May 7th - Stocks To Watch Government , political-linked companies, Supermax, Dayang, Global Carriers, TH Heavy, Tasek

Business & Markets 2013
Written by Chong Jin Hun of theedgemalaysia.com
Monday, 06 May 2013 18:40
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KUALA LUMPUR (May 6): Based on post-election news flow and stock
exchange announcements, today, stocks to watch tomorrow (Tuesday,
April 7) may include the following companies.
Government and political-linked companies, the shares of which
gained today after Barisan Nasional (BN) won Malaysia's 13th general
election, may be closely monitored by investors.
These include CIMB Group Holdings Bhd, SapuraKENCANA
PETROLEUM BHD [], UEM LAND HOLDINGS BHD [], MALAYAN
BANKING BHD [], MALAYSIAN AIRLINE SYSTEM BHD [] and
GAMUDA BHD []. Having posted gains in active trade, it remains to be
seen if these stocks will be subject to profit-taking tomorrow.
This is in anticipation of a rally this Wednesday (May 8) by opposition
coalition Pakatan Rakyat to protest against the election outcome.
Reuters quoted opposition leader Datuk Seri Anwar Ibrahim as saying in a statement today that he would not accept the
result because it was marred by "unprecedented" electoral fraud. He has called for a rally in the capital Kuala Lumpur on
Wednesday.
Meanwhile, Reuters, quoting ruling party sources, also reported that Prime Minister Datuk Seri Najib Tun Razak may have to
step down by the end of the year, after his coalition extended its 56-year rule but recorded its worst-ever election
performance.
Najib, 59, had staked his political future on strengthening the ruling coalition's parliamentary majority in Sunday's general
election on the back of a robust economy, reforms to roll back race-based policies and a $2.6 billion deluge of social
handouts to poor families.
But he was left vulnerable to party dissidents after his BN coalition won only 133 seats in the 222-member parliament, seven
short of its tally in 2008 and well below the two-thirds majority it was aiming for.
The spotlight may also be on Supermax Corp Bhd on the rubber glove manufacturer’s chief and major shareholder’s recent
statement that he would support opposition alliance Pakatan Rakyat in Malaysia's just-concluded general election. Shares of
the company fell among top decliners today.
Supermax CEO and group managing director Datuk Seri Stanley Thai had told Bloomberg in an interview prior to the election
yesterday that "he was joining thousands of fellow ethnic Chinese citizens in abandoning support" for BN to support the
opposition during the national poll.
The manufacturer has indicated that it plans to seek its shareholders’ consent to buy back its own shares amounting to a
maximum of 10% of its issued and paid-up share capital.
Meanwhile, DAYANG ENTERPRISE HOLDINGS BHD [] has secured a RM313.6 million oil and gas (O&G) support-services
project from Murphy Sarawak Oil Co Ltd.
The job involves the provision of hook-up, commissioning and topside major maintenance services from 2013 to 2018.
Investors may be eyeing further updates from GLOBAL CARRIERS BHD [] after the shipping firm said trading of its shares
will be suspended beginning tomorrow. This is because the company was not able to issue its annual audited financial
statements for the year ended December 31, 2012 by the deadline set by regulators.
According to Global Carriers, it was not able to issue its financial statements by April 30 this year as its external auditors had
"expressed concerns that they have not been able to obtain sufficient audit evidence to form an opinion for the purpose of
issuance of the statements”.
TH Heavy Engineering Bhd plans to place out 92.8 million new shares or 10% in the O&G support --services provider at 45
sen each to GuoLine Capital Ltd and individual investor Quek Kon Sean.
The exercise is expected to raise RM41.76 million to finance TH Heavy's working capital and investments.
Investors may continue to accumulate Tasek Corp Bhd to be entitled to the cement manufacturer's dividends. The stock will
trade ex-dividend next Monday( May 13).
Tasek plans to pay a final and special dividend with a combined value of 90 sen a share less income tax of 25% for the fourth
quarter ended December 31, 2012. These bring its full-year dividends to RM1.20 a share.