REGIONAL DAILY

December 26, 2012

IMPORTANT DISCLOSURES, INCLUDING ANY REQUIRED RESEARCH CERTIFICATIONS, ARE PROVIDED AT THE END OF THIS REPORT.

MALAYSIA

Malaysia Daybreak | 10 September 2014

▌What’s on the Table…

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YTL Corporation - Dividends are the new normal

We are raising our FY15-17 DPS forecasts from 4 sen to 10 sen following our assessment of YTL’s dividend income stream from its operating units. The sudden pick up in dividends comes from the strong operating performance of YTL Cement and the winding down of its capex cycle, making it the biggest dividend contributor for the group, surpassing that of YTL Power. YTL shares are now offering a yield of 6% which should provide strong valuation support while key catalysts such as the high-speed rail bid and increased cement capacity are coming into view. Our FY15-17 EPS forecasts are trimmed from higher net interest expense from the larger dividend payout. Our target price (based on 20% discount to RNAV) remains unchanged. Add maintained.

▌News of the Day…

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• Felda has emerged as substantial shareholder in BHS Industries, 11.1% stake

• KWAP appointed Nik Amlizan Mohamed as its new CIO

• Battersea Development aims to finalise another round of financing by end-Oct

• 1MDB likely defer listing its power assets to 1Q15?

• U Mobile planning IPO as it embarks RM1.5bn network expansion, says CEO

• Digistar Corp has received approval for a money lending licence

Sources: CIMB. COMPANY REPORTS

Sources: CIMB. COMPANY REPORTS

Key Metrics

FBMKLCI Index

1,700

1,750

1,800

1,850

1,900

Sep-13 Nov-13 Jan-14 Mar-14 May-14 Jul-14 Sep-14

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FBMKLCI

1874.12 3.03pts 0.16%Sep Futures Oct Futures

1873 - (0.40% ) 1875 - (1.00% )———————————————————————————

Gainers Losers Unchanged399 420 333

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Turnover2455.83m shares / RM2016.52m

3m avg volume traded 2477.57m shares

3m avg value traded RM2137.37m———————————————————————————

Regional IndicesFBMKLCI FSSTI JCI SET HSI

1,874 3,343 5,197 1,583 25,190 ————————————————————————————————

Close % chg YTD % chg

FBMKLCI 1,874.12 0.2 0.4

FBM100 12,655.93 0.1 0.5

FBMSC 18,825.69 (0.2) 20.0

FBMMES 7,127.74 1.2 25.6

Dow Jones 17,013.87 (0.6) 2.6

NASDAQ 4,552.29 (0.9) 9.0

FSSTI 3,342.96 0.2 5.5

FTSE-100 6,829.00 (0.1) 1.2

SENSEX 27,265.32 (0.2) 28.8

Hang Seng 25,190.45 (0.2) 8.1

JCI 5,197.12 (0.9) 21.6

KOSPI 2,049.41 (0.3) 1.9

Nikkei 225 15,749.15 0.3 (3.3)

PCOMP 7,253.67 (0.8) 23.2

SET 1,583.18 (0.1) 21.9

Shanghai 2,326.53 0.0 10.0

Taiwan 9,434.77 0.3 9.6————————————————————————————————

Close % chg Vol. (m)

GLOBALTEC 0.100 0.0 140.3

AT SYSTEM 0.120 14.3 132.1

RGB 0.175 2.9 84.9

KTN 0.385 26.2 73.1

ASIA BIOENERGY 0.150 3.4 67.8

IFCA MSC BHD 0.415 (8.8) 61.1

EFFICIENT 0.330 0.0 57.6

SUMATEC 0.450 (2.2) 57.1————————————————————————————————

Close % chg

US$/Euro 1.2937 (0.01)

RM/US$ (Spot) 3.1933 (0.02)

RM/US$ (12-mth NDF) 3.2727 (0.14)

OPR (% ) 3.25 0.00

BLR (% , CIMB Bank) 6.85 0.00

GOLD ( US$/oz) 1,254.90 (0.05)

WTI crude oil US spot (US$/barrel) 92.75 0.10

CPO spot price (RM/tonne) 2,044.00 (0.58)

Market Indices

Top Actives

Economic Statistics

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Terence WONG, CFA T (60) 3 2261 9088 E terence.wong@cimb.com

Show Style "View Doc Map"

Daybreak│Malaysia

September 10, 2014

2

Global Economic News

The world is facing a global jobs crisis that is hurting the chances of reigniting economic growth, the World Bank warned.

The study released said an extra 600 million jobs needed to be created worldwide by 2030 just to cope with the expanding population.

"And equally disturbingly, we're also seeing wage and income inequality widening within many G20 countries, although progress has been made in a few emerging economies, like Brazil and South Africa," World Bank's senior director for jobs, Nigel Twose, said. (AFP)

The US Federal Reserve is planning risk-based capital standards for banks that will be tougher than the level required by the 27-nation Basel Committee on Banking Supervision, Fed Governor Daniel Tarullo said. The surcharge formula will take into account US banks’ reliance on short-term wholesale funding, he added. (Bloomberg)

The US National Federation of Independent Business (NFIB) said its Small Business Optimism Index rose to 96.1 in Aug (95.7 in Jul). (Reuters)

US job openings was 4.67m in Jul (4.68m in Jun, which was the highest since Feb 2001). (Bloomberg)

The Obama administration announced a series of measures to help shore up crumbling US infrastructure, including half a billion dollars in loans for the electric grid.

The moves are part of the administration’s efforts to address what it says is a US$1tr funding gap for transportation, water and electricity needs over the next six years. (Reuters)

France and Germany, the euro area’s two largest economies, will say they’re not interested in providing state guarantees for the European Central Bank (ECB) president’s asset-purchase program, according to a draft document obtained by Bloomberg News, stating “an intervention in the form of a public guarantee would be problematic.” (Bloomberg)

The US should commit to exporting oil and natural gas to Europe under a transatlantic trade deal in light of the European Union (EU)'s geopolitical situation, the EU trade commissioner said.

Overturning a 40-year US ban on oil exports by agreeing to send oil to Europe could pressure Russian President Vladimir Putin by lowering global crude prices. (Reuters)

Some Bank of Japan (BOJ) policymakers said Japan's exports could be slow to respond to developments in overseas economies due to structural changes, such as a shift in production overseas, minutes of the Aug 7-8 meeting showed. However, they believe exports are likely to recover as overseas economies expand. Members also agreed that inflation is likely to accelerate in the second half of this fiscal year as the output gap improves, the minutes showed. (Reuters)

Daybreak│Malaysia

September 10, 2014

3

Japan’s tertiary industries activity index was flat on month on a seasonally adjusted basis in Jul, standing at 98.2. (RTT)

The M2 money stock in Japan was up 3.0% yoy in Aug, the same pace as the previous two months. M3 money stock was up 2.4% yoy in Aug (+2.5% yoy in Jul). (RTT)

Japanese consumer confidence was at 41.2 in Aug, down from 41.5 in Jul. (Economic Times)

India signed a free trade pact in services and investment with the 10-member Association of Southeast Asian Nations (Asean). (India Times)

India plans to revise the way it measures gross domestic product (GDP) to reflect under-represented and informal economic sectors by early 2015, in an initiative that is expected to show the economy is larger than previously thought. India usually revises the method of calculating national accounts and other macro data every five years, bringing in a newer base year and adjusting for changes in the economy. (Reuters)

Australia’s business confidence fell to 8 points in Aug (10 points in Jul) while business conditions fell to 4 points (8 points in Jul), according to National Australia Bank (NAB)'s monthly Business Survey. (WSJ)

The number of Australian mortgage approvals rose by a seasonally adjusted 0.3% mom in Jul (+0.1% mom in Jun). The value of loans for investment housing jumped by 6.8% mom in Jul (+0.1% mom in Jun). (WSJ, Bloomberg)

Taiwan's exports soared 9.6% yoy in Aug (+5.8% yoy in Jul). Imports rose 14.1% yoy (+9.5% yoy in Jul). The trade surplus increased to US$4.11bn in Aug from US$2.61bn in Jul. (WSJ)

Indonesia’s annual retail sales rose 18.6% yoy in Jul (+8.7% yoy in Jun). (Reuters)

A proposed Indonesia-style ban on exports of unprocessed metal ores from the Philippines may not be implemented for about seven years, the proponent of a bill before Congress said, potentially easing pressure on nickel prices. (Reuters)

Daybreak│Malaysia

September 10, 2014

4

Malaysian Economic News

The second and third generations of Felda settlers should attend a mechanised operator course (KOML) to help improve their skills, Deputy Plantation Industries and Commodities Minister Datuk Noriah Kasnon said. She said this would enable the oil palm plantation sector to continue to contribute to the economic development while reducing dependence on foreign workers.

Noriah said until June this year, Malaysia faced 30,865 workers' shortage in the oil palm plantation sector as it needs 666,075 workers or an average of one worker to every eight hectares of the plantation.

Ironically, 345,463 workers or 78.13 per cent of the 442,175 oil palm plantation workers are foreigners. Noriah said KOML, introduced by the MPOB through the Malaysian Palm Training Centre (Plasma) enable trainees to optimise their skills, especially in the use of farm machinery, thus reducing dependence on foreign labour.

MPOB chairman Datuk Wan Mohammad Khair-il Anuar Wan Ahmad said the knowledge acquired by the trainees on the use of mechanisation from land preparation to harvesting fresh fruit bunches could help improve oil palm plantation efficiency and productivity. (Bernama)

The Malaysia-China Chamber of Commerce (MCCC) aims to achieve RM5 billion in potential sales from the 18th China International Fair for Investment and Trade (CIFIT). Its vice-president Datuk Joseph Lim Heng Ee said eight memorandums of understanding worth RM1.67 billion (US$521 million) had been signed between Malaysian companies and Chinese firms on Tuesday. Hence, he was confident of achieving the target during the four-day fair beginning September 8. Meanwhile, the Prime Minister's special envoy to China, Tan Sri Ong Ka Ting believed Malaysia and China could achieve the target of US$160 billion in bilateral trade by 2017 following a series of vigorous supports and measures provided by both governments. (Bernama)

Permodalan Nasional Bhd (PNB) has disbursed a total of RM117.79 billion to unitholders from 1981 to August 2014 on the back of investments including in strategic companies. "PNB now manages 187.8 billion units by 12.07 million unitholders as of Aug 31, 2014," he said. Ahmad Sarji urged all Malaysians to invest consistently for their future and for their families, saying just a monthly investment of RM50 in a fund that offers a return of about seven per cent could generate RM60,998 in 30 years.(Bernama)

Bank Negara Malaysia Governor Tan Sri Dr Zeti Akhtar Aziz has been accorded "Grade A" among the heads of central banks for the 11th consecutive time by the Global Finance magazine. The magazine, headquartered in New York and with offices in London, Rio de Janeiro and Milan, named the heads of the central banks of India, Israel, Malaysia, the Philippines, Saudi Arabia, Switzerland and Taiwan as the World's Best Central Bankers over the past year. Giarraputo said each year, the magazine assessed the determination of central bankers to stand up to political interference and their efforts at influencing their governments on such issues as spending and economic openness to foreign investment and financial services. (Bernama)

The Malaysian rail industry has tremendous potentials for growth, with the country expected to spend up to RM160 billion on rail development projects by 2020. Land Public Transport Commision chairman, Tan Sri Syed Hamid Syed Jaafar Albar, said the industry would get a boost with the ongoing construction of mass rail transit (MRT), expansion of light rail transit (LRT) and the planning of high-speed rail (HSR) connecting Singapore with Kuala Lumpur.

Daybreak│Malaysia

September 10, 2014

5

"MRT and HSR are not the end of rail development periods. There are plans for more new developments in future such as LRT 2 & 3, MRT 2 and Trans-Asian railway," he said. He said the HSR project was still under the evaluation stage by both nations.

On the Trans-Asian Railway project, he said, all the Asean countries in Asia mainland would be connected with China through the railway.

"The project originally was to link Singapore to Kunming, China. But now the plan is to extend it up to Nanjing, China," he said. (Bernama)

The Malaysia External Trade Development Corporation (MATRADE) has developed several initiatives to address the challenges faced by Malaysian export companies in the global market and help them penetrate markets that are getting more complex. Its chairman Datuk Noraini Ahmad said among the programmes and initiatives was 'Go-Ex' programme and development programmes for mid-level companies. "Both initiatives involve specific assistance programmes structured according to the participating companies' abilities to increase their export skills. "This year MATRADE organises some 147 export promotion activities involving 436 markets in 20 sectors. Among the sectors are food, lifestyle, construction materials, franchise, oil and gas, electrical and electronics, transportation, halal, healthcare, information and communications technology and logistics," she added. (Bernama)

The government is committed to continue developing the fast growing private equity investment industry and is keen to attract global and regional private equity firms to make Malaysia their regional operations hub.

Minister in the Prime Minister's Department Senator Datuk Seri Abdul Wahid Omar said Malaysia offered much in terms of attractive cost of operations, offshore capital markets in Labuan and equally efficient transport connections to all regional cities.

"One of the ways to spur private investment is to make sure businesses have adequate excess to capital, which has traditionally been debt capital and equity capital, but another form of capital which we believe is still very much at initial stage is private equity.

"We have seen the growth of private equity market in Malaysia, growing at about the mid-teens level. We believe the potential can be a lot more, and the benefit would be tremendous as value would be created arising from private equity capital activities," he said.

For the first half of this year, private investment amounted to RM97.5 billion or 69 per cent of the total RM141 billion investment during the period. Last year, private investment stood at RM160 billion or 60.5 per cent of the total investment. (Bernama)

Malaysian companies have inked Memorandums of Understanding (MoUs) worth RM1.668 billion (US$521 million) with Chinese firms. The MoUs were signed between eight Malaysian companies and eight Chinese firms here on Tuesday, according to the Malaysia-China Chamber of Commerce (MCCC). (Bernama)

Daybreak│Malaysia

September 10, 2014

6

Regulatory changes will pose new challenges to corporations, says Companies Commission of Malaysia (CCM) Chief Executive Officer Datuk Mohd Naim Daruwish. He said the corporate community has a great responsibility to ensure high standards of professionalism and ethical conduct are observed in tandem with the legal reform and policies. "As the global corporate world evolves and becomes more complex, Malaysia's corporate regulations are also undergoing reform, including a review of the Companies Act 1965."Other legislation like the Competition Act and the impending Goods and Services Tax Act would also offer significant challenges in the way we do business," he said. (Bernama)

Malaysian companies have secured sales worth RM528.30 million during a specialised mission for the oil and gas (O&G) sector to Stavanger, Norway. "Sales were generated for waste heat recovery unit, accommodation barge, gaskets, metal expansion joints and special valves as well as engineering, procurement, construction, installation and commissioning business," said Malaysia External Trade Development Corporation (MATRADE). Under the services sector, it said sales were recorded for geosurvey and geotechnical, pipeline inspection and non-destructive testing, oil recovery and consultancy, among others. (Bernama)

India and Malaysia have agreed to strengthen a bilateral strategic partnership in environment and climate change, especially in protecting the interests of developing countries. At a bilateral meeting, Minister for Natural Resources and Environment Datuk G. Palanivel and his counterpart in India Prakash Javadekar reiterated the need to work closely in the domain of international negotiations so as to protect the interests of developing countries.

During the discussions both ministers discussed the possibility of cooperation in the areas of technical exchange for forest bio-diversity conservation with the focus on issues such as DNA finger-printing of wildlife animals, sustainable forest management, production forestry, strengthening forest based livelihoods, e-waste management, river cleaning and water conservation. They also discussed the possibility of enhancing bilateral cooperation in climate change and watershed management. (Bernama)

The Transport Ministry will propose to the government that vehicles from Thailand entering Malaysia be imposed the Vehicle Entry Permit (VEP) charge. Deputy Transport Minister Datuk Ab Aziz Kaprawi said it was hoped that the charge could be coordinated with the VEP charge imposed on foreign cars from Singapore entering through Johor, due to be implemented on Jan 1, 2015. He said the move to impose the VEP charge on vehicles from Thailand like those from Singapore was to standardise the cross-border fee system in the country. (Bernama)

The government introduces the Rent to Own scheme to help 1Malaysia People's Housing (PR1MA) applicants to face problems in obtaining housing loans from the bank. Prime Minister Datuk Seri Najib Tun Razak said the scheme was set up specially for the young generation to acquire their dream houses. "This programme is to help applicants who are rejected by the bank, such as those without permanent jobs or a bad track record. "Hence we agree with the bank to offer the Rent to Own scheme that enables the applicant to only pay rent within 20 to 30 years and the house will belong to them," he said. Najib also said the government agreed to build another 2,000 units of PR1MA houses at the Keretapi Tanah Melayu (KTM) depot site and 10,000 units in Labu hear here. (Bernama)

Daybreak│Malaysia

September 10, 2014

7

Seremban Sentral is an apartment housing project with the urban living concept that provides affordable apartments in a 23-ha area and is also equipped with public amenities, office buildings, shopping centre, medical facilities, educational campus, hotel and recreational parks. Seremban Sentral PR1MA is a public and private collaboration, between PR1MA, Public Private Partnership Unit (UKAS), Railway Assets Corporation (RAC), Keretapi Tanah Melayu (KTM), state government and private developer, Brunsfield International Group.

The housing project will be built in two phases comprising 1,504 units for the first phase and 1,692 units for the second phase. The house is furnished with two rooms and one bathroom or three rooms with two bathrooms, living room and kitchen, from which the buyer can select based on their financial capability. (Bernama)

The implementation of the Goods and Services Tax (GST) will put Malaysia on an equal footing with other countries in terms of export competitiveness, said Royal Malaysian Customs Department Director-General Datuk Seri Khazali Ahmad. He said although the sales tax regime did not tax exports, the exported goods themselves were not completely free of taxes since some of the hidden taxes, which cannot be relieved, would have been built into the final export pricing. "For example, some of capital goods and services consumed are taxed in the production of exported goods simply because there is no mechanism under the present tax system to relieve such hidden taxes.

"This ultimately makes our exported products less competitive in the international market," Khazali said. He said the GST was expected to enhance tax efficiency, since it is a multi-staged tax covering all sectors of the economy. (Bernama)

Political News

PKR remained coy on the possibility of submitting at least three names for the Selangor Menteri Besar post but the party confirmed it had sent a letter to the Palace following a royal rebuke last week for only nominating its president Datuk Seri Dr Wan Azizah Wan Ismail for the position. Secretary-general Datuk Saifuddin Nasution Ismail said the letter was signed by president Datuk Seri Dr Wan Azizah Wan Ismail and was submitted earlier today, in reply to the Palace's letter dated September 3.

"We have sent the letter to the Palace but I do not know the contents. All I know is that the letter was sent and it was acknowledged by the Palace," he said after attending the party's political bureau meeting tonight, adding that the meeting did not specifically discuss the issue of nominating more candidates for the post. (Malaysian Insider)

Corporate News

Federal Land Development Authority (Felda) has emerged as substantial shareholder in printing company BHS Industries an 11.1% stake. A filing with Bursa Malaysia showed Felda had acquired the eight million shares on Sept 5. The share price closed at RM2.86 on that day. BHS Industries is a profitable company, posting net profit of RM2.25mil in the fourth quarter ended June 30, 2014 and earnings of RM11.13m in FY ended June 30, 2014. (StarBiz)

Daybreak│Malaysia

September 10, 2014

8

Malaysia Airlines flight MH17 ripped apart mid-air after being hit by "numerous high energy objects" that ruptured the fuselage before crashing in eastern Ukraine, Dutch Safety Board said in a preliminary report on the crash. The Boeing 777-200 suffered structural damage after being penetrated from the outside pointing to a missile attack which resulted in structural damage and killing all 298 people onboard. The investigator said there was "no evidence of technical or human error", however, the report did not mention nor identify a missile strike as the cause of the tragedy.

"The initial results of the investigation point towards an external cause of the MH17 crash. More research will be necessary to determine the cause with greater precision. The Safety Board believes that additional evidence will become available for investigation in the period ahead."

"The preliminary report issues the first findings in an ongoing investigation. From this point on, the investigation team will be working towards producing its final report. The board aims to publish this report within one year of the date of the crash," Dutch Safety Board chairman Tjibbe Joustra said. (Malaysian Reserve)

The value of Platinum Sentral, which is to be injected by Malaysian Resources Corp Bhd into Quill Capita Trust (QCT), has been revised down from RM750m to RM740 representing a downward adjustment by 1.33%. Following the revision in value, QCT has announced to Bursa Malaysia that its purchase consideration for the KL Sentral property will be RM740m, of which RM486m will be satisfied in cash and another RM264m by the issuances of 206.25m new units to MRCB at RM1.28 per unit. (Financial Daily)

Malaysian telecoms company U Mobile is planning an initial public offering (IPO) as it embarks on a RM1.5bn network expansion, chief executive officer Wong Heang Tuck told Reuters. Wong declined to say much the company planned to raise or when it would launch the IPO. Asked about the offering, Wong said: "It depends on where the market is at that point in time... but we are on our way there." Privately owned U Mobile is Malaysia's fourth largest mobile phone operator by subscriber numbers. Its stakeholders include Malaysian billionaire Vincent Tan and Singapore Technologies Telemedia. (Malaysian Insider)

1Malaysia Development Bhd will likely defer listing its power assets to the first quarter of 2015, the Wall Street Journal reported. According to the report, one of the reasons for the delay was that 1MDB was still negotiating the terms of a loan it is seeking from banks. The IPO, which would raise US$3bn, was expected to be the largest IPO in South-East Asia this year. WSJ also reported that 1MDB had yet to apply for listing approval from securities regulator, including the stock exchange. (StarBiz)

Digistar Corp Bhd has received the conditional approval for a money lending licence from the Urban Wellbeing, Housing and Local Government Ministry. The information and communications technology and property development firm said in its filing with Bursa Malaysia that its unit Nielsen Ward Sdn Bhd received the letter from the ministry yesterday. The company has three months to fulfil the conditions imposed in the ministry’s letter dated Aug 20, 2014.

CEO Datuk Wira Lee Wah Chong told StarBiz that the conditions imposed by the ministry were straightforward and relatively simple, such as setting up an office.“The money lending licence will complement our existing businesses,” he added. The licence could come in handy when potential buyers of Digistar’s property in Malacca are limited with the certain thresholds banks can impose.

Daybreak│Malaysia

September 10, 2014

9

The Heritage, Digistar’s RM150mil gross development value serviced apartment project in Malacca, has seen a 70% take-up rate and is to be opened in November. The remainder 30% is to be rented out for recurring income. (StarBiz)

Datuk Choo Chuo Siang, a non-executive director in Pavilion REIT, has emerged as a substantial shareholder in property company Global Oriental Bhd (GOB) with 14.9m shares or a 6.55% stake. Choo is deemed to have an interest in GOB via Indera Muhibbah Sdn Bhd, which he acquired from Goh Chee Keen, Gan Wei Pin and How Wee Teck on Sept 3. This resulted in Goh, Gan and How ceasing to be substantial shareholders of GOB. GOB, formerly Equine Capital Bhd, is deemed linked to Pavilion REIT chairman Tan Sri Desmond Lim Siew Choon and tycoon Tan Sri Ta Kin Yan.

The company reportedly plans to kickstart more than RM2bn worth of developments next year. It has work underway to develop 106 acres in Batu Kawan, Penang, with a gross development value (GDV) of RM662m. It is also in a joint development with Lembaga Getah Malaysia in Ampang, Kuala Lumpur, with a GDV of RM1.2bn. (StarBiz)

In a move that came as a surprise, Tan Sri Mohd Nadzmi Mohd Salleh strengthened his hold on bus operator Konsortium Transnasional Bhd (KTB) by acquiring a further 15% in the company. This will increase his stake to almost 75% in KTB, the maximum that he can acquire without having to trigger a mandatory general offer. In an announcement yesterday, KTB said Nadicorp Holdings Sdn Bhd acquired 64m shares (or 15.89%) in the company from Affin Investment Bank at 62.5 sen each for RM40m. The off-market deal is worth more than double KTB’s closing share price of 30.5 sen on Monday. (StarBiz)

Brahmal Vasudevan, the founder of private equity fund Creador, described his entry into and partial exit from IFCA MSC Bhd as a "short term" trade. After his sale of 11.25m shares or 2.5% of IFCA on Sept 2, Brahmal, whose corporate moves are often watched by others, still has a 3% stake in the company. Following the announcement of Brahmal selling its stake, the share price of IFCA has seen some heavy selling.

The 3,196-unit Seremban Sentral 1Malaysia People's Housing (PR1MA) project is expected to be completed by 2017. PR1MA chairman, Tan Sri Jamaluddin Jarjis, said the project would be divided into two phases. The phase one, which would have 1,504 units, would be ready in 30 months and the rest in 36 months. "The prices of the houses are guaranteed to be 20 per cent cheaper than the prevailing market rate. We will study first the estimated income of the buyers and fix the prices which would be affordable to them. "We believe that the project will help an estimated 3,000 rakyat own houses in the town," he said. Jamaluddin said 12,000 people had registered to buy PR1MA houses in the state and about 8,000 had registered for Seremban Sentral project. PR1MA has more than 700,000 interested buyers listed on its national registration system. (Bernama)

Those who cannot secure bank loans for the 1Malaysia People's Housing Scheme (PR1MA) can own the units they are staying in by paying rental for up to 30 years, under a government plan. Prime Minister Datuk Seri Najib Tun Razak said the Rent-to-Own (RTO) scheme was designed to allow potential buyers, who could not afford these units or had been turned away by the banks due to various factors, to own PR1MA units. "Under the RTO scheme, the buyers will have to pay rent for, say, 20 to 30 years and will eventually own these units.

Daybreak│Malaysia

September 10, 2014

10

On our part, we will work something out with the banks and get them to help out in its implementation," he said. (Star)

The Kuala Lumpur-Singapore high-speed rail project is on track, with Malaysia having completed its feasibility studies on the project and Singapore about to complete its own evaluation, said the Land Public Transport Commission (SPAD). SPAD chairman Tan Sri Syed Hamid said he hope both parties could reach an agreement over the location of the HSR line. He added that the details of the HSR project would be more "definite" by January. (Financial Daily)

The Malaysian government has asserted its support to continue to expand the private equity (PE) sector in Malaysia in efforts to attract more participation from global and regional investors. Minister in the Prime Minister's Department Datuk Seri Abdul Wahid Omar said there are still ample opportunities that can be explored by the industry players in the oil and gas, consumer and real estate as well as the healthcare industry.

"The government has always supported the development of private equity in this country as they are seen to have an important role in driving economic growth," he said. (Malaysian Reserve)

Malaysia's second biggest pension fund, Retirement Fund Incorporated (KWAP) has appointed Nik Amlizan Mohamed as its new chief investment officer effective immediately. In a statement on Tuesday, KWAP said Nik Amlizan joined KWAP in 2007 as head of equity and subsequently became senior director, equity in February 2014. (StarBiz)

Battersea Power Station Development Co, which had begun a £10bn regeneration of the site on London’s south bank, aimed to finalise another round of financing by the end of October, its chief Rob Tincknell said on Monday. “We’re finalising arrangements for phase two and three of construction funding,” said Tincknell. He declined to reveal the value of the new construction funding, but said it would hopefully be finalised before he embarks on a world tour on Oct 29 to promote the project. (StarBiz)

Daybreak│Malaysia

September 10, 2014

11

BMSB: Changes in shareholdings

Type of No of Ave Price

9-Sep-14 Date transaction securities Company (RM)

EPF 27/8-28/8 Disposed 5,547,500 PETRONAS CHEMICALS

EPF 29/8-3/9 Disposed 5,192,300 TENAGA NASIONAL

EPF 4/9 Disposed 4,295,600 IHH HEALTHCARE

EPF 4/9 Disposed 3,162,700 TELEKOM MALAYSIA

EPF 4/9 Disposed 2,886,200 AMMB HOLDINGS

EPF 4/9 Disposed 2,346,100 YTL CORPORATION

EPF 3/9-4/9 Disposed 2,032,500 IOI PROPERTIES GROUP

EPF 4/9 Disposed 1,665,900 PUBLIC BANK

EPF 4/9 Disposed 1,659,100 PERDANA PETROLEUM

EPF 4/9 Disposed 1,217,200 DIALOG GROUP

EPF 4/9 Disposed 1,140,300 BERJAYA AUTO

EPF 3/9-4/9 Disposed 1,090,300 HONG LEONG BANK

EPF 4/9 Disposed 988,900 SAPURAKENCANA

EPF 3/9-4/9 Disposed 912,200 IOI CORPORATION

EPF 3/9-4/9 Disposed 678,800 MAXIS

EPF 4/9 Disposed 360,000 KPJ HEALTHCARE

EPF 27/9-4/9 Disposed 287,100 AFFIN HOLDINGS

EPF 4/9 Disposed 159,000 AFG

EPF 4/9 Disposed 135,200 DIGI.COM

EPF 4/9 Disposed 74,000 WAH SEONG CORPORATION

EPF 4/9 Disposed 38,300 LAFARGE MALAYSIA

EPF 4/9 Disposed 8,300 MBM RESOURCES

EPF 4/9 Disposed 4,500 SYARIKAT TAKAFUL

Skim Amanah Saham Bumiputera 2/9-4/9 Disposed 9,658,500 TENAGA NASIONAL

Skim Amanah Saham Bumiputera 3/9-4/9 Disposed 2,300,000 AXIATA GROUP

Lembaga Tabung Angkatan Tentera 27/8-2/9 Disposed 1,069,200 OCK GROUP 

Aberdeen Asset Management PLC 5/9-8/9 Disposed 68,200 SHANGRI-LA HOTELS

Mitsubishi UFJ Financial Group, Inc 3/9 Disposed 85,100 CIMB GROUP

Mitsubishi UFJ Financial Group, Inc 3/9 Disposed 21,100 SHANGRI-LA HOTELS

EPF 3/9 Acquired 5,000,000 AXIATA GROUP

EPF 4/9 Acquired 1,000,000 PAVILION REIT

EPF 4/9 Acquired 682,000 MAH SING GROUP

EPF 4/9 Acquired 560,700 YINSON HOLDINGS

EPF 4/9 Acquired 500,000 HOCK SENG LEE

EPF 4/9 Acquired 456,900 IJM PLANTATIONS

EPF 4/9 Acquired 400,000 IJM CORPORATION

EPF 4/9 Acquired 320,500 GAMUDA

EPF 3/9 Acquired 300,000 PERISAI PETROLEUM

EPF 4/9 Acquired 238,400 PRESTARIANG

EPF 4/9 Acquired 188,600 BIMB HOLDINGS

EPF 4/9 Acquired 158,900 UOA REIT

EPF 4/9 Acquired 148,800 TAN CHONG MOTOR

EPF 4/9 Acquired 139,000 POS MALAYSIA

EPF 4/9 Acquired 80,800 MALAYAN BANKING

EPF 4/9 Acquired 45,200 TIME DOTCOM

Great Eastern Holdings Limited 4/9-5/9 Acquired 74,200 SALCON

T. Rowe Price Associates, Inc 2/9 Acquired 660,700 ASTRO MALAYSIA

Mitsubishi UFJ Financial Group, Inc 3/9 Acquired 24,800 ORIENTAL HOLDINGS

JOBSTREET CORP 9/9 Shares Buy Back 1,000,000 JOBSTREET CORP 2.70

KPJ HEALTHCARE 9/9 Shares Buy Back 144,000 KPJ HEALTHCARE 3.88

WCT HOLDINGS 9/9 Shares Buy Back 100,000 WCT HOLDINGS 2.12

MUDAJAYA GROUP 9/9 Shares Buy Back 81,000 MUDAJAYA GROUP 2.07

SOURCES: BMSB

BMSB: Entitlements & trading rights

10-Sep-14 Ann Date Entitlement Ex-date Entitlement

BUMI ARMADA 12-Jun-14 Bonus issue 1:2, 1 Rights @ 1.35 10-Sep-14 12-Sep-14

THONG GUAN 2-Sep-14 1 Rights ICULS @ 2 shares; 1 Free Warrants : 2 Rights ICULS 12-Sep-14 17-Sep-14 SOURCES: BMSB, TE: Tax Exempt

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BMSB: Off-market transactions

9-Sep-14 Vol

KSTAR 21,312,000

ARMADA 15,000,000

AMBANK 10,375,381

ASIABIO 10,000,000

APFT 3,700,000

TIENWAH 1,405,000

GLOTEC 1,000,000

Notes:CN-Crossing deal on board lots

MN-Married deal on board lots MO-Married deal on odd lots

SOURCES: BMSB

BMSB: Dividends

Company Particulars Gross DPS (Sen) Ann Date Ex-Date Lodgement Payment

MAH SING GROUP 1st & final dividend - single tier 8.00 2-Jun-14 10-Sep-14 12-Sep-14 25-Sep-14

MEDIA PRIMA 1st interim dividend - single tier 3.00 14-Aug-14 10-Sep-14 12-Sep-14 30-Sep-14FELDA GLOBAL

VENTURESInterim dividend - single tier 6.00 25-Aug-14 10-Sep-14 12-Sep-14 29-Sep-14

WAH SEONG CORP 1st interim cash dividend - single tier 2.50 25-Aug-14 10-Sep-14 12-Sep-14 2-Oct-14

HOVID  Interim dividend - single tier 0.50 26-Aug-14 10-Sep-14 12-Sep-14 3-Oct-14

PRESTARIANG Interim dividend - single tier 1.44 27-Aug-14 10-Sep-14 12-Sep-14 25-Oct-14

WCT HOLDINGS Interim dividend - single tier 3.53 21-Aug-14 11-Sep-14 15-Sep-14 10-Oct-14

BINTULU PORT Interim dividend - single tier 6.00 26-Aug-14 11-Sep-14 15-Sep-14 9-Oct-14

LAFARGE MALAYSIA Interim dividend - single tier 9.00 29-Aug-14 12-Sep-14 17-Sep-14 15-Oct-14

WELLCALL HOLDINGS 3rd interim dividend - single tier 2.00 29-Aug-14 12-Sep-14 17-Sep-14 30-Sep-14

TOMYPAK HOLDINGS Interim dividend - single tier 1.00 14-Aug-14 15-Sep-14 18-Sep-14 8-Oct-14

SUNWAY BERHAD 1st interim dividend - single tier 5.00 8-Sep-14 22-Sep-14 24-Sep-14 7-Oct-14

UMW HOLDINGS Interim dividend - single tier 10.00 4-Sep-14 23-Sep-14 25-Sep-14 8-Oct-14

BERJAYA AUTO 1st interim dividend - single tier 2.00 8-Sep-14 23-Sep-14 25-Sep-14 8-Oct-14

STAR PUBLICATIONS Interim dividend - single tier 9.00 18-Aug-14 24-Sep-14 26-Sep-14 17-Oct-14

1st interim: 6 sen; special: 3 sen

CARLSBERG BREWERY Interim dividend - single tier 5.00 26-Aug-14 24-Sep-14 26-Sep-14 10-Oct-14

KPJ HEALTHCARE Interim dividend - single tier 1.45 26-Aug-14 26-Sep-14 30-Sep-14 21-Oct-14

GENTING Interim dividend - single tier 1.00 28-Aug-14 26-Sep-14 30-Sep-14 27-Oct-14

GENTING MALAYSIA Interim dividend - single tier 3.00 28-Aug-14 26-Sep-14 30-Sep-14 22-Oct-14

GENTING PLANTATIONS Interim dividend - single tier 3.00 27-Aug-14 26-Sep-14 30-Sep-14 17-Oct-14

DRB-HICOM Final dividend - single tier 4.50 5-Sep-14 1-Oct-14 3-Oct-14 30-Oct-14

AXIATA GROUP Interim dividend - single tier 8.00 5-Sep-14 7-Oct-14 9-Oct-14 24-Oct-14

EASTERN & ORIENTAL 1st & final dividend - single tier 3.00 22-Aug-14 8-Oct-14 10-Oct-14 5-Nov-14

SBC CORP 1st & final dividend - single tier 4.75 5-Sep-14 14-Oct-14 16-Oct-14 3-Nov-14

YTL CORPORATION 3rd interim dividend - single tier 9.50 28-Aug-14 29-Oct-14 31-Oct-14 14-Nov-14

YTL POWER Interim dividend - single tier 10.00 28-Aug-14 29-Oct-14 31-Oct-14 14-Nov-14

THONG GUAN INDUSTRIES Interim dividend - single tier 3.00 22-Aug-14 5-Nov-14 7-Nov-14 18-Nov-14

ASIA FILE CORP Final dividend - single tier 13.50 4-Sep-14 26-Nov-14 28-Nov-14 26-Dec-14

SOURCES: BMSB

BMSB: Proposed cash calls & trading of rights…

10-Sep-14 Ann Date Proposed

ECO WORLD 25-Apr-14 1 Rights @ 2, 4 Free Warrants @ 5, Private Placement

SBC CORP 27-May-14 Bonus issue 1:2

ASIA FILE CORP 6-Aug-14 Bonus issue 3:5

GHL SYSTEMS 20-Aug-14 Bonus issue 1:2

EASTERN & ORIENTAL 5-Sep-14 Bonus issue 1:10, Free Warrants 1:5

SOURCES: BMSB

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Corporate Actions

September 2014

SUN MON TUE WED THU FRI SAT

1 2 3 4 5 6

Replacement for National Day

External Trade

7 8 9 10 11 12 13

External Reserves (month-end data)

SP Setia 3Q, Industrial Production

14 15 16 17 18 19 20

Malaysia Day CPI MPC Decision B-Toto 1Q

21 22 23 24 25 26 27

External Reserves (mid-month data)

Pengkalan Kubor by-election

28 29 30

Money Supply

Source: Company, BNM, DOS, CIMB estimates

SOURCES: Company, BNM, DOS, CIMB estimates

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Corporate Actions

October 2014

SUN MON TUE WED THU FRI SAT

1 2 3 4

5 6 7 8 9 10 11

Hari Raya Qurban Replacement for Hari Raya Qurban

External Trade External Reserves (month-end data)

Industrial Production

12 13 14 15 16 17 18

CPI

19 20 21 22 23 24 25

Foreign Reserves (mid-month data)

Deepavali Awal Muharram

26 27 28 29 30 31

Money Supply

Source: Company, BNM, DOS, CIMB estimates

SOURCES: Company, BNM, DOS, CIMB estimates

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CIMB Recommendation Framework

Stock Ratings Definition

ADD The stock’s total return is expected to exceed 10% over the next 12 months.

HOLD The stock’s total return is expected to be between 0% and positive 10% over the next 12 months.

REDUCE The stock’s total return is expected to fall below 0% or more over the next 12 months.

The total expected return of a stock is defined as the sum of the: (i) percentage difference between the target price and the current price and (ii) the forward net dividend yields of the stock. Stock price targets have an investment horizon of 12 months.

*Prior to December 2013 CIMB recommendation framework for stocks listed on the Singapore Stock Exchange, Bursa Malaysia, Stock Exchange of Thailand, Jakarta Stock Exchange, Australian Securities Exchange, Taiwan Stock Exchange and National Stock Exchange of India/Bombay Stock Exchange were based on a stock’s total return relative to the relevant benchmarks total return. Outperform: expected to exceed by 5% or more over the next 12 months. Neutral: expected to be within +/-5% over the next 12 months. Underperform: expected to be below by 5% or more over the next 12 months. Trading Buy: expected to exceed by 3% or more over the next 3 months. Trading Sell: expected to be below by 3% or more over the next 3 months. For stocks listed on Korea Exchange, Hong Kong Stock Exchange and China listings on the Singapore Stock Exchange. Outperform: Expected positive total returns of 10% or more over the next 12 months. Neutral: Expected total returns of between -10% and +10% over the next 12 months. Underperform: Expected negative total returns of 10% or more over the next 12 months. Trading Buy: Expected positive total returns of 10% or more over the next 3 months. Trading Sell: Expected negative total returns of 10% or more over the next 3 months.