Friday, 20 July 2012

News Highlights - Star Publications (M), Axiata Group, Automotive Sector, Oil & Gas Sector


Star Publications (M) Bhd (RM3.20/share)
Unit buys CNM Events for RM45mil
Star Publications (M) Bhd’s wholly-owned subsidiary I.Star Ideas Factory Sdn Bhd has acquired the business and assets of CNM Events Marketing Sdn Bhd for RM45mil. CNM Events, a company that deals with all kinds of events related to home and lifestyle exhibitions, is the owner of the established Perfect Livin and Perfect Lifestyle exhibition brands.

CNM Events will provide Star with a profit before tax guarantee of at least RM30mil for the next three years, beginning from its financial year ending Dec 31, 2013. The purchase price for CNM Events will be paid in tranches.

The major shareholders of CNM Events are Datuk Adriana Law Song Ting and Datuk Yam Fook Poh, who each has a 50% stake in the company. Law is also the warrantor for this proposed acquisition. – StarBiz

Axiata Group Bhd (RM5.99/share)
Sets up multi-currency sukuk plan
Axiata Group Bhd, through its wholly-owned Axiata SPV2 Bhd, became the first Asian telecommunications company to establish a US$1.5bil (RM4.73 billion) multi-currency sukuk programme.
The sukuk allows airtime vouchers representing an entitlement to a specified number of airtime minutes on the mobile telecommunications network of Axiata’s subsidiaries, for on-Net calls to be included as a trust asset. – Business Times

Fraser & Neave Holdings Bhd (RM18.36/share)
Thai Beverage to pay S$2.78b for OCBC’s stake in F&N
Thai Beverage pcl, Thailand’s biggest beer maker, agreed to pay S$2.8bil (RM6.9bil) for Fraser & Neave Ltd’s (F&N) shares held by Oversea-Chinese Banking Corp (OCBC) and its partners. The Thai company will buy 313 million F&N shares at S$8.88 each, or about 22% of Singapore’s biggest beverage maker from OCBC, its unit Great Eastern Holdings Ltd and Lee Rubber Co, according to a statement on Wednesday. OCBC and Great Eastern hold 18.2% of F&N and 7.92% of APB. – Business Times

Automotive Sector
MAA keeps forecast for vehicle sales
The Malaysian Automotive Association (MAA) has kept its new vehicles sales growth forecast at 2.5%, or a total of 615,000 units, as domestic demand remains resilient. Its president Datuk Aishah Ahmad said the second half of the year would be challenging but if there was positive gross domestic product (GDP) demand, “the local automotive industry will enjoy another robust and, perhaps, even a record total industry vehicle (TIV) high.” MAA said the TIV rebounded strongly in May and June, growing by 27% and 35%, respectively.  - Business Times

Source: AmeSecurities 

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