The EDGE - 09 November 2023

CEOMorningBrief THURSDAY, NOVEMBER 9, 2023 ISSUE 667/2023 theedgemalaysia.com CRACK IN US DOLLAR STRENGTH TO SPREAD AS ECONOMY SLOWS p15 HOME: Malaysia studying regulations for TikTok Shop, says Fahmi p2 MCMC explores measures to encourage MNOs to heed ministry’s waiver of 5G upgrade fee, says deputy minister p2 Govt developing new Bumiputera action plan — Rafizi p3 Hiap Teck’s Eastern Steel to shift product focus to hot rolled coils next year p6 WORLD: World’s most expensive city to face first rental slump in four years p20 BLOOMBERG Report on Page 3. Anwar says palm oil actually a solution to deforestation, calls on EU to be fair Report on Page 4. Malaysia sees RM13.6 bil net foreign outflow in Aug-Oct; YTD RM16.1 bil net inflow

THURSDAY NOVEMBER 9, 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 : [email protected] to : [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] Malaysia studying regulations for TikTok Shop, says Fahmi MCMC explores measures to encourage MNOs to heed ministry’s waiver of 5G upgrade fee, says deputy minister KUALA LUMPUR (Nov 8): Malaysia said it is studying the possibility of regulating TikTok and its e-commerce features, a move that could further dent the social media company’s online shopping ambitions in Southeast Asia. Malaysia is looking into registering online social media platforms and implementing a global minimum tax, Communications and Digital Minister Fahmi Fadzil told reporters in Kuala Lumpur. He said he will meet with representatives from TikTok on Thursday (Nov 9). “It’s a continuation on the discussions we have been having,” Fahmi said of the coming BY KOK LEONG CHAN Bloomberg BY CHOY NYEN YIAU theedgemalaysia.com HOME meeting. “There are some regulatory aspects we are looking into. On top of that, we are looking to see how TikTok Shop is working.” The move highlights Southeast Asia’s growing push-back against ByteDance Ltd’s TikTok, amid the company’s plans to invest billions of dollars in the region. TikTok suspended its online-retail operation in neighbouring Indonesia, after its government announced new regulations that will force TikTok to split its shopping feature from the video-scrolling service. TikTok is the only social media company that sells goods directly on its app. Fahmi in the past raised concerns over TikTok, accusing it of spreading fake news and censoring content on the Israel-Hamas conflict. TikTok said it is taking proactive measures to address the issues which Fahmi had raised. KUALA LUMPUR (Nov 8): The Malaysian Communications and Multimedia Commission (MCMC) is exploring options to encourage mobile network operators (MNOs) to heed the Ministry of Communication and Digital's request to waive additional charges for 5G subscriptions. Deputy Minister of Communication and Digital Teo Nie Ching stated that at present, a few MNOs are still insisting on imposing additional charges on users for upgrading to the 5G network. “The reason provided by the MNOs is their need to purchase the 5G network access from Digital Nasional Berhad (DNB), and this is considered a commercial decision,” said Teo in response to Datuk Mohd Isam (BN-Tampin) during the oral question and answer session in Dewan Rakyat on Wednesday (Nov 8). Teo stressed that the ministry, particularly the minister, has, on several occasions, expressed the expectation that MNOs should waive the additional charges, and the ministry hopes that MNOs will heed this request. Teo added that the ministry will explore, together with MCMC, measures that can help “ensure MNOs comply with the request”. Currently, CelcomDigi, along with Maxis Bhd, are charging users up to RM20, depending on their subscription plans, for access to the 5G network provided by DNB under the single wholesale network model. Earlier in October, Communications and Digital Minister Fahmi Fadzil said that the government is expediting discussions with local MNOs to automatically onboard subscribers onto DNB’s 5G network. In a separate matter, Teo announced that MCMC will be conducting audits of network service quality at 4,000 locations throughout the year 2023 to ensure that consumers receive a satisfactory level of service meeting minimum and acceptable standards. “As of September 2023, MCMC has already audited 3,280 locations, and the remaining audits will be conducted in the coming weeks. If MCMC finds that the quality of service does not meet the mandatory standards set by the MCMC, a notice or warning letter will be issued to the relevant MNO,” Teo added. LOW YEN YEING/THE EDGE Minister of Communications and Digital Fahmi Fadzil

THURSDAY NOVEMBER 9, 2023 3 THEEDGE CEO MORNING BRIEF HOME KUALA LUMPUR (Nov 8): The government is developing a new action plan for Bumiputera as it re-examines the implementation approach in such programmes involving the group, said Economy Minister Rafizi Ramli. He said that as such, allocations for Bumiputera development in Budget 2024 would be placed under the Economy Ministry first, instead of being channelled directly to agencies such as the Bumiputera Agenda Steering Unit (Teraju) or Ekuiti Nasional Bhd (Ekuinas). “Allocations for Bumiputera empowerment and education under Yayasan Peneraju would go on as usual, including a RM300 million development programme and a special allocation programme for Bumiputera next year. “I made a decision for this to be placed at the ministry level first while we develop a new action plan for Bumiputera,” he said when winding up the committee-level debate on the Supply Bill 2024 for his ministry in parliament on Wednesday. Last March, Rafizi was reported to have said that Teraju’s effectiveness in managing the Bumiputera agenda would be re-examined following the fact that the funds provided by the government were not fully channelled to the target groups. Rafizi said Teraju still has a balance fund of RM800 million from the previous years including the allocation for development and management expenses that can be used for Bumiputera-related activities next year. “Yes, there will be a new Teraju programme because the balance that was allocated three or four years ago (is still there). It means that the programmes might not receive a good response or might not be right. We need to improve and recalibrate the programmes, then we can launch new ones,” he added. Teraju was established in 2011 under the Prime Minister’s Department to lead, coordinate and drive the Bumiputera agenda with the aim of bolstering the group’s participation in the national economy. Govt developing new Bumiputera action plan — Rafizi KUALA LUMPUR (Nov 8): The government has urged for the European Union Deforestation-free Regulation (EUDR) implementation to be carried out in a fair and balanced manner, said Prime Minister Datuk Seri Anwar Ibrahim. When officiating the MPOB International Palm Oil Congress and Exhibition 2023 (PIPOC 2023) on Wednesday, he highlighted the government’s commitment to taking proactive and responsible steps to safeguard the country’s palm oil production from having adverse effects on the environment’s well-being. “The government had taken very aggressive and responsible measures so the EU (European Union) should show some sort of appreciation. At least give recognition and recognise the efforts by Malaysia, as well as Indonesia in this regard,” Anwar stressed. “The government has set regulations to ensure that the palm oil produced meets the international food safety standards of importing countries, including EU requirements. “The new Prime Minister of Thailand [Srettha Thavisin] has also given me the assurance that Thailand will come on board to work together with Malaysia and Indonesia and hopefully other countries in presenting our case, particularly to the EU,” he said. Malaysian agricultural commodity products, primarily palm oil, timber, cocoa, and rubber exports, will fall under the purview of the EUDR starting in January next year. Nevertheless, this ban has prompted industry concerns regarding its potential impact on farmers and producers, particularly smallholders. In response to these concerns, Malaysia, along with Indonesia, as the world’s largest palm oil producers, has reached an agreement with the EU to establish an ad hoc joint task force. This collaborative effort aims to foster muAnwar says palm oil actually a solution to deforestation, calls on EU to be fair tual understanding and address the apprehensions surrounding the EUDR, to ensure the regulation does not negatively affect the livelihoods of agricultural commodity producers. Anwar said he strongly believes that oil palm is in fact the solution to deforestation as the country’s palm oil only takes up only 2% of the total 312 million hectares of total area for oilseed crops production globally. As sustainable production is the way forward for the palm oil industry, the prime minister also mentioned that almost 100% of the plantations and palm oil mills in the country have been certified sustainable under the Malaysian Sustainable Palm Oil (MSPO) certification scheme. “Malaysia is also committed to protecting its forests, flora and fauna through conservation and sustainable management. Malaysia pledged to maintain 50% of its landmass under forest cover at the 1992 Rio Earth Summit and it is still intact. “Meanwhile, the Food and Agriculture Organisation’s State of the World’s Forests (SOFO) flagship publication reported that since 1990, 22 countries, including Malaysia have succeeded in raising national food security levels while at the same time preserving and increasing the forest cover,” he added. Read also: Govt proposes synergy between smallholders and big players to boost palm oil production — PM Malaysia likely a ‘low risk’ under EUDR benchmarks — MPOC BY SYAFIQAH SALIM & LEE MING HUI theedgemalaysia.com Bernama Prime Minister Datuk Seri Anwar Ibrahim speaks at the MPOB International Palm Oil Congress and Exhibition 2023 (PIPOC 2023) at Plenary Hall, Kuala Lumpur Convention Centre (KLCC) on Wednesday, Nov 8, 2023. SHAHRILL BASRI/ THEEDGE

THURSDAY NOVEMBER 9, 2023 4 THEEDGE CEO MORNING BRIEF HOME KUALA LUMPUR (Nov 8): Economists are keeping their 2023 growth estimates for Malaysia’s gross domestic product (GDP) intact despite the country’s industrial production index (IPI) seeing a wider decline in September — a 0.5% year-on-year contraction compared with a 0.3% decrease in August — largely due to a slowdown in the mining sector’s oil and gas activities. HLIB Research said it maintained that Malaysia’s economy will grow by 3.8% year-on-year (y-o-y) in 2023, while Kenanga Research expects GDP to expand by 3.5% to 4%. Public Investment Bank predicted that GDP will grow by 4% in 2023. In a note on Wednesday, HLIB Research said Malaysia’s industrial production is likely to stay soft for the rest of the year, weakened further by tight financial conditions. The dampened production is in line with the contraction of the global manufacturing purchasing managers’ index (PMI) to 48.8 in October, from 49.2 in September, which reflects a further decline in new orders. “The lack of demand led to further caution among firms, causing them to scale back on their purchasing of materials and employment,” it said. Meanwhile, Kenanga Research said it was expecting slower growth in the second half of 2023 at 3.1% and particularly weak growth in the third quarter, which it estimates is 2.9%, following the weaker PMI figure in October, coupled with the impact of higher interest rates in advanced economies on external demand. “However, we believe growth will remain supported by a resilient domestic demand, as reflected by a steady and lower unemployment rate as well as a steady improvement in the tourism and transport sectors,” it said. The research house also noted that the Department of Statistics Malaysia (DOSM) had on Oct 20 released its advanced GDP estimates of 3.3% for the third quarter. The DOSM said its quarterly GDP projection was supported by the services sector which continued to steer the overall performance during the quarter, underpinned by the wholesale and retail trade, transportation and storage, and business services sub-sectors. Economists keep 2023 GDP growth forecasts intact despite weaker Sept IPI KUALA LUMPUR (Nov 8): Malaysia reported a net foreign outflow of RM4.9 billion in bonds and equities in October 2023, marking the third consecutive month of continuous foreign fund outflow from the country, according to UOB Global Economics & Markets Research. Larger foreign portfolio outflows in October exacerbated the ringgit weakness, which fell 1.6% against the US dollar to 4.766 as at end-October, it said in a research note on Wednesday. Net foreign selling of Malaysian debt securities and equities amounted to RM2.6 billion and RM2.3 billion respectively. “Foreign net selling of debt securities sustained for a third month, albeit narrower at RM2.6 billion. This was mainly across government bonds (Malaysian Government Securities, or MGS; and Government Investment Issues, or GII) of RM1.8 billion. “Meanwhile, foreign holdings of government bonds came down to RM250.3 billion, or 22.6% of total bonds outstanding,” said UOB. Net outflow was RM3.8 billion in September 2023 and RM4.9 billion in August 2023. However, year to date, cumulative foreign funds remain at a net inflow of RM16.1 billion, mainly in Malaysian debt securities (RM20.4 billion) which was offset by equities (RM4.2 billion). For the January-October 2022 period, a net outflow of RM1.9 billion was recorded. On the equities front, foreigners turned net sellers of Malaysian equities at RM2.3 billion in October, following three months of net buying worth RM2.2 billion in July to September. UOB highlighted that geopolitical and macro risks kept investors on edge, as Asia foreign exchange (Asia FX) currencies, including the ringgit, retreated against the US dollar (USD). “We continue to expect a prolonged bottoming process for Asia FX, alongside the CNY (Chinese yuan), reiterating our view for broader USD weakness in 2024. “This is supported by a peak in [the US] Fed (Federal Reserve) rates, followed by expected rate cuts from June 2024 [onwards], and as China’s sentiment and macro data stabilises further,” it shared. Meanwhile, Bank Negara Malaysia’s foreign reserves also fell to a 12-month low after it dropped US$1.6 billion (RM7.49 billion) month on month to US$108.5 billion as at end-October 2023. This was the third straight month of decline in foreign reserves. Following the dovish Fed pause in early November and softer US jobs report, UOB said bonds staged a brief rally though it was interrupted by recent Fed official comments that leaned towards a more hawkish tilt. “Geopolitics, uncertainties from the Middle-East crisis, and global macro risks have whipsawed yields and FX. Brent oil prices have come back down to US$81/ bbl. Another risk event is the expiry of the US government funding bill (on Nov 17) though we expect a probable extension.” The next Federal Open Market Committee (FOMC) meeting on Dec 12-13 will come with an updated summary of Fed economic projections and dot-plot, which could provide clues on the Fed’s stance in 2024. “We expect the Fed to keep its current Fed Funds Target Range (FFTR) unchanged at 5.25%-5.50% in December 2023 FOMC and maintain this terminal FFTR level until mid-2024 when we forecast 75 bps of rate cuts for 2024,” it added. Malaysia sees RM13.6 bil net foreign outflow in Aug-Oct; YTD RM16.1 bil net inflow BY SULHI KHALID theedgemalaysia.com BY LAM JIAN WYN theedgemalaysia.com Read the full story Foreign holdings of Malaysian bonds and equities 4.8 4.7 4.6 4.5 4.4 4.3 Dec Jan Feb Mar Apr May June July Aug Sept Oct Nov 4.2 2022 2023 Sources: Macrobond, UOB Global Economics & Markets Research RM bil per US$ 30 25 20 15 10 5 0 -5 -10 4.64 16 billion -2.30 billion -2.56 billion Net purchases of equities, LHS Net purchases of Malaysian debt securities, LHS RM spot rates, end of period, RHS Total net purchases (cumulative since Dec 2016), LHS

THURSDAY NOVEMBER 9, 2023 5 THEEDGE CEO MORNING BRIEF presents real estate matters Official Solar Partner Supported By Malaysia’s outstanding property personalities of the year? Who are

THURSDAY NOVEMBER 9, 2023 6 THEEDGE CEO MORNING BRIEF HOME KEMAMAN, Terengganu (Nov 8): Eastern Steel Sdn Bhd (ESSB), a steel slabs and billets producer that is 27.3%-owned by Hiap Teck Venture Bhd, is determined to shift its focus to mainly hot rolled coils (HRCs) next year now that its annual production has jumped nearly fourfold. ESSB’s annual production capacity increased from 700,000 tonnes previously to 2.7 million tonnes currently, following the completion of its Phase 2 expansion project in August, and the ignition of a new two million-tonne blast furnace in Kemaman, Terengganu. Hiap Teck executive deputy chairman and major shareholder Tan Sri David Law Tien Seng pointed out that ESSB shareholders have to date made a cumulative investment of nearly RM7 billion, of which RM5.5 billion was invested in the Phase 2 expansion project. Out of the RM5.5 billion, RM4 billion has been invested to expand the annual production capacity by two million tonnes. At the same time, ESSB is in the midst of putting up a hot rolling mill — also under Phase 2 expansion — which is expected to be completed next year at an estimated RM1.5 billion. “We will be the only HRC producer in Malaysia,” Law told reporters at a press conference before the Phase 2 project completion ceremony here on Wednesday. In Malaysia, ESSB is the sole producer of steel slabs — a core ingredient in the manufacture of steel plates, HRCs and cold rolled coils (CRCs). However, Law said from next year onwards, ESSB’s product focus will shift to the production of HRCs, which are widely used in downstream products such as CRCs, galvanised and pre-painted steel coils, welded steel pipes and tubes for industries such as manufacturing, automotive, electrical and electronics, oil and gas, and shipbuilding. It is learnt that Malaysia’s demand for HRCs in 2022 was around two million tonnes, which was mainly met by imports that reached RM6 billion in value based on the current exchange rate. Law said that ESSB aims to bridge the gap by producing 2.7 million tonnes of HRC a year. For the longest time, Megasteel Sdn Bhd — part of Tan Sri William Cheng Heng Jem’s Lion Group — was the only HRC maker in the country, but it ceased operations in 2016, owing to cash constraints. Its assets were sold to sister company Lion Industries Corp Bhd. Phase 3 on the cards On ESSB’s Phase 3 expansion, which involves the production of high-end steel products and special steel, Law said, “I think we will only kick-start the investment and construction of Phase 3 in 2025. And then, the expansion will take at least three to four years to be completed.” ESSB is 68.8%-controlled by Shanxi Jianlong Industry Co Ltd, whose parent company Beijing Jianlong Heavy Industry Group Co Ltd (Jianlong Group) is the world’s eighth largest steel producer in terms of crude steel output. Main Market-listed Hiap Teck is the second largest shareholder of ESSB with a 27.3% stake, while Chinaco Investment Pte Ltd owns the remaining 3.9%. Founded in 1993, Hiap Teck is 28.28%-owned by Law, a steel and mining magnate who is better known as TS Law. The group’s earnings dropped 80% to RM30.911 million for the financial year ended July 31, 2023, against RM156.013 million a year before. On funding for Phase 3 expansion, Law said ESSB will be looking at bank borrowings from both China and Malaysia. “The banks have been very supportive BY LIEW JIA TENG theedgemalaysia.com Hiap Teck’s Eastern Steel to shift product focus to hot rolled coils next year to us in our Phase 2 expansion, so funding shouldn’t be an issue for our Phase 3 expansion as well,” he said. Given the size of the Phase 3 expansion project, Law acknowledged that ESSB will not be solely relying on Malaysian banks in providing financing. “Obviously, Jianlong Group is the fifth largest Chinese steel enterprise that produces over 36 million tonnes of steel, so I am pretty sure the Chinese banks are more than willing to lend us the money,” he said. Moreover, ESSB has an annual capacity of 2.7 million tonnes, which would provide future earnings for the company, or have its own internally generated funds too. “At this point in time, we don’t see any need for Shanxi Jianlong to make further cash injection into ESSB. I think all of us are quite comfortable with our shareholding levels in ESSB,” Law said. Wang Shifeng, the group vice-president of Jianlong Group and managing director of ESSB, opined that based on the current trend of steel prices, the favourable markets for the company include Mexico, Türkiye, Thailand and Malaysia. “As we expand our production capacity and venture into HRCs, we will have a higher product mix and better prospects, while our cost of production will also come down tremendously,” he explained. Read the full story (From left) BNP Paribas Malaysia MD Han Li Ching, Shanghai Baoye Group Deputy chairman Chen Gang, Youfa Steel Pipe Group chairman Li Maojin, Hiap Teck Venture Bhd deputy chairman Tan Sri Law Tien Seng, Ceri Group chairman Yue Wenyan, Eastern Steel Sdn Bhd MD Wang Shifeng and 22MCC general manager Zhu Xiaofei at the completion ceremony of Eastern Steel Sdn Bhd phase 2 project on Nov 8. PATRICK GOH/THE EDGE

THURSDAY NOVEMBER 9, 2023 7 THEEDGE CEO MORNING BRIEF HOME KUALA LUMPUR (Nov 8): Hup Seng Industries Bhd’s net profit in the third quarter ended Sept 30, 2023 (3QFY2023) jumped threefold to RM13.02 million, from RM3.84 million in the same period last year. In 3QFY2022, it was adversely affected by the escalation of input costs. With better profit, its earnings per share increased to 1.63 sen from 0.48 sen, its Bursa Malaysia filing showed on Wednesday. Quarterly revenue expanded by 34.19% to RM94.19 million, against RM70.19 million, driven by higher contribution from its export markets, mainly from Thailand and Singapore. For the nine-month period (9MFY2023), the biscuit maker’s net profit surged by 130.17% to RM 31.41 million, from RM13.64 million, due to its cost reduction strategy and higher sales recorded. Revenue climbed by 17.41% to RM262.12 million, from RM223.26 million. In comparison with the immediate preceding quarter, the group’s net profit in 3QFY2023 came in higher from RM8.72 million in 2QFY2023, while revenue surged from RM81.55 million. Envisaging that the market conditions will continue to improve, Hup Seng said it will evolve to meet consumer demand and strive to continue to maintain and improve product quality. “The group will also focus on maintaining market share and product competitiveness, in order to increase the popularity of Hup Seng biscuits in the industry. “Taking into account the aforesaid and barring any unforeseen circumstances, the group believes business operations for the fourth quarter of the financial year [will] be satisfactory,” it said. Shares in Hup Seng Industries closed five sen or 0.7% higher at 72 sen on Wednesday, giving it a market capitalisation of RM576 million. Hup Seng’s 3Q net profit jumps threefold to RM13.02 mil KUALA LUMPUR (Nov 8): Malaysia Marine and Heavy Engineering Holdings Bhd (MHB) incurred a net loss of RM105.21 million for the third quarter ended Sept 30, 2023 (3QFY2023), its second straight quarterly loss amid cost escalation in existing projects, and has warned that its heavy engineering segment and marine business will remain challenging. In the corresponding period last year (3QFY2022), the group made a net profit of RM15.95 million, it said in a filing with the local stock exchange on Wednesday. MHB — 66.5%-owned by MISC Bhd, the shipping arm of state-owned oil company Petroliam Nasional Bhd (Petronas) — attributed the loss-making performance to additional cost provisions as a result of revised schedule and price escalation impact on ongoing projects in its heavy engineering division. “The revised schedule has caused the extension of delivery dates of the ongoing projects, which was necessary to cater for the delayed onshore works,” the group said. “In addition, the weakening of Malaysian ringgit against US dollar had impacted the hedging of receivables for a project,” it said. The net loss was inspite of MHB recording 56% growth in its revenue for 3QFY2023 to RM638.47 million, from RM409.23 million a year ago. Cumulatively, for the first nine-month period of the year (9MFY2023), MHB incurred a net loss of RM490.37 million versus a net profit of RM40.63 million in the previous corresponding period, despite revenue grew 78% to RM2.19 billion, from RM1.23 billion over the same period. Going forward on project execution, MHB said its heavy engineering segment continues to face challenges in executing some of its ongoing projects within the original budgeted margins, due to the impact of raw material price escalations and global supply chain disruption. “These projects were awarded on a lump sum EPCIC (engineering, procurement, construction, installation, and commissioning) basis by clients a few years ago. The group will continue to pursue the recovery of these inflationary and schedule impact from clients,” it said. Commenting on the group’s outlook, outgoing MHB managing director and chief executive officer Pandai Othman said management will improve contracting strategies with clients going forward, through “alliance concept or cost-plus basis where possible, to mitigate the risks of global inflation for future projects”. “Notwithstanding the major setbacks, we remain committed to deliver all projects that meet our clients’ requirements. We are also committed to collaborate with clients, subcontractors and vendors in recovering the additional costs,” he said. Pandai said demand for energy shipment is expected to rise, particularly in the Far East countries and Europe, in the upcoming winter. “Therefore, demand for dry-docking activities is likely to be slower. This could potentially lead to a decrease in market share, as vessel owners prepare for a surge in seaborne trade requirements for the remainder of the year. “Furthermore, competition among shipyards is anticipated to remain stiff. As such, we expect the marine business to remain challenging,” he said. Pandai also said that MHB will continue to explore opportunities in both domestic and international markets, with increased emphasis on decarbonisation and renewable energy. The 52-year-old, who was appointed to the post in October 2020, will finish his secondment in MHB by the end of this month, and he will be succeeded by Mohd Nazir Mohd Nor in December. Shares of MHB were trading 2.5 sen or 4.7% lower at 50.5 sen at 3pm on Wednesday, giving it a market capitalisation of RM808.00 million. MHB incurs second straight quarterly loss amid cost escalation in ongoing projects BY CHESTER TAY theedgemalaysia.com BY SULHI KHALID theedgemalaysia.com MHB.COM.MY

THURSDAY NOVEMBER 9, 2023 8 THEEDGE CEO MORNING BRIEF HOME KUALA LUMPUR (Nov 8): Swift Haulage Bhd’s net profit more than doubled to RM28.39 million in the third quarter ended Sept 30, 2023 (3QFY2023), from RM11.72 million a year earlier. Earnings per share rose to 3.22 sen from 1.32 sen. In a filing to Bursa Malaysia on Wednesday (Nov 8), the country’s largest haulage operator said its improved earnings were due to higher other income earned from gain from bargain purchase through the acquisition of a 17.5% stake in Global Vision Logistics Sdn Bhd (GVL). Revenue increased 5.52% to RM168.04 million, from RM159.25 million, contributed by all its business segments, mainly from container haulage and land transportation segments. On a quarter-on-quarter basis, Swift Haulage’s net profit jumped almost three times from RM9.72 million in 2QFY2023, while revenue grew marginally by 1.78% from RM165.1 million in the immediate preceding quarter, on the back of higher revenue in container haulage and warehousing and container depot. For the nine-month period ended Sept 30, 2023 (9MFY2023), its net profit expanded by 23.02% to RM48.25 million from RM39.22 million in 9MFY2022, as revenue rose 3.8% to RM497.9 million against RM479.67 million in the same period last year. The group is cautiously confident of its financial performance for the next financial year. “Despite the foreseeable hurdles, we aim to continue seizing all possible opportunities to achieve another year of resilient results, whilst making meaningful progress in our ESG [environmental, social and governance] agenda to contribute to Malaysia’s sustainable progress,” it said. The group also plans to expand its warehouse capacity in both the northern and central regions. Moreover, its 42.5%-owned GVL, which will establish Asean’s largest logistics hub in Shah Alam with Phase 1 operational in 4QFY2025, will further underpin its warehouse growth strategy. Swift Haulage shares finished unchanged at 55 sen on Wednesday, valuing the group at RM489.41 million. Swift Haulage’s 3Q net profit more than doubles on bargain purchase gain KUALA LUMPUR (Nov 8): Duopharma Biotech Bhd’s net profit for the third quarter ended Sept 30, 2023 (3QFY2023) fell by 45.13% to RM8.97 million from RM16.35 million due to higher finance costs, among others. Earnings per share declined to 0.93 sen from 1.72 sen, its Bursa Malaysia filing showed on Wednesday. The group’s quarterly revenue fell by 4.43% to RM169.24 million compared to RM177.07 million, underpinned by a decrease in demand from the consumer healthcare sector and the prolonged impact of increased operational costs. In comparison with the immediate preceding quarter, the group’s net profit came in lower than the RM12.54 million reported in 2QFY2023 while revenue edged higher from RM167.52 million. KUALA LUMPUR (Nov 8): AME Real Estate Investment Trust (AME REIT) reported a net income of RM8.72 million for the second quarter ended Sept 30, 2023 (2QFY2024) on the back of a net property income of RM10.78 million. It continued to maintain 100% occupancy rates across its industrial properties. The industrial REIT proposed an interim distribution of 1.8 sen per unit, payable on Dec 18 to unitholders at the close of business on Nov 24, according to its filing with local stock exchange on Wednesday (Nov 8). As the REIT was only listed on Bursa Malaysia in September last year, financial results for 2QFY2023 were not comparable. For the first half of FY2024 (1HFY2024), AME REIT reported a net income of RM17.37 million, on the back of a net property income of RM21.49 million. “We are optimistic on the prospects for the rest of FY2024, as we are making encouraging headway in finalising the remaining renewals with the four existing tenants that will be expiring in the current financial year,” said Chan Wai Leo, chief executive officer and executive director of I REIT Managers Sdn Bhd, the management company of AME REIT. “Of the 12 tenancies expiring in the current financial year, we successfully renewed seven existing tenants and obtained one replacement tenant representing about 66% of the total space up for renewal for the industrial properties segment. “Maintaining the current 100% occupancy rates across all industrial properties, with longer term tenancies, is a testament to the quality of service and properties we delivered to our customers,” he added. Meanwhile, for the nine-month period ended on Sept 30 (9MFY2023), the pharmaceutical company’s net profit decreased by 16.63% to RM44.14 million from RM52.95 million a year ago, largely due to increased operational costs resulting from the upward adjustment in electricity tariff and elevated labour cost. Revenue fell by 1.38% to RM537.23 million from RM544.76 million, underpinned by decrease in demand from the consumer healthcare sector. Commenting on the group’s financial performance, Duopharma managing director Leonard Ariff Abdul Shatar said the gradual revenue registered on a monthly basis augurs well in the longer term, as it continues to strengthen its portfolio with high-value innovative offerings and niche products. “We are also heartened by the government’s commitment to healthcare funding, with a record allocation of RM41.2 billion in Budget 2024. “The 13.5% increase in funding will undoubtedly enable essential reforms in the healthcare system, thus stimulating demand growth for pharmaceutical supplies,” he said. Shares in Duopharma settled two sen or 1.61% lower at RM1.22, giving it a market capitalisation of RM1.17 billion. Since the beginning of the year, the stock has fallen by 26.06%. Duopharma 3Q net profit nearly halves to RM8.97 mil AME REIT delivers RM8.7 mil net income for 2Q, sustains 100% occupancy rates BY SULHI KHALID theedgemalaysia.com BY CHESTER TAY theedgemalaysia.com BY ANIS HAZIM theedgemalaysia.com Read the full story

THURSDAY NOVEMBER 9, 2023 9 THEEDGE CEO MORNING BRIEF HOME SHAH ALAM (Nov 8): A former executive of Petronas Carigali Sdn Bhd (PCSB) was jailed for one day and fined RM177,000, in default 18 months in jail, by the Sessions Court here accepting gratification. Judge Datuk Anita Harun meted out the sentence on Mohd Amal M Razalan, 36, after he changed his plea to guilty at Wednesday’s proceeding, which had been set to hear the case. He paid the fine. Mohd Amal pleaded guilty to conspiring with another company director to obtain gratification amounting to RM35,217.50 for himself for assisting the company in securing structural maintenance works for PCSB. The offence was committed at a bank branch in Bandar Puteri, Puchong on Oct 25, 2019 and Jan 20, 2020. He was charged under Section 16(a)(A) of the Malaysian Anti-Corruption Commission (MACC) Act 2009 read together with Section 28(1)(c) and can be punished with Section 24 of the same law which provides imprisonment for up to 20 years and a fine of not less than five times the amount of gratification or RM10,000 whichever is higher, upon conviction. Former Petronas Carigali executive jailed, fined for accepting bribe KUALA LUMPUR (Nov 8): Panda Eco System Bhd is pricing its shares at 16 sen apiece, seeking to raise some RM17.5 million through an initial public offering (IPO) on Bursa Malaysia’s ACE Market by end of this month. The valuation gives the retail management solutions provider a market capitalisation of RM107.4 million, based on an enlarged share capital of 671.19 million shares upon listing, according to its prospectus published on the local stock exchange on Wednesday. The IPO involves issuing 109.29 million new shares, representing 16.3% of the enlarged share capital. Of this total, 33.56 million or 5.0% of the enlarged share capital are meant for subscription by the Malaysian public, whereby half of them are for ordinary public investors and the remaining half for Bumiputera public investors. For the remaining portion, 42.77 million or 6.4% of enlarged share capital are reserved for eligible persons like directors or employees, and the balance 32.95 million shares will be sold via private placement. Existing shareholders also offered to sell 61.81 million shares, representing 9.2% of the enlarged share capital. Prior to the IPO, Panda Eco has been controlled by its chief executive officer Loo Chee Wee and chief technology officer Tay Kheng Seng via their private vehicle Goldcoin Capital Sdn Bhd, which owns a 94.2% shareholding in the company. Panda Eco prices IPO at 16 sen, seeks to raise RM17.5 mil on ACE Market BY CHESTER TAY theedgemalaysia.com Bernama Read also: Cable and wire manufacturer Master Tec gets Bursa nod to list on ACE Market On the remaining 44 charges of corruption, including five for money laundering, made against him, the court ruled that they are to be taken into consideration (TIC) under Section 171A of the Criminal Procedure Code. The prosecution was conducted by deputy public prosecutors from MACC, Muaz Ahmad Khairuddin and Mohamad Fadhly Mohd Zamry, while Mohd Amal was represented by lawyer Datuk Hasnal Rezua Merican. On Jan 11, Mohd Amal was charged in the Sessions Court here with 46 counts of corruption, including five charges of money laundering, amounting to RM9.65 million in relation to maintenance works. He was also charged with 37 counts of corruption and six counts of money laundering involving more than RM6 million at the Kuala Lumpur Sessions Court on Jan 4 this year. Former Petronas Carigali Sdn Bhd executive was jailed for one day and fined RM177,000, in default 18 months in jail after after he changed his plea to guilty for accepting gratification. BERNAMA Upon public listing, Goldcoin’s shareholding will be diluted to 69.6%. Of the proceeds raised, 17.2% will be used for expanding the company’s headquarters, 16.2% for working capital, 15.6% for estimated listing expenses, 15.5% for research and development, 15.1% for establishing additional service hubs and workforce expansion, while the remaining 10.8% for regional expansion in Asean. For the first half of its financial year ending Dec 31, 2023 (1HFY2023), the group reported a net profit of RM2.75 million, a slight increase of 2.7% from RM2.67 million a year ago, while revenue grew 22% to RM10.8 million from RM8.88 million. M&A Securities Sdn Bhd is the IPO’s adviser, sponsor, underwriter and placement agent. PANDASOFFWARE.MY

THURSDAY NOVEMBER 9, 2023 10 THEEDGE CEO MORNING BRIEF HOME NEWS IN BRIEF OCK clinches RM48.73 mil ICT hardware contract from Education Ministry KUALA LUMPUR (Nov 8): Telecommunications tower company OCK Group Bhd has accepted a RM48.73 million contract from the Ministry of Education to rent out eco-friendly information and communications technology (ICT) hardware to school computer laboratories in Sarawak. In a filing on Wednesday (Nov 8), the group said its wholly owned subsidiary OCK Setia Engineering Sdn Bhd had accepted the letter of acceptance on Oct 25, in respect of the rental of ecofriendly ICT hardware that meets green requirements on a lease-to-use basis for teaching and learning needs in the schools. The contract is set to last for 65 months, with a commencement date of Oct 26 until March 25, 2029. This entails four months for setup, 60 months for laptop leasing, and a one-month return period. — by Anis Hazim High Court denies UEM Sunrise unit leave for judicial review of minister’s decision on additional tax assessment KUALA LUMPUR (Nov 8): The Kuala Lumpur High Court has ordered UEM Sunrise Bhd’s wholly owned subsidiary Symphony Hills Sdn Bhd (SHSB) to pay costs of RM2,500 to the Minister of Finance and Director General of Inland Revenue Board respectively in relation to notices for additional tax assessments totalling RM82.18 million in May 2021, after it denied SHSB’s leave for a judicial review of the minister’s decision. The property developer told Bursa Malaysia on Wednesday that the High Court disallowed SHSB’s leave for a judicial review application against the Minister of Finance. “Upon receipt of the decision, the company has applied for and been granted an interim stay until the disposal of the stay application at the High Court. The formal stay application is to be filed within 30 days from Nov 8, 2023. “The company intends to file the formal stay application within the stipulated deadline,” it said. — by Sulhi Khalid Malaysia’s unemployment rate drops to 3.4% as labour market shows positive trends — DOSM KUALA LUMPUR (Nov 8): Malaysia’s unemployment figures declined to 573,700 individuals in September 2023, yielding an unemployment rate of 3.4%, as reported by the Department of Statistics Malaysia (DOSM).  The labour force saw a slight 0.1% increase to 16.95 million individuals, maintaining a labour force participation rate (LFPR) of 70.1%.  Chief statistician Datuk Seri Dr Mohd Uzir Mahidin noted a small rise in employed persons to 16.38 million and a decline in unemployment, reflecting current economic progress. “In September 2023, the country’s labour force position remained in a positive growth trend, with a marginal increase in the number of employed persons, while unemployment continued to decrease, in line with the current economic developments,” he said in a statement. — by Isabelle Francis KUALA LUMPUR (Nov 8): With the recent groundbreaking of the group’s integrated dairy farm in Gemas, Negeri Sembilan, Fraser & Neave Holdings Bhd (F&N) said it is on track to begin the initial milking for its fresh milk project by early 2025, with the products set to be available in the market thereafter. F&N chief executive officer Lim Yew Hoe said the integrated farm will feature a corn farm (to be used as the main feedstock for the cattle), a dairy farm and a milk processing facility capable of producing 100 million litres of fresh milk yearly for local and international markets. “In the beginning, we will most likely focus on manufacturing plain milk first, then we will go into flavoured milk, and as we get better, we can go on to making cream,” he said during F&N’s FY2023 financial results briefing on Wednesday (Nov 8). F&N on track to start milking from integrated dairy farm by early 2025 BY EMIR ZAINUL theedgemalaysia.com Lim indicated that the food and beverage giant has allocated up to RM1.3 billion in capital expenditure (capex) for Phase 1 of the project, which is mostly channelled to expenses for land clearance, Bursa to close on Nov 13 for Deepavali KUALA LUMPUR (Nov 8): Bursa Malaysia Bhd and its subsidiaries will be closed next Monday, Nov 13, 2023, in conjunction with the Deepavali public holiday. Monday is a replacement holiday for Deepavali which falls on Sunday, Nov 12. “Bursa Malaysia and its subsidiaries will resume operations on Tuesday, Nov 14,” the exchange said in a statement on Wednesday. — Bernama BLOOMBERG F&N chief executive officer Lim Yew Hoe: In the beginning, we will most likely focus on manufacturing plain milk first, then we will go into flavoured milk, and as we get better, we can go on to making cream. barn construction as well as acquisition of the dairy cattle. Under Phase 1, a total of 4,000 dairy cattle will be brought in from the US, Lim said. Eventually, the farm will have the capacity of housing up to 20,000 dairy cattle. On Tuesday (Nov 7), F&N reported a net profit of RM536.9 million for the financial year ended Sept 30, 2023 (FY2023), the group’s highest full-year net profit since FY2010, thanks to festive sales and out-of-home consumption, as well as contributions from snack and candy maker Cocoaland Holdings Bhd. Revenue climbed 11.88% to a record high of RM5 billion from RM4.47 billion in the previous year. Following the stellar results, F&N announced a final dividend of 33 sen and a special dividend of 17 sen for a 50 sen payout — bringing the total dividend for FY2023 to 77 sen per share. LOW YEN YEING/THE EDGE

THURSDAY NOVEMBER 9, 2023 11 THEEDGE CEO MORNING BRIEF HOME KUALA LUMPUR (Nov 8): Former prime minister Datuk Seri Najib Razak told Investigating Officer (IO) Foo Wei Min that he opened an initial account with AmBank in order to receive donations from the Middle East. Foo, the prosecution’s 48th witness in the ongoing 1Malaysia Development Bhd-Tanore (1MDB-Tanore) trial, confirmed this under cross-examination by lead defence attorney Tan Sri Muhammad Shafee Abdullah on Wednesday (Nov 8). Shafee: My client instructed me that he opened the account in order to receive the Saudi donation. [This] was indicated to him when he met [Saudi Arabia’s late] King Abdullah — that is the instruction he maintained throughout. Did he not mention that to you? Foo:Yes. Shafee: That account that he said [was] opened in order to receive the donation, [monies] did in fact come from Saudi, the Riyad Bank. Foo: Yes. On Wednesday, when shown related bank documents, Foo confirmed that the first seven transactions in Najib’s account were from Saudi Arabia through Riyad Bank. Shafee also implied that the monies that his client is charged with laundering in this trial are in fact donations from Saudi Arabia. The account in question is Najib’s personal account ending 694, which is one of five AmBank accounts the ex-finance minister opened between 2011 and 2013. The claim that the monies which flowed into Najib’s account were donations has been maintained by the defence from the start of this trial — as well as throughout the SRC International Sdn Bhd case, where Najib was found guilty on all seven graft charges in relation to monies belonging to the former 1MDB unit. Najib is currently serving a 12-year prison sentence, as the apex court dismissed his final appeal in the RM42 million SRC case last year. A review of this decision was also dismissed earlier this year. 1MDB-Tanore trial: Najib told money laundering investigator his account was for receiving Saudi donations BY TARANI PALANI & TIMOTHY ACHARIAM theedgemalaysia.com Shafee and witness locked horns over alleged gaps in money trail Foo is the IO who traced the monies in Najib’s personal account that had received about RM2.08 billion from Tanore Finance Corp, an outfit linked to fugitive financier Low Taek Jho, and which has resulted in the 21 money laundering charges the exPM faces in this trial. Foo’s investigation centres on the third phase of the 1MDB debacle — the ‘Tanore phase’ which refers to the issuance of a US$3 billion (RM14.05 billion) bond by 1MDB’s wholly owned subsidiary 1MDB Global Investment Ltd (1MDBGIL) in 2013. The prosecution claims a part of the US$3 billion was subsequently deposited into Najib’s account. Earlier during the proceedings, Shafee and Foo locked horns over alleged gaps in Foo’s money trail and investigation. The point of contention is whether Foo had traced 1MDB monies from three trust funds Cistenique, Enterprise Emerging Markets Fund (EEMF) and Devonshire. Shafee maintained that without such inquiry, Foo could not possibly ascertain if the investment funds had monies from other sources in its account. The defence counsel asserted that Foo cannot with certainty say that these are the monies from 1MDBGIL to the three funds. However, Foo asserted that he has the money trail indicating that monies to these funds originated from 1MDBGIL and that these transactions are related to the predicate offence investigated by the MACC IO. “I have the money trail that showed from 1MDBGIL to these trust funds. These are predicate offences, our focus is money coming in from Tanore and then AmBank. This investigation is conducted by MACC IO. However we have the trail to indicate,” the witness said. Shafee: They transferred the illegal funds, they went to Falcon [Bank] but you only examined Falcon [Bank onwards]. In between, you did not examine. So I’m suggesting there is a gap, maybe not your fault. I’m suggesting you don’t have the documents therefore you cannot be sure what transpired in this fund called EEMF? Foo: I didn’t investigate it. Shafee: How you connect Tanore with GIL [when] you did not detail [it] out. Foo: The connection [will be done] by MACC IO. I have the trail and the knowledge but that is not my scope of investigations so [best for] MACC IO to explain. In reply to Shafee’s query, Foo said that he did not investigate or interview anyone from these funds as it was not within the purview of his investigation. Shafee then suggested to Foo that the trail between Tanore and 1MDBGIL is something Foo ought to have investigated. The witness disagreed. The defence counsel also suggested that there are gaps in Foo’s investigation because he does not have particular documents. Foo, who is currently the Assistant Director of PDRM’s Anti-Money Laundering Investigation Division, disagreed. Previous witnesses, such as Bank Negara Malaysia analyst Adam Ariff Mohd Roslan, have also testified that Tanore received proceeds from the bond through these three funds. Apart from the 21 money laundering charges, Najib faces four counts of abuse of power for using his position as prime minister, finance minister and chairman of 1MDB’s board of advisers to receive gratification worth RM2.277 billion. The trial before judge Datuk Collin Lawrence Sequera continues on Wednesday with the continued cross-examination of Foo. ZAHID IZZANI/THE EDGE Read also: Roger Ng cooperating with police in 1MDB case, says Ayob Khan

THURSDAY NOVEMBER 9, 2023 12 THEEDGE CEO MORNING BRIEF HOME KUALA LUMPUR (Nov 8): Australia’s Lynas Rare Earths intends to withdraw its application for a judicial review of its operating licence conditions in Malaysia, a Malaysian government lawyer said on Wednesday. Lynas earlier this year approached a Malaysian court to review its licence to operate in the Southeast Asian country, after the government barred it from importing and processing lanthanide concentrate from January 2024 due to concerns of radiation from cracking and leaching operations. However, the government last month said it will allow Lynas to import raw materials containing natural radioactive material and process rare earths until March 2026, provided the miner carries out thorium extraction to remove radioactive waste. The court will decide on Lynas’ application to withdraw its case on Nov 14, senior federal counsel Sallehudin Md Ali told Reuters. Lynas to withdraw court request to review Malaysia licence conditions KUALA LUMPUR (Nov 8): Lawyer Rosli Dahlan has applied to strike out the Malaysian Anti-Corruption Commission’s (MACC) application to obtain documents from him that are allegedly related to the settlement of the 1Malaysia Development Bhd (1MDB) corruption and money laundering case between the Malaysian government and Goldman Sachs. Rosli, 62, filed the notice of motion at the High Court on Nov 3 through Messrs Vin Law Co, naming the MACC as the respondent. The lawyer is seeking punitive and exemplary damages from the MACC for allegedly abusing the court process and slandering him by naming him as the first respondent in the application to obtain the documents. In his notice of motion, Rosli, who is representing Bersatu president Tan Sri Muhyiddin Yassin in the case involving Jana Wibawa, stated that the MACC has no locus standi to obtain such an order. Rosli also alleged that the MACC’s action of naming him as the first respondent was in bad faith, humiliating, frivolous, aggravating and slanderous, claiming that there were no documents that were related to him in MACC’s application to obtain the documents. Case management has been set before Judge K Muniandy on Thursday. On Oct 11, the MACC requested for the lawyer to submit 10 documents, including Rosli’s letter of appointment as a lawyer for 1MDB and bank account statements for the firm Rosli Dahlan Saravana Partnership. The MACC stated that the documents were needed to identify Rosli’s appointment as 1MDB’s lawyer in the settlement between the Malaysian government and Goldman Sachs regarding the 1MDB issue. BENTONG (Nov 8): Two men were charged in the Magistrate’s Court here on Wednesday with breaking into a casino room in Genting Highlands last month and stealing 1,160 casino chips worth RM4.6 million belonging to Genting Highlands Bhd. Koay Boan Seng, 32, and Hoo Chee Chuan, 38, pleaded not guilty after the charge was read out before Magistrate Nadhratun Naiem Zainan. They were charged with two others still at large with committing housebreaking at a storage room by stealing 1,160 casino chips worth RM4,607,800 from the Twilight 3 room at Sky Casino Genting Highlands at 7.12am on Oct 28. They were charged under Section 457 of the Penal Code, read together with Section 34 of the same Act, which provides for imprisonment of up to five years and a fine. If the offence includes theft, the jail term could be extended to 14 years, with a repeat offence also carrying a fine or whipping. Deputy public prosecutor Muhammad Zamharir Muhammad Zuhid prosecuted the case while lawyer Kenny Tan Cheng Yee represented both the accused. In asking for a low bail, Tan said Koay was a contract worker earning RM1,800 a month while Hoo earned RM2,000 a month as a farm worker. The court allowed bail of RM8,000 in one surety for each accused and fixed Jan 10 next year for mention. On Tuesday, Bernama reported that police were tracking down five local men including the mastermind in the RM4.6 million casino chip heist at Genting Highlands on Oct 28, believed to be the largest chip theft in the highlands resort. Pahang police chief Datuk Seri Yahaya Othman said police had arrested 10 suspects, aged between 30 and 59, including a Chinese national, in raids made in Genting Highlands, Raub in Pahang, Kuala Lumpur and Nilai in Negeri Sembilan, between Oct 29 and Nov 1. 1MDB settlement: Rosli Dahlan applies to strike out MACC’s application to obtain documents Two men claim trial over RM4.6 mil Genting casino chip theft Bernama Bernama BY DANIAL AZHAR & ROZANNA LATIFF Reuters Lynas did not immediately respond to requests for comment. Lynas has been operating in the central Malaysian state of Pahang since 2012. Its share price jumped last month, after the government allowed its flagship local refinery to continue operating. Lawyer Rosli Dahlan applied to strike out the Malaysian Anti-Corruption Commission’s application to obtain documents allegedly related to the settlement of the 1Malaysia Development Bhd (1MDB) corruption and money laundering case from him, alleging that it's abusing the court process and slandering him by naming him as the first respondent in the application. BERNAMA

THURSDAY NOVEMBER 9, 2023 13 THEEDGE CEO MORNING BRIEF HOME KUALA LUMPUR (Nov 8): The High Court here will deliver its verdict on Thursday (Nov 9) on the case of Muar Member of Parliament (MP) Syed Saddiq Syed Abdul Rahman, who is facing four charges of abetting in criminal breach of trust (CBT), misappropriation of property and money laundering in connection to Angkatan Bersatu Anak Muda (Armada) funds. Judge Datuk Azhar Abdul Hamid is scheduled to deliver his judgement at 9am. On March 14, the defence closed its case after calling Syed Saddiq and three other witnesses, namely Armada Information Chief Ulya Aqamah Husamudin, as well as Mohamed Amshar Aziz and Siti Nurul Hidayah, who are Syed Saddiq’s former special officer and former private secretary respectively. A total of 30 prosecution witnesses testified in the trial, which started on June 21, 2022. They included Syed Saddiq’s father Syed Abdul Rahman Abdullah Asagoff, his mother Shariffah Mahani Syed Abdul Aziz, and former Armada assistant treasurer Rafiq Hakim Razali, as well as Malaysian Anti-Corruption Commission (MACC) investigating officers Nurul Hidayah Kamarudin, Syahmeizy Sulong, and Asbi Munip. The case was conducted by deputy public prosecutors Datuk Wan Shaharudin Wan Ladin and Mohd Afif Ali, while lawyers Gobind Singh Deo and Haijan Omar represented Syed Saddiq. On Oct 28 last year, the High Court here ordered Syed Saddiq to enter his defence after the prosecution successfully established a prima facie case against him. The former youth and sports minister was charged with abetting Rafiq, who was entrusted with RM1 million of Armada’s funds, to commit a criminal breach of trust by misappropriating the funds. The offence was allegedly committed at CIMB Bank Bhd, Menara CIMB KL Sentral, Jalan Stesen Sentral 2 here, on March 6, 2020, and the charge was framed under SecSyed Saddiq to know fate on CBT, money laundering case today PUTRAJAYA (Nov 8): The Court of Appeal on Wednesday unanimously dismissed a motion by lawyer Mohd Hatta Sanuri to adduce further evidence, namely a press statement issued by former attorney general Tan Sri Idrus Harun in January, for his appeal in connection with the government’s decision to withdraw a review application over the International Court of Justice’s (ICJ) decision over the Pulau Batu Puteh claim. A three-member bench led by Datuk Supang Lian ruled that Idrus’ opinion does not constitute further evidence as stipulated under Section 69 of the Evidence Act, and that the statement is not relevant in Hatta’s two appeals. The other two members of the bench were Datuk Hashim Hamzah and Datuk Wong Kian Kheong. Hatta’s counsel Mohaji Selamat wanted Idrus’ statement, which was made on Jan 27, to be used in his appeal over his misfeasance suit against the federal government and the prime minister over Malaysia’s decision to drop the Pulau Batu Puteh appeal in 2018. Mohaji told the bench that the statement made by Idrus about the withdrawal of the appeal was not in order and improper. He said the statement should be admitted as it is relevant to his case to show misfeasance, as the suit was struck out by the court without going through a full trial. He added that the statement made by Idrus was not available when the case was decided, and hence should be admitted. The hearing of Hatta’s appeal is fixed for Nov 15. Appellate court dismisses lawyer’s motion to adduce ex-AG Idrus’ statement for Pulau Batu Puteh appeal BY HAFIZ YATIM theedgemalaysia.com Bernama tion 406 of the Penal Code, which is punishable by up to 10 years imprisonment, and liable to whipping and a fine, upon conviction. On the second charge, he is accused of misappropriating RM120,000 from Armada Bumi Bersatu Enterprise’s Maybank Islamic Bhd account, by making Rafiq Hakim dispose of the money. Syed Saddiq allegedly committed the offence at Malayan Banking Bhd, Jalan Pandan 3/6A, Taman Pandan Jaya here between April 8 and 21, 2018, and the charge was framed under Section 403 of the Penal Code, which is punishable by up to five years imprisonment, and liable to whipping and a fine, upon conviction. He is also facing two counts of money laundering, via transactions of RM50,000 each, believed to be proceeds from unlawful activities, from his Maybank Islamic Bhd account into his Amanah Saham Bumiputera account in a bank at Jalan Persisiran Perling, Taman Perling, Johor Baru, on June 16 and June 19, 2018. The charges were framed under Section 4(1)(b) of the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001, which is punishable by up to 15 years imprisonment and liable to a fine of not less than five times the sum or value of the proceeds of an unlawful activity, upon conviction. Read the full story Read the full story On July 1 last year, Kuala Lumpur High Court judge Hayatul Akmal Abdul Aziz allowed the federal government’s application to strike out Hatta’s suit on the grounds that the issue raised was non-justiciable and touched on foreign policy. Hayatul Akmal also said Hatta did not have the locus standi (legal standing) in initiating the suit. Senior federal counsel Ahmad Hanir Hambaly objected to Idrus’ statement being admitted as it was not relevant to the suit at hand. He added that the issue with regard to the appeal over the suit being struck out was whether Hatta was right in filing a suit which is considered non-justiciable as it touches on foreign policy. “The statement has no bearing to the suit at hand, and hence the motion should be dismissed,” he said, adding the other appeal by Hatta was over the documents deemed classified by the government and court, which should not be released to the public. FILEPIX BY SHAHRIN YAHYA/THE EDGE

thursday november 9, 2023 14 The E dge C E O m o rning brief home KUALA LUMPUR (Nov 8): The unity government has never held any meetings with opposition Members of Parliament (MPs) in regard to their declaration of support for Prime Minister Datuk Seri Anwar Ibrahim’s leadership. However, Minister of Communications and Digital Fahmi Fadzil said that the support given by the opposition MPs proved that they are now open to working together with the prime minister and the unity government to restore Malaysia to the path of economic growth and political stability. “I was surprised myself... but I do welcome the support. This has brought the support for prime minister among the MPs to 150 (from the 222-seat Dewan Rakyat),” he told reporters after the re-launch of The Sun newspaper here on Wednesday. Fahmi said this in response to the three MPs from Perikatan Nasional (PN) who had pledged full support to Anwar’s leadership, with the latest being Gua Musang MP Datuk Mohd Azizi Abu Naim. Last month, Kuala Kangsar MP Datuk Iskandar Dzulkarnain Abdul Khalid and Labuan MP Datuk Suhaili Abdul Rahman also pledged their support to Anwar. Read also: More than 3,700 posts involving fake news and hate speech taken down over January-October, says deputy minister Support for PM: Unity govt never held meetings with opposition MPs — Fahmi KUALA LUMPUR (Nov 8): There were 1,920 residential units auctioned in the first nine months of 2023, with a total value of RM529.03 million, according to Local Government Development Minister Nga Kor Ming. These auctioned residential units include 1,033 units priced at RM300,000 and below; 418 units priced at RM300,000 to RM500,000; 267 units priced from RM500,000 to RM1 million; and 202 units priced at RM1 million and above. For 2022, based on the Auctioned Residential Data report issued by the National Property Information Center (Napic), there were 2,203 auctioned residential units valued at RM504.57 million. “This included 1,325 units priced at RM300,000 and below; 477 units KUALA LUMPUR (Nov 8): The government’s proposed progressive wage model will be voluntary and employ a carrot-andstick approach, according to Economy Minister Rafizi Ramli. Rafizi said that if employers choose to opt for the progressive wage scheme and pay their employees according to the government’s prescribed rates, based on sector and skill level, they will be eligible for specific cash incentives. “In addition, employees placed under the progressive wage scheme will be required to undergo specific skills training to enhance their abilities,” Rafizi said when winding up his ministerial response for Budget 2024 in the Committee stage in Dewan Rakyat on Wednesday. As for the “stick” approach, Rafizi said that if employers choose to opt out of the progressive wage scheme, they may find it difficult to attract talent. “When the public and potential employees become aware of which employers have opted for the progressive wage model and pay their employees a competitive wage, the workforce’s focus is likely to shift towards those employers,” Rafizi said, adding further details about the progressive wage model will be disclosed when the ministry presents a white paper to Parliament on Nov 30. The progressive wage policy aims to increase employee wages and achieve fairer income distribution. According to the 1Q2023 formal sector wages report by the Department of Statistics Malaysia, the median monthly wage in March 2023 for citizen formal employees was RM2,600, and there were a total of 6.45 million citizen formal employees. The highest median monthly wage in March 2023, at RM3,500, was recorded for formal employees aged 45 to 49 and aged 40 to 44, accounting for nearly 20% of the total formal employees. In contrast, the age group below 20 years received the lowest median monthly wage, amounting to RM1,500, as per the report. Over RM529 mil worth of residential units auctioned in first nine months of 2023 — Nga Employers opting for progressive wages will be eligible for cash incentives, says Rafizi by Choy Nyen Yiau theedgemalaysia.com by Choy Nyen Yiau theedgemalaysia.com Bernama priced at RM300,000 to RM500,000; 293 units priced from RM500,000 to RM1 million; 108 units priced at RM1 million and above,” Nga said in written parliamentary response to Datuk Shamshulkahar Mohd Deli (BN-Jempol) on Wednesday. Shamshulkahar inquired about the research conducted by the ministry to address the 20% increase in the country’s real estate auction market following the fifth increase in the overnight policy rate (OPR) since May 2022. Nga explained that while the increase in OPR may be one of the reasons for the rise in the real estate auction market, other factors have also been identified as having a greater impact, such as the increase in the cost of living and the post-pandemic impact. “Although the increase in OPR leads to higher loan repayments, depositors also enjoy better returns on deposits at higher rates, further encouraging individuals to save money,” Nga added. The increase in the sale of homes in the auction market at prices lower than the market price and located in mature areas, according to Nga, presents a great opportunity for first-time home buyers. “(The public can) finance their purchase through the i-Biaya initiative under the Housing Credit Guarantee Scheme (SJKP), which is provided by the government and guarantees a financing limit of up to RM500,000, even for auctioned homes,” Nga added.

THURSDAY NOVEMBER 9, 2023 15 THEEDGE CEO MORNING BRIEF WORLD (Nov 8): US Treasuries may face renewed selling pressure into the new year if one measure of the nation’s swelling debt repayment bill is any guide. Estimated annualised interest payments on the US government debt pile climbed past US$1 trillion (RM4.67 trillion) at the end of last month, Bloomberg analysis shows. That projected amount has doubled in the past 19 months from the equivalent figure forecast around the time. The estimated interest expense is calculated using US Treasury data which state the government’s monthly outstanding debt balances and the average interest it pays. Of course, the gauge of estimated interest costs is different than what the Treasury actually paid. Interest costs in the fiscal year that ended Sept 30 ultimately totalled US$879.3 billion, up from US$717.6 billion the previous year and about 14% of total outlays. But, looking forward, the rise in yields on long-term Treasuries in recent months suggests the government will continue to face an escalating interest bill. The worsening metrics may reignite debate about the US fiscal path amid heavy borrowing from Washington. That dynamic has already helped drive up bond yields, threatened the return of the so-called bond vigilantes and led Fitch Ratings to downgrade US government debt in August. “There will be further increases to Treasury coupon auctions and T-bills outstanding going forward,” Bloomberg Intelligence strategists Ira Jersey and Will Hoffman wrote in a research note. “Besides deficits of over US$2 trillion in the foreseeable future, climbing maturities following the increase of issuance from March 2020 will also need to be refinanced.” Read also: US high-grade bonds lose appeal with some foreign investors — JPMorgan Investors turn risk-on for some junk debt but not all US debt interest bill rockets past a cool US$1 trillion a year BENGALURU (Nov 8): The dollar’s recent weakness will linger for the rest of the year, according to a majority of foreign exchange strategists in a Reuters poll, who also said economic data will be the primary influencer of major currencies for the rest of 2023. Renewed expectations the Federal Reserve (Fed) is done with its rate hikes have put the dollar at a disadvantage, with the currency losing almost 2.0% from last month’s peak, leaving the dollar index up around 2% for the year. Suggesting the current dollar weakening trend has further to go, a near two-thirds majority of analysts, 28 of 45, who answered a separate question said the dollar is likely to trade lower than current levels against major currencies by year end. They also expect it to slip against the euro and other Group of 10 currencies over the next 12 months, a position analysts have held all year but have been proven wrong each time. Some are sounding more confident this time they will be right. “The dollar and US yields have had a strong bullish trend over the [past] two to three months...but it looks like we’ve reached a point where yields and the dollar have peaked out,” said Lee Hardman, a senior currency analyst at MUFG. “It’s going to be harder for yields to hit fresh highs this year because markets are now more confident that the Fed is done hiking, speculation has already started to intensify again that next year we could see a policy reversal from the Fed with speculation building over more aggressive Fed rate cuts next year.” When asked what will be the primary influencer of major currencies for the rest of the year, a slim majority of analysts, 26 of 49, said economic data. Another 20 said interest rate differentials, and three said safe-haven demand. Recent employment data suggest cracks are finally appearing in the world’s largest economy’s surprising resilience to rate hikes over the past year and a half. But the US economy is still performing better than all of its peers. The latest data from the Commodity Futures Trading Commission showed currency speculators were still overwhelmingly netlong on the US dollar, suggesting there was still plenty of support for the greenback. “At the moment, we’re still tactically long dollar and we think this will have further to run into year end, primarily against currencies where they continue to show weak fundamentals. EUR/USD (euro/US dollar) would be the primary case of that,” said Simon Harvey, the head of foreign exchange analysis at Monex Europe. The eurozone economy shrank 0.1% last quarter and is expected to flat-line in this one, barely skirting a recession. The euro, after clawing back all of its losses for the year, is predicted to gain around 4.0% over the coming 12-months. Median predictions from 72 foreign exchange strategists showed the common currency trading at US$1.07, US$1.08 and US$1.11 in the next three, six and 12 months. Those estimates are broadly unchanged from an October survey. The Japanese yen, the worst-performing major currency for the year, is expected to remain under pressure in the near term. Asked what is the weakest level the yen will trade against the dollar by year end, 20 analysts who answered a separate question returned a median of 152/dollar. However the currency, which has lost about a third of its value since 2021 including 13% this year alone, is expected to recoup most of its 2023 losses over the next 12-months. The yen is expected to gain over 10% to change hands at 136/dollar in a year, the poll showed. Sterling, already up around 1.5% in 2023, is forecast to gain 3.5% to US$1.27 in a year. Emerging market currencies are expected to take well into next year to post noticeable gains against a retreating US dollar. Read also: Oil prices sputter near threemonth lows as demand concerns mount BY RUTH CARSON & MARK CUDMORE Bloomberg REUTERS Crack in US dollar strength to spread as economy slows BY HARI KISHAN Reuters

THURSDAY NOVEMBER 9, 2023 16 THEEDGE CEO MORNING BRIEF WORLD BEIJING (Nov 8): China’s Foreign Minister Wang Yi said maritime disputes should be resolved through talks and warned against “camp” confrontations, but stopped short of naming the United States (US), days before an expected meeting between the countries’ leaders. The Philippines, Japan and the US have complained about what they say is growing Chinese aggression in the South China Sea. Beijing says most of the region is part of its territory, a claim that is hotly disputed by several littoral nations. Last month, China and the Philippines traded barbs over a collision in the South China Sea, as Chinese vessels blocked the passage of Philippine ships. Beijing said the vessels were “trespassing” on Chinese territory when trying to send supplies to Philippine troops stationed on a disputed shoal, which lies in the Philippines’ exclusive economic zone. The tense encounters between China and the Philippines at the contested shoal have led Japan to call for trilateral cooperation with the US on helping Manila bolster its security capabilities. “Historical maritime disputes should be resolved through friendly consultation between direct parties, and maritime camp confrontations and zero-sum games should be resisted,” Wang said at a symposium on maritime governance in Hainan on Tuesday (Nov 7), without identifying any nation. Read the full story Read also: China unlikely to launch ‘D-Day’ on Taiwan, says Hsien Loong China warns against maritime ‘camp’ confrontations but stops short of naming US (Nov 8): The world is facing a “moment of danger” with wars in Ukraine and Gaza, conflict “tripwires” in Taiwan and the South China Sea, and the same “cast of characters” on either side of those territorial disputes, Singapore Foreign Minister Vivian Balakrishnan said. “I’m very uncomfortable,” the minister said at the Bloomberg New Economy Forum in Singapore on Wednesday. “I don’t want to be excessively alarmist, but the last time that happened globally was the First World War. So this is a moment of danger.” Ukraine has fought to repel a full-scale Russian invasion since February last year, with Kyiv getting aid from the US and the European Union (EU), and Moscow seeking support from China and North Korea. In Gaza, Israel is battling Hamas, which is designated as a terrorist organisation by the US and EU. The Palestinian group stormed into southern Israel on Oct 7, killing 1,400 people and abducting more than 240 others. “We view the global developments and instability from a point of great anxiety,” (Nov 8): Inflation is the biggest risk to the global economy, and that’s providing opportunities for investors, as policymakers grapple with their fight to rein in prices. That’s according to senior executives at banks and money managers speaking at the Bloomberg New Economy Forum in Singapore. While John Waldron (pic), the president and chief operating officer of Goldman Sachs Group Inc, said the key risk remains inflation, Lim Chow Kiat, the chief executive officer of GIC Pte Ltd, sees that as a chance to buy. Markets haven’t seen the current yield on 10-year Treasury inflation protected securities of around 2.5% for “a long time”, Lim said on a panel at the forum. “That’s very attractive I would say, and that is actually great competition for other asset classes.” As markets bet US interest rates will need to start reducing next year, Federal Reserve policymakers continue to battle with balancing tightening conditions against economic growth, and chair Jerome Powell has hinted his central bank may be finished hiking. “I would say inflation is still to me the single biggest risk,” Waldron said. “So I think inflation is far and away my biggest concern, and I think the geopolitics that are now overlaid in a much more profound way.” Meantime, speaking on the same panel, Jennifer Johnson, Franklin Templeton’s CEO, said it only gets tougher for central banks from here. “The journey to 2% (the inflation target) is going to be a lot more challenging,” she said. Singapore sees ‘moment of danger’ for world divided by wars Goldman, GIC differ on whether inflation is risk or opportunity Balakrishnan said. “If we get a world that’s caught up in war and distracted in ultimate strategic dead-ends, it’s going to be a world which is unstable, hyper-inflationary, disrupted and war will be the defining feature.” Rising tensions between Washington and Beijing have centred around Taiwan, the democratically governed island China regards as part of its territory. Over the past few years, an increasingly assertive China has increased its diplomatic, military and economic pressure against the government of President Tsai Ingwen, which rejects Beijing’s claim to sovereignty over the island. The US has bolstered its support for Taiwan in the form of increased sales of weapons and high-profile official visits. The South China Sea is another point of contention between the two powers, with each side accusing the other of provocative or unprofessional actions in the region. The US and China each released videos last month showing tense encounters between military vessels or warplanes, incidents that raise the risk of an accident spiralling into a bigger conflict. Balakrishnan also expressed concern about the possible effect on oil prices in the event that the Israel-Hamas war escalates. “The real issue is that if you get a regional conflagration, and, in particular, Iran gets into the act, I think you can easily imagine the impact of this on global oil supplies and therefore the price,” he said. The New Economy Forum is being organised by Bloomberg Media Group, a division of Bloomberg LP, the parent company of Bloomberg News. BY PHILIP J HEIJMANS & REBECCA CHOONG WILKINS Bloomberg BY CHANYAPORN CHANJAROEN & HASLINDA AMIN Bloomberg BY RYAN WOO Reuters BLOOMBERG

THURSDAY NOVEMBER 9, 2023 17 THEEDGE CEO MORNING BRIEF WORLD COLOMBO (Nov 8): China Harbour Engineering Company (CHEC) and its partners will invest US$1.56 billion on a phase of a port city project near Sri Lanka’s Colombo, in the single biggest injection of foreign direct investment for the financial crisis-hit country. The investment will go into the next phase of the project to build the city, which will be adjacent to the central business district of Colombo, Dinesh Weerakkody, chairman of the Colombo Port City Economic Commission, said on Wednesday. CHEC, part of China Communications Construction Co Ltd, has reclaimed land for the “world class city for South Asia”. Port City Colombo will span 269 hectares and is expected to attract a total investment of about US$15 billion, according to the project’s website. China is Sri Lanka’s biggest bilateral lender and its companies have built highways, sea and air ports, and other infrastructure projects in the strategic island off India’s southern coast. Work on some major sections of the city will start by the second quarter of 2024, Dinesh told Reuters, including “the Colombo International Financial Centre, China’s CHEC, partners to invest US$1.56 bil in Sri Lanka’s Port City Colombo (Nov 8): The US will provide US$553 million (RM2.59 billion) in financing for a port terminal in Sri Lanka’s capital being developed by Indian billionaire Gautam Adani, as New Delhi and Washington look to curtail China’s influence in South Asia. The funding from International Development Finance Corp (DFC) underscores renewed US and Indian efforts to loosen Beijing’s sway over Sri Lanka after Colombo borrowed heavily to splurge on Chinese port and highway projects before its economic meltdown last year. For Adani, US money may offer a stamp of legitimacy after allegations of fraud by short seller Hindenburg Research erased billions from the conglomerate’s market value earlier this year. The deepwater West Container Terminal in Colombo is the US government agency’s largest infrastructure investment in Asia, and among its biggest globally. It will bolster Sri Lanka’s economic growth and “its regional economic integration, including with India, a key partner to both countries”, DFC said in a statement. The funding is part of a global acceleration of DFC investments that totalled US$9.3 billion in 2023. “It is a high priority for the US to be active in the Indo-Pacific region,” Scott Nathan, DFC’s chief executive officer, told reporters in Colombo on Wednesday. “It is obviously the engine of economic growth for the world.” China had invested about US$2.2 billion in the island nation as of the end of last year, its biggest foreign direct investor. US officials have publicly criticised Sri Lanka’s little-used southern Hambantota port as unsustainable and part of what US invests US$553 mil in Adani’s Sri Lanka port to curb China’s influence BY IAIN MARLOW, CHRIS KAY & P R SANJAI Bloomberg BY UDITHA JAYASINGHE Reuters a yacht marina, and oceanfront villas”. The Colombo commission, along with CHEC, Chinese state-owned Hunan Construction Investment and Sri Lankan conglomerate Browns Investments, signed a cooperation framework agreement last month in Beijing. The US$500 million financial centre would be one of the larger projects involved, a statement from the commission said, while the marina and a marina hotel would cost an estimated US$250 million. A luxury villa complex project would need US$527 million, and some infrastructure development work will cost more than US$280 million, it said. Much of the ground infrastructure work should be completed by early next year, the statement added. A retail and duty-free mall is expected to open by the end of 2023, while construction on an international school, a university, and a hospital are earmarked to begin next year. The investment is the largest commitment of foreign direct investment since Sri Lanka plunged into its worst financial crisis in decades last year, caused by record low foreign exchange reserves. IILUSTRATION FILEPIX Read the full story it calls China’s “debt-trap diplomacy”. Colombo’s port is one of the busiest in the Indian Ocean, given its proximity to the international shipping routes. Nearly half of all container ships pass through its waters. DFC said it’s been operating at more than 90% utilisation for two years and needs new capacity. DFC said it will be working with sponsors John Keells Holdings plc and Adani Ports & Special Economic Zone Ltd, relying on their “local experience and high-quality standards”. Adani Group The US funding may serve as an endorsement for the short seller-stung Adani Group, as well as the controversial port project in which it holds a majority stake. The conglomerate has been fighting a raft of corporate fraud allegations levelled by Hindenburg Research and various media investigations, which it has repeatedly denied. “We see this as a reaffirmation by the international community of our vision, our capabilities and our governance,” Karan Adani, the tycoon’s son and CEO of Adani Ports, told reporters in Colombo on Wednesday. The port project, set to be operational by December 2024, will entail a total capital expenditure of US$1 billion, he said, adding that dredging work was complete. The site for the West Container Terminal in Colombo, Sri Lanka.

thursday november 9, 2023 18 The E dge C E O m o rning brief world (Nov 8): Indonesia sold US$2 billion (RM9.33 billion) in the form of a US-currency sukuk, its first such issuance in 18 months against the backdrop of a global rise in borrowing costs. Southeast Asia’s largest economy issued US$1 billion of five-year shariah-compliant notes for general financing, according to a person familiar with the matter, who asked not to be identified as they are not authorised to speak about it. It also launched US$1 billion worth of 10-year green notes for expenditure as outlined under its sustainable securities framework. The 2028 bonds priced at par to yield 5.4%, according to data compiled by Bloomberg, while the 2033 notes were issued at par to yield 5.6%. The sharp rise in US interest rates over the past two years is having knockon effects on economies around the world including Indonesia, where the government regularly taps the offshore bond market. Officials in Jakarta sold dollar debt in January, while their last dollar sukuk transaction took place in May 2022. Bloomberg’s analysis of data at the initial price talk stage indicated the deal was being offered at a premium to the seller’s existing dollar securities. In addition to the change in US interest rates, other factors may have also contributed to the difference in the offer pricing. While the Indonesian government didn’t lay out exactly how the green proceeds would be allocated, its sustainable securities framework lists a number of projects, such as developing wind or hydro-power plants, or implementing energy performance standards and energy efficient labels for equipment. Earlier this year, Indonesia sold yen-denominated bonds, with funds from some tranches earmarked for ocean conservation and climate change mitigation. CIMB Group Holdings Bhd, Citigroup Inc, Dubai Islamic Bank PJSC, Mandiri Securities and Standard Chartered Bank plc acted as joint book runners for the deal, according to the person. Indonesia sells US$2 bil dollar sukuk, first in 18 months (Nov 8): Ping An Insurance (Group) Co sold all of its shares in Country Garden Holdings Co and has no plans to acquire the distressed developer, according to people with knowledge of the matter. The Chinese insurer offloaded the stake last quarter, the people said, asking not to be identified because the matter is private. Ping An held 4.9% of Country Garden shares as of August, according to data compiled by Bloomberg. Reuters reported earlier Wednesday that China’s State Council instructed the local government of Guangdong province to ask the company to take a controlling stake in Country Garden. Ping An said the report is untrue and it hasn’t received any such requests. Country Garden said the company wasn’t aware of the information in the report. Speculation over Country Garden’s fate has been swirling since the company defaulted on a dollar bond for the first time last month. While Chinese authorities have recently increased efforts to put a floor under the biggest property downturn in decades, analysts have expressed skepticism over the logic of a Ping An-Country Garden combination. Ping An has said it’s trying to reduce exposure to the sector, and regulators have been encouraging insurers to focus on their core business. As a non-state company, Ping An lacks ready access to government funding of the sort that would likely be required to restore market confidence in Country Garden without putting the insurer’s own financial health in doubt. “The odds are low for such a move to happen,” said Willer Chen, senior analyst at Forsyth Barr Asia Ltd. “It’s a weird move to ask a non-state-owned insurer to take on such national service.” Shares of Ping An fell 5.4% in Hong Kong trading after the Reuters report. Country Garden closed 12% higher. Country Garden and another defaulted property giant, China Evergrande Group, have played an outsized role underpinning the livelihoods of tens of thousands of employees and construction workers. They sold homes to buyers who are still waiting for them to be built. Chinese President Xi Jinping has ramped up steps to support the economy recently, such as by issuing more sovereign debt for infrastructure spending, raising the budget deficit ratio and even making an unprecedented visit to the central bank. Authorities have taken several moves in recent months to fine-tune real estate policy, including a broad relaxation of down-payment requirements for homes and cuts to some mortgage rates. That hasn’t been enough to turn things around: Property investment contracted 9.1% in the first nine months of the year. Country Garden’s September contracted sales tumbled 81% from a year earlier. Ping An itself has already been burnt by the real estate crisis. About 24 billion yuan (US$3.3 billion) of its profit was wiped out in 2021 due to its investments in China Fortune Land Development Co. The company’s exposure to the property sector stood at about 4.5% of total investments at the end of September. “Ping An is unlikely to take over Country Garden because residential projects aren’t assets that offer long-term returns, unlike offices. The insurer took a 24 billion yuan profit hit in 2021 due to its China Fortune Land stake, and we believe the firm would scrutinize any potential investment to safeguard shareholders’ and policyholders’ interest,” Bloomberg Intelligence Insurance analyst Steven Lam said. The central government has long held the stance that Ping An should focus on its core business in insurance and financial services, said Zerlina Zeng, an analyst at CreditSights. “Given the property-related impairments that it has incurred in the past, I think the hurdle is not low for taking a controlling stake in another defaulted developer,” she said. Ping An exited its Country Garden stake, has no takeover plan Bloomberg by Harry Suhartono & Ameya Karve Bloomberg Read also: Chinese authorities ask Ping An to take controlling stake in Country Garden, sources say Read also: Indonesian bonds no longer darlings in emerging markets

thursday november 9, 2023 19 The E dge C E O m o rning brief world (Nov 8): Shein is touting its hopes for a valuation of as much as US$90 billion (RM419.76 billion) as it lays the groundwork for an eventual US initial public offering (IPO), a level that far exceeds how the fast-fashion giant is valued in private trades, according to people familiar with the matter. The company has told prospective investors that it’s aiming to fetch a valuation of US$80 billion to US$90 billion in a listing, the people said. The timing of the share sale remains uncertain given the market volatility, according to the people. In private trades, Shein’s valuation has dropped below the US$66 billion it got in a funding round in May, the people said. Stakes that have recently changed hands in the secondary market valued the company at around US$50 billion to US$60 billion, the people said. While valuation in private trades doesn’t necessarily reflect the company’s actual valuation, the gap underlines investor concerns over Shein’s challenges ranging from intensifying competition to allegations of copyright thefts and potential use of forced labour. It may also complicate Shein’s ambitions for a blockbuster listing. Shein was the world’s third most valuable start-up in 2022, when a funding round valued the company at US$100 billion. Its valuation has since dropped along with other start-ups and technology companies as investors grew wary towards risk assets amid uncertain economic outlook and higher interest rates. Valuation of ByteDance Ltd, the parent of short-video hit TikTok, fell to below US$300 billion in secondary market in July, down at least 25% from last year, Bloomberg News has reported. Deliberations are ongoing, and no final decision has been made regarding Shein’s IPO, including its valuation and timing, the people said. A representative of Shein declined to comment. Challenges ahead Shein pioneered ultra-fast fashion, selling new and stylish items such as shirts and swimsuits for as little as US$2 each. Its direct-to-consumer e-commerce sales took off in the US during Covid, and the company quickly became one of the most downloaded shopping apps in the country, targeting teens and young women. Founded in China more than a decade ago, Shein recently moved its headquarters to Singapore, and has worked to distance itself from its country of origin. Shein still gets most of its clothing for the US from suppliers in southern China, though it has announced plans to source from other countries. The retailer hired former SoftBank Group Corp executive Marcelo Claure earlier this year to help run its Latin American business. Shein’s success has prompted scrutiny into its supply chain practices. A member of Congress called for an investigation into Shein’s use of cotton from China’s Xinjiang region. If a probe is launched, and Shein is found to have broken US laws against forced labour, its products could be banned from entering into the country. The company acknowledges that 2% of its cotton comes from Xinjiang, but says it doesn’t use forced labour. Shein has also Bloomberg Shein targets up to US$90 bil valuation in US IPO, sources say been criticised alongside its fast-fashion peers for issues with the industry’s environmental impact. The online retailer is also facing intense competition from Temu, owned by Chinese e-commerce giant PDD Holdings Inc. In September, sales on Temu were more than double Shein’s in the US after topping Shein for the first time in May, according to Bloomberg Second Measure, which analyses consumers’ credit and debit card transactions. The duo have sued each other, with Shein accusing Temu of trademark and copyright infringement, while Temu said Shein violated antitrust laws by using bullying tactics to block clothing manufacturers from working with the platform. Shein has said the suit is without merit, and the firm will vigorously defend itself. The online retailer expects its net income to reach US$2.5 billion this year despite the intensifying competition, said the people, who asked not to be identified as the information is private. Its net income in 2019 was around one billion yuan (US$137 million or RM641.68 million), an investor presentation at the time showed. Shein has been trying to diversify its products beyond clothes and accessories under its own name. In August, the company bought about one-third of Sparc Group, which owns rival retailer Forever 21 through a joint venture. As part of the deal, Forever 21 products will be made available to Shein’s online customers. In October, Shein acquired British online brand Missguided from Frasers Group plc, further expanding its third-party offerings. Shein was the world’s third most valuable start-up in 2022, when a funding round valued the company at US$100 billion. Its valuation has since dropped along with other start-ups and technology companies as investors grew wary towards risk assets amid uncertain economic outlook and higher interest rates. bloomberg

thursday november 9, 2023 20 The E dge C E O m o rning brief world news In brie f UK home prices defy pressure with more buyers than houses on sale (Nov 8): Britain’s housing market is shaking off forecasts for a crash, with a slump in the number of properties changing hands preventing a sizable drop in prices. A stand-off between buyers and sellers has dried up housing transactions but also limited any plunge in valuations, with few households forced into selling up. Data from the mortgage lender Halifax on Tuesday showed the first month-on-month increase in prices in seven months. That added to evidence that the market is stabilising after a dip many had expected to turn into a sizable correction. While analysts predicted a 10% drop in prices from the peak in summer 2022, the slide so far is only half of that level and well short of the most apocalyptic forecasts. Halifax said a lack of houses for sale helped deliver the biggest monthly price gain since February. There’s other factors supporting the market. The Bank of England’s (BOE) decision to halt its quickest series of interest-rate increases in over three decades eased upward pressure on mortgage rates, while low unemployment and lender forbearance headed off the risk of forced sales. — Bloomberg Read the full story Dubai home sales zoom past last year’s record in ten months (Nov 8): A property boom in Dubai that pushed the number of residential transactions to a record high last year has continued into 2023, with sales surpassing those levels in the first 10 months of this year. The Middle East’s tourism and financial hub recorded 93,590 transactions through to the end of October, surpassing 92,178 in all of 2022, according to CBRE Group Inc. Still, the number of sales slowed in October, falling 23.6% from a year earlier as developers offered fewer new off-plan projects. “Demand hasn’t weakened even as monthly transactions have started to slow because fewer new projects are being started,” Taimur Khan, CBRE’s head of research, said in an interview. “The absorption that we have seen within the off-plan segment of the market has been almost unprecedented.” — Bloomberg Read the full story (Nov 8): The longest rally in Singapore’s housing rents in a decade may be coming to an end. The city-state’s residential rents may decline as much as 10% in 2024 after rising up to 15% this year, Bloomberg Intelligence analyst Ken Foong said in a report on Wednesday. He said the drop may be even greater if the macro-economy worsens or a crisis emerges. Twice as many new homes were built in 2023 compared with the previous year as construction bottlenecks eased after the pandemic, he wrote. Running down this supply will take time, as it’s above the annual average in the 10 years before. More new homes coming onto the market next year will also suppress rents. “Tenants are likely to push back on skyhigh rents due to higher vacancy, with more units to choose from, macro uncertainties and the rising cost of living,” Foong said. High rents, a pain point for Singapore expats and locals alike, are already easing. The government’s index for private housing leasing costs gained just 0.8% in the third quarter (3Q), the slowest increase since rents started climbing at the end of 2020. The expected drop would give some relief to tenants hit by increasing costs in what’s become the world’s most expensive city for luxury living. Leasing costs surged 30% last year, the most in 15 years as Singapore became one of the first countries in Asia to reopen its borders during the pandemic, driving its attractiveness to the rich. The number of vacant homes has also risen to 34,341 units in 3Q, outpacing the average of 27,000 between 2014 and 2017, when rents fell for four straight years, the longest stretch of annual declines since the end of the last century, government data show. While rents overall are expected to fall, some landlords may still increase prices on expiring leases that were entered two or three years ago, though at a lower rate, Foong added. World’s most expensive city to face first rental slump in four years by Ranjeetha Pakiam Bloomberg Bloomberg

thursday november 9, 2023 21 The E dge C E O m o rning brief world news In brie f Samsung tests AI chatbot that may wind up in smartphones (Nov 8): Samsung Electronics Co is testing a generative artificial intelligence (AI) model named “Gauss” after a 19th century German mathematician, joining the growing ranks of companies hoping to create rivals to ChatGPT. The world’s largest smartphone maker has begun internal testing of a bot that can help staff in the mobile and consumer electronics divisions compose emails, summarise documents and translate content, executives told attendees to a company conference on Wednesday. Samsung joins companies from the US to China in trying to stake a claim on a buzzy market since the advent of ChatGPT. Other AI tools it’s developing include a coding assistant and a platform that can create visuals from simple keywords. Samsung aims to weave its AI services into a variety of products in the near future. Samsung may also be responding in part to mounting concerns around the pervasiveness of the technology. Earlier this year, it banned employee use of generative AI after discovering staff had uploaded sensitive code to the platform. — Bloomberg Moderna investor Flagship Pioneering expands into Asia-Pacific with Singapore regional hub US biotech venture creation company Flagship Pioneering has announced its expansion into the Asia-Pacific region, with the opening of a regional hub in Singapore. This follows the company’s expansion into the UK earlier this year. Flagship is best known for its role in backing Moderna, which created a widelyused Covid-19 vaccine. Flagship currently counts 43 companies in its ecosystem, spanning human therapeutics, agriculture and nutrition. Companies in its stable include the Nasdaq-listed firms Denali Therapeutics, Foghorn Therapeutics, Omega Therapeutics, Sana Biotechnology and Seres Therapeutics. — theedgesingapore.com India’s NCDEX to launch sunflower oil futures amid volatile prices MUMBAI (Nov 8): India’s National Commodity and Derivatives Exchange (NCDEX) will launch sunflower oil futures contracts on Nov 12, to provide importers with a hedging tool amid volatile prices, a senior exchange official told Reuters on Tuesday (Nov 7). India is the world’s biggest importer of sunflower oil, fulfilling more than 90% of its demand through imports of 2.5 million to three million metric tonnes from Russia, Ukraine, Romania and Bulgaria. “Imports keep going up every year, and there’s no way for importers to protect themselves. The industry really needs sunflower oil futures to deal with the volatility in global prices,” Arun Raste, managing director of NCDEX, told Reuters. The exchange would initially launch three monthly contracts with a delivery option at Chennai in the southern state of Tamil Nadu, he said. Sunflower oil, which typically commands a premium over rival palm oil and soybean oil, is preferred in the southern states of India. — Reuters Nationwide outage in Australia leaves millions without phone, internet access (Nov 8): A nationwide outage that struck Australia’s second-largest telecommunications company Optus on Wednesday — wreaking havoc at peak hour as millions were left without phone and internet services — has been resolved. “Services have now been restored, and customers should now be able to be back online,” Optus said on X. “Optus sincerely apologises to customers for today’s outage. We again thank customers for their patience.” Optus, owned by Singapore Telecommunications Ltd (Singtel), earlier said engineers were investigating a “network fault”, but didn’t provide details of the cause. The crash stretched from Perth in Western Australia and Darwin in the north, to east coast cities including Sydney and Brisbane, according to a network tracker on Optus’ website. The outage exposed the country’s modern-day reliance on phone companies for a range of services. Train commuters stranded in Melbourne found themselves unable to call for ride-share services like Uber, while home workers were stranded without a web connection. Westpac Banking Corp said it was unable to take some calls because of the crash. The network failure is another blow for Optus, which last year was hit by a major cyberattack. That security breach exposed the details of almost 10 million former and current customers, while more than two million of them had identity document numbers compromised. Singtel shares fell 4.8% in Singapore on Wednesday, breaking a five-day run of gains. — Bloomberg Nintendo jumps as it plans liveaction Legend of Zelda movie (Nov 8): Nintendo Co is developing a liveaction film based on The Legend of Zelda video game franchise, expanding efforts to bring its popular characters to the big screen. The Kyoto-based entertainment firm wants to release one movie every year, Mario and Zelda creator Shigeru Miyamoto told analysts on Wednesday. The upcoming film builds on a decade of internal discussions about film adaptations, an endeavour that scored with The Super Mario Bros Movie. Released by Universal Pictures in April, the Mario flick generated US$1.36 billion (RM6.35 billion) in global ticket sales and was the highest grossing film of the year until it was dethroned by Greta Gerwig’s Barbie. Zelda is among Nintendo’s biggest franchises, with its two most recent titles among the top 10 bestselling Switch games. 2017’s The Legend of Zelda: Breath of the Wild was a launch-day title for the Switch and the must-have game that helped propel the console’s early sales. Nintendo will finance more than 50% of the movie production, with Sony Pictures Entertainment also providing funding and handling global distribution. Nintendo shares rose as much as 6.6% in Tokyo on Wednesday, their biggest intraday gain in almost three years. Nintendo also raised its annual profit forecast on Tuesday, thanks to the weak yen’s boost to earnings and expectations for stronger game sales. — Bloomberg Read the full story bloomberg Flagship Pioneering founder and chief executive officer (CEO) Noubar Afeyan Bloomberg filepix

thursday november 9, 2023 22 The E dge C E O m o rning brief world SYDNEY/MEXICO CITY/BUDAPEST/ BANGKOK/CAPE TOWN/TORONTO (Nov 8): The historic transition from the century-long era of the internal combustion engine (ICE) to the electric vehicle (EV) age is creating flashpoints in surprising corners of the world economy. And it’s only just beginning. In Canada’s resource-rich “Ring of Fire”, green goals are colliding as permits to dig up EV minerals are slowed by concerns over environmental degradation. In Thailand — dubbed Asia’s Detroit — Japanese automakers are losing ground to Chinese companies. In Mexico, Western automakers are expanding fast to sell EVs across the northern border, but in the meantime Chinese firms are ramping up sales to local consumers. China is the standout leader in the EV race with a more than 80% share of the world’s lithium-ion battery capacity and huge leads in most other critical components. President Joe Biden wants to change that, with the US’s Inflation Reduction Act spending billions of dollars to lure producers to America and its closest trading partners. Playing catchup is the European Union, with its investigation into Beijing’s EV subsidies as surging sales of Made-in-China cars put millions of jobs at risk. Caught in the crossfire are smaller economies — some winning out as Chinese investment floods in, others benefiting from the IRA’s friend-sourcing rules and an equal measure losing ground as their car industries built for a bygone era face obsolescence. The stakes are enormous: BloombergNEF forecasts the cumulative value of all forms of EV sales will hit US$8.8 trillion (RM41.21 trillion) by 2030 and US$57 trillion by 2050 in its base case scenario. That jumps to over US$88 trillion by the middle of the century if the world ditches its gas-guzzling vehicles even more quickly. “The automotive sector is a major source of manufacturing jobs, R&D investment, and innovation, but not everyone is going to make this transition smoothly,” said Colin McKerracher, head of transport and automotive analysis at BNEF. “It’s all up for grabs, and nobody wants to be left behind.” The following five examples show how the EV revolution is creating geopolitical, environmental and societal tensions across the globe and draws on BNEF’s micro analby Malcolm Scott, Amy Stillman, Zoltan Simon, Patpicha Tanakasempipat, Paul Burkhardt & Jacob Lorinc Bloomberg EV market’s surge toward US$57 tril sparks global flashpoints ysis of the industry and Bloomberg Economics’s macro view to explore what comes next. Superpowers jostle on the streets of Mexico On the smoggy streets of Mexico City, more than a thousand electric taxis and public buses labelled “Soy Electrico” (“I’m Electric”) zip around the traffic-ridden streets. The Vemo-branded taxis are comprised of EVs from Chinese car makers BYD Co and Anhui Jianghuai Automobile Group Co, while the Mexico City-owned buses and trolleybuses are from Chinese companies Yutong and Zhongtong. “They are very popular,” says Vemo taxi driver Kay Joyce Lavariega Sumano, who likes the cars and their safety features. Mexico stands to be one of the biggest winners from Biden’s tax credits of as much as US$7,500 for consumer purchases of EVs manufactured in North America. General Motors Co, BMW AG, Ford Motor Co, Stellantis NV and Kia Corp have all announced plans to expand their EV production there to take advantage of those juicy near-shoring perks, while Tesla Inc is planning to build a mega-factory in the northern state of Nuevo Leon. While those Western carmakers gear up to make vehicles for the American market, Chinese automakers have got a jump on them by ramping up their sales to Mexicans. Mexico was the second-biggest importer of Chinese cars in the first five months of the year after Russia and the top destination last year. While the bulk of those are gasoline powered, EVs and hybrids are growing fast. Read the full story

thursday november 9, 2023 23 The E dge C E O m o rning brief world (Nov 8): Masayoshi Son retreated almost completely from venture investing as his Vision Fund unit lost ¥6.9 trillion (RM210 billion) in the last two years on startups like WeWork Inc, which just filed for bankruptcy. Now SoftBank Group Corp founder is tip-toeing back into dealmaking after overhauling his strategy to make more modest, focused investments. In one prominent example, Son has made a series of bets this year on autonomous technologies that could disrupt transportation and logistics. SoftBank agreed to put more than US$1 billion (RM4.68 billion) into Stack AV, an autonomous trucking startup, and joined a US$100 million joint venture with Symbotic Inc to develop AI-infused warehousing. Then SoftBank injected US$280 million into Mapbox Inc, a creator of AI-powered maps and navigation software. The startup, whose clients include Toyota Motor Corp and General Motors Co, also got a starring role at SoftBank World in October — an event where Son exhorted business leaders to embrace AI or perish. “AI-based map generation is a required ingredient for autonomy,” Peter Sirota, chief executive officer of Mapbox, said in an interview. “SoftBank has a thesis about AI, autonomy, autonomous vehicles — we are an interesting component of that overall architecture.” The 66-year-old Son is making the latest investments directly from SoftBank, rather than from the once highly touted Vision Fund unit. SoftBank has been accumulating cash as it sells off stakes in portfolio companies, including chip designer Arm Holdings plc. Son has a lot riding on his latest effort. He missed out on leaders of the AI revolution such as OpenAI and Anthropic, despite investing more than US$140 billion in hundreds of startups, and lost billions on the likes of WeWork and Zume Pizza Inc. Investors will get an idea of how his latest deals are working out when SoftBank reports financial results on Thursday. The Japanese conglomerate is projected to report net income of about ¥229 billion, according to the average estimates of four analysts surveyed by Bloomberg. Mapbox’s latest product, MapGPT, functions like a combination of ChatGPT and navigation maps. It has an AI assistant by Min Jeong Lee Bloomberg SoftBank’s Son edges back into dealmaking with a bet on autonomy that allows drivers to conduct web searches, purchase items and reserve places as they drive. Its voice is trained by AI to sound more natural. For large language models, Mapbox borrows technology from OpenAI, Microsoft Corp, Cohere Inc and Anthropic depending on what clients prefer. Mapbox’s proprietary AI action model is what enables the machine to execute orders. Mapbox’s growing client pool offers a glimpse of how Son imagines SoftBank-backed startups creating a tightly-knit web of businesses — a concept he’s touted for years without much benefit. Sirota said there’s a “big overlap” between his target customers and startups supported by SoftBank. PayPay, Japan’s largest QR-code payment app, and search engine Yahoo Japan are both under the SoftBank umbrella and now use Mapbox. At least three other SoftBank portfolio companies are Mapbox clients, including Pittsburgh-based Stack AV, according to people familiar with the matter, who asked not to be identified because the details are private. In another break from SoftBank’s traditional investment strategy, Mapbox is not a nascent business: it counts major automakers like BMW AG and e-commerce players among its customers and has 700 million monthly active users. It uses AI and data from those users’ cars and mobile phones to perfect and constantly update its maps. The founders of Stack AV — Bryan Salesky, Pete Rander and Brett Browning — previously ran the self-driving operation Argo AI, which Ford Motor Co. and Volkswagen AG shut down last year. Their efforts were resurrected as SoftBank agreed to provide “patient capital” to see the startup through to commercialising its autonomous trucking technology. Stack AV has hired 150 people and runs a test fleet of trucks on US roads. The Japanese conglomerate is betting Stack AV will generate high growth by eliminating supply chain hiccups that surfaced during the pandemic as more consumers turned to online commerce. “We have access to the entire SoftBank Group, the entire team,” Stack AV’s Salesky said in an interview with Bloomberg TV. “They see a lot in terms of business models and what works and what doesn’t.” Read the full story SoftBank Group Corp founder Masayoshi Son has made a series of bets this year on autonomous technologies that could disrupt transportation and logistics. bloomberg

THURSDAY NOVEMBER 9, 2023 24 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) FITTERS DIVERSIFIED BHD 115.6 0.000 0.050 -28.57 117.1 SMTRACK BHD 86.6 0.005 0.045 -10.00 55.0 TOP GLOVE CORP BHD 84.0 0.010 0.790 -12.71 6,326.4 KANGER INTERNATIONAL BHD 73.1 0.000 0.095 137.50 61.7 WIDAD GROUP BHD 65.2 0.005 0.455 5.81 1,408.9 ASDION BHD 59.6 0.015 0.080 -15.79 37.1 EDARAN BHD 52.0 0.150 0.965 77.06 55.9 TWL HOLDINGS BHD 51.9 0.005 0.035 0.00 170.5 LEFORM BHD 45.3 -0.005 0.245 18.70 362.8 EA TECHNIQUE M BHD 42.6 -0.055 0.330 94.12 175.1 SARAWAK CONSOLIDATED 42.4 0.010 0.585 303.45 374.5 DAGANG NEXCHANGE BHD 39.0 -0.005 0.450 -11.76 1,420.3 AGESON BHD 35.9 -0.010 0.060 -70.73 18.7 KUMPULAN JETSON BHD 35.6 0.005 0.290 34.88 77.7 SIME DARBY PROPERTY BHD 33.9 -0.010 0.600 33.33 4,080.5 JAKS RESOURCES BHD 33.7 0.010 0.205 -12.77 485.8 PUNCAK NIAGA HOLDINGS BHD 32.3 0.060 0.425 80.85 190.1 IMPIANA HOTELS BHD 30.6 0.020 0.220 144.44 177.5 HARTALEGA HOLDINGS BHD 29.3 0.060 2.390 40.59 8,157.7 SEDANIA INNOVATOR BHD 29.0 0.015 0.220 -16.98 80.4 Data as compiled on Nov 8, 2023 Source: Bloomberg NAME CLOSE CHANGE VOLUME YTD MARKET (%) (‘000) CHANGE CAP (%) (RM MIL) AT SYSTEMATIZATION BHD 0.0 100.000 5973.100 -33.33 67.9 PBA HOLDINGS BHD 1.1 36.590 8904.900 47.37 370.7 METRONIC GLOBAL BHD 0.0 33.330 439.000 0.00 30.6 ASDION BHD 0.1 23.080 59607.200 -15.79 37.1 DOLPHIN INTERNATIONAL BHD 0.2 21.210 2957.400 -20.00 26.8 KUMPULAN PERANGSANG 0.8 20.860 20534.900 20.86 451.4 EDARAN BHD 1.0 18.400 51991.100 77.06 55.9 ADVANCE INFORMATION 0.2 17.650 1408.000 -11.11 19.5 CME GROUP BHD 0.0 16.670 145.000 16.67 36.2 NEXGRAM HOLDINGS BHD 0.0 16.670 2054.700 -50.00 22.7 TWL HOLDINGS BHD 0.0 16.670 51898.800 0.00 170.5 PUNCAK NIAGA HOLDINGS BHD 0.4 16.440 32308.400 80.85 190.1 BRITE-TECH BHD 0.3 15.090 2049.500 22.00 76.9 DESTINI BHD 0.1 15.000 3265.700 43.75 191.3 MYTECH GROUP BHD 0.4 14.470 573.200 -11.22 97.3 BARAKAH OFFSHORE PETROLEUM 0.0 14.290 719.900 60.00 40.1 BSL CORP BHD 0.0 14.290 4317.600 -40.83 77.3 HUBLINE BHD 0.0 14.290 102.200 0.00 171.6 EFFICIENT E-SOLUTIONS BHD 0.2 13.510 2026.600 10.53 148.9 SMTRACK BHD 0.0 12.500 86628.300 -10.00 55.0 Data as compiled on Nov 8, 2023 Source: Bloomberg NAME CLOSE CHANGE VOLUME YTD MARKET (%) (‘000) CHANGE CAP (%) (RM MIL) AGESON BHD 0.060 -14.29 35,895.1 -70.73 18.7 EA TECHNIQUE M BHD 0.330 -14.29 42,593.5 94.12 175.1 INNITY CORP BHD 0.440 -12.00 3.8 6.02 61.3 INDUSTRONICS BHD 0.040 -11.11 575.1 -46.67 28.3 CSH ALLIANCE BHD 0.045 -10.00 3,463.0 12.50 62.2 KNM GROUP BHD 0.090 -10.00 16,765.7 80.00 364.0 MIKRO MSC BHD 0.240 -9.43 4,490.7 14.29 257.6 CITRA NUSA HOLDINGS BHD 0.050 -9.09 192.8 -23.08 36.0 PAN MALAYSIA HOLDINGS BHD 0.050 -9.09 1,142.0 -28.57 46.4 CHINA OUHUA WINERY HOLDINGS 0.055 -8.33 43.1 -15.38 36.7 MALAYAN UNITED INDUSTRIES BHD 0.055 -8.33 702.3 -26.67 177.4 GOPENG BHD 0.340 -8.11 9.8 -15.00 137.2 CLASSITA HOLDINGS BHD 0.060 -7.69 2,660.2 -83.56 74.0 MALAYSIA MARINE AND HEAVY 0.490 -7.55 2,508.8 -17.65 784.0 SEREMBAN ENGINEERING BHD 0.770 -7.23 11.7 -31.25 61.4 YGL CONVERGENCE BHD 0.135 -6.90 183.7 3.85 34.5 HANDAL ENERGY BHD 0.140 -6.67 13,642.7 -9.68 37.3 SNS NETWORK TECHNOLOGY BHD 0.245 -4.85 668.0 -3.92 395.1 ACO GROUP BHD 0.255 -5.56 6,154.4 15.91 88.6 BOUSTEAD HEAVY INDUSTRIES 0.525 -5.41 91.4 26.51 130.4 Data as compiled on Nov 8, 2023 Source: Bloomberg NAME CLOSE CHANGE VOLUME YTD MARKET (RM) (‘000) CHANGE CAP (%) (RM MIL) HONG LEONG FINANCIAL GROUP 17.140 -0.460 435.1 -7.85 19,629.5 PPB GROUP BHD 14.700 -0.340 1,073.2 -15.71 20,912.2 BATU KAWAN BHD 20.420 -0.180 4.0 -8.43 8,032.8 HONG LEONG BANK BHD 19.120 -0.180 244.7 -7.00 41,446.8 HEXTAR TECHNOLOGIES 23.480 -0.120 16.1 37.63 3,020.7 PETRONAS GAS BHD 17.000 -0.120 1,502.2 -0.70 33,638.4 YNH PROPERTY BHD 4.930 -0.100 88.6 16.55 2,605.4 TELEKOM MALAYSIA BHD 5.230 -0.070 1,958.2 -3.15 20,065.4 AEON CREDIT SERVICE M BHD 11.540 -0.060 263.5 -8.27 2,946.3 ANALABS RESOURCES BHD 1.510 -0.060 2.0 9.42 164.5 INNITY CORP BHD 0.440 -0.060 3.8 6.02 61.3 SEREMBAN ENGINEERING BHD 0.770 -0.060 11.7 -31.25 61.4 EA TECHNIQUE M BHD 0.330 -0.055 42,593.5 94.12 175.1 CHIN TECK PLANTATIONS BHD 7.600 -0.050 3.4 -10.77 694.4 HIBISCUS PETROLEUM BHD 2.640 -0.050 2,495.6 -1.31 2,125.1 IHH HEALTHCARE BHD 6.000 -0.050 7389.6 -1.92 52841.9 BRITISH AMERICAN TOBACCO 9.420 -0.040 248.0 -16.04 2,689.7 CIMB GROUP HOLDINGS BHD 5.770 -0.040 12,994.7 -0.52 61,537.6 GENTING BHD 4.230 -0.040 1,500.1 -5.58 16,287.9 GLOBETRONICS TECHNOLOGY 1.530 -0.040 2464.7 33.1 1027.4 Data as compiled on Nov 8, 2023 Source: Bloomberg NAME CLOSE CHANGE VOLUME YTD MARKET (RM) (‘000) CHANGE CAP (%) (RM MIL) FRASER & NEAVE HOLDINGS BHD 27.500 1.680 550.6 27.43 10,086.4 NESTLE MALAYSIA BHD 124.800 0.800 202.4 -10.86 29,265.6 BLD PLANTATION BHD 10.900 0.400 16.1 6.24 1,019.2 MALAYSIAN PACIFIC INDUSTRIES 27.100 0.300 73.3 -5.77 5,390.1 PBA HOLDINGS BHD 1.120 0.300 8,904.9 47.37 370.7 APOLLO FOOD HOLDINGS BHD 5.090 0.150 50.5 31.87 407.2 EDARAN BHD 0.965 0.150 51,991.1 77.06 55.9 KUMPULAN PERANGSANG 0.840 0.145 20,534.9 20.86 451.4 UNITED PLANTATIONS BHD 16.920 0.140 109.2 12.72 7,018.2 CI HOLDINGS BHD 3.110 0.110 12.2 6.14 503.8 ALLIANZ MALAYSIA BHD 16.720 0.100 40.4 18.08 2,975.6 RAPID SYNERGY BHD 27.080 0.100 490.9 69.67 2,894.8 APB RESOURCES BHD 2.300 0.080 66.7 53.33 255.0 NEW HOONG FATT HOLDINGS 3.240 0.080 61.2 12.89 267.9 COUNTRY VIEW BHD 1.050 0.050 45.2 9.38 105.0 Y&G CORP BHD 0.765 0.065 6.0 8.51 167.1 AJINOMOTO MALAYSIA BHD 15.440 0.060 16.1 18.04 938.7 HARTALEGA HOLDINGS BHD 2.390 0.060 29,283.0 40.59 8157.7 PANASONIC MANUFACTURING 17.760 0.060 10.2 -22.45 1,078.8 PIE INDUSTRIAL BHD 3.180 0.060 196.1 23.06 1,221.3 Data as compiled on Nov 8, 2023 Source: Bloomberg CLOSE CHANGE CHANGE (%) CLOSE CHANGE CHANGE (%) DJIA * 34,152.60 56.74 0.17 S&P 500 * 4,378.38 12.40 0.28 NASDAQ 100 * 15,296.02 141.09 0.93 FTSE 100 * 7,410.04 2.85 0.04 AUSTRALIA 6,995.45 18.37 0.26 CHINA 3,052.37 -4.90 -0.16 HONG KONG 17,568.46 -101.70 -0.58 INDIA 64,975.61 33.21 0.05 INDONESIA 6,804.11 -39.68 -0.58 JAPAN 32,166.48 -105.34 -0.33 KOREA 2,421.62 -22.34 -0.91 PHILIPPINES 6,155.03 23.71 0.39 SINGAPORE 3,129.72 -44.09 -1.39 TAIWAN 16,740.83 55.88 0.33 THAILAND 1,411.77 3.47 0.25 VIETNAM 1,113.43 33.14 3.07 Data as compiled on Nov 8, 2023 * Based on previous day’s closing Source: Bloomberg CPO RM 3,768.0048.00 OIL US$ 81.02-0.59 RM/USD 4.6830 RM/SGD 3.4507 RM/AUD 3.0075 RM/GBP 5.7348 RM/EUR 4.9947