The EDGE - 21 November 2023

CEOMorningBrief TUESDAY, NOVEMBER 21, 2023 ISSUE 672/2023 theedgemalaysia.com

CEOMorningBrief TUESDAY, NOVEMBER 21, 2023 ISSUE 672/2023 theedgemalaysia.com GAMUDA LAND MAKES HAT-TRICK HISTORY AT THE EDGE’S TOP PROPERTY DEVELOPERS AWARDS 2023 p8 HOME: Govt applies to strike out Halim Saad’s suit, Nor Yakcop says Halim accepted compensation offer p2 Over 60% of GLIC funds invested in Malaysia, with up to 62.7% in local equities p5 AGC had consistently assured parliamentary panels that GEG provisions are constitutional, says think tank p6 Economists see smaller contraction in Malaysia’s 2023 exports after stronger October data p12 WORLD: Chinese, Saudi central banks sign currency swap worth US$7 bil p23 Report on Page 4. Govt mulls life-cycle approach for social protection reform LOW YEN YEING/THE EDGE

TUESDAY NOVEMBER 21, 2023 2 THEEDGE CEO MORNING BRIEF PUBLISHED BY ( 2 6 6 9 8 0 - X ) TEL . 603-77218000 Level 3, Menara KLK, 1 Jalan PJU 7/6, Mutiara Damansara, 47810, Petaling Jaya, Selangor, Malaysia PUBLISHER + CEO . Ho Kay Tat EDITOR-IN-CHIEF . Kathy Fong CHIEF COMMERCIAL OFFICER . Sharon Teh CHIEF OPERATING OFFICER . Lim Shiew Yuin EDITORS . Jenny Ng . Tan Choe Choe Lam Jian Wyn TO CONTACT EDITORS: [email protected] TO ADVERTISE: [email protected] THE EDGE CEO MORNING BRIEF Read from desktop or mobile device. You can print in A4 to read. Set print mode to fit or shrink oversize page. TO GET ON EMAILING LIST [email protected] Govt applies to strike out Halim Saad’s suit, Nor Yakcop says Halim accepted compensation offer KUALA LUMPUR (Nov 20): The Attorney General Chambers, appearing for former prime minister Tun Dr Mahathir Mohamad, former minister Tan Sri Nor Mohamed Yakcop and the government, has applied to strike out the suit filed by businessman Tan Sri Halim Saad. It filed the striking out application on Nov 16, saying the suit is frivolous, vexatious and an abuse of the court process. It has also applied to stay all proceedings until the determination of this (striking out) application. The application to strike out the suit has been fixed for hearing on May 14 next year, before Judicial Commissioner Dr Suzana Mohamad Said. The application to strike out the suit is supported by an affidavit in support by Nor Mohamed, in which he affirmed that Halim had supported the general offer on United Engineers Malaysia Bhd (UEM) on his own choice, without any inducements from the defendants. “Halim accepted the offer from Khazanah Nasional (Bhd) to acquire his shares and the implementation to acquire Halim’s shares was completed on Oct 8, 2001. I affirmed that the takeover of Halim’s stake was not done compulsorily, as there had been a series of negotiations to finalise the compensation that should be paid,” he said. “In Halim’s letter to Dr Mahathir on Nov 13, 2002, Halim let Dr Mahathir decide on the adequate compensation to be paid to him (Halim). He (Halim) stipulated that what he wanted was to be free of debt,” the former minister (Nor Mohamed) added. In a letter from Halim dated May 13, 2003 to Khazanah, Nor Mohamed said Halim said he was in agreement to receive RM165 million as the final settlement amount to the claim for the losses he suffered in losing control of Renong Bhd and the UEM group. BY HAFIZ YATIM theedgemalaysia.com Correction: With regard to the article titled, ‘Govt confirms in talks with concessionaires to avoid toll hikes on 19 highways’ that was published on www.theedgemalaysia.com on Nov 16 and in the The Edge CEO Morning Brief on Nov 17, 2023, it should be noted that the restructuring of toll concessions for the 19 highways under Amanat Lebuhraya Rakyat Bhd, Projek Lintasan Kota Holdings Sdn Bhd, IJM Corp Bhd, ANIH Bhd and PLUS Malaysia Bhd, has already been completed, and not as reported. The error is regretted. Negotiations for other highways, including the East Coast Highway Phase 2 or LPT2, meanwhile, are ongoing. HOME Nor said by extension of Halim’s letter, Halim was paid the RM165 million by Khazanah via two tranches, namely RM45 million on May 22, 2003 and the second tranche of RM120 million on May 26, 2003. He added that Halim had agreed to receive the compensation of RM165 million, despite claiming that it was not ample compensation. “However, this is not the first time that Halim had filed this suit as a result of him not being satisfied with the compensatory amount, and he filed a RM1.3 billion suit in 2013, where the defendants including myself (Nor Mohamed), filed a striking out application at the High Court. “Halim claimed there was an agreement as cited in his letters dated July 18, 2001, over the terms of compensation by Khazanah but Dr Mahathir did not give a response or answer. As a result, the High Court decided there was no agreement which bound both parties as per the alleged letters on July 18, 2001. “The court further ruled to strike out the suit based on it being filed way past the limitation period, as it should have been filed by 2008,” Nor Mohamed said, adding that Halim’s new suit is also bound by the Limitation Act 1953. Prior to this, Halim maintained allegations of being forced by Mahathir and Nor Mohamed to sell his stake in Renong and UEM, hence causing a loss of property to him and constituting a breach of his rights. The businessman (Halim) filed his latest suit in August this year, claiming he suffered losses as a result of concerted efforts by the authorities to stop his bid to take over UEM, which then owned prized assets — including the North South Expressway’s toll concession. In the case management before High Court’s senior assistant registrar Nik Nur Amalina Mat Zaidan on Monday, all parties were also directed to exhaust affidavits to the striking out application that will be heard next year before Suzana. In Halim’s letter to Dr Mahathir on Nov 13, 2002, Halim let Dr Mahathir decide on the adequate compensation to be paid to him (Halim). He (Halim) stipulated that what he wanted was to be free of debt.” — Tan Sri Nor Mohamed Yakcop.

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TUESDAY NOVEMBER 21, 2023 4 THEEDGE CEO MORNING BRIEF HOME KUALA LUMPUR (Nov 20): As of Oct 5, 2023, the Employees’ Provident Fund (EPF) Account 2 Support Facility Programme (FSA2) has received a total of 223,018 applications, with only 29% or 64,965 applications approved, said Finance Minister Datuk Seri Anwar Ibrahim. These approvals, processed by MBSB Bank and Bank Simpanan Nasional (BSN), involve a total funding of RM1.3 billion, Anwar stated in a written reply to Datuk Mohd Suhaimi Abdullah (PN-Langkawi) on Monday. FSA2 is a programme designed to assist EPF members in obtaining personal financing from banking institutions. Currently, two banks are participating in FSA2 — MBSB and BSN. FSA2 offers a maximum financing amount of RM50,000 (subject to EPF Account 2 balance) and a repayment period of up to 10 years. Among the conditions is that the applicant must have a minimum of RM3,000 in EPF Account 2. To a separate question from Zulkifli Ismail (PN-Jasin), Anwar stated that, as of Sept 30, 2023, a total of 6.3 million EPF members under the age of 55, or 48%, have a savings balance of less than RM10,000 in their EPF accounts. This is an increase from the 4.7 million members representing 37% of EPF’s total members that were recorded in April 2020, before the introduction of special withdrawals related to Covid-19. With savings below RM10,000, contributors are expected to have a retirement income of less than RM42 per month for a 20-year period, said Anwar, who is also Malaysia’s prime minister. Anwar highlighted that the issue of insufficient EPF savings is severe, especially considering Malaysia’s rapidly ageing population, which will impact the country’s economy and productivity, and the social well-being, quality of life, and health of its people. In an effort to enhance retirement savings and encourage voluntary contributions, Anwar said the government, through Budget 2024, has increased the government matching contribution limit to RM500 per year, under the i-Saraan programme that allows self-employed EPF members or those without a fixed income to make voluntary contributions. Additionally, under the i-Suri programme — which allows housewives registered under the National Database on poverty (e-Kasih) to contribute to the EPF — housewives under 55 registered in the e-Kasih database can receive a matching contribution incentive, with a lifetime incentive capped at RM3,000 per individual and an annual matching incentive limit of RM300. The EPF has also implemented various strategies, including allowing members to contribute beyond the 11% statutory rate and for them to make voluntary contributions with an annual limit of RM100,000, starting from June 1, 2023. The government has also implemented outreach campaigns such as “Jom Tambah”, and increased mobile teams, particularly in remote areas, to engage more Malaysians to contribute to the EPF. “EPF has initiated collaborations with agencies and gig platform providers, such as Grab Malaysia and GoGet Malaysia, to facilitate direct contribution channels for gig workers, simplifying their retirement savings process,” Anwar added. Over 64,000 applications for loans supported by EPF savings approved as of Oct 5 KUALA LUMPUR (Nov 20): The government is seeking to formulate social protection policies through a life-cycle approach, as one of three initiatives to achieve social protection reforms in the country, said Deputy Finance Minister Datuk Seri Ahmad Maslan. The other two initiatives are to formulate guidelines for a more comprehensive social protection among informal workers, and the expansion of the People’s Income Initiative programme, which seeks to increase the income of hardcore poor and those in the bottom 40% of the income bracket. Officiating the 40th Asean Social Security Association (ASSA) seminar on Monday, Ahmad said the government is exploring the expansion of the social protection network to “raise the floor” of social protection for Malaysians. “This starts with establishing a social protection floor, encompassing basic income security for key target groups, before pursuing minimum standards under the International Labour Organisation Convention,” he said. Khazanah Research Institute, one of the proponents of the life-cycle approach, said in 2021 that it is “forward-looking in preventing poverty and addressing vulnerability”, rather than the current charity-model or poverty-targeting that is seen in Malaysia. The life-cycle approach of social protection provides basic protection to citizens from the cradle to the grave. By reflecting different risks or vulnerabilities faced by individuals in different stages of life, the social protection programmes are thus designed to address those risks at those stages. In contrast, the charity model approach is often characterised by a focus on shortterm relief, and is typically implemented through the provision of aid or donations. In short, a life-cycle approach to social protection entails “investing” to ensure the entire population could overcome social and economic risks throughout their lifetime, instead of becoming dependent on assistance. Govt mulls life-cycle approach for social protection reform Similarly, Malaysia’s private sector retirement fund, the Employees Provident Fund (EPF), in July highlighted that a more inclusive social protection system is needed in the country, in view that it is currently narrow and inadequate. Among approaches being explored by the EPF to improve the social protection coverage are a basic income drawdown option, and the multi-layer income framework through the introduction of a contributory national pension. The approach towards social protection is not the only issue to be addressed. From the retirement perspective, insufficient EPF savings is also seen to be at a “serious level”, Prime Minister Datuk Seri Anwar Ibrahim said in a written reply to the Dewan Rakyat on Monday. Currently, the number of EPF members aged below 55 who have less than RM10,000 savings in the fund has increased to 6.3 million, from 4.7 million at end-April 2020, Anwar said. Only 9.1% of intended beneficiaries in Malaysia are covered by social protection, compared with an average of 55.1% in Asia, and 12.8% globally, according to data presented by Datuk Norma Mansor, director of Universiti Malaya’s Social Wellbeing Research Centre and president of the Malaysian Economic Association. BY ADAM AZIZ theedgemalaysia.com BY CHOY NYEN YIAU theedgemalaysia.com

TUESDAY NOVEMBER 21, 2023 5 THEEDGE CEO MORNING BRIEF HOME KUALA LUMPUR (Nov 20): A total of RM106.93 million has been used for the payment of user requirement provisions before the contract for the National Integrated Immigration System (NIISe) was cancelled, says Minister of Home Affairs Datuk Seri Saifuddin Nasution Ismail. In a parliamentary written reply to Datuk Mas Eemieyati Samsudin (PN-Masjid Tanah), Saifuddin stated the government decided to terminate the NIISe contract “due to the company’s failure to fulfil its obligations within the stipulated period based on the agreed agreement”. Home minister: RM106.93 mil spent before NIISe contract terminated KUALA LUMPUR (Nov 20): More than 60% of government-linked investment companies’ (GLICs) funds are invested locally, with 15.8% to 62.7% invested in Malaysian-listed equities from Jan 1, 2019 to Aug 31, 2023, according to Deputy Finance Minister II Steven Sim. This is led by the Employees Provident Fund (EPF), with an average of 64.9% of its RM1.096 trillion fund invested in the domestic market. Of its entire fund base, 24.4% is invested in local listed equities. For Permodalan Nasional Bhd (PNB), whose total investment is RM332 billion, an average of 84.3% is invested domestically, where 74.4% is in domestically listed equities, Sim said. “Kumpulan Wang Amanah Pencen (KWAP) holds RM167 billion, with an average investment of 79.3% in the domestic market, where 45.2% is in domestically listed equities. “Lembaga Tabung Haji (LTH) has RM91 billion, and the average investment in the domestic market is 90.1%, with 18.3% in domestically listed equities. “Lembaga Tabung Angkatan Tentera (LTAT) manages RM10.5 billion, with the entire fund invested in the domestic market, of which 52% is in domestically listed equities,” said Sim, in response to Jimmy Puah (PH-Tebrau) during the oral question and answer session at Dewan Rakyat on Monday. GLIC participation in the Malaysian equity market represents 7.7% of the total average daily traded value, focusing on sectors such as banking, commodity-related industries, and others, according to Sim. “The Ministry of Finance believes that based on the allocation of their respective strategic assets, GLICs will remain committed to making investments in the country, including in Bursa Malaysia, where GLIC participation is seen to strengthen the local equity market,” says Sim. On Khazanah Nasional Bhd, Sim said the sovereign wealth fund manager has made domestic investments of RM9.2 billion from 2019 to 2022, equivalent to 32.5% of the total investment worth RM28.3 billion. “As of Dec 31, 2022, Khazanah’s total investment portfolio with realisable asset value is as much as RM122.5 billion. Of this amount, the market value of Khazanah’s holdings in the country amounted to RM81.2 billion or 66.3%,” said Sim. In total, the six funds held RM451.3 billion in local listed equities, or 25.6% of the Malaysian listed equities’ market capitalisation as at Sept 30, 2023, he said. Meanwhile, touching on government investments in Minister of Finance (Incorporated) (MOF Inc) companies, Sim said the purpose is to serve as “a catalyst for the marOver 60% of GLIC funds invested in Malaysia, with up to 62.7% in local equities ket and filling market gaps in certain sectors that cannot be explored or lack private sector involvement due to high investment costs”. “Additionally, MOF Inc companies’ investment aims to provide basic infrastructure and services to the people, such as utilities and public transport, where these services receive less attention from the private sector,” Sim added. Sim added that as of Sept 23, 2023, the Malaysian equity market size increased by RM42.68 billion or 2.5% to RM1.78 trillion, compared to RM1.74 trillion on Dec 31, 2022. In terms of transacted units, Sim stated that up to Aug 31, 2023, the total number increased by 14.4% from 489.4 billion units to 559.6 billion units, with the average daily transactions also increasing by 15.1% from three billion units to 3.5 billion units. On government-linked companies (GLCs), Sim mentioned that these companies’ investments are more focused on domestic capital expenditure for company expansion, including the purchase of assets for their business and operations. Most of the capital expenditures are concentrated in companies such as Tenaga Nasional Bhd, Malaysia Airports Holdings Bhd, and Telekom Malaysia Bhd, all of which are under the portfolio of Khazanah. BY CHOY NYEN YIAU theedgemalaysia.com BY CHOY NYEN YIAU theedgemalaysia.com Investments in Malaysia held by GLICs Fund Local listed equity % of Fund size holding (RM bil) domestic (RM bil) (as at Sept 30, 2023) equity Domestic Domestic market investments listed value (%) equities (%) EPF 154.12 8.75 1,096 64.9 24.4 PNB 159.70 9.07 322 84.3 74.4 KWAP 56.21 3.19 167 79.3 45.2 LTH 15.67 0.89 91 90.1 18.3 LTAT 2.90 0.16 10.5 100.0 52.0 Khazanah 62.70 3.56 122.5 66.3 51.0 Total 451.30 25.63 Local equity market size 1,761.00 Note: KWAP local listed equity holding as at Aug 31, 2023. Source: Ministry of Finance Average investments (2019 to Aug 31, 2023) The RM1.12 billion project was awarded to Iris Information Technology Systems Sdn Bhd (IITS), a subsidiary of Iris Corporation Bhd, effective from March 1, 2021, until Aug 31, 2025. However, the government decided to terminate the agreement with IITS through a notice dated Aug 10, 2023, with effect from Aug 14, 2023, Saifuddin said. Saifuddin said since the project’s implementation on March 1, 2021, its performance has never met the planning schedule that was set. CONTINUES ON PAGE 6

TUESDAY NOVEMBER 21, 2023 6 THEEDGE CEO MORNING BRIEF HOME “The progress of the physical work of the project was delayed for four months, the company failed to provide the development environment to start the development of the system, and failed to complete the handovers within the prescribed remedy period,” Saifuddin said. The user requirement provisions which have been paid for were nonetheless successfully finalised and completed, he added. Saifuddin said the government is currently conducting a pre-qualified open tender procurement to identify contractors with high capabilities to implement the stalled NIISe project and provide value for money returns to the government. “The appointment of this new contractor is expected to take place after the pre-qualification open tender procurement process is completed, and the NIISe project will be implemented in stages in 264 locations across the country, including 27 Immigration Attachés around the world,” Saifuddin added. NIISe was developed to replace the existing system in the Malaysian Immigration Department, which is the myIMMs System that has been operating for more than 20 years. KUALA LUMPUR (Nov 20): The Galen Centre for Health and Social Policy has refuted the recent claim by the attorney general that his office has been consistent in its stance that the tobacco and vape generational end game (GEG) provisions in the Control of Smoking Products for Public Health Bill 2023 could be unconstitutional. The think tank said that at all the consultation meetings since the bill was first proposed in 2022, including those held by three Parliamentary Special Select Committees (PSSCs), representatives of the Attorney General’s Chambers (AGC) had given the assurance that the GEG provisions were legally sound. The PSSC on Health, Science and Innovation and the PSSC Studying the Control of Tobacco Products and Smoking Bill held their meetings in 2022, while the PSSC on Health’s meeting was in 2023. “This concern was raised by Members of Parliament during the early stages and in various PSSC deliberations. Representatives of either the Ministry of Health’s legal adviser or the AGC were asked to respond and answer,” said Galen Centre chief executive officer Azrul Mohd Khalib. “If there was any consistency to be had, it was the continued assurance from the legal side that the GEG provisions were on the right side of the law, and specifically the Federal Constitution. Whether they were palatable from a political perspective, was a separate consideration,” Azrul said in a statement on Monday. The GEG provisions, first proposed by former health minister Khairy Jamaluddin in 2022, seek to prohibit the sale to and use of conventional and electronic cigarettes for anyone born from 2007 throughout their lifetime. On Saturday, Attorney General Datuk Ahmad Terrirudin Mohd Salleh said the AGC had consistently provided legal views since 2022 that the provisions related to GEG could be challenged in court, as it allegedly contradicts Article 8 of the Federal Constitution, which stipulates that all persons are equal before the law and entitled to equal protection of the law. “... the provision creates unequal legal treatment between a person born before Jan 1, 2007, and a person born on and after Jan 1, 2007,” the attorney general had said. Ahmad Terrirudin was responding to former Khairy’s media statement claiming that the AGC had previously signed off on the bill when it was prepared while he was health minister, before a sudden reversal. Khairy also claimed that the suspension of the bill was due to political pressure rather than legal concerns about its constitutionality. AGC had consistently assured parliamentary panels that GEG provisions are constitutional, says think tank Azrul, in his statement, questioned the veracity of the AG’s claim, saying that the discussions during the PSSC deliberations can be verified through transcripts that are available publicly online on the Parliament of Malaysia website. “Was the opinion of the AGC representatives since early 2022 when the bill was first proposed and deliberated throughout and into this year, consistent in stating that these provisions were unconstitutional? Check the Hansard,” he contended. Azrul further argued that the bill is immediately and urgently needed to close a legal loophole created by the Health Ministry’s decision on April 1 to remove liquid and gel nicotine from the list of controlled substances scheduled under the Poisons Act 1952. “This act of self-harm, in absence of any regulation or legislation, has resulted in nicotine vape and e-cigarettes being easily accessible, used, sold and manipulated without restraint or regulation. “Currently, retailers can even legally sell these nicotine products to children at whatever nicotine concentration. As a result, a nicotine vape epidemic has erupted among Malaysian children which has been documented extensively in the media recently,” he said. As such, Azrul pointed out that the government has two options at this juncture, either to decouple the GEG provisions from the bill, or put back liquid and gel nicotine into the schedule of controlled substances under the Poisons Act. “If the provisions related to the GEG in the current version of the bill needs to be dropped in order for the government to table and Parliament to immediately pass the Control of Smoking Products for Public Health Bill 2023, then this is the price and decision that we have to make, however bitter. I am not happy about it but the government needs to realise the sense of urgency and emerging crisis that it has itself created,” he said. Health Minister Dr Zaliha Mustafa, speaking in Parliament on Monday, assured that the bill will be tabled for its second reading before the final parliamentary meeting of the year ends this month on Nov 30. BY EMIR ZAINUL theedgemalaysia.com Was the opinion of the AGC representatives since early 2022 when the bill was first proposed and deliberated throughout and into this year, consistent in stating that these provisions were unconstitutional? Check the Hansard.” — Azrul Mohd Khalib, Galen Centre CEO. FROM PAGE 5

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TUESDAY NOVEMBER 21, 2023 8 THEEDGE CEO MORNING BRIEF HOME KUALA LUMPUR (Nov 20): Gamuda Bhd — property division (Gamuda Land) took the No 1 spot at The Edge Malaysia Top Property Developers Awards (TPDA) this year, the first time it is taking home the top award. The developer also bagged the sub-awards for Best Quantitative and Qualitative attributes, the first time a single company has won all three awards, scoring a hat-trick for Gamuda Land. The TPDA anchor The Edge Malaysia Property Excellence Awards (TEPEA) 2023, which were presented at the gala dinner on Monday (Nov 20) night at the Mandarin Oriental, Kuala Lumpur. Gamuda Land ranked No 2 in the TPDA in 2022. “I am very happy and honoured that Gamuda Land has been ranked as the top property developer in Malaysia. This is a great recognition of the hard work and innovation of our team. We are thankful to The Edge for acknowledging us. We will continue to maintain our high standard of excellence. We couldn’t have achieved this without the support of our customers and BY CHELSEA J LIM theedgemalaysia.com Gamuda Land makes hat-trick history at The Edge’s Top Property Developers Awards 2023 business partners. We are excited about the future and look forward to making a positive impact in our work,” said Gamuda Land chief executive officer Chu Wai Lune. Other developers on the Top 10 list were: Sunway Bhd — property division (No 2), S P Setia Bhd (joint No 3), Sime Darby Property Bhd (joint No 3), UOA Development Bhd (joint No 3), IOI Properties Group Bhd (No 4), IJM Land Bhd (No 5), Eco World Development Group Bhd (No 6), UEM Sunrise Bhd (No 7), Mah Sing Group Bhd (No 8), Matrix Concepts Holdings Bhd (No 9) and IGB Bhd (No 10). The results of the TPDA were evaluated on both qualitative and quantitative merits. In the qualitative category, judges evaluated each company on its expertise, image, innovation and creativity, as well as product quality and the value it creates for buyers. For the quantitative category, companies were evaluated on their shareholders’ funds, turnover, profitability and cash holding or gearing. Deloitte Malaysia audited the scores and rankings for TPDA 2023, which is in its 21st instalment now. The TPDA were first introduced in 2003. “We started [TPDA] as the country was recovering from the Asian Financial Crisis, and we have persisted through the Global Financial Crisis of 2008/2009, and more recently, the Covid-19 pandemic,” said The Edge Media group CEO and publisher Datuk Ho Kay Tat during his opening speech. Today, the TPDA remain the most anticipated property developer awards, Ho noted. “Annual rankings are a good indication of how each company has performed. What is more important, however, is to be strong and great to last the test of time. Like any business, developers do go through expansionary and consolidation phases depending on market conditions. CONTINUES ON PAGE 9 (From left) The Edge Malaysia editor-in-chief Kathy Fong, The Edge Malaysia editor emeritus Au Foong Yee, UOA Development Bhd general manager Kong Sze Choon, Eco World Development Group Bhd deputy chief executive officer Liew Tian Xiong, IGB Bhd group chief executive officer Tan Boon Lee, IOI Properties Group Bhd group chief operating officer (property development) Teh Chin Guan, Matrix Concepts Holdings Bhd group managing director Ho Kong Soon, Sime Darby Property Bhd group MD Datuk Azmir Merican, UEM Sunrise Bhd CEO Sufian Abdullah, Gamuda Bhd (property division) chief financial officer David Ng, Gamuda Bhd (property division) CEO Chu Wai Lune, Sunway Bhd senior executive director of property development division Chong Sau Min, The Edge Malaysia group CEO and publisher Datuk Ho Kay Tat, S P Setia Bhd president and CEO Datuk Choong Kai Wai, Mah Sing Group Bhd group CEO Datuk Ho Hon Sang, IJM Land Bhd CEO Datuk Wong Tuck Wai and City & Country editor E Jacqui Chan at The Edge Malaysia Property Excellence Awards 2023 on Nov 20 at Mandarin Oriental, Kuala Lumpur. PATRICK GOH/THE EDGE

TUESDAY NOVEMBER 21, 2023 9 THEEDGE CEO MORNING BRIEF HOME “Our TPDA methodology has not changed, so any change in ranking is a manifestation of developments in the market and, possibly, also due to a shift in strategy by the companies,” he added. Also under the TEPEA 2023 are 10 other awards, namely: The Edge Malaysia-PAM Green Excellence Award, The Edge Malaysia-PEPS Value Creation Excellence Award, The Edge Malaysia Affordable Urban Housing, The Edge Malaysia Outstanding CEO, The Edge Malaysia Outstanding Contribution to the Real Estate Industry, The Edge Malaysia Property Development Excellence (township community hub and neighbourhood mall), The Edge Malaysia Excellence in Place Regeneration, The Edge Malaysia Excellence in Conservation and Adaptive Reuse, and The Edge Malaysia Outstanding Overseas Project. The winner of The Edge Malaysia-PAM Green Excellence Award was Kapas Heights by Domaine Architects Sdn Bhd and Kapas Heights Sdn Bhd. The Edge Malaysia-PEPS Value Creation Excellence Award was bagged by Ayera Residences at Tropicana Danga Cove by Tropicana Corp Bhd and Iconia Garden Residence (Precinct A — Phase 10A) at Taman Impian Emas by Gunung Impian Development Sdn Bhd. For The Edge Malaysia Affordable Urban Housing Excellence Award, SkyAwani 3 Residences by SkyWorld Development Bhd and Hibiscus 3 at Bandar Seri Coalfields by KLK Land have emerged as winners. Meanwhile, Residensi Bandar Bukit Mahkota by Pr1ma Corp Malaysia and Taman Nuri Sentosa by SPB Properties Sdn Bhd received the honorary mention. There were three winners for The Edge Malaysia Outstanding Overseas Project Award, namely Royal Mint Gardens by IJM Land, 1060 Carnegie by MRCB Australia and The Mansions @ ParkCity Hanoi by ParkCity Group. The Edge Malaysia Outstanding Property CEO Award was awarded to Perdana ParkCity Sdn Bhd CEO Datuk Joseph Lau and Sime Darby Property Bhd group managing director Datuk Azmir Merican. Apart from that, Datuk Soam Heng Choon — Rehda president 2018 to 2022 and formerly the CEO and managing director of IJM Land Bhd (2004 to 2015) and IJM Corp Bhd (2015 to 2019) — was conferred The Edge Malaysia Outstanding Contribution to the Real Estate Industry Award. The Edge Malaysia Property Development Excellence award was split into two categories: Excellence in Township Community Hub and Excellence in Neighbourhood Mall. Winners for the Township Community Hub category were The Waterfront @ Desa ParkCity by ParkCity Group and D’Network @ Setia Eco Park by S P Setia Bhd. Under the Neighbourhood Mall category, 163 Retail Park by YNH Property Bhd and Bangsar Shopping Centre by BRDB Developments Sdn Bhd emerged as winners. For The Edge Malaysia Excellence in Place Regeneration Award, Kwai Chai Hong by Bai Chuan Management Sdn Bhd and Bukit Bintang City Centre by BBCC Development Sdn Bhd were winners for this category. Lastly, there were three recipients of The Edge Malaysia Excellence in Conservation and Adaptive Reuse Award. The three were: Hin Bus Depot, APW Bangsar by Art Printing Works Sdn Bhd and Else Kuala Lumpur by GF Land Sdn Bhd. The awards were presented by City & Country, the property pullout of The Edge Malaysia weekly, and supported by EdgeProp.my. The official solar partner was GSPARX Sdn Bhd, a subsidiary of Tenaga Nasional Bhd. FROM PAGE 8 (From left) The Edge Malaysia editor-in-chief Kathy Fong, The Edge Malaysia editor emeritus Au Foong Yee, Gamuda Bhd (property division) chief financial officer David Ng, Gamuda Bhd (property division) chief executive officer Chu Wai Lune, The Edge Malaysia group CEO and publisher Datuk Ho Kay Tat and City & Country editor E Jacqui Chan during The Edge Malaysia Property Excellence Awards 2023 on Nov 20 at Mandarin Oriental, Kuala Lumpur. PATRICK GOH/THE EDGE CONTINUES ON PAGE 10

TUESDAY NOVEMBER 21, 2023 10 THEEDGE CEO MORNING BRIEF HOME The Edge Malaysia Property Excellence Awards 2023 THE EDGE MALAYSIA TOP PROPERTY DEVELOPERS AWARDS 2023 TOP 10 GAMUDA BHD - PROPERTY DIVISION SUNWAY BHD - PROPERTY DIVISION S P SETIA BHD SIME DARBY PROPERTY BHD UOA DEVELOPMENT BHD IOI PROPERTIES GROUP BHD IJM LAND BHD ECO WORLD DEVELOPMENT GROUP BHD UEM SUNRISE BHD MAH SING GROUP BHD MATRIX CONCEPTS HOLDINGS BHD IGB BHD Best in Qualitative Attributes: GAMUDA BHD - PROPERTY DIVISION Best in Quantitative Attributes: GAMUDA BHD - PROPERTY DIVISION TOP 11-30 OSK HOLDINGS BHD MKH BHD PARAMOUNT CORPORATION BHD SKYWORLD DEVELOPMENT BHD ECO WORLD INTERNATIONAL BHD BRDB DEVELOPMENTS SDN BHD KLK LAND SDN BHD TROPICANA CORPORATION BHD EASTERN & ORIENTAL BHD LBS BINA GROUP BHD KSL HOLDINGS BHD MALAYSIAN RESOURCES CORPORATION BHD MALTON BHD SUNSURIA BHD GLOMAC BHD SELANGOR DREDGING BHD TA GLOBAL BHD GUOCOLAND (MALAYSIA) BHD TAMBUN INDAH LAND BHD SHL CONSOLIDATED BHD SYMPHONY LIFE BHD TITIJAYA LAND BHD EUPE CORPORATION BHD LAGENDA PROPERTIES BHD I-BHD LAND & GENERAL BHD NAIM HOLDINGS BHD AVALAND BHD (pka MCT BHD) PLENITUDE BHD AYER HOLDINGS BHD KERJAYA PROSPEK PROPERTY BHD THE EDGE MALAYSIA-PAM GREEN EXCELLENCE AWARD 2023 Winner Kapas Heights KAPAS HEIGHTS SDN BHD & DOMAINE ARCHITECTS SDN BHD THE EDGE MALAYSIA-PEPS VALUE CREATION EXCELLENCE AWARD 2023 - Residential Category Winner Ayera Residences, Tropicana Danga Cove TROPICANA CORPORATION BHD Iconia Garden Residence (Precinct A – Phase 10A), Taman Impian Emas GUNUNG IMPIAN DEVELOPMENT SDN BHD THE EDGE MALAYSIA AFFORDABLE URBAN HOUSING EXCELLENCE AWARD 2023 Winner Hibiscus 3, Bandar Seri Coalfields KLK LAND SDN BHD SkyAwani 3 Residence SKYWORLD DEVELOPMENT BHD Special mention Taman Nuri Sentosa SRI PENGKALAN BINAAN SDN BHD Residensi Bandar Bukit Mahkota PR1MA CORPORATION MALAYSIA THE EDGE MALAYSIA OUTSTANDING OVERSEAS PROJECT AWARD 2023 Winner 1060 Carnegie, Victoria, Australia MRCB AUSTRALIA Royal Mint Gardens United Kingdom, London IJM LAND BHD The Mansions @ ParkCity Hanoi Hanoi, Vietnam PARKCITY GROUP THE EDGE MALAYSIA PROPERTY DEVELOPMENT EXCELLENCE AWARD 2023 (Excellence in Township Community Hub) The Waterfront @ Desa ParkCity by PARKCITY GROUP (Excellence in Township Community Hub) D’Network @ Setia Eco Park by S P SETIA BHD (Excellence in Neighbourhood Mall) Bangsar Shopping Centre by BRDB DEVELOPMENTS SDN BHD (Excellence in Neighbourhood Mall) 163 Retail Park by YNH PROPERTY BHD THE EDGE MALAYSIA OUSTANDING PROPERTY CEO AWARD Datuk Joseph Lau PERDANA PARKCITY SDN BHD Dato’ Azmir Merican SIME DARBY PROPERTY BHD THE EDGE MALAYSIA OUTSTANDING CONTRIBUTION TO THE REAL ESTATE INDUSTRY AWARD Datuk Ir Soam Heng Choon THE EDGE MALAYSIA EXCELLENCE IN PLACE REGENERATION AWARD Kwai Chai Hong by BAI CHUAN MANAGEMENT SDN BHD Bukit Bintang City Centre by BBCC DEVELOPMENT SDN BHD THE EDGE MALAYSIA EXCELLENCE IN CONSERVATION AND ADAPTIVE REUSE AWARD Hin Bus Depot A Place Where by APW Else Kuala Lumpur by GF LAND SDN BHD FROM PAGE 9

TUESDAY NOVEMBER 21, 2023 11 THEEDGE CEO MORNING BRIEF

TUESDAY NOVEMBER 21, 2023 12 THEEDGE CEO MORNING BRIEF HOME KUALA LUMPUR (Nov 20): Economists are now expecting Malaysia’s 2023 exports to decline less than they originally anticipated, following the stronger-than-anticipated October trade data released on Monday, as they see a smaller contraction in the fourth quarter of the year — driven by the positive turnaround in the electrical and electronics (E&E) sector, and China’s recovery. RHB Investment Bank Bhd expects the country’s 2023 export performance to decline by 7.3% year-on-year (y-o-y), compared with its previous forecast of a 9.4% contraction. “The stronger-than-expected October data and improvement in trade momentum in recent months have confirmed our expectation that there are early signs of trade recovery. We have begun to see signs of bottoming out for both exports and imports data. Higher outbound shipments were observed to major destinations, including China. We maintain our earlier expectation that there would be a smaller contraction in export data by 4Q23, with the potential of export data to turn positive by 1Q2024,” it said in a note on Monday. “Similarly, the rising trend of capital and intermediate goods imports also signalled the potential expansion in manufacturing activities in upcoming months,” the research house added. “We expect the export momentum to further pick up by 1H2024, predicated on three main factors, ie (1) a rosier global and regional economic outlook, (2) recovery in the global technology cycle, and (3) the recovery in China’s economy. We see more signs of dissipation in the downside risks, ie the global technology cycle downturn might [be] close to the end, and there are early signs of recovery in China’s economy,” it added. Malaysia’s exports contracted by 4.4% y-o-y to RM126.2 billion in October, led by a drop in petroleum products, liquefied natural gas, E&E products, crude petroleum and palm oil-based manufactured products, according to the Department of Statistics Malaysia (DOSM). However, on a month-on-month comparison, export contraction improved in October, compared to a decline of 18.6% in August, and 13.8% in September. The October figure also exceeded Bloomberg’s consensus forecast of a 5% contraction. The DOSM data showed that the yearto-date export performance (January to October), fell 8% to RM2.2 trillion from RM2.4 trillion. UOB Global Economics & Markets Research, in a separate note, wrote that October’s export contraction — the second straight month to a single-digit — indicates “a strong signal that the worst may be behind us”. “October’s export performance came after all three export sectors penciled in improvements, with exports of agriculture goods posting the first gain in 13 months. Exports of manufactured goods registered a smaller contraction following a turnaround in shipments of manufactures of metal; optical & scientific equipment; and machinery, equipment & parts. Exports of mining goods fell at a slower pace after the contraction in shipments of liquefied natural gas (LNG) tapered off. Demand also improved across BY SYAFIQAH SALIM theedgemalaysia.com Economists see smaller contraction in Malaysia’s 2023 exports after stronger October data almost all export destinations, with the US, Hong Kong, South Korea and India posting a positive increase,” UOB noted. As such, and given the year-to-date export performance of a contraction of 8% in the January to October period, in addition to signs of a further recovery in the global tech cycle amid expectations of a soft landing in the global economy, UOB revised its 2023 full-year export forecast to a decline of 7.2% — from a contraction of 9% previously. The Ministry of Finance has estimated a contraction of 7.8% for this year, following 2022’s 24.9% export growth. “For 2024, we maintain our export outlook at +3.5% (MOF estimate: +5.1%) in view of lingering downside risks including tensions in the Middle East, tighter financial and monetary conditions for a prolonged period, persistent property sector drag on China’s economy and ongoing US-China trade conflicts,” UOB added. MIDF Research, which has a more optimistic forecast that exports will fall by 6.4% this year, kept to its forecast. “There is an upside bias such as a stronger recovery in China and a better turnaround in E&E trade that will make the full-year decline not as steep as we estimated.... We foresee external trade will continue to recover and this will support exports and imports to rebound next year,” MIDF said in another note. Read also: Malaysia’s total trade in January-October 2023 breached RM2 tril External Trade Statistics, Jan 2022 – Oct 2023 (value and annual percentage change) Source: Department of Statistics Malaysia UOB Global Economics & Markets Research, in a separate note, wrote that October’s export contraction — the second straight month to a single-digit — indicates “a strong signal that the worst may be behind us”.

TUESDAY NOVEMBER 21, 2023 13 THEEDGE CEO MORNING BRIEF HOME KUALA LUMPUR (Nov 20): Petronas Gas Bhd’s net profit rose 10.01% yearon-year (y-o-y) in the third quarter ended Sept 30, 2023 (3QFY2023) on lower financing costs, taxes and expenses, but fell 3.48% quarter-on-quarter (q-o-q) on the back of weaker sales, amid planned plant turnaround in Kertih and lower product prices in the utilities segment. PetGas’ 3QFY2023 net profit came in at RM468.46 million, up from RM425.82 million in 3QFY2022, as tax expenses fell 32% or RM48.65 million in absence of the prosperity tax, while financing costs fell 46.7% or RM20.7 million. Other expenses fell RM51.02 million or 79%. The group posted earnings per share of 23.67 sen in the quarter, up from 21.52 sen in 3QFY2022. It declared a dividend of 18 sen per share, bringing its declared dividends for the year so far to 50 sen per share, unchanged from last year. The better performance was despite a 9.69% drop in gross profit, on the back of a 0.93% drop in revenue to RM1.55 billion, from RM1.56 billion. On a q-o-q basis, PetGas’ net profit fell to RM468.46 million from RM485.37 million, amid a 5.3% drop in revenue from RM1.64 billion. For the nine-month period ended September (9MFY2023), PetGas’ net profit rose 11.77% to RM1.38 billion, from RM1.23 billion, again thanks to lower expenses, financing costs and taxes, which more than offset the 5.27% decline in gross profit. Revenue in the period rose 7.41% to RM4.86 billion, from RM4.53 billion, on higher contribution from the utilities segment as well as upward revision of imbalance cost pass-through surcharge and improved terms in its contract renewals. In the period, results for the three gas-related segments (processing, transportation and regasification) all fell due to higher operating expenses on internal gas consumption and depreciation expenses, coupled with lower revenue due to lower transportation and regasification tariffs. PetGas profit up 10% y-o-y but falls 3.4% q-o-q, declares 18 sen dividend KUALA LUMPUR (Nov 20): Glove stocks emerged among the most actively traded counters on Bursa Malaysia on Monday (Nov 20), following the profit turnarounds seen at two of the Big Four glove counters, namely Hartalega Holdings Bhd and Kossan Rubber Industries Bhd, in the July to September quarter. Leading the pack was Top Glove Corp Bhd, which saw over 79 million shares traded and was ranked the third most actively traded counter of the day. The group’s share price, which hit an intra-day high of 82 sen earlier as it climbed over 4%, closed at 80 sen, still up 1.91%, with a market capitalisation of RM6.52 billion. Also on the top 50 actively traded list were Supermax Corp Bhd, Careplus Group Bhd and Kossan. Supermax shares finished at 96 sen, up 5.59% or five sen with 27.29 million shares done, while Careplus closed up half a sen or 1.75% to 29 sen after 17.49 million shares were traded. Kossan settled two sen higher at RM1.60 after 12.13 million shares changed hands; the stock has climbed 26 sen or 19.4% this month. Hartalega closed five sen or 2.13% higher at RM2.40, with 7.90 million shares traded. Kossan announced last week that it made a net profit of RM40.97 million for its third quarter ended Sept 30, 2023 (3QFY2023), after two consecutive loss-making quarters when net loss totalled RM27.55 million. Its 3QFY2023 net profit was also 76.14% higher than the RM23.26 million it made in 3QFY2022 — despite revenue dropping 28% to RM403.48 million from RM560.52 million — thanks to better cost controls and lower raw material costs in its glove business, as well as the sale of higher margin infrastructure products at its technical rubber products division. Hartalega, meanwhile, reported earlier this month a net profit of RM27.7 million for its second quarter ended Sept 30, 2023 (2QFY2024), after registering three consecutive quarters of losses, with a net loss of RM52.47 million recorded in the immediate preceding quarter of 1QFY2024. Revenue grew 2.7% to RM452.09 million from 1QFY2024’s RM440.04 million. Analysts covering Kossan lifted its target price (TP) after the glove maker beat expectations to swing to profit in its quarterly earnings, on better sales volume amid customers’ inventory replenishment activities. However, they also expect persistent pricing competition due to an oversupply in the industry to keep the average selling prices (ASP) for glove makers flattish in the near term. For Hartalega, most analysts have reiterated their previous calls for the company, despite its better-than-expected quarterly financial results, as they anticipate that the glove maker will still face headwinds for the rest of the year. They, however, by and large raised their target prices (TPs) for Hartalega. HLIB Research, which kept its “sell” call on the glove maker saying “positives have been priced in”, raised its TP for Hartalega to RM2.08. But it reckoned that Hartalega could still possibly report losses for the next two quarters given the “fluid” situation. Likewise, Kenanga Research maintained its “market perform” call on Hartalega, and raised its TP to RM2.33 from RM1.85 previously, while noting that Hartalega has demonstrated a more disciplined production capacity cut of 32%, compared with peers at 10-12%. It also forecast Hartalega to make RM42 million in net profit for FY2024 (from a net loss of RM105 million initially), and raised its FY2025 net profit forecast by 92%. Glove counters among Bursa’s most active on Monday amid profit turnarounds BY ANIS HAZIM theedgemalaysia.com BY ADAM AZIZ theedgemalaysia.com Hartalega Holdings Bhd 0 50 100 150 200 250 Nov 21, 2022 Nov 20, 2023 1.0 1.5 2.0 2.5 3.0 Vol (mil) RM *As at market close on Nov 20, 2023 Source: Bloomberg *RM2.40 RM1.83 Kossan Rubber Industries Bhd 0 20 40 60 80 100 Nov 21, 2022 Nov 20, 2023 1.0 1.2 1.4 1.6 Vol (mil) RM *As at market close on Nov 20, 2023 Source: Bloomberg *RM1.60 RM1.05 continues on Page 14

TUESDAY NOVEMBER 21, 2023 14 THEEDGE CEO MORNING BRIEF HOME MyEG’s 3Q net profit falls 20% on absence of fair value gain from investment KUALA LUMPUR (Nov 20): Mr DIY Group (M) Bhd has posted a 22.5% increase in its net profit for the third financial quarter ended Sept 30, 2023 (3QFY2023) to RM123.95 million, from RM101.18 million in the corresponding quarter of 3QFY2022, on the back of a higher revenue and gross profit margin. Quarterly revenue rose 10.4% to RM1.07 billion from RM966.17 million in 3QFY2022, driven primarily by contributions from new stores. During the period, the group’s store network grew by 170 from 1,038 to 1,208 stores, according to the home improvement retailer’s filing on Bursa Malaysia on Monday. Gross profit margin rose to 45%, up 3.9 percentage points year-on-year from 41.1% in 3QFY2022. “The improvement in gross profit margin is primarily attributed to the normalisation of freight costs, as well as the positive impact of price adjustments made in FY2022,” the group said. Together with the release of the quarterly results, Mr DIY declared an interim single tier dividend of 0.8 sen per share or RM75.5 million in total, for its FY2023 ending Dec 31, 2023, to be paid on Dec 22. This raised its year-to-date (YTD) payout to 2.2 sen per share, from 2022’s YTD of 1.8 sen. For the first nine months of FY2023 (9MFY2023), Mr DIY recorded a cumulative net profit of RM402.04 million, 19.3% more than the RM336.87 million it made in 9MFY2022, as revenue grew 10% to RM3.21 billion from RM2.92 billion, as contribution from new stores grow with the opening of more outlets. On prospects, Mr DIY said it remains focused on the strategic expansion of its store network, and optimising revenue per square foot and operational efficiency, which it said are key to drive financial performance and enhance shareholder value. “The group’s long-term target is to have 2,000 stores across its core retail brands, namely MR DIY, MR TOY and MR DOLLAR. In the near term for [the] coming financial year, the group targets to open 180 new stores across these core retail brands. “As an integral but secondary dimension to the group’s growth strategy, we will make measured investments into new retail concepts, which are adjacent to our current retail verticals, in order to build greater specialisation, economies of scale and a more robust platform for long-term growth,” the retailer said. Mr DIY shares closed two sen or 1.26% higher at RM1.61, valuing the group at RM15.2 billion. Mr DIY’s 3Q earnings jump 22.5% on contributions from new stores BY EMIR ZAINUL theedgemalaysia.com BY ANIS HAZIM theedgemalaysia.com More on corporate earnings: Hap Seng Plantations 3Q net profit up 65% on gain from fair value adjustments Hextar Global’s 3Q net profit up 10% on improved margin of agrochemical products Cape EMS’s 3Q net profit up 47% on favourable forex movement On prospects, PetGas expects to deliver “strong” financial performance in FY2023. “Amidst higher operating cost environment post-pandemic, the group will continue to strive for operational excellence as well as to strike the right balance between growth investments, financial prudence and shareholders’ distribution,” it said. In a separate statement, PetGas managing director and CEO Abdul Aziz Othman said the group’s performance in 9MFY2023 highlights its continuous focus on improving operational efficiency and cost optimisation, ensuring business resilience despite the gas industry’s lower tariffs during the second regulatory period (RP2) and challenging market conditions. “We are dedicated to improving our plant operations’ reliability, safety, and cost-effectiveness, ensuring sustainable revenue with a healthy margin,” Abdul Aziz said. KUALA LUMPUR (Nov 20): MyEG Services Bhd’s third quarter net profit fell 20.38% to RM120 million, from RM150.71 million a year earlier when there was a oneoff recognition of fair value gain of RM61.89 million as a result of the listing of its associate Agmo Holdings Bhd on the ACE Market. Earnings per share for the quarter ended Sept 30, 2023 (3QFY2023) dropped to 1.6 sen from two sen, according to the digital services provider’s filing with Bursa Malaysia on Monday. Quarterly revenue rose 19.37% to RM194.12 million from RM162.62 million in 3QFY2022, driven by contributions from its newly launched services on the Zetrix blockchain platform and from the sales of Zetrix tokens. For the first nine months of FY2023, MyEG’s net profit increased 4.17% to RM337.49 million from RM323.97 million in the same period last year, as revenue grew 13.58% to RM552.22 million from RM486.18 million on the back of its Zetrix blockchain platform, the sale of Zetrix tokens, and the increase in foreign worker job matching service due to the lifting of a freeze on foreign worker recruitment. Moving forward, MyEG said it will continue to introduce innovative services by leveraging new technologies, specifically blockchain or Web 3.0 in Malaysia and globally to drive its organic growth for FY2023. “Barring any unforeseen circumstances, the board is cautiously optimistic that the long-term outlook for MyEG remains positive as we continue to introduce innovative services in Malaysia as well as globally,” it said. Shares of MyEG settled up one sen or 1.26% at 80.5 sen on Monday, giving the group a market capitalisation of RM6.05 billion. from Page 13 “Out focus remains on pursuing opportunities for growth and creating sustainable value aligned with the National Energy Transition Roadmap,” he added. Shares of PetGas settled four sen or 0.23% higher at RM17.18, giving it a market capitalisation of RM33.99 billion.

TUESDAY NOVEMBER 21, 2023 15 THEEDGE CEO MORNING BRIEF

TUESDAY NOVEMBER 21, 2023 16 THEEDGE CEO MORNING BRIEF HOME KUALA LUMPUR (Nov 20): UMW Group’s strong automotive sales momentum continued in October this year, with the registration of a record 44,767 vehicles as both UMW Toyota Motor (UMWT) and UMW’s associate company, Perodua, continued to deliver their outstanding orders. In a statement on Monday, the automotive group said its January to October sales increased by 17% to 354,505 units from the 302,356 units registered in the same period of 2022. It said UMWT registered 10,931 units in October, its highest monthly sales in the last five years. This was also 18% higher than the 9,281 units registered in October last year. In the January to October period this year, UMW said UMWT registered 87,442 units, recording a 9% growth compared with the 80,153 units registered in the corresponding period of 2022. To refresh its model lineup, it said UMWT launched the all-new Toyota Vellfire (priced from RM438,000) and Toyota Alphard (priced from RM538,000) on Oct 23, 2023. Meanwhile, Perodua registered 33,836 units in October this year, its highest-ever monthly sales, as it continued to ramp up production supported by the improving supply chain. UMW said this was also 31% higher compared with the 25,849 units delivered in October 2022. For the January to October period this year, Perodua’s sales surged to 267,063 units, 20% higher than the 222,203 units delivered in the same period of 2022. Perodua’s top selling models in these 10 months were Bezza, Axia and Myvi. UMW Holdings Bhd’s officer-incharge Megat Shahrul Azmir said yearto-date, both companies have continued to register higher sales compared with the same period of 2022. “We are confident that both companies will achieve their sales targets for 2023 based on the outstanding bookings as well as the sustained demand for new vehicles,” he said. UMW Group’s January-October auto sales up 17% y-o-y to 354,505 units KUALA LUMPUR (Nov 20): Engineering precision parts manufacturer CPE Technology Bhd has priced its shares at RM1.07 apiece for its initial public offering (IPO), which seeks to raise approximately RM179.58 million. The valuation will give CPE a market capitalisation of RM718.31 million upon listing on Bursa Malaysia’s Main Market on December 7, 2023, based on an enlarged issued share capital of 671.31 million. The IPO involves the issuance of 167.83 million new ordinary shares in the company or 25% of the enlarged share capital, according to its prospectus filing on Monday. The IPO will also see the offer for sale of 67.13 million shares or a 10% stake to institutional and selected investors by way of private placement. CPE is involved in the manufacturing of precision-machined parts and components and provision of computer numerical control machining services. Its main customer industries include semiconductors, life science and medical devices, and sports equipment, with key clients in the US, Singapore and Malaysia, its prospectus showed. In the financial year ended June 30, 2023 (FY2023), CPE’s net profit slipped 10.67% to RM30.29 million from a record RM33.91 million in FY2022, while revenue rose 4.63% to RM145.28 million from RM138.85 million. The group saw a compound annual growth rate (CAGR) of 28.49% in profit after tax up until FY2023, compared to RM11.12 million in FY2019. Revenue grew at a CAGR of 16.69% from RM78.35 million in FY2019 to RM145.28 million in FY2023. Expansion plan Of the IPO proceeds raised, RM69.6 million (38.76%) has been earmarked for the acquisition of new industrial lands and construction of new plants in Johor. CPE said they will comprise a double-storey office building as well as a double-storey factory building, with a built-up area of approximately 118,474 sq ft each. “This will allow us to optimise our production to cater to the increasing demand, from both local and international customers, for our products and services as well as the feedback gathered from our major customers particularly those from the semiconductor industry. Currently, our unbilled orderbook stands at RM69.27 million,” CPE CEO Lee Chen Yeong told reporters at the prospectus launch. Meanwhile, a total of 32.9 million (18.31%) of the proceeds will be allocated for machinery and equipment expenses, RM17.5 million (9.72%) for bank borrowing repayment, RM46.9 million (26.12%) to partly finance working capital expenditure, RM1.4 million (0.79%) to partly finance other capital expenditures and the remaining of RM11.3 million (6.3%) for estimated listing expenses. In addition, the group plans to maintain ample stock of its raw main materials such as stainless steel and aluminium, which are mainly sourced from overseas suppliers such as the US and Japan, Lee said. “Stocking these raw materials on site will help us maintain ample supply while simultaneously mitigating rising shipping costs due to fluctuation in price”. Main Marketbound CPE Technology sets IPO price at RM1.07, to raise RM179.58 mil BY SYAFIQAH SALIM & LUQMAN AMIN theedgemalaysia.com BY SURIN MURUGIAH theedgemalaysia.com (From left) CPE independent non-executive chairman Ang Seng Wong, CPE group CEO Lee Chen Yeong, CPE executive director Mu Woon Chai, CPE non-independent non-executive director Foo Ming, KAF Investment Bank chief executive officer Rohaizad Ismail and KAF Investment Bank corporate finance director Michael Ho. Read the full story Shahrill BaSri/The edge

TUESDAY NOVEMBER 21, 2023 17 THEEDGE CEO MORNING BRIEF HOME KUALA LUMPUR (Nov 20): Eurospan Holdings Bhd’s proposed RM54.55 million sale of its furniture manufacturing unit and properties in Seberang Perai to its controlling shareholder for future leaseback has been deemed “fair and reasonable” by independent adviser Mainstreet Advisers Sdn Bhd. Eurospan is disposing of Dynaspan Furniture Sdn Bhd (DFSB) for RM38.9 million cash to its executive chairman and largest shareholder Guan Kok Beng, managing director Guan Shaw Yin and deputy MD Guan Shaw Kee. The group’s unit Eurospan Furniture Sdn Bhd is also disposing of two freehold industrial lands with buildings on-site to DFSB for RM15.65 million cash, and will lease back the properties for the next two years at RM87,671 per month. The disposals were made as Eurospan wanted to fund new acquisitions as part of its diversification efforts to reverse years of losses. Of the proceeds, RM15 million is earmarked for new acquisitions, while RM8.88 million will be distributed as special dividends of 20 sen per share, The balance will be used for working capital (RM24.74 million), payment owing to DFSB (RM4.28 million), and expenses for the disposals (RM1.65 million). In total, Eurospan expects net pro forma gain of RM27.28 million on the disposals. Eurospan’s RM55 mil asset sale to controlling shareholder seen as ‘fair and reasonable’ KUALA LUMPUR (Nov 20): Affin Bank Berhad’s net profit of RM362.7 million for the first nine months ended September 30, 2023 (9MFY2023) fell short of Kenanga Investment Bank’s expectations, reaching only 68% of the full-year forecast due to an underestimation of the extended compression of net interest margin (NIM) in 3QFY2023. However, the results were within market expectations at 72% of the full-year consensus estimate. According to a note on Monday, Kenanga stated that Affin’s net interest income for 9MFY2023 sank by 17% year-on-year (y-o-y) on continued NIM compression as the group faced higher funding costs from past overnight policy rate hikes. The research house noted that Affin Bank’s persistent NIM compression in 3QFY2023 has adversely impacted its full-year earnings projections. “The upcoming 4Q periods are expected to be more competitive in the pricing landscape, posing additional challenges for the group. Recognising that its earlier NIM guidance of 1.86% is unattainable, the group has revised its target to a range of 1.45% to 1.50%. “In light of the potential impact on the top line, the group has expanded its costto-income ratio (CIR) target to 65% (from 60%), taking into account increased wages resulting from previous collective adjustments,” it added. With that, Kenanga cut its fiscal year 2023–2024 earnings forecasts by 7-12%, mainly to account for the softer NIM outlook. It downgraded Affin Bank to “market perform” with a lower target price (TP) of RM1.90 from RM2.20. On a brighter note, Affin’s loan growth remained supportive at 12%, driven by better mortgage and hire purchases. Its non-interest income from forex and Treasury gains showed a 97% drastic increase, which led to a flattish improvement in total income. On the other hand, Hong Leong Investment Bank (HLIB) stated that Affin Bank’s net profit of RM363 million was within its expectations, making up 71% of its and 72% of the consensus full-year forecasts. HLIB expects NIM to broaden in 4Q2023, given the redemption of expensive sukuk in October 2023. However, it noted there should be limited expansion from thereon since expensive fixed deposits from the January to March 2023 cohort would have already been repriced down. Prolonged NIM compression remains a concern for Affin Bank — analysts BY LEE MING HUI theedgemalaysia.com BY ADAM AZIZ theedgemalaysia.com In a circular to shareholders, Mainstreet Advisers pointed to DFSB’s sale price, which is approximately equivalent to its adjusted net asset value of RM38.89 million. The properties, meanwhile, had an appraisal value of RM15 million, it said, adding that the monthly rental which averaged at RM1 per sq ft is within range of comparable properties at 98 sen to RM1.01 per sq ft. “Based on the above, we are of the view that the overall financial effects of the proposals are not detrimental to the non-interested shareholders of Eurospan,” it said. Shareholders of Eurospan will vote on the proposals at an extraordinary general meeting in Penang on Dec 8, 2023. Eurospan shares have climbed leading to the announcement of the proposals on Aug 24 this year. From its low of RM1.14 in June, Eurospan’s share price has risen by 29.82% or 34 sen to RM1.48 at the time of writing, giving it a market capitalisation of RM65.74 million. “Also, lending yield is seen to remain competitive given its above-sector average loan growth. That said, we still expect credit growth to taper due to the soft macro environment coupled with the base effect.” “However, we are not overly worried about any asset quality weakness, as we believe Affin is better equipped compared to prior slumps (LLC is now at 124% vs. the pre-pandemic level of circa 35%),” it added. It maintained its “hold” call on Affin Bank with a TP of RM 2.20. Meanwhile, TA Securities is more optimistic about Affin Bank; it stated that it has tweaked its NIM slightly lower to align with the 9MFY2023 results while anticipating a potential tapering of loan growth to address macro challenges in FY2024. On a positive note, it stated that Affin’s total assets remained in excess of RM100 billion, on track with Affin’s A25 transformation plan. In terms of income, it noted stronger business-as-usual fee income, as Affin fills the gap from the sale of AHAM with new revenue streams from debt capital markets advisory flows. “Management will also be looking to scale up in high-margin businesses and fee-based income such as FX, banking, wealth management, and trade.” “The recent launch of a new mobile app in October 2023 is expected to continue to play a pivotal role in building Affin’s Casa franchise, stabilising NIM, and strengthening its customer base,” it added. Therefore, TA Securities upgraded Affin Bank from “sell” to “hold” with a revised target TP of RM2.15 from RM2.05.

TUESDAY NOVEMBER 21, 2023 18 THEEDGE CEO MORNING BRIEF HOME NEWS IN BRIEF Muhibbah Engineering bags two contracts amounting to RM479 mil in Perak, Terengganu KUALA LUMPUR (Nov 20): Oil and gas services provider Muhibbah Engineering (M) Bhd has bagged two contracts amounting to RM479 million, for the provision of construction works in Perak and Terengganu. The contract in Perak is for the expansion of the Lumut Maritime Terminal in Lumut, Manjung, worth RM161 million, specifically to build onshore infrastructure and offshore facilities, including a main open-type wharf under Phase 2 of the expansion project. The contract was awarded by Lumut Maritime Terminal Sdn Bhd. The group is to start work on it immediately and complete it in 20 months, Muhibbah said in a bourse filing on Monday. The second contract was awarded to Muhibbah as “the consortium lead partner” from Petronas Carigali Sdn Bhd, in relation to the Gansar project located about 190km from Terengganu’s shore for a total value of RM318 million, said Muhibbah in a separate filing. t was reported in December last year that a consortium led by Muhibbah had secured a RM322 million contract from Petronas Carigali in relation to the Gansar project. In its latest filing on Monday, Muhibbah said the new Petronas Carigali job is an “activation of optional scope” for the Gansar project. Under the contract, Muhibbah is to provide engineering, procurement, construction, commission and installation works for a “light weight structure, Duyong brownfield modification and host tie-in” for the project. The group also has to start on the job immediately and complete it by no later than the end of May 2024. — by Sulhi Khalid AZRB mulls disposal of loss-making plantation business KUALA LUMPUR (Nov 20): Ahmad Zaki Resources Bhd (AZRB) intends to dispose of its entire 95% stake in its plantation unit PT Ichtiar Gusti Pudi Tbk, which operates in Kalimantan. “The company will make further announcements relating to the proposed disposal [including any material developments and progress made and seeking shareholders’ approval] as may be appropriate from time to time,” it said in a bourse filing. AZRB completed the acquisition of a 95% stake in Ichtiar Gusti Pudi for 17 billion Indonesian rupiah (RM5.12 million), or US$1.8 million back in early 2005. According to AZRB’s annual report, the group has a cultivation land measuring 6,763.89ha with leasehold expiring in 2033 with net book value of RM18.35 million. Ichtiar Gusti Pudi is AZRB’s main plantation unit, as its 67%-owned Betanaz Mills Sdn Bhd and 40%-owned Peak Crops Sdn Bhd are dormant. AZRB’s plantation division has been loss-making, adding to the woes of the group which had been in the red for more than four years since the year ended June 30, 2020 (FY2020). — by Adam Aziz Miti sets up Invest Malaysia Facilitation Centre at Mida for investment matters KUALA LUMPUR (Nov 20): The Ministry of Investment, Trade and Industry (Miti) has established the Invest Malaysia Facilitation Centre (IMFC) as a one-stop centre for investment-related matters at the Malaysian Investment Development Authority (Mida). Its Minister Tengku Datuk Seri Zafrul Tengku Abdul Aziz said the IMFC was set up to facilitate the affairs of the business community and investors in the manufacturing sector and selected services sectors. He said the physical establishment would speed up the various approval processes, including providing consultation and advisory services, as well as reducing bureaucracy in the public services delivery. “This initiative is an improvement to the existing advisory service centre at Mida and is in line with Prime Minister Datuk Seri Anwar Ibrahim’s recommendation in the Cabinet decision on Nov 3 and the Madani Economy aspirations, to facilitate business involving the investor’s journey at various levels,” he said in a statement. Tengku Zafrul said the one-stop centre also aims to bring together several government ministries and agencies, as well as various facilities under one roof, as an important step in supporting the intention of the New Industrial Master Plan 2030. — Bernama Read the full story Japanese firms, Petronas to set up CO2 storage by end-2028 (Nov 20): Japanese companies have agreed to develop a carbon capture and storage (CCS) project with Malaysian energy firm Petroliam Nasional Bhd (Petronas), which should start holding its first carbon dioxide (CO2) emissions from end-2028, Japan Petroleum Exploration Co (Japex) said on Monday. Japan plans to be carbon-neutral by 2050 and is actively developing renewable and alternative energy sources, from hydrogen and ammonia to solar and wind power, with CCS technology also playing an important role in its strategy. Japex is developing the CCS project with JGC Holdings Corp and Kawasaki Kisen Kaisha, or K Line, as well as Malaysia’s state-controlled Petronas. The companies plan to start the front-end engineering design next year, with a goal to inject and store CO2 from Japan and Malaysia in depleted oil and gas fields off the Malaysian coast, the statement said. Japex did not provide a cost estimate but said that at least two million metric tonnes of CO2 per year is planned to be injected at the start, rising to five million tonnes annually by the end of this decade, and to over 10 million tones in early 2030s. — Reuters Green Packet drops plan to sell investment banking business after failing to get approval KUALA LUMPUR (Nov 20): Green Packet Bhd said it is not proceeding with its proposed disposal of its entire 100% stake in Oasis Capital Investment Bank Ltd (OCIB) after the investment bank failed to obtain the required approval from the Labuan Financial Services Authority (LFSA). The group said it has received a notice from the purchaser, WKJ Capital Equity Sdn Bhd, to terminate the sale agreement as OCIB was unable to obtain LFSA’s approval for the change of shareholder within the stipulated time frame. “The notice of termination of the disposal of the sale shares will not have any impact on the company’s earnings and the net assets or gearing of the company for the financial year ending March 31, 2024,” Green Packet told Bursa Malaysia on Monday. The plan to dispose of its investment banking business in Labuan to WKJ Capital Equity for RM23 million cash was announced by Green Packet in March. The group had said the proposal provided a timely opportunity for the group to immediately unlock and realise the value of the investment and assets in OCIB. — by Sulhi Khalid The edge filepix

TUESDAY NOVEMBER 21, 2023 19 THEEDGE CEO MORNING BRIEF

TUESDAY NOVEMBER 21, 2023 20 THEEDGE CEO MORNING BRIEF HOME KUALA LUMPUR (Nov 20): A government backbencher has called for accountability for shortcomings in the procurement of ventilators during the Covid-19 pandemic which saw 104 of 136 units not in working condition. The person who gave the “final approval” should be responsible for the procurement, for which the government spent a total of RM23.03 million, said Chong Zhemin [PH-Kampar] in the Dewan Rakyat. During the Budget 2024 debate at the committee stage for the Ministry of Health (MOH) in the Dewan Rakyat, Chong cited the Public Accounts Committee (PAC) report published in October on Covid-19 pandemic procurements. “This is the same with the foreign exchange scandal in the 90s. The money is gone but no one is held responsible. Where is the accountability? “The person with the final authority to give the final approval should be responsible. And to me, the person is not anyone else but Perikatan Nasional (PN) health minister [Datuk Seri Dr] Adham Baba,” Chong said. Chong also cited the latest findings of the PAC, which stated that then transport minister Datuk Seri Wee Ka Siong [BN-Ayer Hitam] played a role in negotiating for the ventilators. “Is this a sign of failure in the PN-led administration, where the health minister Thus, Chong urged Parliament to take action against Adham, stating that it not only involves money but also people’s lives. The PAC report in October revealed that the MOH approved an allocation of RM30 million as a down payment to be paid to Pharmaniaga Logistics Sdn Bhd (PLSB) for the procurement of 500 ventilators, of which 136 units were provided from April 1 to May 19, 2020, at a cost of RM20.125 million. However, on June 4, 2020, the MOH informed the company that the ventilators were not compatible, with only 28 units working. Further repairs and replacements resulted in just an additional four units being usable, for a total of 32 units. The report also revealed that there was no written agreement regarding the procurement of ventilators by the MOH through PLSB during the pandemic, leading to no party being held accountable for the malfunctioning ventilators. According to the PAC report, Wee contributed in the ventilators’ procurement process in terms of arranging the transportation through MasKargo, and obtaining input from Chinese officials on the availability of the products before passing the information to the MOH’s then secretary-general Datuk Seri Chen Chaw Min. Adham, who served as health minister from March 10, 2020 to Aug 16, 2021, was not mentioned in the PAC report. Govt backbencher calls for accountability over procurement of faulty ventilators during pandemic ALOR SETAR (Nov 20): Former Kedah Menteri Besar Incorporated (MBI Kedah) chief executive officer pleaded not guilty in the Sessions Court here on Monday, to charges of soliciting and accepting gratification in connection with a joint venture mining of rare earth element (REE) in Kedah. Muhamad Sobri Osman, 63, made the plea after the charges were read out to him before Judge Rohatul Akmal Abdullah. On the first count, he was charged with soliciting gratification of RM4 million from a person by the name of John Abad Pe from Kumpulan Perlombongan REE Sdn Bhd, as an incentive for him (Muhamad Sobri) to help the company carry out joint venture REE mining through a memorandum of understanding (MOU) between the company and MBI Kedah. The offence was allegedly committed at a hotel in Hatyai, Thailand, on May 20 this year. For this charge, the prosecution requested to apply the provision under Section 66 of the Malaysian Anti-Corruption Commission Act (MACC) 2009, which provides that any citizen and permanent resident of Malaysia who commits an offence abroad can be prosecuted in the country. Muhamad Sobri was also charged with accepting a gratification of RM1 million in cash from John Abad Pe through Liyana Mamat@Khalid as an inducement to help Kumpulan Perlombongan REE Sdn Bhd to carry out a joint venture REE mining in Kedah, through an MOU between the company and MBI Kedah. The offence was allegedly committed in the parking lot of Wisma Darul Aman, Jalan Tunku Bendahara, here on May 29. Both charges are framed under Section 16(a)(A) of the Malaysian Anti-Corruption Former MBI Kedah CEO charged with corruption over rare earth element mining JV Commission Act 2009 (Act 694), which provides imprisonment for up to 20 years and a fine of not less than five times the sum or value of the gratification which is the subject matter of the offence, where such gratification is capable of being valued or is of a pecuniary nature, or RM10,000, whichever is the higher, upon conviction. The court allowed Muhamad Sobri a bail of RM100,000 with one surety for both charges, and also ordered him to surrender his passport, report himself to the nearest MACC office on the first week of every month, and not intimidate witnesses in the case. The court also set Jan 22 next year for mention for the submission of documents. The prosecution was conducted by MACC deputy public prosecutors Farah Yasmin Salleh, Natrah Fareha Rahmat and Muhammad Asnaf Mohamed Tahir, while the accused was represented by lawyers Ibrahim Ismail and Mohammed Zamri Ibrahim. Read also: Kedah MB’s ex-political secretary charged with bribery over rare earth project Bernama BY CHOY NYEN YIAU theedgemalaysia.com did not fulfil his duties, necessitating Ayer Hitam to step in and negotiate for ventilator procurement? What kind of procedure is this?” said Chong.

TUESDAY NOVEMBER 21, 2023 21 THEEDGE CEO MORNING BRIEF HOME GEORGE TOWN (Nov 20): The Penang Development Corp (PDC) has made immediate amendments to all offer letters to include a clause on changes in company shares, before the signing of an agreement. Chief Minister Chow Kon Yeow said this was to ensure that the land sale issue involving PDC land in Byram, Kawasan Perindustrian 2 Batu Kawan (BKIP2), Batu Kawan, near here, will not recur. “The change of shares by UMECH Land Sdn Bhd (UMECH), which happened before the signing of the agreement was done, without prior notification to the PDC. “Therefore, to prevent the same thing from happening again, the PDC has immediately amended all offer letters by placing a clause related to the change of company shares before signing the agreement,” he said at the state legislative assembly on Monday. Chow was replying to a question from Lee Khai Loon (PKR-Machang Bubuk). Various parties, including the Penang Chinese Chamber of Commerce (PCCC), Land sale issue: Penang Development Corp amends offer letters KUCHING (Nov 20): Sarawak Premier Tan Sri Abang Johari Tun Openg on Monday tabled an expansionary state budget totalling RM12.36 billion for next year. This represents a 7.5% increase from the RM11.5 billion allocated for the state’s operating and development expenditures for 2023, he said. “The 2024 budget will continue to be an expansionary budget to boost government spending that will stimulate the state’s economic growth,” he said when tabling the budget at the state assembly here on Monday. Under the budget themed “Development for All: Together, Building a Prosperous, Sustainable and United Sarawak”, the state government is allocating RM7.8 billion for development purposes and RM4.56 billion for operating expenditure. “The budget will continue to provide allocations to key sectors to accelerate economic development and eventually make the state economy prosperous, robust and resilient,” he said. Abang Johari said the focus on developing rural areas will continue. “This effort is being reinforced by establishing nine regional development agencies, which are playing a pivotal role in empowering local communities through our bottom-up approach,” he said. Abang Johari said the Sarawak government will provide cost of living relief in some areas to reduce the financial burden of the low- and middle-income groups, make targeted investments and continue to implement vital programmes and projects for the benefits of the rakyat. “This is the largest-ever budget unveiled by the Sarawak government in history, a testimony to the success of our revenue reengineering efforts and prudent financial management,” he added. During the tabling of the budget at the state assembly, the total budget was announced as RM13.6 billion but the Sarawak Premier’s Office subsequently clarified that the RM13.6 billion was a cumulative figure that includes funds from other sources, including the federal government. Read also: Sarawak assembly unanimously passes Ombudsman Bill Sarawak premier tables RM12.36 bil budget for 2024 Bernama Bernama NEWS IN BRIEF 10 states have offered land for PPR projects KUALA LUMPUR (Nov 20): A total of 10 states have offered land for free or at a nominal premium rate to the Local Government and Housing Ministry (KPKT) for the construction of people’s housing projects (PPR). KPKT Deputy Minister Akmal Nasrullah Mohd Nasir said the land for five PPR projects which involved the states of Johor, Melaka, Selangor, Sabah and Pahang have already undergone engineering and laboratory testing. He said two states, namely Penang and Perak are waiting for the assessment dates while Negeri Sembilan, Terengganu, and Perlis are in the pre-qualification phase. “As for three other states — Kelantan, Kedah, and Sarawak, we have not finalised anything yet because they have not clearly presented the proposed land locations. “This is because the views and decisions regarding the suitability of the location, the selection of sites, districts, and zones should come from the states,” he said when winding-up the debate on the Supply Bill 2024 at the committee level for the ministry in the Dewan Rakyat on Monday. Akmal Nasrullah said the construction of the PPR housing units would follow the standard specifications of a built-up area of 750 sq ft to include three bedrooms and two bathrooms. — Bernama Philippines reaches out to M’sia, Indonesia to craft code on South China Sea MANILA/BEIJING (Nov 20): The Philippines has approached neighbours such as Malaysia and Vietnam to discuss a separate code of conduct regarding the South China Sea, its president said on Monday, citing limited progress toward striking a broader regional pact with China. Relations between the two have grown more tense under President Ferdinand Marcos Jr, who has increasingly complained about China’s “aggressive” behaviour, while rekindling strong ties with the Philippines’ sole treaty ally, the United States. Speaking at Hawaii at a livestreamed event, Marcos said escalating tension in the South China Sea required the Philippines to partner with allies and neighbours to maintain peace in the busy waterway, with the situation now “more dire”. “We are still waiting for the code of conduct between China and Asean and the progress has been rather slow, unfortunately,” Marcos said, referring to efforts by the grouping of Southeast Asian nations. — Reuters Read the full story had raised questions about the selling price of the 226.2 hectares of land in Byram. Chow, who is also PDC chairman, added that there were no weaknesses or mistakes made in the sale of the land to UMECH. He said the sale was conducted through direct negotiations following promotional efforts by PDC at the Dubai Expo 2020, from Jan 16 to 23 last year, and UMECH was the only company that showed serious interest in doing business in Penang.

TUESDAY NOVEMBER 21, 2023 22 THEEDGE CEO MORNING BRIEF HOME PUTRAJAYA (Nov 20): While a nine-member Federal Court bench deferred decision on a challenge mounted by two women over 18 Kelantan shariah criminal provisions, Chief Justice Tun Tengku Maimun Tuan Mat reminded lawyers to refrain from making comments that would create uneasiness among the public or distort events. Tengku Maimun issued this reminder as lawyers for the plaintiffs, Nik Elin Zurina Nik Abdul Rashid and her daughter Tengku Yasmin Nastasha Tengku Abdul Rahman, informed the court about a statement made by lawyer Mohd Yusfarizal Yussoff, representing the Terengganu Islamic Religion and Malay Customs Council. Nik Elin complained to the court that Yusfarizal was quoted to have said two months ago that it was crucial for one to understand the challenge of the powers of the shariah court, before it becomes buried like a batu nisan (tombstone). Yusfarizal, when asked by Tengku Maimun if indeed he had made the statement, replied that he would have to check on the recording before he could respond. Tengku Maimun said the hearing was not about undermining the position of Islam or the shariah courts in the country. “The issue arising out of the petition is simply about the competency of the Kelantan State Legislative assembly to enact impugned provisions. “Subject to whatever reply Yusfarizal wishes to make to this, we would like to remind lawyers that you are bound by the ethics of your profession and you know very well that it is not appropriate to discuss pending cases at a public forum, more so when you [have] failed to disclose the full facts of the case,” she said. A 1,000-strong crowd had gathered outside the Palace of Justice in anticipation of a decision. 18 provisions being challenged Nik Elin initially set out to challenge 20 Kelantan shariah offences which had been passed by the state legislature, as lawyers Datuk Malik Imtiaz Sarwar, Surendra Ananth and Yvonne Lim contended it is the federal government which holds the power, under the Federal Constitution, to create laws on such crimes. However, she and her daughter have since dropped two of the provisions related to gambling and making false claims. Nik Elin is challenging laws stipulated in the Kelantan’s Syariah Criminal Code (I) Enactment 2019 including destroying or defiling a place of worship (Section 11), selling or giving away a child to non-Muslim or morally reprehensible Muslims (Section 13), sodomy (Section 14), sexual intercourse with a corpse (Section 16). Other provisions are sexual intercourse with a non-human (Section 17), words capable of breaking place (Section 30), sexual harassment (Section 31), consuming anything intoxicating (Section 36), gambling (Section 37), reducing scale, measurement and weight (Section 39). The duo are also challenging execution of transactions contrary to hukum syarak (Section 40), executions of transactions via usury (Section 41), abuse of the halal label and connotations (Section 42), offering or provision of vice services (Section 43), preparatory act of offering or provision of vice services (Section 44), preparatory act of vice (Section 45), act of incest (Section 47) and middleman acting to solicit vice activities (Section 48). The Malaysian Bar, represented by Fahri Azzat and Sisters in Islam’s counsel Edmund Bon, supported the petition, while the Muslim Lawyers Association, along with the Federal Territory Islamic Council, Kelantan government, Perak Islamic Affairs and Malay Culture Council opposed to it. BY HAFIZ YATIM theedgemalaysia.com CJ warns lawyers against incendiary comments in Kelantan shariah law dispute Various other Islamic religious councils were also present as amicus curiae (friends of court). Lawyer Arham Rahimi Hariri, representing Kelantan religious councils, told the apex court bench that it does not have powers to grant a declaratory order on such legislations as null and void, but could only rule on their validity. He cited provisions under the Federal Constitution that do not empower the apex court to declare nullification of state legislations. Mohd Haniff Khatri Abdulla, appearing for the Muslim Lawyers Association, said the Federal Court’s decision in the Iki Putra case had widened the jurisdiction of the civil court’s position in nullifying a shariah law in Selangor, and that Nik Elin, as the petitioner, should show why her case does not fall under the ambit of shariah law. “Here, we say that Nik Elin has failed to show why it does not come under the shariah law and hence this petition should be dismissed,” he said. Haniff further called on the legislature to come up with better definitions on what it defines as criminal law to differentiate between civil criminal law and shariah criminal law. Meanwhile, Adham Jamalulullail Ibrahim, lawyer for the Perak Islamic council and Malay Culture Council, cited the Kelantan sultanate, saying it was within its and the state’s purview to enact shariah law, as guaranteed by the British since the 1920s. Malik, in reply, said he was fine with the court declaring laws challenged by his clients as invalid, pointing out that when a law is declared invalid, it is considered nullified. He also said the federal government has a right to enact laws under the federal lists and the Kelantan government’s shariah law provisions had encroached on said lists. He also said that since Kelantan entered the federation, it is bound by provisions in the Federal Constitution. Besides Tengku Maimun, the bench comprised Court of Appeal president Tan Sri Abang Iskandar Abang Hashim, Chief Judge of Malaya Tan Sri Mohamad Zabidin Mohd Diah, Chief Judge of Sabah and Sarawak Tan Sri Abdul Rahman Seblim, and Federal Court judges Tan Sri Nallini Pathmanathan, Datuk Mary Lim, Datuk Harmindar Singh Dhaliwal, Datuk Nordin Hassan and Datuk Abu Bakar Jais. Tengku Maimun said the hearing was not about undermining the position of Islam or the shariah courts in the country. bloomberg

TUESDAY NOVEMBER 21, 2023 23 THEEDGE CEO MORNING BRIEF WORLD TAIPEI (Nov 20): Lai Ching-te, the frontrunner for Taiwan’s presidency, named on Monday, Taipei’s former envoy to the United States as his running mate in January’s election, a high-profile diplomat well known in Washington but who Beijing denounces as a separatist. Lai, vice president and the ruling Democratic Progressive Party’s (DPP) presidential candidate, has led in most opinion polls ahead of the election, which is taking place as Taiwan comes under increased pressure from China to accept its sovereignty claim. His running mate, Hsiao Bi-khim, 52, who had been Taiwan’s de facto ambassador to the United States since 2020, has extensive connections in Washington, and had been widely expected to be Lai’s running mate. In a post on his Facebook page, Lai said he would formally present Hsiao as his running mate on Monday afternoon. Taiwan’s foreign ministry said it had accepted her resignation. “I believe that Bi-khim is definitely an excellent person when it comes to Taiwan’s diplomatic work today, and she is a rare diplomatic talent in our country,” Lai added. Rupert Hammond-Chambers, president of the US-Taiwan Business Council, who has known Hsiao since the 1990s, said she was a “formidable politician”, and would add much needed diplomatic and security heft to Lai’s ticket. Taiwan’s former US envoy, well-known in US, vilified by China, named VP candidate (Nov 20): China and Saudi Arabia have signed a local-currency swap agreement worth around US$7 billion (RM32.69 billion), deepening their ties as countries across the Middle East look to shift more of their non-oil trade away from the dollar. The two countries’ central banks have agreed on a three-year deal for a maximum of 50 billion yuan or 26 billion riyals, according to their separate statements on Monday. China, which has been promoting the yuan’s use in transactions with major energy and commodity exporters, is Saudi Arabia’s biggest trade partner. The swap arrangement will “help strengthen financial cooperation” and “facilitate more convenient trade and investment” between the two countries, the People’s Bank of China (PBOC) said in a statement. The Saudi central bank made similar comments. The deal is the latest sign of strengthening relations between Beijing and Riyadh. Though Saudi Arabia has long been one of China’s main suppliers of oil, business ties have expanded in recent years, with Saudi Aramco investing billions of dollars in China’s petrochemicals sector and the kingdom trying to attract Chinese tech companies. Chinese President Xi Jinping visited Riyadh last year, with the two nations signing agreements-in-principle valued at US$50 billion. They’re also working more closely on geopolitical issues. In March, China helped broker a rapprochement between Saudi Arabia and Iran. And on Monday, a Middle Eastern delegation led by the Saudi foreign minister travelled to Beijing for talks on deescalating the Israel-Hamas war. In August, Saudi Arabia was invited into the BRICS grouping of Brazil, Russia, India, China and South Africa. It’s expected to join in January along with five other nations including Iran, the United Arab Emirates and Argentina. Beyond dollar Saudi Arabia is the world’s largest oil exporter and a pillar of a petrodollar system established in the 1970s that relies on pricing crude exports in the US currency. While maintaining a peg to the dollar for decades, it’s now also seeking to strengthen its relations with crucial trade partners including China as part of an effort to diversify the economy away from energy. At the same time, Saudi officials have consistently played down the idea that the kingdom would start to sell its oil to China or other major importers in currencies other than the dollar. Apart from Saudi Arabia, major oil producers including the UAE and Iraq are also planning or exploring ways to conduct non-oil trade using currencies other than the dollar. And as more countries try to reduce their reliance on the US currency, China’s swaps have grown in importance over the past decade. Chinese, Saudi central banks sign currency swap worth US$7 bil BY FAHAD ABULJADAYEL & YUJING LIU Bloomberg BY BEN BLANCHARD & YIMOU LEE Reuters Apart from Saudi Arabia, major oil producers including the UAE and Iraq are also planning or exploring ways to conduct non-oil trade using currencies other than the dollar. Global central banks used them to a record degree in the first quarter of this year, indicating the yuan’s growing international prominence and a shift towards settling trade transactions with China in local currencies rather than the dollar. The outstanding balance of China’s foreign-exchange swap lines rose to a fresh high of 117.1 billion yuan at the end of September, according to the PBOC. The Chinese central bank has 29 active swap agreements, with their combined quota at over four trillion yuan in total, according to its report last month. Argentina recently said it would leverage a swap line to finance imports from China, responding to financial challenges linked to a selloff in the peso. Brazil has taken similar steps. BloomBerg Read also: Israel-Hamas hostage deal edges closer despite fierce fighting in Gaza Musk defends himself on X after antisemitic furore deepens Philippines’ Marcos says Myanmar a difficult problem for Asean Read the full story

TUESDAY NOVEMBER 21, 2023 24 THEEDGE CEO MORNING BRIEF WORLD (Nov 20): In the weeks leading up to his shocking ouster from OpenAI, Sam Altman was actively working to raise billions from some of the world’s largest investors for a new chip venture, according to people familiar with the matter. Altman had been traveling to the Middle East to fundraise for the project, which was code-named Tigris, the people said. The OpenAI chief executive officer planned to spin up an AI-focused chip company that could produce semiconductors that compete against those from Nvidia Corp, which currently dominates the market for artificial intelligence tasks. Altman’s chip venture is not yet formed and the talks with investors are in the early stages, said the people, who asked not to be named as the discussions were private. Altman has also been looking to raise money for an AI-focused hardware device that he’s been developing in tandem with former Apple Inc design chief Jony Ive. Altman has had talks about these ventures with SoftBank Group Corp, Saudi Arabia’s Public Investment Fund, Mubadala Investment Company and others, as he sought tens of billions of dollars for these new companies, the people said. Many details of the scale and focus of Altman’s chip ambitions as well as the project’s codename have not been previously reported. Altman’s fundraising efforts came at an important moment for the AI startup. OpenAI has been working to finalise a tender offer, led by Thrive Capital, that would let employees sell their shares at an US$86 billion (RM401.8 billion) valuation. SoftBank and others had hoped to be part of this deal, one person said, but were put on a waitlist for Altman sought billions for chip venture before OpenAI ouster (Nov 20): Microsoft Corp said that Sam Altman will lead the software developer’s new in-house artificial intelligence team after the OpenAI co-founder was ousted from his startup last week, a bid to shore up Microsoft’s AI plans and reassure investors. Greg Brockman, an OpenAI board member and co-founder who also left the company last week, will join Altman and Microsoft will “move quickly to provide them with the resources needed for their success”, the Redmond, Washington-based company’s chief executive officer Satya Nadella said in a post on LinkedIn. In another post on X, formerly Twitter, Nadella said Altman will serve as CEO of the new in-house group. The move, at midnight local time on Sunday, was the latest in a dramatic three days for Microsoft and OpenAI’s relationship, a backup plan for Nadella after his efforts to restore Altman and Brockman to OpenAI were thwarted. The OpenAI board named former Twitch chief Emmett Shear as CEO. Nadella wrote that Microsoft looks forward to getting to know Shear and working with him. “We remain committed to our partnership with OpenAI and have confidence in our product roadmap, our ability to continue to innovate with everything we announced at Microsoft Ignite, and in continuing to support our customers and partners,” Nadella said on LinkedIn. The Microsoft chief has been revamping his company’s entire product lineup around OpenAI’s technology and has put US$13 billion (RM60.68 billion) into the startup, making Microsoft by far its biggest shareholder with a roughly 49% stake. Still, Microsoft was shocked Friday when it received just a few minutes notice that the board had ousted Altman, who enjoys a close relationship with Nadella. The news sent Microsoft shares down amid concern that upheaval at OpenAI could adversely impact Microsoft’s entire AI strategy. They reversed course and rose as much as 2.7% in premarket trading Monday after Nadella’s announcement. Microsoft to appoint Sam Altman as CEO of new in-house AI team BY DINA BASS Bloomberg BY ED LUDLOW & ASHLEE VANCE Bloomberg Microsoft executives were also surprised Sunday by Shear’s appointment, as they had expected they would be able to get OpenAI’s board to back down and allow Mira Murati, who had been appointed interim CEO, to return Altman and Brockman to the company in some capacity, said people familiar with the company’s thinking. They asked not to be named discussing private deliberations. It’s not yet clear who or how many former OpenAI workers may join Microsoft — Nadella said colleagues of Altman and Brockman would follow — nor how Microsoft will balance its ongoing commitment to OpenAI against its own new Altman-led AI group. Nadella offered LinkedIn and GitHub as examples of Microsoft-owned businesses that operate with “independent identities and cultures” and their own CEO. Microsoft has worked for more than 20 years on its own AI research. Its move to rely heavily on OpenAI technology and give that company vast computing resources, in some cases over homegrown projects, has caused some tension with those working on AI inhouse. While some long-time Microsoft AI hands have left the company, moving Altman and Brockman into Microsoft could cause some further consternation. a similar deal at a later date. In the interim, Altman urged investors to consider his new ventures, two people said. A representative for Saudi Arabia’s PIF did not immediately respond to a request for comment. OpenAI, SoftBank and Mubadala declined to comment. OpenAI said Friday that Altman was ousted from his role after an internal review found “he was not consistently candid in his communications with the board.” The board and Altman had differences of opinion on AI safety, the speed of development of the technology and the commercialization of the company, according to a person familiar with the matter. Altman’s ambitions and side ventures added complexity to an already strained relationship with the board. In a memo to staff, Brad Lightcap, OpenAI’s chief operating officer, said: “We can say definitively that the board’s decision was not made in response to malfeasance or anything related to our financial, business, safety, or security/privacy practices. This was a breakdown in communication between Sam and the board.” Read the full story Read also: The doomed mission behind Sam Altman’s shock ouster from OpenAI reuters

TUESDAY NOVEMBER 21, 2023 25 THEEDGE CEO MORNING BRIEF

TUESDAY NOVEMBER 21, 2023 26 THEEDGE CEO MORNING BRIEF WORLD (Nov 20): Shares of China’s small and medium-sized companies are poised to enter a bull market, defying a broader slump in local equities. The Beijing Stock Exchange 50 Index, a gauge of early-stage innovative companies listed in the capital, rose 3.1% on Monday, taking gains from an October low to over 19%. The measure has beaten its larger, tech-heavy peer by 12 percentage points and the benchmark CSI 300 Index by 16 percentage points, making it a bright spot in China this quarter. The strong rebound on the Beijing board this month is partly due to a wider China’s early stage technology stocks on brink of bull market (Nov 20): The powerful rally in small-cap stocks looks like yet another false start rather than a lasting recovery. The Russell 2000 Index — the world’s most closely followed gauge of smaller companies — rose over 5% last week as softer US inflation data bolstered bets that interest rates have topped out. Still, it will be hard for the gauge to avoid notching its worst year since 1998 against a benchmark of larger peers, given how vulnerable it is to damagingly high debt costs and a potential economic downturn. What’s more, unlike its bigger counterpart, the Russell small-cap index has tried and failed three times in the past 18 months to sustain a rally into a bull market — defined as a 20% gain from the most recent trough. All that is making investors fearful of calling a turning point, even though the small-cap index is hovering near the cheapest valuations since 2007 relative to the S&P 500 Index. “You can rent the small-cap rally, but don’t own them yet,” said Manish Kabra, head of US equity strategy at Societe Generale SA. “The biggest issue is the upcoming refinancing cycle, as a quarter of firms have been loss-making in the last three years despite super-strong nominal GDP growth.” US small caps do tend to outperform the broader market between the last Fed rate hike and its first cut. But what’s different this time is that the US rate-hike cycle has been the most powerful since the 1980s. It’s feeding into the economy, just as companies face repaying debt they gorged on during the cheap-money years. And even before recession hits, 40% of Russell 2000 companies are loss-making, data from Apollo Global Management showed. Debt costs are going to be problematic for companies more broadly, of course — Bloomberg Intelligence estimates corporates that borrowed in dollars may incur an extra US$27 billion (RM126.1 billion) in interest costs when they refinance debt Lasting recovery in small caps still elusive as debt costs bite BY SAGARIKA JAISINGHANI & ALEXANDRA SEMENOVA Bloomberg BY BLOOMBERG NEWS Bloomberg Read also: Xiaomi posts first sales rise since 2021 after market stirs maturing between 2024 and 2026. But headwinds could be magnified for small firms as they tend to carry more leverage. US small caps have more than two-thirds of their debt coming due in the next five years, compared with less than half for the S&P 500, according to data compiled by Bloomberg. That’s enough reason to shun small caps, Peter Garnry, head of equity strategy at Saxo Bank AS, said, noting that “higher rates for longer and, potentially, a slowdown in the economy are key risks that hit these small cap companies harder than large caps.” Small-cap fund managers are banking on an extreme discount in share prices relative to earnings to drive a rebound. Valuations are “beyond cheap” according to Nicholas Galluccio, portfolio manager of the Teton Westwood Small Cap Equity Fund. “If we’re going into a slowing economy, small caps are already predicting a recession. So the valuation gap between small and large caps will begin to close,” he added. Such bets have lured nearly US$1.7 billion to US small-cap funds so far in November, EPFR Global data showed, the first inflow in four months. And history bodes well — since the late-1980s, US small caps have typically gained 16.5% in the average of nine months between the last rate hike and the first cut, according to CFRA Research. The S&P 500, meanwhile, has risen 13.2%. fluctuation range of 30% allowed for its constituents in either direction. This compares to a span of as much as 20% for the Shanghai and Shenzhen gauges. Investors’ light positioning in these companies — the largest of around a dozen exchange traded funds tracking the index have assets of about 228.8 million yuan ($31.9 million) — and regulators’ consideration to include eligible securities into the CSI cross-market index system also serve as catalysts. The Beijing exchange, launched two years ago, was aimed at helping small firms raise funds and making the nation’s financial markets more multifaceted. Read the full story The Russell small-cap index has tried and failed three times in the past 18 months to sustain a rally into a bull market.

TUESDAY NOVEMBER 21, 2023 27 THEEDGE CEO MORNING BRIEF WORLD (Nov 20): Chinese regulators are drafting a list of 50 developers eligible for a range of financing, according to people familiar with the matter, the nation’s latest effort to put a floor under the property crisis. China Vanke Co, Seazen Group Ltd and Longfor Group Holdings Ltd are among companies that have been named in a draft of the so-called white list, the people said, asking not to be named because the matter is private. The list, which includes both private and state-owned developers, is intended to guide financial institutions as they weigh support for the industry via bank loans, debt and equity financing, the people said. It couldn’t be determined which other developers were included on the draft list. The yet-to-be-finalised list would expand on previous rosters created by banks that only focused on some “systemically important” state-backed firms. It underscores Beijing’s growing concerns about the sector following record defaults, a swathe of unfinished apartments and a deep contraction in real estate investment that threatens to derail growth in the world’s second-largest economy. Some Chinese builders’ dollar bonds rallied after the report. Vanke’s 3.5% note due 2029 climbed 3.9 cents (18 sen) on the dollar, set for the biggest jump in two weeks, according to data compiled by Bloomberg. Longfor’s 3.85% note due 2032 rose 3.2 cents, while Seazen’s 4.8% bond due 2024 climbed 2.2 cents. China’s biggest banks, brokerages and distressed asset managers were told to meet all “reasonable” funding needs from propChina drafts list of 50 real estate firms eligible for funding SHANGHAI/SINGAPORE (Nov 20): China left benchmark lending rates unchanged at a monthly fixing on Monday, matching expectations, as a weaker yuan continued to limit further monetary easing and policymakers waited to see the effects of previous stimulus on credit demand. Recent data shows the recovery in the world’s second-largest economy remains patchy with industrial output and retail sales surprising on the upside but deflation gathering pace and few signs the struggling property market will bounce back any time soon. While the economy still needs more policy stimulus, an escalation of monetary easing would add unwanted downside pressure on the Chinese currency. The one-year loan prime rate (LPR) was kept at 3.45% and the five-year LPR was unchanged at 4.20%. Most new and outstanding loans in China are based on the one-year LPR, while the fiveyear rate influences the pricing of mortgages. In a poll of 26 market watchers conducted last week, all participants predicted no change to either the one-year or five-year LPR. The steady fixings came after the central bank kept its medium-term interbank liquidity rate unchanged last week. The one-year LPR is loosely pegged off the medium-term lending facility (MLF) and market participants typically see changes in the MLF rate as a precursor to adjustments in the LPR. The PBOC injected 1.45 trillion yuan (RM940 billion) worth of one-year MLF loans into the banking system last week but kept the rates on those loans unchanged. The liquidity boost resulted in a net 600 billion yuan of cash injections into the banking system, the biggest monthly increase since December 2016. China keeps lending benchmark rates unchanged, as expected BY WINNI ZHOU & TOM WESTBROOK Reuters Bloomberg “Policymakers may want more time to access the impact of the recent repricing of existing mortgage contracts before they make further changes to the benchmark rate,” Julian Evans-Pritchard, head of China economics at Capital Economics, said in a note released before the LPR fixing. “The big picture though is that, with economic momentum weak and downward pressure on the renminbi reversing, we think rate reductions will come before long,” he said, expecting China to lower the lending benchmark by 20 basis points at the end of the first quarter next year. China’s yuan has clawed back some of its year-to-date losses after losing more than 6% against the dollar at one point in September. China remains an outlier among global central banks, having loosened monetary policy to shore up a faltering recovery but further rate cuts would widen the yield gap with the US, risking yuan depreciation and capital outflows. The LPR, which banks normally charge their best clients, is set by 18 designated commercial banks who submit proposed rates to the central bank every month. Read also: China shifts Belt and Road ernergy spending to renewables, study finds Hong Kong tycoon Cheng raises doubt over succession plans erty firms at a Friday gathering with the top financial regulators, according to a government statement that didn’t mention a white list. Financial firms were also asked to “treat private and state-owned developers the same” when it comes to lending.

TUESDAY NOVEMBER 21, 2023 28 THEEDGE CEO MORNING BRIEF Under the SOS Financing Programme, an array of fi nancing solutions is available to cater to various SME concerns, allowing them to not only rebuild their businesses but to also empower them to expand and further contribute to the nation’s economic growth. — MIDF CEO Azizi Mustafa In addition to the programme, MIDF also off ers the Business Advisory Service, which provides complimentary fi nancial advice and guidance to SMEs or struggling companies, including intervention programmes tailored to enhance competitiveness and sustainability, such as the Environment, Social and Governance (ESG) Intervention and Capacity Building Programme, Digitalisation Adoption Programme, and Automation and Factory Transformation Programme. Stepping up support to embrace ESG PETRONAS and MIDF’s collaboration extends beyond the SOS Financing, encompassing various areas of the OGSE ecosystem. Both PETRONAS and MIDF acknowledge the importance of ESG in today’s responsible business landscape and are committed to helping OGSE players comply with and adhere to the requirements and the broader spectrum of sustainable practices and reporting in alignment with ESG principles. This support may involve customised programmes or workshops on ESG, ensuring that oil and gas service companies meet financing eligibility criteria while upholding ESG standards. As the energy sector transitions towards more sustainable sources, PETRONAS recognises the importance of embracing this shift and supporting its OGSE partners in their own cleaner energy endeavours, enabling them to diversify their portfolios and adapt to evolving market demands. By leveraging on the existing client relationships and embracing just energy transition, PETRONAS provides opportunities for OGSE companies to thrive, remain resilient and stay competitive in the ever-evolving energy sector. EMPOWERING MALAYSIAN SMES THROUGH SPECIAL OGSE FINANCING Details of scheme funds and how to apply Among the scheme funds off ered under the Special OGSE (SOS) Financing Programme are: a) SME Revitalisation Financing (SMERF) – A fi nancing scheme that provides fi xed asset and working capital fi nancing to viable SMEs as well as companies in the underserved sectors that are constrained by fi nancial diffi culties with a fi nancing amount of up to RM250,000 at a fi nancing rate of 3% per annum on monthly rest.  b) Jumpstart Financing (JSF) – This scheme off ers working capital fi nancing of up to RM500,000 at a fi nancing rate of 2% per annum on monthly rest for SMEs and 3% for non-SMEs, which aims to help restart and support the continuity of businesses that have been aff ected by the COVID-19 pandemic in conjunction with the reopening of the economy.  c) Second Chance Financing (2CF) – This scheme off ers fi nancing solutions to distressed SMEs by off ering debt fi nancing (i.e fi nancing for Machinery, Equipment, Commercial Motor Vehicle, IT Hardware, Software and Working Capital) as well as equity fi nancing up to RM5 million at a fi nancing rate of 3% per annum on monthly rest. The fund not only aids viable SMEs in swiftly recovering from crises and reintegrating into the economy but also safeguards them against the brink of closure of bankruptcy. Additionally, the fund provides support to reputable companies seeking to acquire equity or shares in fi nancially distressed yet highpotential SMEs through equity fi nancing. Interested applicants can register and apply through the QR code below or the URL at https://biz.fi nancing.growyourbusiness. midf.com.my To explore further details regarding industry initiatives off ered by PETRONAS, visit https://www.petronas. com/partner-us/malaysiaogse-industry-initiatives. About MIDF The MIDF group carries out investment banking, development fi nance and asset management. It serves entrepreneurs as well as large corporations and institutions. Malayan Industrial Development Finance Ltd (now MIDF) was established in 1960 following the recommendations of the World Bank on how to fi nance the industrialisation of Malaya, and over the last 62 years, the MIDF Group has been part of the development and modernisation of Malaysia’s economy and capital markets. MIDF is a member of Malaysia Building Society Berhad (MBSB) Group. MBSB is also the fi nancial holding company of MBSB Bank Berhad (MBSB Bank). D espite the general uptick in the global economy, SMEs in Malaysia’s oil and gas services and equipment (OGSE) industry may still struggle to secure competitive fi nancing to support their operations and growth and to manage their cash fl ow. Recognising these challenges, PETRONAS and Malaysian Industrial Development Finance Berhad (MIDF) have collaborated to provide SMEs with access to fi nancing at competitive rates through the Special OGSE (SOS) Financing Programme. Launched in September 2022, SOS Financing aims to foster SMEs’ growth, enhance their global competitiveness and contribute to the country’s economic development in alignment with the government’s initiatives to advance the industry. Azizi Mustafa, CEO of MIDF, emphasises the development fi nance institution’s role in supporting and assisting underserved sectors, including the oil and gas industry. “Under the SOS Financing programme, an array of fi nancing solutions is available to cater to various SME concerns, allowing them to not only rebuild their businesses but to also empower them to expand and further contribute to the nation’s economic growth,” he said. SOS Financing solutions include scheme funds such as SME Revitalisation Financing (SMERF), Jumpstart Financing (JSF), and Second Chance Financing (2CF), providing fi xed asset and working capital fi nancing to support the viability and growth of these companies. By improving access to fi nancing, enhancing liquidity, and providing assistance with working capital and contract completion, SOS Financing actively promotes business growth within the OGSE sector. To date, MIDF has authorised more than RM30 million in fi nancing for OGSE vendors under the programme, enabling eligible OGSE vendors to gain access to essential working capital support upon meeting MIDF’s minimum credit assessment criteria. SMEs that are registered with statutory bodies and have a majority Malaysian ownership (depending on the scheme) are encouraged to apply for fi nancing through this programme. Application is also open to vendors who have a viable business model with the potential for positive cash fl ow. Azizi elaborates on the rigorous and systematic approach that MIDF employs for eff ective fi nancing utilisation, including credit assessment to evaluate the fi nancial health, creditworthiness, and viability of the vendor. “The disbursement of funds is tailored to the specifi c needs and timelines of the vendor, allowing for fl exibility in utilising the funds according to operational requirements,” he adds. Notably, PETRONAS facilitates this programme by providing a verifi cation platform for awarded contracts and licence status. “Participating vendors will benefi t from quicker access to credit facilities, better terms, and improved working capital, allowing them more effective business continuity,” explains Azizi.

TUESDAY NOVEMBER 21, 2023 29 THEEDGE CEO MORNING BRIEF WORLD (Nov 20): WeLab Ltd, backed by investors including billionaire Li Ka-shing and Astra International, a unit of Jardine Matheson, is launching a digital bank in Indonesia to tap the young and fast-growing economy. Bank Jasa Jakarta, which WeLab and Astra jointly bought last year, launched the digital bank called Bank Saqu on Monday. The bank is targeting the younger generation, including so-called “solopreneurs,” such as small business owners, freelancers, and fulltime employees juggling side hustles. The expansion is part of WeLab’s ambitions to grow in the Asia region, after starting a digital bank in Hong Kong in 2020. The fintech also runs several businesses in mainland China. “The aspiration of the company is to build this from where we are today, around 60 million users to half a billion users by 2032,” said Simon Loong, group chief executive officer of WeLab. The solopreneur segment is fast-growing, and a study commissioned by Bank Saqu estimates that one in three Indonesians, or some 117 million people, will have multiple side gigs by 2030. Bank Saqu allows customers to open up to 20 accounts to cater to different income streams, and plans to roll out lending and fee-income products in 2024, said Loong. On average, it takes about three to five years for virtual banks to be profitable, he said. Profitability path WeLab has a cooperation with HSBC Holdings Plc to co-develop digital offerings in Malaysia, and potentially, the efforts could expand elsewhere, according to Loong. In Hong Kong, WeLab Bank reported a loss of HK$161.5 million (RM96.6 Li Ka-shingbacked WeLab launches digital bank in Indonesia (Nov 20): Thailand’s economic growth unexpectedly slowed in the third quarter as manufacturing slumped on weak exports, supporting the case for the new government to proceed with its planned $14 billion cash handout program. Gross domestic product in the three months through September rose 1.5% from a year earlier, the National Economic and Social Development Council said Monday. That’s well below the 2.2% median estimate in a Bloomberg survey and 1.8% growth in the second quarter. The economy expanded 0.8% quarter-on-quarter, against a median estimate of a 1.3% growth. For the first nine months, the economy improved just 1.9%. The disappointing print prompted the NESDC to narrow its 2023 GDP growth forecast to 2.5% from a prior estimate of 2.5%-3%. The Council’s chief Danucha Pichayanan said at a briefing that the government should try to create sufficient fiscal space to prepare for future risks. Even as tourism — which is a key plank of Southeast Asia’s second-largest economy — recovered and buoyed domestic activity, growth still lagged many of its neighbors amid a slump in exports and government spending. Dismal domestic activity has prompted the administration of Prime Minister Srettha Thavisin to push for a stimulus plan that’s being opposed by some central bankers and economists. Srettha is aiming to accelerate annual growth, which has averaged below 2% in the past decade, to 5%. Thailand economic growth slows last quarter, boosts stimulus case BY SUTTINEE YUVEJWATTANA & PATHOM SANGWONGWANICH Bloomberg BY DENISE WEE Bloomberg Read also: UOB completes acquisition of Citigroup’s consumer banking business in Indonesia Citigroup cuts over 300 senior manager roles in latest restructuring The centerpiece of Srettha’s strategy to lift the economy out of the cycle of low growth is a digital wallet program that will see 50 million Thais 16 years old and above million) during the first half, narrowing from HK$224 million a year ago. Its net interest income doubled in the first half. “We are on track to hopefully achieve profitability in 2024, 2025,” said Loong. The bank unrolled its digital wealth business in Hong Kong in 2022, and has 15,000 wealth customers and is targeting launching in the Greater Bay Area, according to Loong. WeLab, a so-called unicorn, or company with a valuation of at US$1 billion, filed for a Hong Kong IPO application in 2018, but that was delayed. Loong said company is still “looking at” an IPO but the equities market is “pretty soft,” and it doesn’t have a specific timeframe. receive a one-time handout of 10,000 baht ($285) starting May 2024. On Monday, Srettha said he was “very concerned” about the the latest GDP data that was worse than expected and pointed to an economic crisis. Such a dire state of the economy underlines the need for the cash stimulus, he said. The plan to fund the handout through borrowing has triggered a backlash, including from Thailand’s opposition party, on concerns that move may widen the fiscal deficit and stoke inflation. The baht, held gains of about 0.2% against the dollar after the release of the GDP data, while the benchmark SET stock index and 10-year sovereign bonds were little changed.

TUESDAY NOVEMBER 21, 2023 30 THEEDGE CEO MORNING BRIEF WORLD BERLIN (Nov 20): France, Germany and Italy have reached an agreement on how artificial intelligence should be regulated, according to a joint paper seen by Reuters, which is expected to accelerate negotiations at the European level. The three governments support “mandatory self-regulation through codes of conduct” for so-called foundation models of AI, which are designed to produce a broad range of outputs. But they oppose “un-tested norms.” “Together we underline that the AI Act regulates the application of AI and not the technology as such,” the joint paper said. “The inherent risks lie in the application of AI systems rather than in the technology itself.” The European Commission, the European Parliament and the EU Council are negotiating how the bloc should position itself on this topic. The paper explains that developers of foundation models would have to define model cards, which are used to provide information about a machine learning model. “The model cards shall include the relevant information to understand the functioning of the model, its capabilities and its limits and will be based on best practices within the developers community,” the paper said. “An AI governance body could help to develop guidelines and could check the application of model cards,” the joint paper said. Initially, no sanctions should be imposed, the paper said. If violations of the code of conduct are identified after a certain period of time, however, a system of sanctions could be set up. Germany’s Economy Ministry, which is in charge of the topic together with the Ministry of Digital Affairs, said laws and state control should not regulate AI itself, but rather its application. Digital Affairs Minister Volker Wissing told Reuters he was very pleased an agreement had been reached with France and Germany to limit only the use of AI. “We need to regulate the applications and not the technology if we want to play in the top AI league worldwide,” Wissing said. State Secretary for Economic Affairs Franziska Brantner told Reuters it was cruGermany, France and Italy reach agreement on future AI regulation (Nov 20): German Vice Chancellor Robert Habeck said last week’s ruling by Germany’s top court curbing the use of off-budget special funds is a major blow for Europe’s biggest economy and could lead to higher power costs for households and companies. Constitutional Court judges said that €60 billion ($65.5 billion) in untapped credit authorizations can’t be transfered into the government’s Climate and Transformation Fund, potentially threatening projects like the expansion of hydrogen infrastructure and charging stations for electric vehicles. It has also prompted fears that similar offbudget vehicles accounting for as much as BY ANDREAS RINKE Reuters €770 billion in funding may have to be dissolved or at least overhauled. Habeck said that while the government is still digesting the ruling and how to implement it, it’s already clear that it will have “massive implications” for Germany’s transformation to a cleaner and more technologically advanced economy. Government support for efforts by companies to green manufacturing processes, including in the steel industry, and the expansion of solar power are among initiatives under threat, Habeck said Monday in an interview with Deutschlandfunk radio. “This is about the core substance of the German economy,” he said. “The answer is not easy to find and things could get really difficult.” Habeck said that the court ruling, in his view, will also impact Germany’s Economic Stabilization Fund, known as the WSF. If that proves to be the case, it could have implications for around €30 billion euros of net new debt in the 2023 federal budget, money that has been allocated to help shield companies from high energy prices. If the government is forced to take action on the WSF funds, it would mean that households and firms would face higher power prices and, potentially, higher gas costs as well, Habeck said. This is about the core substance of the German economy. The answer is not easy to find and things could get really difficult.” — Habeck. German budget shock major blow for economy, Habeck warns BY IAIN ROGERS Bloomberg Read also: UK’s Hunt says won’t implement tax cuts that fuel inflation South Korea’s Yoon seeks stronger economic, security ties on UK state visit Spain PM Sanchez’s new Cabinet to keep senior ministers, including Calvino BloomBerg cial to harness the opportunities and limit the risks. “We have developed a proposal that can ensure a balance between both objectives in a technological and legal terrain that has not yet been defined,” Brantner said. As governments around the world seek to capture the economic benefits of AI, Britain in November hosted its first AI safety summit. The German government is hosting a digital summit in Jena, in the state of Thuringia, on Monday and Tuesday that will bring together representatives from politics, business and science. Issues surrounding AI will also be on the agenda when the German and Italian governments hold talks in Berlin on Wednesday.

TUESDAY NOVEMBER 21, 2023 31 THEEDGE CEO MORNING BRIEF WORLD TAIPEI (Nov 20): Shares in Foxtron Vehicle Technologies, a unit of Taiwanese contract manufacturer Foxconn, fell in their market debut on Monday, hurt by concerns over headwinds in the highly competitive electric vehicle market. Foxtron shares did recover some ground from earlier losses of as much as 9%, ending down 2.7% which gave it a market capitalisation of around US$2.7 billion (RM12.6 billion). In addition to inflation and higher interest rates which have raised the cost of buying a car, EV makers are grappling with supply-chain bottlenecks and pricing pressure. “The EV market has been flooded by a red sea of price cuts by major players such as Tesla,” said an analyst at Mega International Securities, who asked not to be named, citing the firm’s policies on commenting publicly on listed companies. “Foxtron has lost money in 2021 and 2022, and we don’t think it will turn that around in the next two years.” Foxtron is a joint venture between Foxconn — the world’s largest contract manufacturer for iPhones and other consumer electronics — and local car maker Yulon. It currently has only one client, Luxgen, which is owned by Yulon. Foxconn’s electric car unit falls in market debut amid tough industry outlook SYDNEY/BENGALURU (Nov 20): The head of Australia’s second-largest telco Optus resigned on Monday, cutting short a more than three-year tenure marred by a massive network-wide outage and one of Australia’s largest data breaches. Parent Singapore Telecommunications announced the resignation of Optus chief executive officer (CEO) Kelly Bayer Rosmarin, days after a network-wide outage left nearly half of Australia’s 26 million people without phone or internet for 12 hours. Chief financial officer Michael Venter will take over as interim CEO, Singtel said in a statement. Rosmarin said she decided to resign after time for personal reflection following a parliamentary hearing on Friday, where Optus executives said the company had no contingency plan in place for an outage of that scale. “Having now had time for some personal reflection, I have come to the decision that my resignation is in the best interest of Optus, moving forward,” she said in the statement. Appointed in April 2020, Rosmarin headed Optus through two national scandals that have tarnished the reputation of the telco giant. A massive data hack last year exposed the personal data of 10 million Australians and triggered a class action lawsuit and multiple investigations from regulators. The company was dealt a fresh blow earlier this month, when a 12-hour netAustralian telco Optus’ CEO quits after network outage BY LEWIS JACKSON, BYRON KAYE & HIMANSHI AKHAND Reuters BY BEN BLANCHARD & FAITH HUNG Reuters work blackout hit more than 10 million Australians, triggering fury and frustration among customers and raising wider concerns about the telecommunications infrastructure. Optus executives told the parliamentary hearing on Friday that the telco provider had not foreseen a network-wide outage and so had no backup plan in place. Rosmarin told the hearing hundreds of calls to Australian emergency hotline Triple-0 failed because of the outage, although the telco had followed up all incidents and “thankfully everybody is OK”. Singtel said last week that a fault in Optus’ security systems caused the failure, not a routine software upgrade as previously suspected. Rosmarin increased Optus’ market share and improved financial performance during her tenure, Single said in a statement. “We recognise the need for Optus to regain customer trust and confidence, as the team works through the impact and consequences of the recent outage and continues to improve,” SingTel group CEO Yuen Kuan Moon said in a statement. Peter Kaliaropoulos was also appointed to a newly created position of chief operating officer. Young Liu, chairman of both Foxtron and Foxconn, said, however, the company has a clear strategy for growth. “Foxtron will build its foundation in Taiwan, leveraging our own design and service momentum in EV, as well as Foxconn’s proven business models to guide our entry into the North America, Southeast Asia mainstream markets.” The company raised T$7.5 billion in its initial public offering. Separately, Liu declined to comment on what contingency plans Foxconn has should founder Terry Gou finalise his run for Taiwan’s president by registering with the election commission, which he has until Friday to do so. China last month announced a tax probe into Foxconn — a move which the Chinese newspaper that revealed the investigation attributed to Beijing’s unhappiness with Gou’s decision to run for president. Read also: BYD’s Tesla rival leads new EV launches at Guangzhou auto show GM’s Cruise robo-taxi CEO resigns from company reuters reuters

TUESDAY NOVEMBER 21, 2023 32 THEEDGE CEO MORNING BRIEF WORLD Baltic Exchange shipping updates A weekly round-up of tanker and dry bulk market (Nov 17, 2023) CApesize The week commenced with a subdued market due to Singapore’s Diwali holiday. However, the Pacific region saw a positive turn on Tuesday, marked by increased trading volumes and improved fixtures on C5, supported by a solid volume of coal cargoes. The midweek surge continued in the Pacific, driven by Japanese tender cargoes and heightened coal shipments from East Coast Australia and Indonesia, resulting in a further 40-cent increase on C5. Meanwhile, the Atlantic market witnessed notable activity, especially from southern Brazil and West Africa. Towards the end of the week, the Pacific market maintained the positive momentum. Brokers talked of some port closures in China caused by strong winds potentially causing delays, however, with all three miners actively participating there were further gains. Meanwhile, the Atlantic region sustained its optimistic outlook, with firm fixtures and an upward climb in the C3 index, which gained over US$2 to close at US$22.589. Overall, the week saw dynamic market conditions, with the Pacific region driving increased activity and positive sentiment persists in the Atlantic. pANAmAx A dramatic week for the Panamax market, chiefly in the Atlantic with rates accelerating sharply. The north of the arena appeared mostly mineral centric but stable grain demand was seen too ex US Gulf and NC South America. This was coupled with a highly firm market ex US Gulf for the Supramax and Ultramax sectors, lending support to the remarkable moves seen in the market. Quick Baltic round trips were achieving US$30,000 by the end of the week, with longer trans-Atlantic trips now in the low US$20,000s, with some voyage business edging closer to mid US$20,000s on an equivalent basis. Whilst rate increases were less spectacular in Asia than the Atlantic, a solid week for the basin saw solid levels of demand predominantly mineral led ex Australia and Indonesia. Multiple short period up to one-year deals concluded this week. The one-year mark averaging out around the low-mid US$14,000s mark for 82,000-dwt types delivery to the Far East. UltrAmAx/sUprAmAx A stronger week than recent weeks, with better levels of enquiry and a tightening of prompt tonnage from key areas. The Atlantic was led from the US Gulf where demand was very strong, certainly for fronthaul trips. A 63,500-dwt was heard fixed for a trip from Pascagoula to India with petcoke at US$47,500, whilst another Ultramax was heard to have fixed a trans-Atlantic run from the US Gulf at US$32,000. There was also a bit more interest from the South Atlantic and again rates seemed to be on an upward trajectory. From Asia, a more positive feel as fresh enquiry from Indonesia led to a reduction of prompt tonnage availability. A 58,000-dwt was heard fixed delivery Singapore for a trip via Indonesia redelivery China at US$15,000. Further north, a 56,000-dwt was fixed basis delivery China for a steals run to SE Asia in the mid US$6,000s. On the period front, a 63,000-dwt open Haldia was heard to have been extended in direct continuation for 12 months trading at US$14,000. HANdysize Positivity swept back into the Atlantic this week, helping guide the BHSI to an upward trajectory after a sustained period of decline. The US Gulf was said to be lacking tonnage availability and charterers had begun to source tonnage from Europe and West Africa to cover their requirements. The Continent and the Black Sea had shown improvements in levels of fresh enquiry in recent days with rumours of a large handy fixing from the Continent to the US Gulf at around US$13,000 but further details had yet to surface. In northern Brazil, levels had also improved for owners, with a 40,000-dwt fixed from North Brazil to Norway at US$17,500 in the early part of the week, whilst a 34,000- dwt fixed from Itaqui to Singapore-Japan in the high teens. In Asia, activity was still said to be subdued in general but brokers spoke of the first signs of positivity creeping into some regions as levels of fresh enquiry had improved. CleAN LR2 LR’s in the MEG have been subject to some further testing down this week. The 75Kt MEG/Japan TC1 index lost another 11.39 points to WS123.89 where it looks to have plateaued for the moment. The 90kt MEG/UK-Continent TC20 run to the UK-Continent also devalued to the tune of US$306,000 to US$3.44m. West of Suez, Mediterranean/East LR2’s on TC15 revitalised this week from some activity in the market. The index hopped up from US$3.22m to US$3.57m. LR1 In the MEG, LR1 freight levels dipped again this week in line with their larger siblings. The 55kt MEG/Japan index of TC5 dropped from WS140.31 to WS132.5 where it appears to have stabilised for now and the 65kt MEG/UK-Continent of TC8 is currently pegged at US$2.96m. On the UK-Continent, the 60Kt ARA/ West Africa TC16 index, pushed up and optimistic 15.31 points this week to WS187.81. This took Baltic TCE for the run up over the US$40,000/day round trip. MR MR’s in the MEG had a small resurgence this week. The 35kt MEG/East Africa TC17 index, climbed just under seven points to WS209.29. Read the full report

TUESDAY NOVEMBER 21, 2023 33 THEEDGE CEO MORNING BRIEF MARKETS Top 20 active stocks World equity indices Top gainers (ranked by %) Top losers (ranked by %) Top gainers (ranked by RM) Top losers (ranked by RM) NAME VOLUME CHANGE CLOSE YTD MARKET (MIL) (RM) CHANGE CAP (%) (RM MIL) Hong Seng ConSolidated BHd 535.6 -0.005 0.030 -86.36 153.3 leform BHd 80.1 0.005 0.290 40.50 429.5 top glove Corp BHd 79.2 0.015 0.800 -11.60 6,406.5 Widad group BHd 50.3 0.000 0.460 6.98 1,424.4 SaraWak ConSolidated 50.2 0.010 0.650 348.28 416.2 my eg ServiCeS BHd 44.1 0.010 0.805 -6.44 6,004.9 puC BHd 44.1 -0.005 0.045 28.57 106.6 fitterS diverSified BHd 40.0 0.000 0.050 -28.57 117.1 daytHree digital Sdn BHd 39.9 -0.015 0.430 0.00 206.4 Sime darBy property BHd 33.8 -0.025 0.600 33.33 4,080.5 kinergy advanCement BHd 33.2 0.000 0.325 -17.72 632.1 tanCo HoldingS BHd 29.2 0.005 0.585 74.63 1,175.4 BaHveSt reSourCeS BHd 27.8 0.055 0.500 63.93 619.9 Supermax Corp BHd 27.3 0.050 0.960 10.34 2,473.1 knm group BHd 27.3 0.000 0.090 80.00 364.0 veleSto energy BHd 26.6 0.010 0.240 60.00 1,971.7 ageSon BHd 22.2 0.010 0.075 -63.41 23.4 ta Win HoldingS BHd 22.2 0.000 0.035 -36.36 120.2 eden inC BHd 21.2 0.005 0.235 62.07 108.0 plyteC Holding BHd 20.9 -0.010 0.300 0.00 180.0 data as compiled on nov 20, 2023 Source: Bloomberg NAME CLOSE CHANGE VOLUME YTD MARKET (%) (‘000) CHANGE CAP (%) (RM MIL) ae multi HoldingS BHd 0.015 50.00 35.0 -40.00 32.5 perak Corp BHd 0.445 43.55 131.1 78.00 44.5 g3 gloBal BHd 0.025 25.00 2698.0 -16.67 94.3 pertama digital BHd 4.650 19.85 4895.2 164.20 2,037.7 meSiniaga BHd 1.530 17.69 220.5 -4.97 92.4 ark reSourCeS HoldingS BHd 0.385 16.67 1.1 35.09 26.8 alam maritim reSourCeS BHd 0.035 16.67 525.3 40.00 53.6 ageSon BHd 0.075 15.38 22245.5 -63.41 23.4 BaHveSt reSourCeS BHd 0.500 12.36 27815.4 63.93 619.9 mClean teCHnologieS BHd 0.195 11.43 3241.1 14.71 38.5 Sapura energy BHd 0.050 11.11 11792.5 42.86 799.0 Citra nuSa HoldingS BHd 0.050 11.11 328.0 -23.08 36.0 CSH allianCe BHd 0.050 11.11 491.8 25.00 69.1 trive property group BHd 0.060 9.09 13.7 -14.29 75.8 pie induStrial BHd 3.340 7.74 1242.4 29.25 1,282.7 impiana HotelS BHd 0.220 7.32 14022.0 144.44 186.9 Btm reSourCeS BHd 0.075 7.14 0.1 -11.76 94.2 nationgate HoldingS BHd 1.360 7.09 8776.3 0.00 2,820.5 pgf Capital BHd 1.250 6.84 495.8 0.00 204.5 Comfort glove BHd 0.405 6.58 5426.2 -16.49 234.5 data as compiled on nov 20, 2023 Source: Bloomberg NAME CLOSE CHANGE VOLUME YTD MARKET (%) (‘000) CHANGE CAP (%) (RM MIL) mlaBS SyStemS BHd 0.005 -50.00 10.0 -75.00 7.2 finteC gloBal BHd 0.005 -50.00 3,990.0 -50.00 29.6 Zen teCH international BHd 0.015 -25.00 8,116.7 -25.00 39.4 BCm allianCe BHd 0.015 -25.00 190.0 -40.00 30.5 metroniC gloBal BHd 0.015 -25.00 722.4 -25.00 23.0 CompugateS HoldingS BHd 0.015 -25.00 41.0 50.00 82.5 xidelang HoldingS ltd 0.020 -20.00 300.0 -20.00 42.3 Hong Seng ConSolidated BHd 0.030 -14.29 535,577.4 -86.36 153.3 reaCH energy BHd 0.040 -11.11 46.0 -11.11 85.2 puC BHd 0.045 -10.00 44,089.6 28.57 106.6 JoHan HoldingS BHd 0.050 -9.09 237.9 -9.09 58.4 xox teCHnology BHd 0.050 -9.09 168.3 11.11 44.7 kanger international BHd 0.055 -8.33 6,978.5 37.50 35.7 CHina ouHua Winery HoldingS 0.055 -8.33 20.0 -15.38 36.7 ClaSSita HoldingS BHd 0.055 -8.33 3,701.6 -84.93 67.8 leader Steel HoldingS BHd 0.480 -7.69 15.5 -11.93 74.2 myteCH group BHd 0.435 -7.45 187.7 -11.22 97.3 paoS HoldingS BHd 0.385 -7.23 1,808.9 48.08 69.7 Spring art HoldingS BHd 0.195 -7.14 624.9 8.33 81.1 eng kaH Corp BHd 0.410 -6.82 70.1 -1.20 48.4 data as compiled on nov 20, 2023 Source: Bloomberg NAME CLOSE CHANGE VOLUME YTD MARKET (RM) (‘000) CHANGE CAP (%) (RM MIL) neStle malaySia BHd 121.200 -1.500 165.8 -13.43 28,421.4 fraSer & neave HoldingS BHd 26.840 -0.260 114.9 24.37 9,844.3 ppB group BHd 14.580 -0.220 466.3 -16.40 20,741.5 miSC BHd 7.270 -0.120 1,097.8 -3.07 32,451.4 Sam engineering & equipment 4.230 -0.110 151.1 -14.20 2,290.9 keSm induStrieS BHd 7.000 -0.100 20.9 -0.28 301.1 WeStportS HoldingS BHd3.440 -0.070 1,702.5 -9.47 11,730.4 BritiSH ameriCan toBaCCo 9.040 -0.060 432.8 -19.43 2,581.2 genting plantationS BHd 5.540 -0.060 424.6 -11.26 4,970.3 Sime darBy BHd 2.380 -0.060 11,358.0 3.48 16,221.1 guan CHong BHd 2.020 -0.060 820.7 -15.83 2,372.5 Syarikat takaful malaySia 3.670 -0.060 553.6 6.69 3,072.9 BermaZ auto BHd 2.430 -0.050 7,187.3 18.18 2,837.3 ioi Corp BHd 3.950 -0.050 978.0 -2.47 24,504.6 atlan HoldingS BHd 2.700 -0.050 2.0 -9.70 684.9 WariSan tC HoldingS BHd 0.930 -0.050 0.6 -7.92 60.5 klCCp Stapled group 7.000 -0.050 5.6 4.32 12637.3 preSS metal aluminium 4.830 -0.050 2,092.8 -1.02 39,797.4 neW Hoong fatt HoldingS BHd 3.500 -0.040 16.5 21.95 289.4 SaraWak plantation BHd 2.120 -0.040 4.2 0.47 591.5 data as compiled on nov 20, 2023 Source: Bloomberg NAME CLOSE CHANGE VOLUME YTD MARKET (RM) (‘000) CHANGE CAP (%) (RM MIL) pertama digital BHd 4.650 0.770 4,895.2 164.20 2,037.7 allianZ malaySia BHd 17.200 0.360 50.5 21.47 3,061.1 malaySian paCifiC induStrieS 26.880 0.280 41.2 -6.54 5,346.3 rapid Synergy BHd 27.440 0.280 310.7 71.93 2,933.2 HextarteCHnologieS 23.480 0.260 35.7 37.63 3,020.7 pie induStrial BHd 3.340 0.240 1,242.4 29.25 1,282.7 meSiniaga BHd 1.530 0.230 220.5 -4.97 92.4 aJinomoto malaySia BHd 15.780 0.220 17.4 20.64 959.4 petronaS dagangan BHd 22.900 0.160 224.0 0.23 22,750.1 greateCH teCHnology BHd 4.850 0.140 1,960.8 0.21 6,082.9 perak Corp BHd 0.445 0.135 131.1 78.00 44.5 maSter-paCk group BHd 2.880 0.100 306.1 22.55 157.3 frontken Corp BHd 3.310 0.100 5,588.3 7.47 5,199.8 Hong leong Bank BHd 19.200 0.100 273.0 -6.61 41,620.2 nationgate HoldingS BHd 1.360 0.090 8,776.3 0.00 2,820.5 Central gloBal BHd 3.040 0.090 4257.5 235.91 533.3 CreSCendo Corp BHd 1.800 0.090 1,848.1 55.17 503.0 gloBetroniCS teCHnology BHd 1.640 0.090 7,724.4 42.66 1101.6 infomina BHd 1.690 0.080 4,991.0 17.36 1,016.1 apollo food HoldingS BHd 5.200 0.080 32.9 34.72 416.0 data as compiled on nov 20, 2023 Source: Bloomberg CLOSE CHANGE CHANGE (%) CLOSE CHANGE CHANGE (%) dJia * 34,947.28 1.81 0.01 S&p 500 * 4,514.02 5.78 0.13 naSdaq 100 * 15,837.99 4.82 0.03 ftSe 100 * 7,504.25 -8.48 -0.11 auStralia 7,058.42 9.04 0.13 CHina 3,068.32 13.95 0.46 Hong kong 17,778.07 323.88 1.86 india 65,655.15 -139.58 -0.21 indoneSia 6,994.89 17.22 0.25 Japan 33,388.03 -197.17 -0.59 korea 2,491.20 21.35 0.86 pHilippineS 6,183.63 -28.26 -0.45 Singapore 3,111.58 -13.09 -0.42 taiWan 17,210.47 1.52 0.01 tHailand 1,419.44 3.66 0.26 vietnam 1,103.66 2.47 0.22 data as compiled on nov 20, 2023 * Based on previous day’s closing Source: Bloomberg CPO RM 3,934.003.00 OIL US$ 81.721.11 RM/USD 4.6680 RM/SGD 3.4850 RM/AUD 3.0634 RM/GBP 5.8395 RM/EUR 5.1052