FRIDAY | DEC 1, 2023 Editorial T: 03-7784 6688 F: 03-7785 2624/5 E: [email protected] Advertising T: 03-7784 8888 F: 03-7784 4424 SCAN ME E: [email protected] Local financial markets affected by global investor sentiments KUALA LUMPUR: Domestic financial markets were mostly affected by global investor sentiments last month, Bank Negara Malaysia (BNM) said. The central bank said global financial conditions were influenced mainly by the rise in the 10-year US Treasury yield as strong US economic data led to growing investor expectations of a higher policy rate environment. “Against this backdrop, the 10-year Malaysian Government Securities yield increased by 14 basis points (bps) in October (regional average: up 22 bps) while the ringgit depreciated by 1.6% against the US dollar (regional average: -0.3%),” it said in its latest monthly financial and economic highlights. Meanwhile, the KLCI increased by 1.3% amid improved domestic equity market sentiments post-Budget 2024, it added. Banks remained well-capitalised to support economic growth, BNM said, noting that capital ratios were broadly stable, supportive of banks’ financial intermediation activities and bolstering their ability to withstand unexpected losses. The banking system’s excess capital buffer remained healthy at RM132.6 billion in October, it said. “The banking system continued to record healthy liquidity buffers with the aggregate liquidity coverage ratio at 150.8% (September 2023: 151.5%). The aggregate loan-to-fund ratio remained largely stable at 82.2% (September 2023: 82.5%),” the central bank said. Credit to the private non-financial sector grew by 4.2% as at end-October (September 2023: 4.2%), underpinned by higher outstanding household loan growth amid slower growth in credit to businesses. – Bernama Making Malaysia viable global halal economic hub PUTRAJAYA: Malaysia needs to take further measures to become a viable halal economic hub, said Deputy Prime Minister Datuk Seri Fadillah Yusof. This would include strengthening infrastructure development, research and development (R&D), education and training, technology integration and global collaboration. He said the halal industry caters to a vast consumer base of 1.8 billion Muslims globally, growing at 2% annually, and that awareness of the halal industry’s potential in emerging markets would elevate the halal economy. He pointed out that the halal economy is estimated at US$3.1 trillion (RM14 trillion) globally and is projected to reach US$5 trillion by 2030, while in Malaysia, the market value has surged to US$68.4 billion and is anticipated to reach US$113.2 billion by 2030. “As such, the potential for growth spans not only among Muslim nations but also in Western markets with expanding Muslim populations where observance of halal practices are increasing, (while) non-Muslims seeking quality, safe and wholesome products will further drive market expansion,” he said. Fadillah, who is also the Plantation and Commodities Minister, said this in his keynote address at the opening of the 1st International Conference On Islamic and Halal Economic Studies (ICIHES) 2023 and the 3rd International Conference On Islamic Law, Economics and Finance (SPEKI 2023) yesterday. He said a comprehensive halal economy must integrate the values of justice, truth, and welfare, especially concerning business transactions. Fadillah said Malaysia has long harboured ambitions of being a global centre for the production and distribution of halal goods and services. “With a continued focus on developing expertise, particularly in Islamic banking and financial services, Malaysia aspires to lead the oNeed to strengthen infrastructure, R&D and technology integration, among others: Fadillah RM5.19b for 292,000 micro, small and medium firms, co-ops KUALA LUMPUR: The Entrepreneur Development and Cooperatives Ministry (KUSKOP) has provided funding amounting to RM5.19 billion to 292,000 micro, small and medium enterprises (PMKS) and cooperatives this year, as of Nov 29. Its Minister Datuk Ewon Benedick said that in the same period, KUSKOP has produced 83,361 new PMKS entrepreneurs. He said that the figure was in addition to the existing registered PMKS entrepreneurs as of December 2022, totalling more than 1.17 million. “For me, more than 83,000 new entrepreneurs being produced is a great achievement,” he said, when appearing as a guest on Selamat Pagi Malaysia One Year with the Madani Government: KUSKOP on TV1, yesterday. Ewon said that his ministry also implemented several new initiatives this year, including introducing the Tamu Entrepreneur Financing Scheme in Sabah and Sarawak, for small traders who sell at weekly tamu (farmers’ markets) and night markets. He said that the ministry is now planning to expand the Tamu Entrepreneur Financing Scheme throughout the country, following a very encouraging response. He added that through the framework of the Madani Economy, Prime Minister, Datuk Seri Anwar Ibrahim, put a big vision for KUSKOP to bring the country’s PMKS industry to the international market, and turn it into a regional champion. – Bernama way in setting global standards and implementing best practices within the expansive halal industry,” he said. Fadillah said the rising demand for halal goods and services has led non-Muslim countries like Thailand, Australia and Brazil to become prominent exporters of halal products, ranging from processed food to meat and poultry as well. “We must not forget that halal transcends mere certification but represents a substantial business opportunity. “While the certification process may not directly contribute significantly to the national economy, the broader halal business aspect generates wealth, fosters societal well-being and boosts economic returns on a broad perspective,” he added. Fadillah said Malaysia has several advantages in fortifying the halal value chain, which includes a solid regulatory framework under the Prime Minister’s Department where Jakim and Halal Development Corp Bhd, with over 20 ministries and agencies, contribute to a robust halal regulation. Other advantages are having a complete ecosystem of halal laboratories, certification and training facilities at multiple local universities. – Bernama CelcomDigi network overhaul in full swing SUBANG JAYA: CelcomDigi Bhd is spearheading one of the industry’s largest projects, its network overhaul consisting of modernising 24,000 existing sites and constructing an additional 16,000 to 18,000 new sites. CEO Datuk Idham Nawawi said the company is committed to providing superior telecommunications services by modernising and expanding its network infrastructure. “We have the fastest network. We are modernising the whole network. This is one of the largest, I would say, projects in the industry that is happening now throughout the whole ecosystem,” he told reporters at the unveiling of CelcomDigi all-in 5G and 4G postpaid plans yesterday. At the same time, he added the firm is also creating a lot of jobs in delivering this project. “Imagine we are modernising 24,000 sites, and building brand new 16,000 to 18,000 sites. It’s huge. So what this has done is that this new network is expected to give much better experience to our customers. And we are, like I said, in the middle of optimising some of the networks that we have already. “With that, coupled with the kind of packages that we offer to the market, both our existing customers and our future customers, we will be very competitive. We should be able to offer the best service to Malaysians, not only in 5G, but also a much better experience on our 4G network which will continue to be relevant,” said Idham. He added that CelcomDigi’s primary objectives for next year will be to continue its network integration between Celcom and Digi, as well as improving the services and Idham (left) and CelcomDigi chief consumer business officer Praveen Rajan at the event yesterday. █ BYHAYATUN RAZAK [email protected] offering better packages for consumers. “We will focus on integrating the network, focus on bringing the best service to our customers, and focus on bringing the best packages. That’s what you see today. We hope that we can continue to align with the expectations (in terms of growth consensus).” He anticipated that 5G technology will boost the telecommunications market as in the past few years, the telco market has seen low-single digit growth. “We look forward to 5G when it’s being introduced, and the new packages that we will be introducing will create a bit more excitement in the market,” he said. On the outlook for next year, he mentioned that, based on current economic conditions telco industry growth does not necessarily correlate with gross domestic product growth. “If you look at analysts and analysts’ consensus, 2-3% (growth) in terms of the market,” he said. On the impact a of lower ringgit, he stated that while currency fluctuations affect many, CelcomDigi is shielded from the impact as the company’s operations are confined to only Malaysia although some of the technology is bought from international parties. “Because number one, when we acquire some of our technology, we buy from external technologies from international parties. But once we have concluded the contract, most of our contracts are already in ringgit. So, most of the contract that we need to deploy our network is already concluded and it is done. So, the fluctuation of the ringgit does not affect us as much. “Number two is our operations are only in Malaysia. So, we do not have any impact of any translation of currency loss etc. So, we are not exposed to that,” he said.
BIZ & FINANCE BIZ & FINANCE FRIDAY | DEC 1, 2023 22 /theSunMedia FOLLOW ON YOUTUBE Malaysian Paper Potato Corner coming to Malaysia oPos Malaysia to supports entry of popular Thailandbased flavoured fries outfit via Pos Fulfill warehouse and order fulfillment for B2B and B2C businesses, ensuring customers’ products are stored safely and in an organized manner, shipped on time and handed over to the assigned delivery partner to meet market demands through system guided visibility. As a one-stop solution provider, Pos Fulfill links all other Pos Malaysia services including freight last mile, international parcels, store deliveries and cross border deliveries, and provides a holistic solution for businesses seeking efficiency, stability and reliability in their logistics operations. At present, Pos Fulfill operates over 200,000 sq ft of warehouse space in Shah Alam, Klang, Kuala Lumpur, and Kota Kinabalu. With its fast-growing network of sites and infrastructure, Pos Fulfill is wellpositioned to enable Rocks Foods’ penetration into the Malaysian consumer retail market. Dubbed the “The World’s Best Flavoured Fries since 1992”, Potato Corner’s flavoured fries was founded in 1992, and the company has grown to over 1,800 stores across 16 countries including Thailand, UK, Dubai, Australia, and Singapore. The brand launched its first kiosk in Sunway Pyramid this month. “As we embark on growing the Potato Corner brand in Malaysia, we are pleased to have Pos Fulfill as our fulfillment partner. Their expertise will enable us to focus on our core business of delighting customers with the flavours of Potato Corner. As we execute our expansion across Klang Valley and rest of Malaysia, we are banking on Pos Fulfill to power our backend supply chain operations,“ said Rocks Foods Sdn Bhd CEO Chayapatra Thongcharoen. Potato Corner’s flavoured fries was founded in 1992, and the company has grown to over 1,800 stores across 16 countries including Thailand, UK, Dubai, Australia, and Singapore. Hong Leong Capital records RM22.7m net profit in Q1 KUALA LUMPUR: Hong Leong Capital Bhd (HLCB), in announcing the results of the company and its subsidiaries for the financial period ended Sept 30, 2023 (Q1’24), recorded a net profit after tax of RM22.7 million, an increase of 41.8% year-on-year (y-o-y) mainly due to better performance in HLCB’s proprietary investment and higher profit contribution from its key operating subsidiary Hong Leong Investment Bank Bhd (HLIB), in the current financial period. As at Sept 30, 2023, the book value per share decreased to RM3.99 from RM4.09 as at June 30, 2023 after declaration of a final single-tier dividend of 17 sen for financial year ended June 30, 2023. HLCB chairman Tan Kong Khoon commented, “We started the new financial year with positive results, recording an improved profit before tax (PBT) of RM27.4 million, a 31.7% increase over RM20.8 million y-o-y. The improved results were mainly driven by our stockbroking division, contributing 65% of the PBT. This was on the back of higher Bursa Malaysia trading volume y-o-y as there was renewed investor interest following the conclusion of the state elections, and the launch of the Malaysia National Energy Transition Roadmap and Madani Economy plans.” Looking ahead, he added the outlook for the capital markets and investment activities in Malaysia is anticipated to remain uncertain in spite of a projected modest expansion in the economy, weighed down by weaker external demand, tight credit conditions and geopolitical tensions in the Middle East. “As our business environment remains susceptible to these conditions and external headwinds, we will remain vigilant against these risks by constantly exercising discipline in managing our capital, liquidity and costs efficiencies to deliver sustainable results to our stakeholders,” he said. Moving forward, HLCB will continue to seek investment opportunities in the ESG space, with green bonds being one of its key focuses in the coming year. The company will also intensify efforts to assist clients in their transition towards sustainable practices in line with increased attention from investors and regulators. As to-date, its efforts have translated into three sustainability related mandates. On the operational front, HLCB is expanding its digitalisation efforts to reduce its paper usage, thus reducing its carbon footprint while improving business process efficiency and service delivery. In addition, the company will align its sustainability priorities to the material matters identified by its stakeholders pursuant to its materiality assessment which was completed recently. Jati Tinggi aims to raise RM18m from ACE Market IPO KUALA LUMPUR: Jati Tinggi Group Bhd (Jati Tinggi), one of the players in the field of infrastructure utilities engineering industry, aims to raise RM18.04 million through the issuance of 66.8 million new shares priced at RM0.27 per share from its initial public offering (IPO) on the ACE Market of Bursa Malaysia Securities Bhd (Bursa Securities). The capital to be raised will be used for the repayment of bank borrowings (RM7 million); general working capital purposes (RM7.34 million); capital expenditure, specifically in the procurement of winch machines (RM0.2 million); and RM3.5 million to cover the estimated expenses associated with the listing process. Jati Tinggi managing director Datuk Seri Lim Yeong Seong said, “The funds to be raised will play a crucial role in enhancing our capabilities in supporting our future growth as our group will have access to a larger pool of financial resources which would facilitate our group’s efforts to secure and undertake more and/or larger projects in the future.” TA Securities Holdings Bhd (TA Securities) head of corporate finance Ku Mun Fong said that Jati Tinggi’s performance over the last three full financial years showcases its foundation and strategic planning and this IPO is a significant step, set to expand Jati Tinggi’s reach, strengthen its position, and establish itself as a prominent player in the infrastructure utilities engineering industry. Johor-Singapore SEZ boon to Medini as major investment spot JOHOR BARU: The Johor-Singapore Special Economic Zone (SEZ), located 45km apart between Iskandar Puteri and Changi Airport, will strengthen Medini’s position as a major investment destination. Iskandar Investment Bhd (IIB) president and CEO Datuk Idzham Mohd Hashim said the SEZ can draw value-added investments and further generate economic opportunities for Johor. He said the state government’s continuous efforts to strengthen investment initiatives and regional cooperation will also improve the people’s socio-economic standing via the Friendly Johor 3.0 and Johor Go Global 3.0 initiatives highlighted in the state’s Budget 2024. “IIB is committed to supporting and facilitating the specific needs of industries in Medini,” he said in a statement on Wednesday, adding that IIB foresees global business services (GBS), technology and the M40 income group property market to grow in the next few years. Johor Mentri Besar Datuk Onn Hafiz Ghazi said at Johor’s Budget 2024 presentation last Thursday that Malaysia and Singapore are expected to sign a memorandum of understanding to establish SEZ on Jan 11, 2024. IIB lauded the state government plans and initiatives outlined in Budget 2024 to empower homeowners via affordable housing. He said IIB plans to build more affordable housing in Iskandar Puteri under the Wawari project to enable all levels of society to own houses at reasonable prices. IIB has allocated RM2.5 million to support the electric vehicle pilot programme and three phases of green conservation with an allocation of RM5.3 million, he said. – Bernama From left: Jati Tinggi independent non-executive director Datuk Lim Yew Soon, executive director/COO Chin Jiunn Shyong, Lim, independent non-executive chairman Datuk Mohd Aminuddin Mohd Amin, TA Securities executive director (operations) Tah Heong Beng, corporate finance vice-president Vivien Hooi, Jati Tinggi independent non-executive director Poon Lai Kit and independent non-executive director Loo May Len. KUALA LUMPUR: Pos Malaysia Bhd’s fully-integrated fulfillment service Pos Fulfill is supporting the entry of Thailand-based food and beverage company Rocks PC Co Ltd into the Malaysian market for their Potato Corner retail business. Pos Fulfill head for Post Malaysia Rohit Gunavanthe said that Pos Fulfill will facilitate the market entry of Potato Corner from Thailand into Malaysia, through its local operator Rocks Foods Sdn Bhd. “We are well-positioned with our fulfillment and delivery service to support the launch and growth strategies for Potato Corner throughout the country. This tie-up emphasises Pos Fulfill’s capabilities in delivering comprehensive end-toend supply chain solutions to businesses seeking growth opportunities in Malaysia,” he added. Pos Fulfill is a fully integrated fulfillment service specialised in
BIZ & FINANCE BIZ & FINANCE FRIDAY | DEC 1, 2023 23 Japan and Malaysia cement ties SHAH ALAM: The Malaysia-Japan Digital Transformation and Innovation Seminar 2023, launched at MSU by Communications and Digital Minister Fahmi Fadzil, was attended by the Japanese ambassador to Malaysia, His Excellency Takahashi Katsuhiko, as well as top Japanese industry leaders and MSU’s senior management team, which Fahmi said highlighted Malaysia’s close relationship with Japan. “Today’s collaboration goes beyond the conventional and is a strategic alliance aimed at propelling both MSU and our Japanese partners to the forefront of digital innovation. By harnessing the synergies between academia and industry, we are not only keeping pace with technological advancements but are actively shaping the future,” added Fahmi, who also expressed hope the seminar would serve as a platform MSU president and founder Tan Sri Prof Dr Mohd Shukri Ab Yajid escorting Fahmi into the event venue. oMSU has elevated its role to become a beacon of holistic development, says Communications and Digital minister █ BYDHARSHINI GANESON [email protected] for knowledge exchange by experts, impacting quality education and research. In conjunction with the launch, there was an exchange of memoranda of understanding (MoU) between MSU, Mitsui & Co Ltd, Sony Network Communications Inc and Kintone Southeast Asia, which MSU believes will enrich the collaborative efforts in the area of digital transformation and innovation. Fahmi also commented on the exchange of memoranda and said they represented more than mere agreements and were indicative of the strategic alignment of interests and commitment to the advancement of knowledge, innovation and the digital transformation of the landscape. “Through these partnerships, MSU is embarking on a journey to expedite its research, development and commercialisations of digital transformation technologies,” he said, adding that it represented not only a significant step for the university but also a milestone in advancing Malaysia’s capabilities in crucial sectors such as education, healthcare and the digitalisation of small and medium enterprises. “Universities have long been recognised as the crucibles of knowledge, but MSU with its unwavering dedication, has elevated its role to become a beacon of holistic development,” he said. The seminar, titled “Forthcoming Digital Transformation and Innovation in Malaysia and Japan”, featured Sony Network Communications Inc managing director Hiroshi Imai, Mimos Bhd head of Technology Management Dr Hanafiah Yussof, Federation Of Malaysian Manufacturers Selangor and Kuala Lumpur chairman Dr Helena Eian Yeut Lan and MSU Industrial Linkages and Entrepreneurship senior vicepresident Prof Dr Abdul Jalil Ghazali. MSU has also implemented a number of sustainable strategies related to digital transformation such as technology, cyber security and AI. Among others, the establishment of the Centre of Cyber Security and Artificial Intelligence and the MSU Innovation and Entrepreneurship Sandbox, which further enrich the technological and entrepreneurial ecosystems among MSU graduates, whose employability rate stands at 99% and rated one of the best among higher education institutions. For more information on post graduate programmes offered at MSU, please visit www.msu.edu.my, email [email protected] or call 603-5521 6868. Palm oil market to show slightly positive price trend going into 2024, says MARC PETALING JAYA: The palm oil market is expected to show a slightly positive price trend going into 2024, according to Malaysian Rating Corporation Bhd (MARC). In a statement, it said crude palm oil futures prices for the remainder of the year and going into 2024 are projected to range between RM3,700 and RM4,100 a tonne. “The edible oils market is currently recovering from the substantial selling pressures witnessed in sunflower oil over the past few months. Seasonal production trends, hotter climate conditions, and increasing demand for biofuels are expected to exert upward pressure on palm oil prices,” it said, adding that prices of edible oils have been volatile over the past couple of years driven by a combination of factors, including export restrictions, labour shortages and the Russia-Ukraine conflict, resulting in a lower supply of edible oils. In 2022, the conflict between Russia and Ukraine led to a global sunflower oil supply shortage, causing palm oil prices to reach record highs. In July 2022, the formation of the Black Sea Gain Initiative which allowed Ukraine to export sunflower oil through the Black Sea region has resulted in a steady global supply of sunflower oil. For the marketing year ended Aug 31, 2023, Ukraine’s sunflower oil exports rose by 27.3% to 5.7 million tonnes, and due to its bountiful harvest, Russia’s sunflower oil exports increased by 28.6% to 4.1 million tonnes. This led to sunflower oil prices dropping to below that of soybean oil, and in Europe, even experiencing discounts compared to palm oil prices; typically, sunflower oil prices trade above soybean oil, followed by palm oil prices. Soybean oil, a key palm oil substitute and determinant of palm oil price, has also been affected by the El Niño weather conditions. The largest soybean producing country, Brazil, experienced dry weather in Mato Grosso and excessive rain in Parana which resulted in a slow pace of planting, with some areas potentially requiring replanting. These two regions combined account for around 40% of Brazil’s soybean production. As such, palm oil price will be supported by potential convergence with soybean oil price as discounts narrow amid uncertain soybean supply. In the near term, MARC said, supply constraints are expected to drive up palm oil prices. “Typically, palm oil production declines after peaking in September or October, with the first quarter of the year having the lowest output. This seasonal trend of lower production will reduce palm oil inventories, exerting upward pressure on prices, especially in first quarter 2024. Furthermore, El Niño’s hotter and drier weather conditions in Southeast Asia have impacted Indonesia, the largest palm oil producer, said the local rating firm. With El Niño’s impact on palm oil production typically seen at least a year later, production is expected to be reduced in 2H2024. Additionally, in the major palm oil– producing countries Malaysia and Indonesia (83% of global production as at November 2023), a stagnation in oil palm plantation area growth, shrinking areas of immature oil palm plantations, and unproductive mature trees will impede overall production growth. On the demand side, MARC said usage of biodiesel will be a driving factor. Indonesia has implemented the mandatory usage of biodiesel with 35% of palm oil in the transport sector. Pekat Solar awarded three projects worth RM14 million PETALING JAYA: Pekat Group Bhd’s wholly owned subsidiary Pekat Solar Sdn Bhd, a leading provider of solar energy solutions in Malaysia, has secured three letters of award (LoA) from MFP Solar Sdn Bhd for design, supply, installation, testing and commissioning of solar photovoltaic (PV) systems. MFP Solar is a 55:45 joint venture owned by Mega First C&I Solar Sdn Bhd, a unit of Mega First Corporation Bhd, and Pekat Teknologi Sdn Bhd, a wholly owned subsidiary of Pekat Group, to undertake solar projects in Malaysia. Pekat Solar secured three rooftop solar PV installation projects with a combined capacity of 6.5-megawatt-peak worth RM14.2 million. Targeted for completion within six to nine months of appointment, these projects are expected to positively impact both the net assets and earnings of Pekat upon successful completion. Pekat Group CEO Tai Yee Chee said the positive financial impact of these LoA, underscores the company’s robust growth and constitutes around 8% of the audited revenue for 2022, totalling RM179 million. Association teams up with FIDE Forum for fintech initiatives PETALING JAYA: The Fintech Association of Malaysia (FAOM) is collaborating with FIDE Forum to bridge awareness of financial technology development and opportunities among senior leaders in banking while enhancing corporate governance within Malaysia’s fintech industry. By pooling their expertise and resources, FAOM and FIDE Forum will embark on sharing of information and research initiatives targeting specific areas of interest such as blockchain technology, digital payments, regulatory compliance, and cybersecurity. These studies will delve into the implications of evolving technologies on financial services, the impact of regulatory changes on fintech startups, and strategies to foster sustainable growth in the sector. Furthermore, FAOM and FIDE Forum have committed to actively pursuing industry-centric initiatives, beginning with the launch of a dedicated special interest group focusing on digital innovation, aimed at forging closer working relationships between traditional players and digital service providers. FAOM president Wilson Beh said, “In the intricate landscape of the fintech industry, collaboration is crucial for unlocking its full potential and propelling it to new heights. The partnership between FIDE Forum and Fintech Association of Malaysia is timely as it brings together diverse expertise and perspectives to enhance the maturity of fintech players.” FIDE Froum CEO Tay Kay Luan said, “With a commitment to collaboration, our partnership with the Fintech Association of Malaysia underscores the significance of board leadership in navigating the complexities of the modern financial landscape.” It is expected that the first joint initiative will be launched by the end of first quarter of 2024.
BIZ & FINANCE BIZ & FINANCE FRIDAY | DEC 1, 2023 24 Tata Technologies jumps 180% in trading debut MUMBAI: Shares of India’s Tata Technologies jumped as much as 180% in their trading debut yesterday, valuing the first Tata Group company to go public in nearly two decades at 567.94 billion rupees (RM31.7 billion). The Tata Motors unit, which provides engineering and technology services to auto, aero and heavy machinery makers, surged past the initial public offer (IPO) price of 500 rupees to debut at 1,200 rupees and rose to as much as 1,400 rupees. Tata Technologies’ “listing was beyond imagination ... and post that, the rally to 1,400 rupees was even more unexpected,” Arun Kejriwal, founder of Kejriwal Research and Investment Services, said, adding that shortterm investors could book profits. The company’s future earnings through a part of financial year ended 2025 appear to have been discounted at the current valuation, Kejriwal added. Tata Technologies’ valuation has topped that of its peers KPIT Technologies, L&T Technology Services and sister Tata Group company Tata Elxsi, which are valued between 409 billion rupees and 524 billion rupees. India has seen a record 196 IPOs so far this year, with share benchmarks scaling record highs on improving economic growth prospects and a vast consumer base. Investors oversubscribed Tata Technologies’ IPO by 69.43 times, the most demand seen in string of IPOs last week. IT services provider Tata Consultancy Services, which listed in 2004, was the last Tata Group company to go public. – Reuters China manufacturing falls deeper into contraction BEIJING: China’s manufacturing activity shrank for a second straight month in November and at a quicker pace, suggesting more stimulus will be needed to shore up economic growth and restore confidence that the authorities can ably support industry. Economists upgraded their forecasts for the world’s second-largest economy after betterthan-expected third quarter data, but despite a flurry of policy support measures, negative sentiment among factory managers appears to have become entrenched in the face of weak demand both at home and abroad. The official purchasing managers’ index (PMI) fell to 49.4 in November from 49.5 in October, National Bureau of Statistics (NBS) data showed yesterday, missing economists’ forecast of 49.7. The 50-point mark demarcates contraction from expansion. “The domestic market cannot make up for losses in Europe and the United States. The data shows that factories are producing less and hiring fewer people,” said Dan Wang, chief economist at Hang Seng Bank China. “(The data) could also show a loss of confidence in government policy,” she added, warning factory activity was unlikely to improve anytime soon as other economic problems dominate. “The priority now is clearly containing the local government debt risk and the risk posed by regional banks.” The new orders sub-index contracted for a second consecutive month, while the new export orders component extended its decline for a ninth month. In another worrying sign, the vast services sector contracted for the first time in 12 months. The non-manufacturing PMI, which includes services and construction, eased to 50.2 in November from 50.6 last month. The factory PMI has contracted for seven out of the past eight months – rising above the 50- point mark only in September. The last time the indicator was negative for more than three consecutive months was in the six months to October 2019. “Today’s PMI reading will further raise expectations towards policy support,” said Zhou Hao, economist at Guotai Junan International. “Fiscal policy will be under the spotlight and take centre stage over the coming year and will be closely monitored by the market.” – Reuters Seven & i expands 7-Eleven empire with deal for Australian franchise SYDNEY: Japanese retail conglomerate Seven & i Holdings said yesterday it has agreed to purchase the 7-Eleven convenience store chain in Australia for A$1.71 billion (RM5.27 billion), expanding its ownership of the brand. The Australian convenience and petrol retailer, owned by the Withers and Barlow families, kickstarted the process to sell the business – which consists of 751 stores - earlier this year. The deal will allow Seven & i to establish “itself as the clear industry leader in the Australian convenience store market, which has significant growth potential”, the Japanese company said in a statement. It added that it saw room for further growth by actively opening new stores in most Australian states. Seven & i’s corporate predecessor first licensed the 7- Eleven franchise from US-based Southland Corp in 1973. But the Japanese conglomerate later took over the US company in 1991 and now controls more than 80,000 7-Eleven convenience stores around the globe. Its sprawling retail empire also includes Speedway petrol stations in the US and ItoYokado supermarkets in Japan. The company has, however, come under pressure by analysts and investors to restructure and shed underperforming assets. Earlier this year, Seven & i faced down a board challenge from US-based activist fund ValueAct Capital which had urged the company to consider a spin-off of the 7-Eleven convenience store chain. Seven & i has since taken some steps to reshape its structure. This year it closed 14 ItoYokado supermarket stores in Japan, exited its apparel business, and completed a sale of its Sogo & Seibu department store unit. – Reuters B R I E F S‘ZURICH, SINGAPORE MOST EXPENSIVE CITIES’ PARIS: Zurich and Singapore are the most expensive cities in the world ahead of New York amid the ever-rising cost of living, according to rankings published yesterday by The Economist magazine. The British weekly estimated that prices have increased an average of 7.4% over the past year in 173 major cities, a slight slowdown compared to a record 8.1% inflation in 2022. Zurich dethroned New York, which topped the rankings last year alongside Singapore. Geneva tied in third place with New York, followed by Hong Kong and Los Angeles. – AFP PHILIPPINES TO BLOCK ACCESS TO CRYPTO GIANT BINANCE MANILA: The Philippines will block access to cryptocurrency giant Binance, an official said yesterday, as part of a crackdown on online trading platforms operating in the country without licences. The Securities and Exchange Commission announced on Tuesday that Binance was not registered in the Philippines and therefore not authorised to sell or offer securities in the country. Filipinos could withdraw their investments before access to Binance’s platform and apps was blocked, which was expected to happen “within three months”, it said. – AFP HONG KONG: China Evergrande Group, the world’s most indebted property developer, is seeking to avert a potentially imminent liquidation with a last-minute debt restructuring proposal, three people with direct knowledge of the matter said. The defaulted company has until a Hong Kong court hearing on Monday to present a “concrete” revised debt restructuring proposal for offshore creditors, a judge said last month after its original plan had lapsed. But the sources, who declined to be named as the talks are private, told Reuters that creditors were unlikely to accept Evergrande’s new proposal given low recovery prospects and growing concerns about the developer’s future. With more than US$300 billion (RM1.4 trillion) in liabilities, Evergrande exemplifies a crisis in China’s property sector, which makes up one-quarter of the world’s second-biggest economy. The authorities have scrambled to support the sector as the troubles of embattled developers roiled global markets. Guangzhou-based Evergrande, which defaulted on its offshore debt in late 2021, did not respond to a request for comment. Ahead of the hearing when the Hong Kong High Court will rule on a liquidation petition, Evergrande this week offered to swap some debt held by offshore creditors into equity in the company and two Hong Kong-listed units, and repay the rest with non-tradeable “certificates” backed by offshore assets, two sources said. The offshore assets include the developer’s minority stakes in other companies and its receivables, one of the two sources said, and the certificates would be redeemed by Evergrande when it successfully disposes of the assets. The plan is not expected to require regulatory approval, as Chinese regulators have banned the developer from issuing new bonds, he added. The new proposal also offers creditors a 17.8% stake in Evergrande, in addition to an October offer, previously reported by Reuters, of 30% stakes in each of its two Hong Kong units – Evergrande Property Services Group and Evergrande New Energy Vehicle Group – the person said. Many creditors were dissatisfied with the October terms as they implied a major haircut on investments, sources have said, forcing Evergrande to scramble to sweeten the deal in what could be its final attempt to avoid liquidation. If the Hong Kong court orders Evergrande’s liquidation, a provisional liquidator and then an official liquidator would be appointed to take control and arrange to sell the company’s assets to repay its debts. In addition to shares of its two Hong Konglisted units, this would include selling its onshore assets, which could face significant challenges, restructuring experts say. – Reuters oProperty developer said to have proposed ‘last-ditch’ debt restructuring plan Evergrande fights to avert potential liquidation The indebted property developer has until a Hong Kong court hearing on Monday to present a ‘concrete’ revised debt restructuring proposal for offshore creditors. – REUTERSPIC
BIZ & FINANCE BIZ & FINANCE FRIDAY | DEC 1, 2023 26 /thesuntelegram FOLLOW ON TELEGRAM Malaysian Paper MARKETS/FROM THE BROKERS SUNBIZ presents extracts of a selection of commentaries and research reports received from stockbrokers on counters that could be of interest to investors. [Compiled by SunBiz Team DISCLAIMER: The information is extracted from stockbrokers’ commentaries and research reports and do not represent the views or opinions of Sun Media Corporation Sdn Bhd. It is not a solicitation, recommendation or an offer to buy or sell the equities featured. Sun Media Corporation shalll not be liable or responsible for any consequences resulting from usage of the information. CAHYA Mata Sarawak Bhd’s (CMS) core net profit for 3QFY23 came in -65.8%yoy lower to RM21.1m, despite recording a stronger revenue by +8.4%yoy to RM301.9m. For the cumulative 9MFY23, revenue came in +23.6%yoy higher at RM868.1m while the core earnings declined -63.2%yoy to RM68.1m. This came in below expectations, making up only 39.7% of ours and 48.2% of street’s estimates. The weaker performance was mainly due to a lower share of results from associates following the disposal of its stake OM Materials and losses from its phosphates which is now in the commissioning phase. Cement division contributed 58.7% to the group’s revenue during the quarter, rising +6.3%yoy to RM177.1m and delivering an operating profit of RM31.0m (+16.7%yoy), indicating a margin of 17.5%, an improvement over 15.9% a year ago. The improvement was attributable to stronger sales and lower input costs. During the quarter, the road maintenance business delivered a revenue of RM27.3m (-17.4%yoy) and an operating profit of RM2.1m (-69.5%yoy). The oiltools division generated a revenue of RM72.9m (+3.3x) with an operating profit of RM9.6m. As for the property development division, it recorded a revenue of RM16.1m (- 57.4%yoy), with an operating profit of RM2.6m (-82.5%yoy), mainly due to slower property sales and no land sale this year. The phosphate division posted a higher quarterly operating loss of - RM43.6m (+2.8x) due to the commissioning and financing costs incurred. Most of the costs incurred in FY22 were capitalised as the plant was still in construction phase. We are adjusting our FY23E/FY24F/FY25F bottom lines by - 23.8%/-19.4%/-23.3% to RM130.6m/RM157.5m/RM184.6m, considering the weaker than expected results from associates and losses from the phosphate division.- (Nov 30, 2023) GHL SYSTEMS Bhd (GHL) 9MFY23 net profit of RM19.7m (+6.9% YoY) came in below expectation, accounting for only 64% and 57% of our full-year forecast and the full-year consensus estimate, respectively. The variance against our forecast was mainly attributable to higher operating expenditure. YoY, GHLSYS’s 9MFY23 revenue climbed 11.7% on higher contributions from its solutions services segment (+32.3%) on the back of higher software sales and maintenance revenue. Margins were slightly lower due to less favourable merchant mix. Moreover, increased opex was accrued as the group initiated data migration to the cloud. This has led to its net profit growing at a relatively slower pace of 6.9% compared to its revenue growth of 11.7%. The group has seen transaction volumes trending upwards and will continue into the subsequent quarter, in line with the year end retail season. In addition, it has seen improving indications for its shared services segment and its solutions services segment that is also seeing a healthy pipeline of deals. We cut our FY23-24F net profit forecasts by 11% and 10%, respectively, to account for lower margins from its current merchant mix. Consequently, we lower our TP by 10% to RM0.88 (from RM0.98) based on an unchanged 32x FY24F PER, in line with peers’ forward PER average such as Shift4 Payments, PayPal and Square. There is no adjustment to our TP based on ESG given a 3-star rating. We continue to like GHL for: (i) it being a good a proxy to the robust in-store and online retail spending given that it is the largest terminal payment system provider in Malaysia, (ii) its venture into the high-growth Buy Now Pay Later (BNPL) platform, and (iii) its growing presence in neighbouring countries. Maintain OUTPERFORM. - (Nov 30, 2023) PUBLIC BANK Bhd’s (Public Bank) 3Q23 core net profit of RM1.70b (+7% YoY, +5% QoQ), took 9M23 core net profit to RM5.03b (+14% YoY). The results were within expectations with 9M at 75% of our full year forecast and consensus. 9M23 operating profit was flat (- 1.1%) as NIMs compressed 17bps YTD while NOII growth was a subdued 3.4% YoY. Credit cost, however, was very benign at just 0.02% in 9M23 versus 0.1% in FY22 and 9M23 provisions declined 78% YoY to support earnings growth. Management has revised its FY23 loan growth target to 5% from 4-5% previously (5.9% annualized end-Sep 2023). NIM compression thus far (-17bps YTD) is within guidance of a compression of <20bps for FY23. Management maintains its ROE target of 12-13% (13.1% in 9M23). Loan loss coverage including regulatory reserves was a healthy 215% end-Sep 2023. Our FY23 earnings forecast is maintained, having already imputed a NIM compression of 16bps for FY23 and a credit cost of 7bps. Our FY23 ROE estimate of 13% is at the top end of management’s guidance of 12-13%. We nevertheless raise our FY24-25E earnings forecasts by 2% respectively to factor in lower credit cost of 6/5bps respectively from 7bps previously, given that there is still room to writeback the group’s RM1.8b worth of management overlays. We have assumed NIMs to be relatively stable YoY in FY24/25 at 2.24/2.25%. BUY maintained with an unchanged TP of MYR5.05, pegged to a FY24E PBV target of 1.7x (ROE: 13%).- (Nov 30, 2023) FOREIGN CURRENCY SELLING TT/OD BUYING TT BUYING OD 1 US Dollar 4.7445 4.6115 4.6015 1 US Dollar 4.7190 4.5860 4.5760 1 Australian Dollar 3.1460 3.0220 3.0060 1 Brunei Dollar 3.5440 3.4420 3.4340 1 Canadian Dollar 3.4710 3.3800 3.3680 1 Euro 5.1930 5.0270 5.0070 1 New Zealand Dollar 2.9250 2.8180 2.8020 1 Papua N Guinea Kina N/A N/A N/A 1 Singapore Dollar 3.5440 3.4420 3.4340 1 Sterling Pound 6.0050 5.8190 5.7990 1 Swiss Franc 5.3970 5.2750 5.2600 100 UAE Dirham 130.0800 123.3800 123.1800 100 Bangladesh Taka 4.3630 4.0800 3.8800 100 Chinese Renminbi 66.6600 63.8700 N/A 100 Danish Krone 71.3900 65.7200 65.5200 100 Hongkong Dollar 61.1400 58.1200 57.9200 100 Indian Rupee 5.7600 5.4100 5.2100 100 Indonesian Rupiah 0.0317 0.0287 0.0237 100 Japanese Yen 3.2170 3.1160 3.1060 100 New Taiwan Dollar 16.2000 N/A N/A 100 Norwegian Krone 45.5200 41.9000 41.7000 100 Pakistan Rupee 1.6800 1.5800 1.3800 100 Philippine Peso 8.6400 8.1500 7.9500 100 Qatar Riyal 130.9600 124.3200 124.1200 100 Saudi Riyal 127.2900 120.8400 120.6400 100 South Africa Rand 26.1400 23.6100 23.4100 100 Sri Lanka Rupee 1.4800 1.3600 1.1600 Exchange Rates Source: Malayan Banking Bhd/Bernama Ringgit retreats after three consecutive days of gains against greenback KUALA LUMPUR: The ringgit closed lower yesterday on Thursday, snapping three consecutive days of gains on pofit-taking after the local note touched the immediate support level of RM4.6611 against the US dollar. At 6pm, the ringgit fell to 4.6590/6635 against the greenback from Wednesday’s close of 4.6495/6550 Bank Muamalat Malaysia chief economist Mohd Afzanizam Abdul Rashid said the local note is struggling to maintain its appreciation bias after piercing the immediate support level. “Profit-taking activities appear to seep in whenever it hits the immediate support level,” he told Bernama. At the close, the ringgit was traded mostly higher versus a basket of major currencies. It appreciated further vis-a-vis the euro at 5.0918/0967 from 5.1014/1075 on Wednesday’s close, was a tad higher against the British pound at 5.8941/8998 from Wednesday’s 5.8951/9021. But the local note eased against the Japanese yen to 3.1601/1634 from 3.1513/1553 previously. The local note was traded higher against other Asean currencies, except against the Philippine peso. It was marginally higher versus the Singapore dollar at 3.4883/4920 from yesterday’s 3.4909/4953, rose against the Thai baht to 13.2335/2546 from 13.3484/3722 and edged up against the Indonesian rupiah to 300.3/300.8 from 301.9/302.5. The ringgit was unchanged versus the Philippine peso at 8.39/8.41 since Wednesday. CIMB posts RM5.3b revenue, RM1.85b net profit for Q3 KUALA LUMPUR: CIMB Group Holdings Bhd’s net profit surged to RM1.85 billion in the third quarter ended Sept 30, 2023 (Q3’23), from RM1.41 billion in the same quarter last year, on the back of higher operating income growth and lower provisions. In a filing with Bursa Malaysia yesterday, the banking group said revenue jumped to RM5.31 billion in Q3’23 from RM5 billion previously. “We are pleased with the performance this quarter despite continued elevated deposit competition in Malaysia. Our return on equity continues to improve, driven by its reshaped portfolio and improved credit cost performance,” it said. CIMB Group said positive growth momentum was seen in areas the group invested in, namely consumer and commercial in Malaysia, CIMB Digital Assets, and across its key markets of Indonesia and Singapore. “This has positioned CIMB Group to achieve its financial year 2023 targets as the group approaches the year-end,“ it said. For the nine months of 2023 (9M’23), CIMB’s net profit rose 28% to RM5.27 billion from RM4.11 billion in the same period of 2022, while revenue increased to RM15.64 billion in 9M’23 against RM14.62 billion. In a separate statement, group CEO Datuk Abdul Rahman Ahmad said that as the group approaches the final year of its Forward23+ strategic plan, it remains focused on enhancing its Casa and deposit franchise, and growing in targeted segments whilst continuing to keep a close watch on cost and asset quality. “Among our focus segments are our affluent and wealth management business with particular emphasis on transaction banking and the regional Asean network business,” he added. - Bernama Public Bank Bhd Buy. Target price: RM5.05 GHL Systems Bhd Outperform. Target price: RM0.88 Cahya Mata Sarawak Bhd Buy. Target price: RM1.32 Source: MIDF Research Source: Kenanga Research Source: Maybank IBG Research Nov 30, 2023: RM1.04 Nov 30, 2023 RM0.75 Nov 30, 2023: RM4.27
SPORTS SPORTS FRIDAY | DEC 1, 2023 29 WOLVES manager Gary O’Neil insisted on Monday, after his team were again on the wrong end of a controversial VAR call, that livelihoods were at stake over this misuse of the technology so controversially gaining stranglehold over football around the world. But there is something greater at risk – something that is irreplaceable, that untold millions cannot make up for. That is the simple joy of the sport, and how famous nights are being ruined by VAR. Instead of celebrating a heroic performance from Newcastle United and historic victory against the might of Paris Saint-Germain, we are talking about a ball brushing against an arm, and whether the interpretation of a single rule needs to be rectified. How depressing. Lewis Miley’s performance in the Parc des Princes summed it up. It deserved to be talked about for generations of Geordies. The 17-year-old from County Durham should have been able to tell his future grandchildren about the time, on his full Champions League bow, he went toe-to-toe with one do the best players in the world in Kylian Mbappe and won. It was a performance of honour. There were no spectacular goals or moments of jaw-dropping skill, more that a teenager and his injury-ravaged side held the Parisien millionaires at bay for the second time in three months to achieve their greatest-ever European away result. That was taken away when, in the 98th minute in Paris, the ball bounced off Newcastle defender Tino Livramento’s ribs and brushed against his hand. It was accidental and there was nothing the 21-yearold could have done to avoid it. VAR ordered a review and the Polish referee, S z y m o n Marciniak, who took charge of last s e a s o n ’ s Champions League and World Cup finals, pointed to the spot. “I just try to enjoy football and I’m just tired of discussing these matters,” defender Kieran Trippier said. “If you’re on the end of it, in a good way or a bad way, nothing can change it. The referee makes a decision.” Trippier was well placed to be able to witness what Miley had just done to one of the world’s best players. “He was quality, again,” Trippier added. “Seventeen-year-old. He can go all the way to the top. “The good thing about him is he it feels like he’s played 500 games already. He is going be the future for Newcastle.” Such composure under pressure, authority on the ball, spirit to lead his team forward should not be forgotten, but it will. In 20 years time, the next generation of Geordies should have been the ones searching out clips of Miley’s coming of age – the moment one of the greatest players in the club’s history, which many who know him now keep suggesting he can become, announced himself to the world. Instead, such a performance will be lost in the vitriol. Something nobody asked for when technology was brought into our beautiful, storied game. – The Independent Enclosed is my payment of RM payable to SUN MEDIA CORPORATION SDN BHD. 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Muruku Buntong entrepreneur’s Deepavali snack, made from a still a national favourite 60-year-old recipe, is constantly in high demand. Chicken price float benefits consumers A week after subsidies ended, market prices are competitive and lower than subsidised prices, says expert. Full report —on page 3 Full report —on page 6 Full report —on page 4 Citing protection of country’s interests in terms of diplomatic, economic relations and security as reasons for joining meeting, Anwar says he remains steadfast in defending justice and rights of Palestinians. I will show up at Apec Story on page 2 Full story -on page 2 SCAN TO SUBSCRIBE READ OUR HERE /thesun Malaysian Paper Toon heartbreak █ BY PETER HALL Messi ‘pleaded with Pep’ for Man City move LIONEL MESSI pleaded with Pep Guardiola to sign him for Manchester City in the summer of 2020, according to leaked messages published in a book documenting Guardiola’s time in charge of the Premier League club. An exchange allegedly shows Messi opening up on a split with the Barcelona board and asking if he can move to Manchester. Messi was enduring a tough season with Barca, who were beginning to feel the strain of financial issues. At the time, the Argentine still had a year remaining on his contract but the La Liga giants were protected by a €750 million (RM3.5b) release clause. Guardiola reportedly received a message from striker Sergio Aguero. “Watch out, two things can happen. Leo asked me how long Pep has a contract with City,” Aguero’s message is claimed to have read. According to journalist Marti Perarnau in his book God Save Pep, Guardiola then received a message from Messi. The forward asked the Spaniard if they could reunite at City. The book suggests that Guardiola invited Messi to his Barcelona home the next day. The forward made clear his desire to “break” from the Spanish giants and conveyed his desire to play under former Barca boss Guardiola again. Amusingly, Guardiola is alleged to have replied: “It rains a lot in Manchester.” It is claimed that Guardiola told City that he was willing to extend his contract if they completed the signing of Messi. Although some extracts of the conversation appear to suggest that he was sceptical about the potential transfer. “In Manchester we train very hard…” Guardiola said. To which Messi responded: “I will train hard, I’m not worried.” But Guardiola insisted: “And I continued making long tactical talks. Maybe you’ll get bored…” “Leo, we have grown older,” Guardiola continued. “Maybe we can’t stand each other anymore.” Guardiola has previously insisted that he has never tried to sign Messi for either City or former club Bayern Munich. – Express Newspapers VAR controversy spoils Magpies’ brilliant performance against PSG Livramento. – AFPPIX
SPORTS SPORTS FRIDAY | DEC 1, 2023 30 A genuine dream Arteta loved Arsenal’s rout of Lens in Champions League MIKEL ARTETA admitted it was a “genuine dream” watching Arsenal’s dominant 6-0 victory over Lens at the Emirates Stadium which saw them qualify for the Champions League last 16. The Gunners topped Group B with a game to spare after they battered their French opponents with six different goalscorers. Kai Havertz, Gabriel Jesus, Bukayo Saka, Gabriel Martinelli and Martin Odegaard struck in the first half before Jorginho added their sixth from the penalty spot late on. Arsenal boss Arteta talked up his team’s determination which secured the club’s 100th Champions League victory. “It was a genuine dream,” Arteta said. “We had a chance to qualify today and we’ve done it in a really convincing way against a really good side. “The team from the beginning showed a lot of aggression and determination to go for the game. “It’s great we’re able to win in this way and we showed at home not to concede any goals and score a lot which is a positive factor. The players need to believe we can do that against big opponents.” The Spaniard noted that qualification with a game to spare allows him to rotate in Arsenal’s final group fixture against PSV Eindhoven on Dec 12. Arteta added: “Every time we play a football match we’ll prepare in the best way but it will give us some room now certainly in relation to the state of the squad by being able to use certain players more or less.” Havertz scored his second in as many games after the German netted a dramatic late winner in Saturday’s 1-0 Premier League victory at Brentford. The attacker’s influence in recent games has impressed Arteta after a difficult start to life in north London since his reported £65 million (RM377m) move from Chelsea in the summer. “Kai again scored two goals in two games and that’s really good for the confidence of the player,” he added. “He’s scoring goals, playing well, participating in wins. Those are positive attributes and you can see the reception of his teammates and the crowd singing his name and being with him in every positive action. “These are good things that are going to help him show why he’s a tremendous player.” Declan Rice had another flawless game in midfield and Arteta applauded the England international’s consistency and decision-making. He said: “He was superb again today with the consistency and understanding of the game that he’s showing. “The decision-making all the time and the action and timing to win the ball back is so good.” – The Independent Inter complete stunning comeback against Benfica INTER MILAN fought back from 3-0 down to rescue a point with three goals in the second half in a pulsating 3-3 draw at Benfica in a Champions League Group D clash yesterday after Joao Mario netted a hattrick for the hosts. Benfica broke the deadlock after five minutes when Joao Mario finished first time after Casper Tengstedt headed it down for the former Inter player. He then capitalised on a failed clearance from the Inter defence eight minutes later to double the lead, before completing his hattrick in the 34th minute when he bundled the ball home from close range from a cross. Marko Arnautovic pulled one back for Inter six minutes into the second half, while Davide Frattesi scored another goal for the visitors seven minutes later with a well-placed volley. Alexis Sanchez completed the comeback from the penalty spot after 72 minutes after Nicolas Otamendi had tripped Marcus Thuram. “We actually went close to a victory with Nicolo Barella if that shot had gone in off the woodwork,” Inter coach Simone Inzaghi told Mediaset Infinity. “I will take the positives from the match, which means our reaction in the second half. We all should’ve done more in the first half, including myself, as we had a really sluggish approach. “I have 20 first team players and I can count on them all. It would’ve been easy to change four or five at the break, but the fault lay with the whole team and not any individuals. “We stepped out there with a different spirit, also making a few tactical adjustments. With Barella’s effort, we could’ve won a memorable match.” – Reuters/Agencies REAL MADRID romped to a 4-2 win over Napoli yesterday to qualify in first place from their Champions League group. Giovanni Simeone put Napoli ahead early on, with Rodrygo and Jude Bellingham quickly netting to turn the game around. Andre-Frank Zambo Anguissa levelled for the visitors just after half-time but Madrid youngster Nico Paz smashed his team in front after 84 minutes and Joselu wrapped up the win in stoppage time. “I’m so happy, this is a dream… for a moment I couldn’t believe it,” Paz told Movistar after helping Madrid continue their 100% record – five wins from five games. “(My teammates) were maybe even more happy than me, and I’m grateful to them for their support.” Napoli, with Walter Mazzarri freshly reinstalled at the helm, started with Giovanni Simeone – the son of Atletico Madrid coach Diego Simeone – up front and he quickly pounced. The Argentine forward turned home from Giovanni di Lorenzo’s cut-back and although Madrid goalkeeper Andriy Lunin clawed his effort out, the ball had crossed the line. However Madrid equalised almost instantly, with Brahim Diaz breaking and Rodrygo brilliantly finding the top corner. Madrid took the lead through Bellingham after 22 minutes, planting a superb header across Alex Meret and in, after David Alaba found him with a fine searching cross. Bellingham now has four Champions League goals in four games for Madrid, and a total of 15 in 16 appearances this season, making him by far the club’s leading scorer. “Nobody could imagine him adapting like this here in this football, in this new club, he’s surprising everybody,” Ancelotti told Movistar. “He’s spectacular at arriving in the box, he’s like a motorbike arriving in the area.” Napoli quickly pulled level again, with Zambo Anguissa blasting home across Lunin after his attempted cross was blocked back into his path. Madrid had the edge on the Italian champions after that found their third goal when substitute Paz hammered a low effort into the bottom corner from long range. “He’s a talent, a youngster from the youth academy who’s working with us, he scored an important goal, for him and for us,” added Ancelotti. Joselu, who had missed some presentable opportunities, made amends in stoppage time with a close-range finish to put the cherry on the cake. – AFP Real maintain 100% record SHORTS █ BY REUBEN ROSSO-POWELL More VAR drama COPENHAGEN grabbed a crucial point in a 0-0 draw at Bayern Munich yesterday as more VAR handball controversy erupted in the Champions League. The German champions had already qualified for the last 16 but the stalemate at Allianz Arena helped keep alive Copenhagen’s hopes of joining them. Copenhagen had a major let-off in stoppage time at the end of the game when referee Stephanie Frappart awarded Thomas Tuchel’s Bayern a penalty for handball against Peter Ankersen. But VAR showed contact with the upper arm and shoulder and Frappart withdrew the penalty after consulting the pitch-side monitor, to protests from striker Harry Kane and Tuchel. Bayern veteran Thomas Mueller said the decision against his side laid bare VAR’s inconsistencies. “I’m no friend of the rule, but when you compare it to yesterday, it’s pretty weird,” he told DAZN. “I think the rule-makers want to try and make handball calls objective, but you can’t do that.” Tuchel said his side “can do better and we’ve done better recently, but we can check that box and move past it”. “We weren’t fluid enough and we didn’t take enough risks.” Sevilla crash out SEVILLA crashed out of the Champions League yesterday, throwing away a two-goal lead in a 3- 2 defeat by PSV Eindhoven. Leading through goals from Sergio Ramos and Youssef En-Nesyri, Sevilla winger Lucas Ocampos was sent off for two bookings in four minutes and it opened the door for PSV’s fightback. The Dutch side silenced Sevilla’s Ramon Sanchez-Pizjuan stadium as Ismael Saibari volleyed home for the visitors and then Nemanja Gudelj bundled into his own net. United States forward Ricardo Pepi headed home the winner in stoppage time to end Sevilla’s hopes of reaching the last 16. Sevilla have not won a single game under coach Diego Alonso in the Champions League or La Liga – they have suffered four defeats and four draws since he took over in October. “The Champions League is different, it’s decided by small details,” Ramos told Movistar. “We dominated, we had the result in our favour and ending up with one man less killed us.” “It’s hard to talk in this moment, the best way is by getting results and we’re not doing that,” added Ramos. “I understand the anger of the fans, we have to keep looking forward and thinking about the next game.” Arsenal’s Gabriel Jesus (right) congratulates goal scorer Kai Havertz during the Champions League Group B match against RC Lens yesterday. – AFPPIX
SPORTS SPORTS FRIDAY | DEC 1, 2023 31 Tigers on right path: Rajagobal Former coach lauds Malaysia’s wins over Kyrgyzstan, Taiwan FORMER national coach Datuk K. Rajagobal believes the Harimau Malaya squad are on the right track after registering two victories in the 2026 World Cup/2027 Asia Cup qualifiers against Kyrgyzstan and Taiwan recently. Rajagobal said the two wins are a clear sign of a positive development in the country’s football arena and hoped the players can continue to sustain their excellent performances in the World Cup and Asia Cup qualifiers after this. “As a former coach, we want to see a positive aspect in football in terms of play. I believe the win over the two countries would serve as an inspiration and motivation for the players,” he said when met during a media conference in conjunction with the Royal Selangor Club Youth Football (RSC-Dato’ Chu Ah Nge) tournament. The Harimau Malaya squad produced an outstanding performance to beat Kyrgyzstan 4- 3 on Nov 16 and followed up that fine performance by beating Taiwan 1-0 on Nov 21 in Group D action of the qualifiers. Rajagobal added that coach Kim Pan Gon’s charges are certainly looking more confident in their play, especially after having played against much higher ranked teams in the world. “We are now looking at a transformed team and it is exciting to see the players going all out in a committed way throughout the match and until the final whistle. “It shows their commitment and mentality... what is important is that we can see their confidence and their ability,” he added. Meanwhile, speaking of youth development in the country, Rajagobal said all stakeholders should be responsible to uplift the standard of football at the grassroots and not just depend on the Football Association of Malaysia (FAM). He added that more programmes like RSC’s Youth tournaments must be organised to unearth talented young players who can be groomed at a higher level later on. “Programmes or competitions at youth level will provide opportunities for coaches to see future potential. If such programmes are held throughout the country, it will become a platform for youths to showcase their talent and learn something new,” he said. The 17th edition of the RSC-Dato’ Chu Ah Nge is a youth competition that features 80 teams from six countries, namely Brunei, Indonesia, Singapore, Thailand, Vietnam and Malaysia. – Bernama MATCH-BY-MATCH facts and stats ahead of the next round of English Premier League fixtures (all in Malaysian time/10pm unless stated): TOMORROW Burnley vs Sheff United(11pm) – Home win Burnley are yet to register their first points at home this season, having conceded twice late on to suffer a 2-1 defeat by West Ham United at Turf Moor last weekend. They are also the only team in the top four divisions without a home point and sit bottom on goal difference from Everton, who were deducted 10 points for breaching the league’s financial rules. Sheffield United are one point above Burnley in the standings. Brentford vs Luton (11pm) – Home win Luton have only beaten Brentford once in the last six games in all competitions (L5). The Bees will be hoping Mathias Jensen and Mads Roerslev will recover in time, with the Danish duo missing their last game against Arsenal. The hatters have conceded 23 goals in 13 matches and sit 17th in the League. Arsenal vs Wolves (11pm) – Home win Arsenal moved to the top of the League when a late goal by Kai Havertz earned them a 1-0 victory at Brentford last weekend. Fabio Vieira was not at Arsenal’s training session on Wednesday, with manager Mikel Arteta confirming that the Portuguese midfielder will be out for a number of weeks. Wolves are 12th in the standings with 15 points from 13 matches, with manager Gary O’Neil joining the growing chorus of coaches complaining about Video Assistant Referee (VAR) after his side had two penalties given against them in a 3-2 loss at Fulham. SUNDAY Nottm Forest vs Everton (1.30am) – Away win Everton, who were 14th before their points deduction for breaches of the League’s financial rules, are second-bottom on four points. They lost 3-0 to Manchester United at Goodison Park last weekend. Taiwo Awoniyi, Forest’s top scorer with four goals this season, has had groin surgery that has ruled him out of action for months. Newcastle vs Man United (4am) – Away win An injury-hit Newcastle crushed Chelsea’s miniresurgence by beating the London side 4-1 at St. James’ Park last weekend, with the Magpies’ striker Alexander Isak netting on his return from injury. United have Rasmus Hojlund, the joint top-scorer in the Champions League this season, and Antony back from injuries in a boost for Erik ten Hag’s side, whose season has also been hampered by several fitness concerns to key players. West Ham vs Crystal Palace – Home win Cheick Doucoure, Palace’s player of the year last season, could face a lengthy spell on the sidelines after sustaining an injury during last weekend’s 2-1 defeat at Luton that also saw fellow midfielder Eberechi Eze suffer a setback. Midfielder James Ward-Prowse could again be crucial for the Hammers, having provided five assists this season. Liverpool vs Fulham – Home win Liverpool vice-captain Trent Alexander-Arnold ended Manchester City’s run of 23 wins at the Etihad Stadium in all competitions when he drilled in an 80th-minute equaliser to draw 1-1. The Reds are sweating on the fitness of goalkeeper Alisson Becker and winger Diogo Jota. Willian’s 94thminute spot-kick, his second of the game, earned Fulham a dramatic 3-2 win over Wolves on Monday. Chelsea vs Brighton – Home win *Chelsea boss Mauricio Pochettino slammed his side after their 4-1 result left them 10th on 16 points, saying it was their worst game of the season. Blues captain Reece James and defender Marc Cucurella will miss the game after being sent off in the loss at Newcastle and picking up his fifth yellow card, respectively. Eighth-placed Brighton ended their five League matches winless streak after they came back from behind to win 3-2 at Forest last weekend, despite finishing the game with 10 men. Bournemouth vs Aston Villa – Away win Villa’s first win on the road in just over two months took them above Tottenham Hotspur into fourth place. Unai Emery’s Villa have 28 points from 13 games, behind Liverpool on goal difference. Winger Marcus Tavernier netted twice as Bournemouth beat Sheffield United 3-1 last weekend and claim a third League win in four games. MONDAY Man City vs Tottenham (12.30am) – Home win City striker Erling Haaland, 23, claimed another League goal-scoring record of netting 50 times in just 48 games but could not extend his side’s winning sequence as the champions were held to a 1-1 home draw by Liverpool last weekend. Spurs slipped to a third successive League defeat as they were beaten 2-1 at home by Villa last weekend. Spurs suffered yet another injury blow as their Uruguay midfielder Rodrigo Bentancur hobbled off in the first half of the 2-1 League defeat by Villa. Reuters THE Royal Malaysian Police (PDRM FC) scored a convincing 3-0 win over Kuching City FC in their first leg final of the 2023 Challenge Cup at the Petaling Jaya City Council Stadium (MBPJ) on Wednesday night. PDRM FC under the tutelage of Datuk Ahmad Yunus Mohd Alif took full advantage of playing at their own backyard to take a healthy lead for the second leg final on Sunday in Sarawak. The first half ended scoreless as both teams missed several chances. The second half was however, a different ball game as PDRM FC took the lead in the 53rd minute when Mohamad Nabil Ahmad headed in a cross from Marcus Papee Macauley. Boosted by the opening goal, PDRM FC grew in confidence and 15 minutes later Uche Agba struck the second goal, beating Kuching City goalkeeper Wan Muhammad Azraie Wan Teh from close range. PDRM FC skipper Amir Saiful Badeli added the third in the final minute of the match to ensure his team will have a three goal advantage when playing the second leg final in Kuching. “We cannot be on cloud nine despite the 3-0 victory because we still have the second leg final to play. Playing the second leg final in Kuching will certainly give our opponents more confidence,” said Ahmad Yunus after the match. Meanwhile, Kuching City coach Aidil Sharin Sahak admitted that Kuching City will be facing an uphill task when playing PDRM FC in the second leg final. “We went through a tremendous campaign before reaching the final. Though we lost here, we will try to do our best back home on Sunday,” he said. – Bernama Cops too strong for Kuching City RESULTS & STANDINGS CHAMPIONS LEAGUE Group A: Galatasaray 3 (Ziyech 29, 62, Akturkoglu 71) Manchester United 3 (Garnacho 11, Fernandes 18, McTominay 55), Bayern Munich 0 FC Copenhagen 0. P W D L F A Pts B. Munich 5 4 1 0 11 6 13 Copenhagen 5 1 2 2 7 8 5 Galatasaray 5 1 2 2 10 12 5 Man United 5 1 1 3 12 14 4 Group B: Sevilla 2 (Ramos 24, En-Nesyri 47) PSV Eindhoven 3 (Saibari 68, Gudelj 81-og, Pepi 90+2), Arsenal 6 (Havertz 13, Jesus 21, Saka 23, Martinelli 27, Odegaard 45+1, Jorginho 86-pen) Lens 0. P W D L F A Pts Arsenal 5 4 0 1 15 3 12 PSV 5 2 2 1 7 9 8 Lens 5 1 2 2 4 10 5 Sevilla 5 0 2 3 6 10 2 Group C: Real Madrid 4 (Rodrygo 11, Bellingham 22, Paz 84, Joselu 90+4) Napoli 2 (Simeone 9, Zambo Anguissa 47), Sporting Braga 1 (Djalo 51) Union Berlin 1 (Gosens 42). P W D L F A Pts Real Madrid 5 5 0 0 13 5 15 Napoli 5 2 1 2 8 9 7 Braga 5 1 1 3 6 10 4 Union Berlin 5 0 2 3 4 7 2 Group D: Benfica 3 (Joao Mario 5, 13, 34) Inter Milan 3 (Arnautovic 51, Frattesi 58, Sanchez 72-pen), Real Sociedad 0 Salzburg 0. P W D L F A Pts Real Sociedad 5 3 2 0 7 2 11 Inter Milan 5 3 2 0 8 5 11 Salzburg 5 1 1 3 3 5 4 Benfica 5 0 1 4 4 10 1 QUALIFIED ENGLISH CHAMPIONSHIP: Southampton 1 Bristol City 0, Leeds 3 Swansea 1, Blackburn 4 Birmingham 2, Sheffield Wednesday 1 Leicester 1, Sunderland 1 Huddersfield 2, Ipswich 3 Millwall 1. TOP 10 P W D L F A Pts Leicester 18 14 1 3 32 11 43 Ipswich 18 13 3 2 39 24 42 Leeds 18 10 5 3 31 18 35 Southampton 18 10 4 4 29 27 34 West Brom 18 9 5 4 29 17 32 Hull 18 8 6 4 28 22 30 Blackburn 18 9 1 8 31 28 28 Preston 18 8 4 6 24 30 28 Cardiff 18 8 3 7 27 21 27 Mid’boro 18 8 3 7 29 26 27 LA LIGA: Mallorca 1 Cadiz 1. FRENCH LIGUE 1: Montpellier 1 Clermont 1. PREMIER LEAGUE PREVIEWS & PREDICTIONS PDRM FC’s Amir Saiful Badeli (left) celebrates scoring against Kuching City on Wednesday night. – BERNAMAPIX
theSun is published and printed by Sun Media Corporation Sdn Bhd (221220-K) of Lot 6, Jalan 51/217, 46050 Petaling Jaya, Selangor. Tel: 03-7784 6688 Fax: 03-7783 7435 • Tel (Editorial): 03-7784 6688 Fax: 03-7785 2624/5 Email: [email protected] • Tel (Advertising): 03-7784 8888 Fax: 03-7784 4424 Email: [email protected] Toon heartbreak -Story on page 29 SCAN ME FRIDAY | DEC 1, 2023 or download app from the App Store or Google PlayTM . www.thesun.my Free access to iPaper PDF Download SCAN ME Malaysian Paper Read iPaper at Malaysian Paper Malaysian Paper Frustrated Devils Ten Hag says United ‘have to learn’ from Galatasaray draw ERIK TEN HAG says Manchester United are conceding too many goals but refused to blame Andre Onana despite the goalkeeper’s errors at Galatasaray severely damaging their chances of Champions League progression. Having lost three of four Group A games, yesterday’s key clash in Istanbul began in dream fashion as Alejandro Garnacho’s early effort was followed up by a Bruno Fernandes rocket. Hakim Ziyech pulled one back from a free-kick that Onana will be disappointed to have been beaten by and he was guilty of an even worse error after Scott McTominay scored United’s third. The summer signing somehow failed to deal with another Ziyech freekick and substitute Kerem Akturkoglu soon lasered past him as a mad match ended 3-3. The result leaves United bottom of their pool heading into the final round of fixtures, with the concession of 14 goals in just five Group A games the key issue. “We scored also quickly after each other,” United manager Ten Hag said. “It’s about the point when you are leading, when you are 2-0 up and you have to manage the game. Not so easy. “We give free-kicks away and we have to defend them better twice. I have to say also that is Hakim. He is brilliant, I know that. He is extraordinary. “To give free-kicks, it’s difficult to defend as well. In such areas, we have to be in more control. “It is always about incidents, always about details and some incidents we can manage better. “As a team, we have to learn from it because we are conceding too many goals and it is unnecessary and avoidable. “I am sure our team is experienced enough and capable enough to manage this and we will do better. “What is enjoyable is the progress we have and the way we play football. We dictated the game, we scored so many goals – it was about plan, creativity, being proactive and brave. That makes me happy.” United should have scored more but Onana will be under the spotlight after this draw, having also been guilty of errors in the losses away to Bayern Munich and at home to Galatasaray. While his key stoppage-time penalty save secured a win against Copenhagen, he endured another difficult Champions League night yesterday. “I think as a team we played very well,” Ten Hag said when asked about Onana. “We win and lose together. You see the progress in this team. “I take many positives from this game. Some mistakes. We played like I want my team to play. “It was enjoyable to watch that proactive, dynamic, brave and we scored great goals. “Even after we had some setbacks, we kept going u n t i l t h e e n d a n d w e s h o u l d have won with big chances from Scott McTominay and (Facundo) Pellistri. “Of course, I am disappointed because we should have managed the game better, we will learn from that. Because this team is in development.” Asked how Onana is, he said: “He is OK. As I said, it is not about individuals. “Of course, individual errors in football can make a difference and you take responsibility for it but it is always about the team. “This team is good, all the players in the squad are good and deserve the best to play for Manchester United because they are brilliant players. “And that counts for the whole squad.” – The Independent █ BY SIMON PEACH -Story on page 30 A genuine dream Man United’s Bruno Fernandes reacts at the end of the Champions League Group A match against Galatasaray at Ali Sami Yen Spor Kompleksi in Istanbul yesterday. – AFPPIX