April 16th - Stocks To Watch Dijaya, Puncak Niaga, Bina Puri, Hwang-DBS, TAS and Industronics

Stocks To Watch Dijaya, Puncak Niaga, Bina Puri, Hwang-DBS, TAS and Industronics
Business & Markets 2013
Written by Ho Wah Foon of theegemalaysia.com
Monday, 15 April 2013 19:43


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KUALA LUMPUR (April 15): Based on corporate announcements, the stocks that may attract trading interest on Tuesday (April 16) could include Dijaya, Puncak Niaga, Bina Puri, Hwang-DBS, TAS Offshore and Industronics.

DIJAYA CORPORATION BHD [] announced it has acquired 1,172 acres of prime development land in Canal City, Selangor, that could have potential GDV of RM20 billion over 15-20 years.

In a statement, Dijaya said it has today entered into an agreement to acquire the state-owned land from Permodalan Negeri Selangor Bhd (PNSB) for about RM1.3 billion via a deferred payment method spanning up to 20 years.

The purchase consideration comprises land purchase price of RM587 million, interest cost, share of gross development value (GDV) and profit entitlement from the development.

“This land development is expected to contribute significantly to the group’s prospects in the coming years,” Dijaya said.

The land, targeted for an integrated self-contained township development, is earmarked for launch within two years.

Datuk Dickson Tan, its group managing director, said: “With strong prospects for capital appreciation due to excellent accessibility, this project can potentially generate a GDV of up to RM20.0 billion when fully completed over its 15-20 year targeted development timeframe.”

PUNCAK NIAGA HOLDINGS BHD [] announced that its indirect wholly owned unit, GOM Resources Sdn Bhd, has bagged a service contract worth RM187.3 million from American oil company HESS.

The company told Bursa that the contract includes the provision of the integrated transportation and installation of offshore facilities for early production scheme, integrated gas development project and North Malay basin field.

It added the contract period will be 17.5 months and it has the option to extend for another two years.

Puncak Niaga anticipates that the project would contribute positively to its future earnings and net assets.

BINA PURI HOLDINGS BHD [] said its unit Bina Puri (Thailand) Ltd has secured a warehouse CONSTRUCTION [] to design and build The Unilever Distribution Centre 2 for THB808.80 million (RM80.88 million).

The warehouse distribution centre, to be located at Ban Klong Prueng in Bangkok, will be completed within 14 months.

In a statement today, Bina Puri group managing director Tan Sri Tee Hock Seng said, “Since our venture into the Thailand construction industry in 2003, this is the sixth warehouse and factory construction awards received by Bina Puri.”

The company said the contract is expected to contribute to the earnings of Bina Puri Group for the current financial year.

Hwang-DBS Bhd said Bank Negara Malaysia (BNM) has given approval for the company to start preliminary talks with AMMB HOLDINGS BHD [] and AFFIN HOLDINGS BHD [] for its proposed sale of the entire stake in HwangDBS Investment Bank Bhd.

In a statement to the exchange today, Hwang-DBS said BNM's approval is valid for six months.

"Further details on the possible disposal will be announced in due course," Hwang-DBS said.

The share price of the company, which is strong in stockbroking and investment banking, has been running since the news on its intended sale broke. It closed at RM4.24, up 6 sen, today.

TAS Offshore Bhd (TAS) announced that its wholly-owned unit has secured new contracts to sell two units of Anchor Handling Tug Oil Recovery Supply Vessel and two units of Offshore Construction Vessel for RM160 million.

The four units of vessels were sold to overseas customer.

“The revenue stream from the contracts is expected to contribute positively to the earnings and assets of TAS Group for financial years ending 31 May 2014 and 2015,” said the company in its filing with Bursa Malaysia.

Separately, the company also announced that it posted a net profit of RM5.25 million for the third quarter ended Feb 28, 2013, up from RM712,000 in the corresponding previous year. Revenue jumped to RM41.1 million, up from RM18.9 million.

Cumulatively in the nine months to end-February 2013, TAS posted a net profit of RM10.4 million on revenue of RM89.6 million, compared to RM4.2 million profit on revenue of RM68.2 million in previous corresponding period.

INDUSTRONICS BHD [] announced that a British Virgin Islands based company, CKLY Equity Holdings Ltd, has acquired a 7.52% stake in the company.

In a filing with Bursa Malaysia, it said CKLY bought 7.08 million shares, equivalent to 7.52% stake in Industronics, from the open market on April 9.

On April 9, the stock was trading within 59-60 sen per share. It closed at 58.5 sen today.

Industronics Bhd is involved in the design, provision and integration of high TECHNOLOGY [] systems and products.

Industronics Bhd
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