April7-Companies in the news HCK Capital, Press Metal, Cycle & Carriage Bintang, RHB Capital, Gabungan AQRS, Reach Energy, Titijaya Land, Pentamaster

by **Cals** Thu 07 Apr 2016, 01:11

Companies in the news

[size=28]HCK Capital, Press Metal, Cycle & Carriage Bintang, RHB Capital, Gabungan AQRS, Reach Energy, Titijaya Land, Pentamaster and Elsoft

By Meena Lakshana / theedgemarkets.com | April 6, 2016 : 11:59 PM MYT

KUALA LUMPUR (April 6): Based on corporate announcements and news flow today, companies that will be in focus tomorrow (Thursday, April 7) may include: HCK Capital, Press Metal, Cycle & Carriage Bintang, RHB Capital, Gabungan AQRS Bhd, Reach Energy, Titijaya Land, Pentamaster and Elsoft.

HCK Capital Group Bhd’s indirect subsidiary Koridor Efektif Sdn Bhd (KESB) is proposing to acquire a 12.14ha (hectares) industrial land in Demak Laut Industrial Park, Block 8 Muara Tebas Land District in Kuching, Sarawak for RM13.5 million or RM450,000 per acre, in cash.

The land has been given an indicative valuation by an independent valuer, of RM27 million.

Given the group’s effective 34.17% stake in KESB, HCK’s obligation in the purchase should be RM4.61 million, which will be funded via the group’s internal funds.

KESB has entered into a Deed of Novation Agreement with CTR Prefab System Sdn Bhd and Admuda Services Sdn Bhd for the proposed acquisition, after both parties entered into the principal agreement for the sale and purchase of the said land on May 21, 2015.

HCK said the group will be able to benefit from the future development of the said land and will enable HCK to further expand its property development segment.

Press Metal Bhd has received the second interim claim of RM50 million from its insurer, MSIG Insurance (Malaysia) Bhd, for the fire incident at the smelting plant of its subsidiary last year, bringing its total received interim claim due to the fire, to RM70 million.

The fire broke out on May 17 last year at the smelting plant of its 80%-owned unit, Press Metal Bintulu Sdn Bhd, in the Samalaju Industrial Park, Bintulu, Sarawak, which cost the company up to RM160 million in lost revenue, after a three-week closure.

Cycle & Carriage Bintang Bhd has appointed former Time Dotcom executive director and deputy chief executive officer (CEO) Rossana Annizah Ahmad Rashid as deputy chairman, effective April 19, 2016.

Rossana was also previously Maxis Bhd’s chief financial officer (2003-2011) and the senior general manager and head of enterprise bank at RHB Bank Bhd (1994-2003). She is currently a non-executive independent director at IHH Healthcare Bhd.

RHB Capital Bhd (RHB Cap) has started its internal reorganisation with four payment-by-cash agreements with RHB Bank, with the first being a share sale agreement to transfer its entire equity interests and its units to the latter for approximately RM3.41 billion.

In the second agreement, its wholly-owned unit RHB Hartanah Sdn Bhd and RHB Bank had signed an asset purchase agreement for RHB Bank to acquire certain RHB Hartanah’s assets and liabilities, including its subsidiary RHB Property Management Sdn Bhd, for approximately RM298.37 million, said RHB Capital in its bourse filing.

The third is a sale and purchase agreement between RHB Hartanah and RHB Bank, for the acquisition by RHB Bank of a piece of 1.027ha land in Kuala Lumpur, and RHB Centre, for a total consideration of about RM225.46 million.

The fourth is a sale and purchase agreement between RHB Hartanah and RHB Bank for the acquisition by RHB Bank of 0.5ha land in Kuala Lumpur, for RM67.69 million.

Gabungan AQRS Bhd, a construction and engineering service provider as well as niche property developer, said its subsidiary is selling a piece of leasehold land measuring 7.98 acres for RM50.38 million, to help pay its borrowings and reduce its gearing.

In a bourse filing, the company said its 52%-owned unit, Prestige Field Development Sdn Bhd (PFD), is disposing of the land in Petaling district, Selangor, to Stratmont Development Sdn Bhd. The sale is expected to result in a gain of RM14.7 million.

Reach Energy Bhd said it has no plans to launch a cash call on investors to fund the capital expenditure (capex) incurred by its qualifying asset (QA) in the near term.

The special purpose acquisition company (SPAC) is acquiring a controlling 60% stake in Kazakhstan's Emir-Oil fields for US$154.9 million (RM638.2 million). Emir-Oil will be Reach Energy's first hydrocarbon asset.

Reach Energy's managing director Shahul Hamid Mohd Ismail said the capex for its QA from now until 2019, amounts to some US$15 million, which will be funded internally.

He said from 2019 onwards, the company requires a capex of about US$30 million, which will also be funded internally and from within the joint venture with its partner. The capex is for upgrading the facility and infrastructure at the oil fields.

Titijaya Land Bhd has entered into a residential management agreement with The Ascott Ltd for two of its upcoming property developments located in Penang and Shah Alam, Selangor, which have a collective gross development value (GDV) of RM4.1 billion.

Titijaya expects to launch both the projects by 2017.

At the signing ceremony today, Titijaya's group deputy managing director Lim Poh Yit said the collaboration will serve as a valuable avenue for the property developer to enter into the international market.

The term of agreement is 10 years, with an option to extend for another five years, on mutual agreement by both parties.

Pentamaster Instrumentation Sdn Bhd (PISB), a subsidiary of Pentamaster Corp Bhd, is seeking an injunction againstElsoft Research Bhd and the latter’s wholly-owned subsidiary, AGS Automation (M) Sdn Bhd (AGS), to prevent them from producing and trading a product alleged to have infringed on PISB’s patents.

In a bourse filing, Elsoft said this is among the reliefs and claims stated in the statement of claim accompanying the writ of summons which it received from PISB today.

PISB is also seeking delivery of all alleged infringing products, as well as related information and documents under possession of Elsoft and AGS or their agents, associated companies, sellers and customers, within a week from the date of the final order, or judgement is it wins the suit.

Elsoft, a light-emitting diode (LED) automated test equipment manufacturer, said PISB is also seeking damages suffered as a result of the alleged infringement.

Elsoft also said there is a possibility that PISB will seek an interlocutory injunction, pending a full trial against Elsoft and AGS, to restrain them from further manufacturing and using the alleged infringing product.

“In the event that such an injunction is obtained, Elsoft and AGS are compelled to stop production of such alleged infringing product, and this will have financial and operational impact on Elsoft,” the filing stated.

Elsoft and AGS have been named as defendants in PISB’s lawsuit against QAV Technologies Sdn Bhd, for allegedly using a product and/or a process falling within the scope of protection of PISB’s patents.

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