers, according to people who have
seen the report. Other issues identified in-
cluded lapses in the anti money launder-
ing framework, culture and conduct, risk
management and organisational capability.
“Based on the findings, which were in
line with our own initial assessment, the
firm established a robust ‘belt and braces’
approach” to anti money laundering, and
enhancements were made to “improve our
22 THEEDGE CEO MORNING BRIEF
W O R L D
BY CHANYAPORN CHANJAROEN
& DENISE WEE
Bloomberg
REUTERS
end-to-end operating model,” a Credit Su-
isse spokesperson said in a statement to
Bloomberg News.
Closer Scrutiny
To counter lapses highlighted by EY, senior
managers in Asia demanded closer scruti-
ny on the sources of wealth for new clients
and tightened rules for fund transfers to
third parties, which sometimes included
clients’ children, said people familiar with
the matter.
Shortly after the report publication, the
firm demanded that bankers corroborate
the sources for up to 90% of high-risk cli-
ents’ wealth, up from 70% previously. For
low-risk customers, the degree of corrob-
oration was raised to 70% from 50%.
In addition, private bankers were asked
to sit with compliance colleagues to im-
prove co-operation, while senior manag-
ers on the wealth and compliance teams
were appointed “Culture Champions” to
demonstrate model behaviour.
The tighter controls didn’t sit well
with many clients, or with bankers who
were already struggling with the repu-
tational hit from the scandals. The firm
warned in November that client outflows
will contribute to a fourth-quarter loss
of up to 1.5 billion Swiss francs (US$1.6
billion) when the company reports re-
sults on Feb 9.
Many bankers who resigned in recent
months said the changes made it harder
for relationship managers to bring in new
clients, and delayed account openings by
as much as eight months. Attracting new
clients and their money is a key perfor-
mance metric for bankers and determines
bonuses.
While wealth managers in Asia have
been beefing up internal controls as part
of the broad know-your-customer require-
ments, Credit Suisse’s measures in Sin-
gapore went further than at many peers.
Employees and clients told the bank
that the heightened scrutiny wasn’t practi-
cal and was counter-productive.The meas-
ures even prompted some customers to
demand new accounts be opened in Swit-
zerland, where rules aren’t as stringent,
one of the people said.
More than a dozen senior bankers ex-
ited, including some top performers in
the so-called Chairman’s Club, who are
awarded big bonuses and other privileges.
To be sure, these bankers, who declined
to be identified, were already frustrated
by Credit Suisse’s tarred reputation, and
had good offers from other firms. They
didn’t leave solely because of the beefed
up measures, they said.
Culture Champions
Even a few “Culture Champions” — ap-
pointed to lead by example — departed.
Young Jin Yee, deputy CEO of Asia-Pacif-
ic wealth management, resigned to join
Deutsche Bank AG. Katryna Murtagh,
managing director on the compliance side,
decided to leave near the end of last year.
APAC compliance head Pete Monaci quit
in June to join Citadel Securities in Hong
Kong.
In response to the steady backlash,
Credit Suisse has relaxed some of the con-
trols. As of early December, bankers are
required to match clients’ information as
much as possible, rather than hitting firm
percentage levels, according to one of the
people. Another measure requiring senior
managers to approve client fund transfers
to third parties was also eased at the end of
last year, the people said. Private bankers
can now lift the restrictions on accounts
that have been blocked by compliance,
they said.
The bank is also addressing attrition.
It hired Rashmi Dubier, MUFG Bank’s
former Asia-Pacific head of anti money
laundering, for a financial crime compli-
ance role. Other measures to strength-
en the bank’s controls and monitor risks
continue to be implemented and assessed,
given that “Project Starlight” may last for
three to five years, the people said.
Read the full story
 T H U R S D AY F E B R U A RY 9 , 2 0 2 3
M A R K E T S
CPO RM 3,998.0059.00 OIL US$ 84.480.79 RM/USD 4.2983 RM/SGD 3.249 RM/AUD 3.0021 RM/GBP 5.2024 RM/EUR 4.6230
Top 20 active stocks
NAME VOLUME CHANGE CLOSE YTD MARKET
(MIL) (RM) CHANGE CAP
(%) (RM MIL)
SAPURA ENERGY BHD 316.31 0.005 0.050 42.86 799.00
MY EG SERVICES BHD 237.70 0.015 0.715 -17.82 5316.70
VELESTO ENERGY BHD 163.60 -0.010 0.235 56.67 1930.70
ATA IMS BHD 117.60 -0.095 0.355 57.78 427.00
SERBA DINAMIK HOLDINGS BHD 112.90 0.000 0.020 100.00 74.20
TA WIN HOLDINGS BHD 79.50 0.000 0.080 45.45 273.90
BUMI ARMADA BHD 74.10 -0.005 0.610 27.08 3610.00
IRIS CORP BHD 69.90 -0.020 0.145 11.54 473.10
ZEN TECH INTERNATIONAL BHD 67.5 -0.005 0.060 200.00 80.80
PERDANA PETROLEUM BHD 64.30 0.000 0.180 44.00 399.10
NYLEX MALAYSIA BHD 60.50 0.030 0.620 100.00 111.20
LEFORM BHD 53.10 0.000 0.235 13.86 348.00
VINVEST CAPITAL HOLDINGS BHD 53.10 0.005 0.240 26.32 232.60
HONG SENG CONSOLIDATED BHD 52.3 0.005 0.200 -9.09 1021.70
CYPARK RESOURCES BHD 51.8 0.130 1.160 146.81 888.00
KNM GROUP BHD 42.70 0 0.065 30.00 239.00
AEMULUS HOLDINGS BHD 37.70 -0.065 0.390 -17.89 260.70
SNS NETWORK TECHNOLOGY BHD 28.5 -0.010 0.250 -1.96 403.20
CIMB GROUP HOLDINGS BHD 27.00 -0.180 5.400 -6.90 57591.50
NATIONGATE HOLDINGS BHD 26.5 0.030 1.24 0.00 2571.70
Data as compiled on Feb 8, 2023 Source: Bloomberg
Top gainers (ranked by %)
NAME CLOSE CHANGE VOLUME YTD MARKET
(%) (‘000) CHANGE CAP
(%) (RM MIL)
DGB ASIA BHD 0.020 33.33 429.4 33.33 35.7
PASUKHAS GROUP BHD 0.025 25.00 2,982.5 66.67 47.6
AE MULTI HOLDINGS BHD 0.025 25.00 0.1 0.00 54.1
METRONIC GLOBAL BHD 0.025 25.00 1,678.0 25.00 38.3
JERASIA CAPITAL BHD 0.050 25.00 4,605.2 42.86 4.1
XIDELANG HOLDINGS LTD 0.030 20.00 210.0 20.00 63.5
MERIDIAN BHD 0.035 16.67 1,165.0 16.67 31.6
ALAM MARITIM RESOURCES BHD 0.035 16.67 2,630.1 40.00 53.6
MINDA GLOBAL BHD 0.075 15.38 9,440.1 7.14 125.9
SARAWAK CABLE BHD 0.115 15.00 3,013.8 76.92 45.9
CORAZA INTEGRATED TECHNOLOGY 1.100 14.58 21,576.1 43.79 472.2
CYPARK RESOURCES BHD 1.160 12.62 51,832.8 146.81 888.0
HUBLINE BHD 0.045 12.50 994.0 12.50 193.0
APPASIA BHD 0.140 12.00 18,951.3 33.33 150.8
CENSOF HOLDINGS BHD 0.290 11.54 5,587.8 9.43 160.2
SMTRACK BHD 0.050 11.11 2460.2 0.00 58.5
SAPURA ENERGY BHD 0.050 11.11 316,310.2 42.86 799.0
TWL HOLDINGS BHD 0.055 10.00 951.1 57.14 219.1
FSBM HOLDINGS BHD 0.275 10.00 1,567.7 1.85 48.9
ILB GROUP BHD 0.460 9.52 31.0 0.00 86.9
Data as compiled on Feb 8, 2023 Source: Bloomberg
Top gainers (ranked by RM)
NAME CLOSE CHANGE VOLUME YTD MARKET
(RM) (‘000) CHANGE CAP
(%) (RM MIL)
FRASER & NEAVE HOLDINGS BHD 26.460 0.460 204.8 22.61 9,705.0
HEXTARTECHNOLOGIES SOLUTIONS 28.580 0.380 92.3 67.53 3,676.8
CARLSBERG BREWERY MALAYSIA 24.600 0.300 189.4 7.52 7,521.4
KESM INDUSTRIES BHD 7.900 0.210 44.4 12.54 339.8
BRITISH AMERICAN TOBACCO 12.800 0.200 330.5 14.08 3,654.8
HEINEKEN MALAYSIA BHD 29.460 0.160 387.3 16.90 8,899.8
CORAZA INTEGRATED TECHNOLOGY 1.100 0.140 21,576.1 43.79 472.2
PETRONAS DAGANGAN BHD 22.200 0.140 134.0 -3.48 22,054.7
KEIN HING INTERNATIONAL BHD 2.540 0.140 1,402.5 19.81 276.6
CYPARK RESOURCES BHD 1.160 0.130 51,832.8 146.81 888.0
MISC BHD 7.370 0.130 1,940.7 -1.73 32,897.8
UNISEM M BHD 3.250 0.130 1,687.6 17.75 5,242.5
TENAGA NASIONAL BHD 9.510 0.120 1,807.4 -1.25 54,711.8
SFP TECH HOLDINGS BHD 2.870 0.120 4,525.4 59.44 2,296.0
BINTULU PORT HOLDINGS BHD 5.350 0.100 24.8 11.46 2,461.0
YNH PROPERTY BHD 4.490 0.100 7.4 6.15 2,372.9
PETRONAS CHEMICALS GROUP 8.250 0.100 2,812.2 -4.07 66,000.0
VITROX CORP BHD 8.330 0.100 485.9 8.89 7869.3
SOLARVEST HOLDINGS BHD 1.160 0.100 6634.3 35.67 774.4
BONIA CORP BHD 2.790 0.090 598.7 22.91 559.2
Data as compiled on Feb 8, 2023 Source: Bloomberg
23 THEEDGE CEO MORNING BRIEF
World equity indices
CLOSE CHANGE CHANGE CLOSE CHANGE CHANGE
(%) (%)
DOW JONES 34,156.69 265.67 0.78 INDONESIA 6,940.12 4.82 0.07
S&P 500 4,164.00 52.92 1.29 JAPAN 27,606.46 -79.01 -0.29
NASDAQ 100 12,728.27 263.76 2.12 KOREA 2,483.64 31.93 1.30
FTSE 100 7,926.77 62.06 0.79 PHILIPPINES 6,923.08 41.82 0.61
AUSTRALIA 7,530.07 25.93 0.35 SINGAPORE 3,388.52 7.68 0.23
CHINA 3,232.11 -15.99 -0.49 TAIWAN 15,618.17 217.26 1.41
HONG KONG 21,283.52 -15.18 -0.07 THAILAND 1,670.34 -10.15 -0.60
INDIA 60,663.79 377.75 0.63 VIETNAM 1,072.22 6.38 0.60
Data as compiled on Feb 8, 2023 Source: Bloomberg
Top losers (ranked by %)
NAME CLOSE CHANGE VOLUME YTD MARKET
(%) (‘000) CHANGE CAP
(%) (RM MIL)
PEGASUS HEIGHTS BHD 0.005 -50.00 11,643.3 -50.00 54.1
DOLPHIN INTERNATIONAL BHD 0.010 -33.33 477.6 -60.00 13.4
AT SYSTEMATIZATION BHD 0.010 -33.33 1,861.1 -33.33 60.0
EDUSPEC HOLDINGS BHD 0.015 -25.00 1,275.0 -25.00 45.7
ATA IMS BHD 0.355 -21.11 117,587.9 57.78 427.0
BCM ALLIANCE BHD 0.020 -20.00 235.0 -20.00 40.7
KIA LIM BHD 0.325 -14.47 23.9 0.00 20.1
AEMULUS HOLDINGS BHD 0.390 -14.29 37,716.6 -17.89 260.7
ECOSCIENCE INTERNATIONAL BHD 0.450 -12.62 10,310.0 -10.00 153.0
IRIS CORP BHD 0.145 -12.12 69,926.9 11.54 473.1
AVILLION BHD 0.080 -11.11 21,827.0 0.00 91
NEXGRAM HOLDINGS BHD 0.045 -10.00 6,717.8 -35.71 19.9
SC ESTATE BUILDER BHD 0.045 -10.00 310.0 0.00 48.3
ATTA GLOBAL GROUP BHD 0.350 -9.09 67.9 18.64 127.3
PERMAJU INDUSTRIES BHD 0.050 -9.09 4,805.3 11.11 96.8
MUHIBBAH ENGINEERING M BHD 0.700 -9.09 7,793.8 40.00 508.9
ZEN TECH INTERNATIONAL BHD 0.060 -7.69 67492.0 200.00 80.8
VIZIONE HOLDINGS BHD 0.060 -7.69 2,639.1 9.09 122.8
DFCITY GROUP BHD 0.370 -7.50 22.2 -3.90 39.1
SCOMI ENERGY SERVICES BHD 0.065 -7.14 1579.54 18.18 30.4
Data as compiled on Feb 8, 2023 Source: Bloomberg
Top losers (ranked by RM)
NAME CLOSE CHANGE VOLUME YTD MARKET
(RM) (‘000) CHANGE CAP
(%) (RM MIL)
HONG LEONG FINANCIAL GROUP 17.920 -0.380 393.00 -3.66 20,522.8
RAPID SYNERGY BHD 16.100 -0.360 12.50 0.88 1,721.0
HONG LEONG BANK BHD 20.000 -0.180 2,999.20 -2.72 43,354.4
CIMB GROUP HOLDINGS BHD 5.400 -0.180 27,004.00 -6.90 57,591.5
HONG LEONG CAPITAL BHD 6.180 -0.170 957.80 -1.59 1,525.8
RHB BANK BHD 5.510 -0.150 10,602.50 -4.84 23,403.0
KOBAY TECHNOLOGY BHD 3.070 -0.120 1,433.40 12.87 995.2
GENTING PLANTATIONS BHD 6.030 -0.120 246.30 -5.78 5,410.1
RHONG KHEN INTERNATIONAL 1.450 -0.110 59.30 6.62 281.7
TEXCHEM RESOURCES BHD 1.990 -0.110 499.20 -5.24 236.2
ALLIANZ MALAYSIA BHD 13.700 -0.100 8.20 -3.25 2,438.2
CHIN TECK PLANTATIONS BHD 8.300 -0.100 10.20 -2.80 758.3
ATA IMS BHD 0.355 -0.095 117,587.90 57.78 427.0
PRESS METAL ALUMINIUM 5.250 -0.090 9,321.10 7.58 43,258.0
LYSAGHT GALVANIZED STEEL BHD 1.900 -0.090 2.2 0 79
SIME DARBY PLANTATION BHD 4.360 -0.090 889.90 -6.24 30,152.5
SUPERCOMNET TECHNOLOGIES 1.450 -0.080 4,149.80 -7.64 1,106.0
MUHIBBAH ENGINEERING M BHD 0.700 -0.070 7,793.80 40 508.9
HONG LEONG INDUSTRIES BHD 8.900 -0.070 21.20 -3.26 2,843.3
DUOPHARMA BIOTECH BHD 1.480 -0.070 1307.5 -8.07 1409.3
Data as compiled on Feb 8, 2023 Source: Bloomberg