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CEOMorningBrief THURSDAY, M AY 2 5 , 2 0 2 3 ISSUE 576/2023 theedgemalaysia.com YELLEN SAYS TREASURY PUSHING FOR DEBT-LIMIT DEAL, NOT PREPPING FOR DEFAULT p18 Report on Page 3. RINGGIT HITS FRESH LOW against Singapore dollar at 3.4103 HOME: Insolvency Act amendments passed unanimously via voice vote p2 Maybank 1Q net profit up 11% y-o-y to RM2.27 bil on RM14.78 bil revenue p4 Parkson returns to the black with RM20.7 mil net profit in 1Q p8 Bintai Kinden to conduct internal probe on its own directors, trading activities p9 WORLD: Asia-focused HSBC puts 12 countries on exit watchlist p19 May 24, 2023 3.4103 May 24, 2022 3.1939

thursday may 25, 2023 2 The E dge C E O m o rning brief published by ( 2 6 6 9 8 0 - X ) tel . 603-77218000 Level 3, Menara KLK, 1 Jalan PJU 7/6, Mutiara Damansara, 47810, Petaling Jaya, Selangor, Malaysia publisher + ceo . Ho Kay Tat editor-in-chief . Kathy Fong chief commercial officer . Sharon Teh chief operating officer . Lim Shiew Yuin editors . Jenny Ng . Tan Choe Choe Lam Jian Wyn to contact editors: [email protected] to advertise: [email protected] the edge ceo morning brief Read from desktop or mobile device. You can print in A4 to read. Set print mode to fit or shrink oversize page. to get on emailing list [email protected] Insolvency Act amendments passed unanimously via voice vote EPF-supported loans under FSA2 amount to RM726 mil, says Ahmad Maslan KUALA LUMPUR (May 24): The Dewan Rakyat unanimously passed amendments to the Insolvency Act 1967 via a voice vote on Wednesday (May 24). The amendments involve improvements to the Act’s automatic discharge mechanism, streamlining of creditor meeting process, enabling the use of technology in bankruptcy administration, and addition of two eligible bankrupt categories to be released through a certificate issued by the director-general of insolvency without objections from the creditors. “This Bill illustrates the government’s serious steps to ensure effective insolvency administration in Malaysia,” Minister in the Prime Minister’s Department (Law and Institutional Reforms) Datuk Seri Azalina Othman Said said during her winding-up speech for the Bill. “The amendments proposed through this Bill by the unity government are crucial to ensure the administrative system carried out in Malaysia is effective,” the minister added, saying the amendments ensure no group is left behind in the nation’s development. During the debate session, Azalina agreed with points raised by lawmakers that more financial literacy is needed among the youth to prevent bankruptcy cases. To that end, she said the Malaysian Department of Insolvency has held outreach programmes at schools and higher education institutions aimed at educating youths KUALA LUMPUR (May 24): Deputy Finance Minister Datuk Seri Ahmad Maslan said loans under the Account 2 Support Facility (FSA2) programme from Malaysia Building Society Bhd (MBSB) and Bank Simpanan Nasional Bhd (BSN) amounted to RM726.32 million. In Dewan Rakyat on Wednesday (May 24), Ahmad Maslan said 150,154 EPF contributors applied for Phase 1 of FSA2, which began on April 7, but noted that only half were of the eligible age of between 40 and 50 years old. He was responding to a question raised by Pasir Gudang Member of Parliament Hassan Abdul Karim. The Dewan Rakyat is currently sitting until June 15, and will subsequently resume on Oct 9 to Nov 30. The unity government greenlit FSA2 in March to enable EPF contributors to home by izzul ikram theedgemalaysia.com by izzul ikram theedgemalaysia.com on the effects of serious indebtedness and bankruptcy. “The AKPK (Credit Counselling and Debt Management Agency) also runs a financial literacy programme at the forAzalina noted that from 2019 to 2023, only 107 bankruptcy cases involving individuals aged below 25 years old were recorded. mal education level,” she said, noting the programme is aimed at imparting financial management knowledge to youths. In addition, Azalina said the Ministry of Education (MOE) continues to strive to ensure that its curriculum is relevant to current times, but noted that it has yet to create a specific mandatory subject related to financial management. “However, financial management and planning is one of six components in financial education that has been integrated into the curriculum from preschool to high school. “Through the implementation of this component in core and elective subjects, the MOE is confident that students can learn the basics of financial management that can be utilised in day-to-day life,” Azalina said, adding that this approach will produce students who are financially literate. She also noted that from 2019 to 2023, only 107 bankruptcy cases involving individuals aged below 25 years old were recorded. Those most affected by bankruptcy were individuals aged between 34 and 44 years old, with 13,073 cases recorded in the same five-year period. In terms of gender, 25,104 men versus 8,912 women were declared bankrupt in the same period. The current Dewan Rakyat sitting ends on Thursday (May 25), and resumes from June 6 to 15. The House’s next session will be from Oct 9 to Nov 30. utilise savings in their Account 2 as support for personal loans from banks to wade through difficult times. This came after calls for another round of EPF withdrawals, which Putrajaya dismissed. In the past two years, four tranches of EPF withdrawals were allowed — the special withdrawal facility (Pengeluaran Khas) of up to RM10,000 last year, i-Citra in 2021, as well as i-Lestari and i-Sinar schemes in 2020 — which resulted in a hefty RM145 billion withdrawn in total. Previously, Ahmad Maslan said the median EPF savings across all races fell to RM8,100 in 2022, versus RM16,600 prior to the pandemic in 2019. The pension fund also saw its assets under management drop for the first time in history in 2022, down 0.7% to RM1 trillion from RM1.01 trillion in 2021. Read also: EPF gained RM46 mil profit from disposal of six retail assets, says Ahmad Maslan Bernama

THURSDAY MAY 25, 2023 3 THEEDGE CEO MORNING BRIEF HOME KUALA LUMPUR (May 24): The ringgit slipped to another new low of 3.4103 against the Singapore dollar (SGD) on Wednesday (May 24). The ringgit/SGD exchange rate, which has depreciated 3.62% year to date, had previously fallen to 3.3764 on August 11, 2022. This is not surprising as the Monetary Authority of Singapore (MAS) has adopted a more aggressive monetary policy stance to counter rising inflationary pressures by making changes to the slope of the currency basket, which economists believe has led to an appreciation of SGD. “The ringgit has weakened against SGD because investors have confidence in the Singaporean economy, which is supported by its ‘AAA’ credit rating and substantial foreign exchange reserves,” Kenanga Research economist Afiq Asyraf Syazwan Abd Rahim told The Edge. Regardless, the performance of the SGD against the ringgit is very much tied to the performance of the US dollar. “The SGD is managed within an undisclosed bandwidth versus the US dollar. Therefore, a strengthening of the US dollar will see a subsequent strengthening of the Singapore dollar”, said MIDF head of research Imran Yassin Md Yusof. On Wednesday, the ringgit depreciated to 4.5935 against the US dollar. Economists contacted by The Edge project the ringgit to trade between 4.11 and 4.35 against the greenback by the end of this year. US debt ceiling concern The weakness in the ringgit performance has been more intense as investors remain cautious on higher risk aversion due to concerns that the US is still struggling to reach an agreement to raise its debt ceiling. Although this is not a new issue, failure to do so could lead to a default in debt obligation. Dr Mohd Afzanizam Abdul Rashid, chief economist and head of social finance at Bank Muamalat Malaysia Bhd, said the debt crisis in the US in 2011 indicated that it could wreak havoc on the financial market, especially when the US Congress decided to leave raising the debt ceiling to the last minute, resulting in a sovereign rating downgrade by Standard & Poor (S&P) from “AAA” to “AA +”. “Given the current polarisation in US politics, the decision could be stalled to the very last minute, which worries the market. So the risk-off could prevail leading to more interest in safe haven like the US dollar and by extension, ringgit could depreciate,” he said. The US last raised the debt ceiling on Dec 16, 2021 to its current level of US$31.4 trillion (RM142.2 trillion), which it hit on Jan 19 this year. Last Sunday, US Treasury Secretary Janet Yellen said June 1 remains a “hard deadline” for raising the debt limit, with the odds quite low that the government will collect enough revenue to bridge to June 15, when more tax receipts are due, Reuters reported. If a deal on the debt ceiling issue is not reached soon, it is likely that the ringgit may breach the psychological threshold of 4.6 in the next few days as the US financial markets experience further disloBY SYAFIQAH SALIM theedgemalaysia.com Ringgit hits fresh low against Singapore dollar at 3.4103 cation, Afiq Asyraf Syazwan highlighted. “However, I anticipate that a deal will be reached before the US default on its debt, leading to a recovery of the ringgit below the 4.5 level,” he elaborated. And if the US Federal Reserve (US Fed) pauses the interest rate hike in its upcoming meeting next month — after the 11th time hike in a row — the local currency could strengthen further to close to the 4.40 level, Afiq Asyraf added. Earlier this month, Bank Negara Malaysia made a surprise move by raising the overnight policy rate by 25 basis points to 3% — the first hike since November last year after raising the benchmark lending rate by 100 basis points since the pandemic outbreak. Waning China optimism Apart from that, the economists said, waning optimism over China’s post-opening Covid-19 recovery may continue to weigh on the performance of the ringgit in the upcoming months. This is because the Chinese yuan and the ringgit are closely related. For perspective, China has been Malaysia’s largest trading partner since 2009. The value of trade between Malaysia and China in 2022 was about 17.1% of Malaysia’s total global trade worth RM2.8 trillion. The Chinese government has set a modest target for economic growth of around 5% for 2023. In the first quarter this year, its economy expanded at a faster pace of 4.5% year-on-year, thanks to the end of the Covid-19 restrictions in December 2022. YTD change (%) Source: Bloomberg YTD Singapore dollar versus global and regional currencies (%) -5 -4 -3 -2 -1 0 1 2 3 4 5 6 Japanese yen Malaysian ringgit Chinese yuan Hong Kong dollar Philippine peso US dollar Thai baht Euro Vietnamese dong British pound Indonesian rupiah 5.1 3.6 1.5 1.4 0.3 0.7 -0.7 -1.1 -1.2 -2.8 -4.7

thursday may 25, 2023 4 The E dge C E O m o rning brief home KUALA LUMPUR (May 24): Kuala Lumpur Kepong Bhd’s (KLK) net profit declined 65.09% year-on-year for the second quarter ended March 31, 2023 (2QFY2023) mainly due to losses from an associate and lower contribution from the plantation and manufacturing segments. Net profit for 2QFY2023 fell to RM190.81 million from RM546.57 million a year ago while revenue dropped 5.26% to RM6.05 billion from RM6.38 billion following lower crude palm oil (CPO) and palm kernel (PK) prices. Notably, during the quarter under review, it booked an equity loss of RM169.7 million (2QFY2022: share of equity profit RM10.1 million) from an overseas associate, Synthomer plc. The loss reported by Synthomer plc was mainly caused by non-operating charges incurred on impairment loss of a business division, amortisation of acquired intangibles, restructuring and site closure costs. Earnings per share during the quarter decreased to 17.7 sen from 50.7 sen in the corresponding quarter a year ago, the palm oil giant said in its filing on Wednesday (May 24). Nonetheless, KLK declared a single-tier interim dividend of 20 sen per share for the financial year ending Sept 30, 2023. The dividend, with an ex-date of July 10, will be paid on Aug 1. During the quarter, it also saw a net reversal of impairment on financial assets of RM1 million versus RM17.18 million a year ago. For the cumulative six months ended March 31, 2023 (1HFY2023), KLK’s net profit was down 44.69% to RM633.85 million from RM1.15 billion, while revenue fell 3.45% to RM12.76 billion from RM13.21 billion. Moving forward, the group expects its financial performance for FY2023 to be significantly lower. “As a group, we have made concerted efforts to continuously improve estate management, especially in acquired estates, and clearing of backlog operational works with the return of adequate guest workers in peninsular Malaysia,” KLK group chief executive officer Tan Sri Lee Oi Hian said in a statement. He also expects that the crude palm oil (CPO) price will be within the current level, supported by the forecast of El Niño, which will impact its production. KLK’s realised CPO prices averaged RM3,727 per tonne in 2QFY2023, down 14.9% from RM4,378 in 2QFY2022, while palm kernel (PK) prices declined 51.7% to RM1,864 per tonne versus RM3,860. “Notwithstanding the challenging second half of FY2023, our focus is to continue to improve our efficiencies,” he added. Shares in KLK settled down six sen or 0.27% at RM22.54 on Wednesday, valuing the group at RM24.37 billion. Read also: Batu Kawan posts sharply lower 2Q earnings, declares 20 sen dividend Genting Plantations 1Q net profit plunges 67% on higher cost of sales Hap Seng Plantations 1Q profit falls 77% on lower revenue, absence of gain on asset disposal KUALA LUMPUR (May 24): Malayan Banking Bhd’s (Maybank) net profit for the first quarter ended March 31, 2023 rose 10.7% to RM2.27 billion from RM2.05 billion a year earlier, driven by continued improvement in asset quality as well as treasury and market gains that supported the group’s net operating income. In a Bursa Malaysia filing on Wednesday (May 24), Maybank said revenue for the quarter rose to RM14.78 billion versus RM11.42 billion previously. Earnings per share was 18.79 sen against 17.23 sen a year earlier. In a separate statement, Maybank said notwithstanding the challenging global economic environment, net operating income for the quarter grew to RM6.32 billion, on the back of a 12.4% year-on-year (y-o-y) increase in non-interest income (NOII) to RM1.53 billion The bank said the y-o-y increase in NOII to RM1.53 billion was aided by gains on derivatives and foreign exchange as well as investment and trading gains. It said this was, however, negated by a lower net fund based income of 2% as net interest margin declined 15 basis points y-o-y as a result of intense deposit competition. Maybank said overhead cost was higher at RM3.05 billion compared with RM2.73 billion a year earlier, as a result of increase in personnel cost owing to higher provisioning for the recently concluded collective agreement as well as IT, marketing and revenue related expenses. Maybank 1Q net profit up 11% y-o-y to RM2.27 bil on RM14.78 bil revenue Maybank group president and chief executive officer Datuk Khairussaleh Ramli said the first quarter result demonstrates Maybank’s underlying strength and resilience despite the challenging market conditions amid high inflationary pressure and softening global growth. “The group will continue to stay the course and remain steadfast to weather the uncertain headwinds, backed by sound capital and liquidity positions, and its diversified footprint and income streams for sustainable growth in the future. “Execution of our M25+ strategy is well underway, anchored on the five key strategic thrusts of intensifying customer centricity, accelerating digitalisation and technological modernisation, strengthening Maybank’s business presence across the region, driving our leadership position in the sustainability agenda as well as claiming our global leadership in Islamic Banking. “This is in line with our purpose of Humanising Financial Services as we deliver a differentiated customer experience and serve the community as a force for good in Asean,” he said. by Surin Murugiah theedgemalaysia.com KLK net profit drops 65% in 2Q, declares 20 sen dividend by Anis Hazim theedgemalaysia.com

thursday may 25, 2023 5 The E dge C E O m o rning brief home KUALA LUMPUR (May 24): Apex Healthcare Bhd reported a 54% rise in net profit to RM24.28 million for the first quarter ended March 31, 2023 (1QFY2023) against RM15.77 million in the previous corresponding period, driven by robust demand for pharmaceuticals, consumer healthcare products and medical devices. Revenue for the quarter under review expanded 13.8% to RM245.8 million, from RM215.92 million previously. While its 1QFY2023 result saw the continuation of the growth momentum from 2HFY2022, the group cautioned that the prospects of sustaining this strong demand for the rest of 2023 have been dampened by the expectations of slowing economic growth in its key markets, amid global concerns over high inflationary pressures, financial instability and ongoing geopolitical tensions. Apex Healthcare said it consistently invests in new initiatives to sustain and drive growth through economic cycles. The halal certification secured by its unit Xepa-Soul Pattinson (Malaysia) Sdn Bhd is anticipated to facilitate penetration into new markets, according to the group’s filing with the stock exchange on Wednesday (May 24). To improve operating efficiencies and consolidate manufacturing sites, the group said its associate company Straits Apex Group (SAG) has commenced the construction of a 237,147 square-foot campus comprising four buildings on a parcel of land it acquired at Batu Kawan Industrial Park, Penang, for its impending lease to Straits Orthopaedics (Mfg) Sdn Bhd, a wholly owned subsidiary of SAG. The site is expected to be fully operational by Q1 2024. Apex Healthcare’s share price closed unchanged at RM4.16 for a market capitalisation of RM1.99 billion. Year to date, it has gained 18.2%. Apex Healthcare posts 54% jump in 1Q net profit on strong demand KUALA LUMPUR (May 24): CelcomDigi Bhd posted a higher net profit of 34.63% at RM317.92 million in the first quarter ended March 31, 2023 (1QFY2023) from RM236.15 million in the preceding year corresponding quarter, owing to improved revenue contributions and foreign exchange gains, offset by the effects of accelerated depreciation of non-cash items. This first quarter marked CelcomDigi’s first full quarter of combined financial reporting post-merger of two telcos: Celcom Axiata Bhd and Digi.Com Bhd. CelcomDigi recorded positive topline and bottom-line growth, generating a healthy free cash flow of RM696 million, it said. It declared a first interim dividend of 3.2 sen per share for the financial year ending Dec 31, 2023, payable on June 28. The ex-date is June 13 and entitlement date is June 14. For the quarter under review, basic earnings per share slipped to 2.71 sen from 3.04 sen in 1QFY2022. Revenue increased 109.21% to RM3.18 billion versus RM1.52 billion, primarily from higher device sales on newly launched smartphone models, enlarged subscriber base and stable average revenue per user at RM42. Segment wise, its telecommunication revenue was higher year-on-year at RM2.67 billion in 1QFY2023 from RM1.31 billion. Sales of devices also improved to RM456.87 million from RM190.28 million. Quarter-on-quarter, net profit fell to RM321 million in 1QFY2023 from RM422 million, while revenue decreased to RM3.18 million from RM3.31 million, owing to declining total service revenue from seasonal and interconnect rate reduction impact on prepaid revenue and postpaid revenue, as well as lower revenue from wholesale partners. “We are accelerating integration efforts across the board, focusing on bringing the benefits of the merger to our customers in the shortest time possible,” CelcomDigi chief executive officer Datuk Idham Nawawi said in a statement on Wednesday (May 24). He added that organisational integration efforts are on track with a single management team and focused on bringing the best of both brands with improved offerings, network and retail experiences to its 20.2 million customers. “We are excited on the prospect of 5G and look forward to playing a more active and direct role in implementing the country’s 5G network, on the back of delivering the widest, most modern 4G network in Malaysia.” CelcomDigi’s 1Q earnings up 35%, declares 3.2 sen dividend Sunway 1Q profit rises 4% supported by property investment and healthcare segments by Sufi Muhamad theedgemalaysia.com by Hailey Chung theedgemalaysia.com by Lee Weng Khuen theedgemalaysia.com KUALA LUMPUR (May 24): Higher contributions from property investment and healthcare segments lifted Sunway Bhd’s first quarter net profit by 3.76% to RM141.64 million from RM136.51 million a year ago. This more than offset the lower profit contributions from the other business segments, the group said. Earnings per share for the quarter ended March 31, 2023 (1QFY2023) grew to 1.98 sen from 1.89 sen previously, according to Sunway’s bourse filing. Quarterly revenue rose to RM1.26 billion, up 13.6% from RM1.11 billion in 1QFY2022, driven by higher contributions from all business segments except construction and others segments. Sunway said the earnings from two of the group’s ongoing property development projects in Singapore will only be recognised upon completion and handover of the projects. “Hence, as at end-March 2023, the accumulated progressive profits related to these projects amounting to RM121.6 million is not yet recognised,” the group said in a statement. Sunway group chief financial officer Chong Chang Choong said the group’s 1QFY2023 financial performance was better than the pre-pandemic period, anchored by sustained domestic economic growth. “While there may be downside risks to the economic growth outlook, the group has taken actions to make our business units more resilient to manage the headwinds,” Chong said. He said the group is “cautiously optimistic” that most of its business units will continue to perform satisfactorily. “In particular, the group expects its leisure, hospitality, and healthcare segments to continue to benefit from the improving inbound leisure and medical-related tourism as more international airlines are resuming their flights to Malaysia,” he added. Sunway’s share price closed two sen or 1.27% lower at RM1.55 on Wednesday (May 24), bringing the group a market capitalisation of RM7.75 billion.

thursday may 25, 2023 6 The E dge C E O m o rning brief home KUALA LUMPUR (May 24): Amway (Malaysia) Holdings Bhd posted a net profit of RM19.57 million for the first quarter ended March 31, 2023 (1QFY2023), down 3% from RM20.17 million a year earlier, on the back of lower sales. Earnings per share fell to 11.9 sen from 12.27 sen, the group’s bourse filing showed. Quarterly revenue fell 4.94% to RM372.82 million, from RM391.23 million in 1QFY2022 when the group had benefited from a surge in demand ahead of a price increase, said Amway. The group declared a first dividend of five sen per share, the same rate as last year, payable on June 23. Amway said it remains cautiously optimistic of delivering a flat to modest revenue growth for the full financial year. The group said it will continue to be prudent in its operations with a focus on business sustainability, such as Amway Business Owner-centric (ABO) programmes, supply chain capacity uplift, new product launches and promotions as well as ongoing upgrades to the digital platform, and related delivery infrastructure. “Collectively, the costs of these critical business investments, plus the rising costs generally due to inflation, will exert pressure on the operating margin for 2023,” it added. Shares of Amway settled unchanged at RM5.32 on Wednesday (May 24), giving the group a market capitalisation of RM875 million. Amway posts flat 1Q net profit, declares 5 sen dividend MISC declares seven sen dividend as 1Q net profit climbs 63% KUALA LUMPUR (May 24): Hibiscus Petroleum Bhd posted a net profit of RM71.51 million or 3.55 sen per share in the third quarter ended March 31, 2023 (3QFY2023), down 76.7% from RM307.54 million or 15.32 sen the previous corresponding period due to higher expenses, including deferred taxation, and absence of negative goodwill. Notably, there was negative goodwill from business combination amounting to RM317.3 million in the previous corresponding period ended March 31, 2022 (3QFY2022). In a statement on Wednesday (May 24), the group announced an interim single-tier dividend of 0.75 sen, translating to a total of 1.5 sen declared to date, adding that it is targeting a minimum total dividend per share of 2.5 sen over the course of FY2023. Revenue almost doubled to RM523.34 million from RM297.06 million in 3QFY2022. The group said during the quarter under review, it achieved earnings before interest, taxes, depreciation and amortisation (Ebitda) of RM291.6 million, an increase of 80% from a year ago. For the nine months ended March 31, 2023, Hibiscus’ net profit fell 43.3% to RM277.24 million from RM397.55 million in the same period last year, despite revenue more than doubling to RM1.84 billion from RM828.15 million. Year-to-date, normalised Ebidta stood at RM947.9 million. Hibiscus said during the period under review, it sold 1.1 million barrels (MMbbl) of oil and condensate and 700,000 bbl of oil equivalent (mmboe) of gas for a total sales volume of 1.8 mmboe. In the current quarter, it achieved an average oil, condensate and gas production of 21,214 boe/day, with its wholly owned subsidiary Peninsula Hibiscus Group accounting for 65% of the production. Additionally, the group completed the drilling of the longest well in Malaysia in March 2023, extending to a total measured depth of approximately 7km, with gross production of about 3,000 bbl/day. The group also discovered approximately 1.6 mmboe net 2P gas reserves via the Bunga Lavatera-1 exploration well in April 2023. Hibiscus is forecasting to sell a total of 7.2 mmboe of oil, condensate and gas for the financial year ending June 30, 2023 (FY2023). Hibiscus shares settled up one sen or 1.1% higher at 94 sen, for a market capitalisation of RM1.89 billion. Hibiscus’ 3Q earnings tumble 77% on higher taxation, absence of negative goodwill by Isabelle Francis theedgemalaysia.com by Justin Lim theedgemalaysia.com by Syafiqah Salim theedgemalaysia.com KUALA LUMPUR (May 24): MISC Bhd’s net profit for the first quarter ended March 31, 2023 (1QFY2023) improved 62.83% to RM612.9 million or 13.7 sen per share, from RM376.4 million or 8.4 sen per share a year earlier, owing mainly to its petroleum and product shipping segment, as well as higher share of profit from joint ventures (JVs). Revenue increased 7.36% to RM3.08 billion from RM2.87 billion in the prior year, according to the energy shipping group’s filing on Wednesday (May 24). The company declared a first interim dividend of seven sen per share, with the ex-date of June 8, to be paid on June 22. By segment, the petroleum and product shipping’s operating profit jumped more than nine times to RM312.5 million from RM32.2 million previously on higher margin on freight rates. Revenue grew 36.6% to RM1.21 billion from RM887.3 million. MISC's share of profit from JVs rose to RM72 million from RM17.5 million previously. The group's operating profit from the marine and heavy engineering segment rose 11% to RM7 million from RM6.3 million as revenue grew 18.8% to RM496.2 million from RM417.8 million. Its offshore business revenue operating profit climbed 38% to RM166.7 million from RM120.8 million as the corresponding quarter’s operating profit was affected by higher construction costs of a floating, production, storage and offloading (FPSO) unit arising from the global supply chain issue and lockdowns in parts of China. However, revenue for the offshore business segment fell 24.1% to RM584.6 million from RM770.1 million on lower revenue recognition from the conversion of FPSO. On its prospects, MISC said the global upstream capital expenditure spending continues to increase this year, driven by high oil prices, strong cash flows and improved global oil demand.

THURSDAY MAY 25, 2023 7 THEEDGE CEO MORNING BRIEF

thursday may 25, 2023 8 The E dge C E O m o rning brief home KUALA LUMPUR (May 24): Tan Chong Motor Holdings Bhd posted a lower net loss of RM5.07 million for the first quarter ended March 31, 2023 (1QFY2023), against RM19.52 million a year ago, on the back of higher contribution from its automotive division due to a favourable sales mix and lower operating expenses which resulted in better margins. The group pointed to a one-off legal compensation of RM17.1 million charged out in the same period the preceding year. Revenue for the quarter dropped 19.42% to RM619.89 million from RM769.3 million a year before, largely due to prolonged supply chain disruptions and stiffer competition in the local and overseas markets during the festive seasons faced by its automotive division. The group declared an interim single tier dividend of one sen per share compared with 1.5 sen per share paid in the same period last year, to be paid on June 30, 2023. The group’s automotive division’s earnings before interest, tax, depreciation and amortisation (EBITDA) rose 162.1% to RM42.8 million in 1QFY2023 from RM16.34 million a year ago due to a favourable sales mix and lower operating expenses. This was despite the division registering lower revenue of RM599.1 million from RM749.69 million. Its financial services division posted a lower EBITDA of RM6.7 million, compared with RM8.35 million a year before, due to a reversal of impairment loss on hire purchase receivables recognised last year and higher operating expenses recognised in the current quarter under review. The segment’s revenue was higher at RM17.4 million versus RM16.92 million last year. Other operations also posted lower EBITDA of RM1.7 million from RM11.19 million a year before, due to lower net foreign exchange gain, and its revenue was higher at RM3.4 million from RM2.69 million before. On its prospects, Tan Chong said the high interest rate environment and prolonged supply chain disruptions are expected to stifle automobile sales growth and dampen consumer demand. Nevertheless, the group said it will continue to take active measures to rejuvenate the product line-up and raise its customer service level to position itself to compete well in the market. Shares in Tan Chong closed unchanged at RM1.06, giving the group a market capitalisation of RM712 million. Read also: Media Prima posts RM3.9 mil net profit in January-March 2023 quarter FM Global sees FY2023 performance close to FY2022’s level despite easing freight rates Matrix Concepts declares 2.25 sen interim dividend; total 8.25 sen for FY2023 Sime Darby 3Q net profit slips 1.6% to RM240 mil TA Ann maintains 10 sen dividend payout despite 63% drop in 1Q net profit Tan Chong’s 1Q net loss narrows on favourable sales mix, declares 1 sen dividend KUALA LUMPUR (May 24): Parkson Holdings Bhd reported a net profit of RM20.68 million for the first quarter ended March 31, 2023 (1QFY2023), against a net loss of RM8.63 million a year earlier, as its retail operations performed better, with higher sales generated during the festive and holiday seasons. Earnings per share stood at 1.8 sen, compared to loss per share of 0.76 sen in 1QFY2022, Parkson said in a bourse filing. Quarterly revenue rose 1.18% to RM837.79 million from RM828.04 million a year earlier. The results were also better when compared to the immediate preceding quarter (4QFY2022), when the group recorded a net loss of RM52.29 million on revenue of RM682.55 million. Parkson said its retailing division recorded a marginally higher year-on-year revenue of RM822 million in 1QFY2023, with operating profit increasing 49% to RM113 million. The group’s Malaysia retailing operations continued to witness a strong recovery in its stores’ footfall in tandem with the full lifting of movement restrictions, along with the pent-up demand from eager shoppers. Parkson returns to the black with RM20.7 mil net profit in 1Q The Malaysian operations recorded a profit of RM56.44 million, up 60% compared with RM35.32 million in 1QFY2022, as revenue grew 25% to RM201.2 million from RM160.38 million. Parkson’s China operations’ profit also grew 37% to RM57.58 million, from RM42.14 million a year earlier, while revenue dropped 5% to RM618.56 million from RM653.54 million. As for its Vietnam operations, the group’s loss narrowed to RM784,000 from RM1.45 million, as revenue fell 12% to RM2.14 million from RM2.44 million. On prospects, Parkson expects its retailing operations in Malaysia to benefit from the Hari Raya buying, while its China market will be driven by the resumption of cross-province and cross-border travel in China. “The group strives to enhance its operating efficiencies and cost improvements strategies, besides continuing to diversify the income sources to fully seize the opportunities, and promote long-term sustainable development of its businesses,” it said. Shares in Parkson closed 1.5 sen or 11.11% higher at 15 sen on Wednesday (May 24), giving the group a market capitalisation of RM172.34 million. by Anis Hazim theedgemalaysia.com by Justin Lim theedgemalaysia.com

thursday may 25, 2023 9 The E dge C E O m o rning brief home KUALA LUMPUR (May 24): Iris Corp Bhd’s contract to provide the National Integrated Immigration System (NIISe) to the government has been extended by 12 months. In a Bursa Malaysia filing on Wednesday (May 24), the identity products and solutions provider said its wholly owned subsidiary Iris Information Technology Systems Sdn Bhd (IITS) on May 23 received a letter of contract extension from the Ministry of Home Affairs of Malaysia (KDN). KDN agreed to extend the duration of the contract for a period of 12 months from Sept 1, 2025, to Aug 31, 2026. “Following the extension of NIISe contract period, IITS is required to extend the validity period in respect of the performance bond for a period of 12 months until Aug 31, 2027,” it said. The NIISE contract worth RM1.16 billion was awarded to IITS in January 2021, for a period of 54 months commencing from March 1, 2021 until Aug 31, 2025. According to a Bernama report, Home Minister Datuk Seri Saifuddin Nasution Ismail said that the project has not achieved adequate progress as at March 2023. Meanwhile, in February, Iris entered into a share sale agreement to sell 80% equity interest in IITS for RM70 million cash to Tass Tech Technologies Sdn Bhd, which is wholly owned by Tass Tech (M) Sdn Bhd (TTSB). The deal is expected to be concluded in August. Iris noted that the disposal would allow the group to unlock its value of investment in IITS and contribute positively to its cash flow, with proceeds from the sale to be used for working capital and any future business expansions. Shares in Iris closed unchanged at 1.76% higher at 10.5 sen on Wednesday, valuing the group at RM327.03 million. Iris Corp gets one-year extension for NIISe contract KUALA LUMPUR (May 24): Mechanical and electrical engineering services specialist Bintai Kinden Corp Bhd said it will be initiating an internal investigation into the conduct of “certain directors”, as well as the trading activities of the company. However, it did not identify the directors who will be investigated. “The scope of the investigation is set to include, but not be limited to, examining unauthorised trading of shares, potential insider trading, involvement of other directors or former company secretary, and the overall effectiveness of our corporate governance controls,” it said in a filing with Bursa Malaysia on Wednesday (May 24). Bintai Kinden, a Practice Note 17 (PN17) company, added that it has engaged an independent party to conduct the investigation. “The company’s intention is to ensure that the inquiry is impartial and thorough. The company would like to inform that the exercise is being taken seriously with the view of upholding the company’s values, protecting the interest of our shareholders and the integrity of the market.” Bintai Kinden, however, gave its assurance that the company will continue to carry out its business operations as usual “under the guidance and supervision of our remaining directors and the management team”. “Further announcement on the findings and any significant developments pertaining to this investigation, will be made to Bursa in accordance with the disclosure obligations from time to time,” it added. Bintai Kinden has emerged in the spotlight in recent months. On March 29, it had slipped into PN17 status after its wholly owned subsidiary Optimal Property Management Sdn Bhd (OPM) defaulted on a RM109 million Islamic financing facility. Following the default, the company had called on the Melaka state government to address payments amounting to RM49.8 million owed to the company for the Universiti Melaka (Unimel) project, which Bintai Kinden said was the reason for its default. Bintai Kinden also said the PN17 classification came after MBSB Bank Bhd terBintai Kinden to conduct internal probe on its own directors, trading activities minated its role as corporate guarantor to the RM109 million Islamic banking facility it had granted to OPM. In April, Bintai Kinden was slapped with two suits from MBSB Bank, one on defaulting the financing facility and another on liquidated ascertained damages. This was followed by Bintai Kinden’s non-executive chairman Datuk Ibrahim Othman and executive director Noor Azri Noor Azerai having to force sell all their shares in the company due to margin calls. Then in that same month (April 27), another unit of Bintai Kinden — Kejuruteraan Bintai Kindenko Sdn Bhd — was notified by Malayan Banking Bhd of the suspension of four existing banking facilities totalling RM188 million. Since then, the company has seen changes in its boardroom, including three resignations and two new appointments. The three directors who had resigned were Ibrahim, Noor Azri and Ong Choon Lui, while the new directors are former state assemblyman for Bemban, Melaka, Datuk Ng Choon Koon and his niece Ng Siew Kim. More recently, on May 16, Bintai Kinden announced that its group managing director Ku Chong Hong, 34, had been redesignated to executive director cum chief financial officer of the company. It also appointed Mohd Idzwan Izuddin Ab Rahman as executive director. At market close, Bintai Kinden shares closed half a sen or 9.1% lower at 5 sen, for a market capitalisation of RM44.6 million. Its share price has fallen 44.4% so far this year. theedgemalaysia.com by Anis Hazim theedgemalaysia.com

thursday may 25, 2023 10 The E dge C E O m o rning brief home KUALA LUMPUR (May 24): Kuala Linggi International Port (KLIP) and its related companies have awarded an RM800 million contract to China’s CCCC Dredging Southeast Asia for reclamation works which will lead to the development of a 620-acre island off the coast of Malacca. The contract to CCCC Dredging Southeast Asia was firmed up and awarded at the 16th Langkawi International Maritime and Aerospace Exhibition (Lima’23) on Wednesday (May 24), witnessed by Prime Minister Datuk Seri Anwar Ibrahim, Transport Minister Anthony Loke Siew Fook, and KLIP chairman and former Malacca chief minister Tun Khalil Yaakob, among other dignitaries. CCCC Dredging Southeast Asia is a subsidiary of China’s CCCC Dredging (Group) Co Ltd, one of the largest dredging companies in the world. CCCC Dredging Southeast Asia pipped four other companies — two other Chinese parties, a Dutch bidder and a Belgian outfit — that were shortlisted from an initial 24 candidates which had expressed interest to build the island. Dredging at KLIP is likely to commence in the third quarter of the year and will be undertaken in stages. KLIP group CEO Datuk Hishammudin Hasan said: “This area (KLIP in Malacca) will prosper. Once the expansion project is completed, Linggi Base (the project) will be able to handle ships with a draft of up to 22 metres at the outer berth, and will be equipped with facilities for cargo handling, storage and transhipment. The water depth of the port ranges between 25 and 55 metres within the port limit, making ours one of the deepest ports in the country.” “Linggi Base will create an economic impact zone of a 100km radius; generate foreign exchange earnings for the nation; create 6,000 to 10,000 new employment opportunities once the exKLIP inks RM800 mil dredging agreement with CCCC Dredging Southeast Asia KUALA LUMPUR (May 24): Construction firm Kerjaya Prospek Group Bhd anticipates that its profit margins will remain steady in the current year in comparison to the previous year, because of lower building material costs and a selective approach to which jobs the company tenders for. In a recent briefing, Kerjaya Prospek said it would prioritise tendering for contracts valued between RM300 million and RM500 million, which are less competitive, and thus could yield better margins. “We should be able to maintain profit margin this year and hopefully, improve it,” its non-independent, non-executive chairman Datuk Tee Eng Ho told at a briefing on the group’s results for the first quarter ended March 31, 2023 (1QFY2023). The group’s net profit margins stood at 9.9% as at end-March 2023, 10.21% in FY2022, and 9.92% in FY2021. For 1QFY2023, the group registered a net profit of RM29.41 million, a slight increase from RM28.86 million a year ago, while revenue inched down 1.1% to RM297.25 million, from RM300.59 million during the same period. The group attributed the lower revenue to the slower progress of construction work activities during the quarter under review. It had declared a first interim dividend of two sen per share, with an ex-date at June 12, 2023 and payment date at July 6, 2023. Commenting on the outlook for the construction industry, Tee said the environment remains challenging and expects the situation to persist over the next oneto two years. Among the main challenges are the shortage of infrastructure jobs by the government, the shortage of workers, the increase in workers’ minimum wage, as well as cash flow issues faced by contractors, according to Tee. This will result in less players going forward, as some of them will be phased out when they cannot survive. Kerjaya Prospek confident in defending profit margin this year by justin lim theedgemalaysia.com by Jose Barrock theedgemalaysia.com Tee is confident that Kerjaya Prospek Group will survive given its net cash position of RM260.2 million and with an outstanding construction order book worth RM4.5 billion in hand. The group expects the outstanding construction order book to provide earnings visibility for the next three- to four years. Additionally, Tee said the group’s labour shortage issue is expected to be resolved by the second half of this year, as it will bring in another 1,100 foreign labourers in phases, going forward. Currently, the group has about 4,000 construction workers. Meanwhile, the group has maintained its new contract win target of RM1.2 billion for this year, after securing a RM533.4 million contract so far this year. Tee said the group aims for job wins in areas such as high-rise projects in the Klang Valley and Penang. Of the RM533.4 million, RM135.4 million is for BBCC Development — a 21-storey building development, while the remaining RM398 million is for Tanjung Pinang Development — a construction of coastal protection structure for phase 2B and 2C at Andaman Island. Shares in Kerjaya Prospek Group closed up one sen or 0.9% higher to RM1.12 on Wednesday, giving the group a market capitalisation of RM1.42 billion. pansion is completed,” he added. In a nutshell, the plan for the 620-acre artificial island involves the development of a 170-acre, 1.5 million cu m tank farm, a 60-acre fabrication yard, a 131-acre shipyard to undertake dry docking, a cargo wharf and a distribution park. The development is estimated to cost RM15 billion, with a gross development value of RM100 billion. Towards this end, KLIP had in early January this year inked a memorandum of understanding with Anhua Haotong Energy (Shenzhen) Co, for the Chinese company to invest in the development, construction, and operations of the tank farm storage, ship repair yard and fabrication yard. According to KLIP’s Hishammudin, talks with Anhua Haotong Energy are still ongoing. KLIP has three licences — firstly to operate a bunkering facility, second as a port of refuge, and third for an industrial port, which is being built now. As part of its initiative to offer bunkering facilities, KLIP had inked a service agreement with Euronav NV in November 2019. Belgian shipping giant Euronav has a fleet size of more than 70 vessels, and undertakes ship-to-ship transfer activities at KLIP.

THURSDAY MAY 25, 2023 11 THEEDGE CEO MORNING BRIEF organised BY real estate matters 9.00AM ‑ 1.00PM SiMe DArby Convention Centre JUne 23, 2023 FriDAy JUne 24, 2023 SAtUrDAy navigating risk, finding opportunities Myth vs reality 1. The Malaysian Sustainable Constructions Journey: Are We On Track? Sr Zaid Zakaria Deputy Chief II, CIDB 1. Market Review: The next 12 months Foo Gee Jen, CBRE|WTW 2. Opportunities in ageing properties Jonathan Lee, Keller Williams Malaysia partner knowledge partner SUStAinAble ConStrUCtion 3. Maximising returns with effective property management strategies Low Hon Keong, Henry Butcher Malaysia (Mont’Kiara) 4. Where and what to buy Siva Shanker, Rahim & Co 2. Sustainable Construction Trends: What Works and What Doesn’t Nicholas Ho Chair, Ho & Partners Architects Explore the latest trends and developments in making the construction and property investment industries sustainable. This symposium also offers a comprehensive understanding of the challenges and opportunities ahead. eMbrACing SUStAinAbility in ConStrUCtion & reAl eStAte 3. Innovative Solutions of Next - Gen Digital IBS Ts Lim Hui Yan Executive Director, Gamuda Engineering by invitation only For enquiries, email [email protected] 5. PANEL DISCUSSION Buying into sustainable developments Previndran Singhe, Zerin Properties Ashwin Thurairajah, GreenRE Jess Teng, Gamuda Land Moderator: Amy Wong, Knight Frank 4. PANEL DISCUSSION Material Matters: Topic: Cement, a Sustainable Building Material? Clarrise Loh Head of Sustainability, YTL Cement Topic: Bamboo for Tomorrow Low Ewe Jin Founder, Better Bamboo Buildings Topic: Next: Ideas to Survive Calamity Dr Tan Loke Mun Principal, DTLM Architect Moderator: Au Foong Yee Editor Emeritus, The Edge Media Group REGiStRation StaRtS may 29, 9am Watch this space for more details.

THURSDAY MAY 25, 2023 12 THEEDGE CEO MORNING BRIEF organised BY real estate matters 9.00AM ‑ 1.00PM SiMe DArby Convention Centre JUne 23, 2023 FriDAy JUne 24, 2023 SAtUrDAy navigating risk, finding opportunities Myth vs reality 1. The Malaysian Sustainable Constructions Journey: Are We On Track? Sr Zaid Zakaria Deputy Chief II, CIDB 1. Market Review: The next 12 months Foo Gee Jen, CBRE|WTW 2. Opportunities in ageing properties Jonathan Lee, Keller Williams Malaysia partner knowledge partner SUStAinAble ConStrUCtion 3. Maximising returns with effective property management strategies Low Hon Keong, Henry Butcher Malaysia (Mont’Kiara) 4. Where and what to buy Siva Shanker, Rahim & Co 2. Sustainable Construction Trends: What Works and What Doesn’t Nicholas Ho Chair, Ho & Partners Architects Explore the latest trends and developments in making the construction and property investment industries sustainable. This symposium also offers a comprehensive understanding of the challenges and opportunities ahead. eMbrACing SUStAinAbility in ConStrUCtion & reAl eStAte 3. Innovative Solutions of Next - Gen Digital IBS Ts Lim Hui Yan Executive Director, Gamuda Engineering by invitation only For enquiries, email [email protected] 5. PANEL DISCUSSION Buying into sustainable developments Previndran Singhe, Zerin Properties Ashwin Thurairajah, GreenRE Jess Teng, Gamuda Land Moderator: Amy Wong, Knight Frank 4. PANEL DISCUSSION Material Matters: Topic: Cement, a Sustainable Building Material? Clarrise Loh Head of Sustainability, YTL Cement Topic: Bamboo for Tomorrow Low Ewe Jin Founder, Better Bamboo Buildings Topic: Next: Ideas to Survive Calamity Dr Tan Loke Mun Principal, DTLM Architect Moderator: Au Foong Yee Editor Emeritus, The Edge Media Group REGiStRation StaRtS may 29, 9am Watch this space for more details.

THURSDAY MAY 25, 2023 13 THEEDGE CEO MORNING BRIEF HOME NEWS IN BRIEF Keith Miranda appointed as Invictus Blue group MD KUALA LUMPUR (May 24): Integrated media firm Invictus Blue has appointed Keith Miranda as its group managing director. In a statement on Wednesday (May 24), Invictus Blue said Keith was the head of investments of Citigroup in Sydney, Australia, overseeing structured investments and derivative offerings to clients in Asia prior to this latest appointment. He was also the head of new arrival client acquisitions of Westpac Banking Group in Australia. Currently Keith is a board of director and the national treasurer of the Australia China Business Council. He is a graduate of Harvard Business School, as well as a KPMG Australia trained chartered accountant. — by Sufi Muhamad Kim Teck Cheong gets SC nod to transfer to Main Market KUALA LUMPUR (May 24): Kim Teck Cheong Consolidated Bhd (KTC) has received clearance from Securities Commission Malaysia to transfer its listing to the Main Market of Bursa Malaysia Securities Bhd. KTC was listed on the ACE Market in 2015, and booked a revenue and net profit of RM341.2 million and RM2.0 million respectively for its financial year ended June 30, 2016 (FY2016). Its revenue and net profit ballooned to RM705.8 million and RM22.1 million respectively in FY2022, giving respectable growth rates of 106.9% and 1,005.0% respectively. In a statement on Wednesday (May 24), KTC said its current ratio of 123.3% and gearing ratio of 48.1% (as at end FY2022) are huge improvements in contrast to FY2016’s corresponding ratios. — by Surin Murugiah Uzma gets three-year contract from Petronas Carigali for gas lift valve provision KUALA LUMPUR (May 24): Uzma Bhd has accepted a contract from Petronas Carigali Sdn Bhd (PCSB) for the provision of gas lift valve and insert strings equipment, accessories and services. However, it did not indicate the value of the contract. Uzma said its wholly-owned subsidiary Uzma Engineering Sdn Bhd has received the letter of award dated March 14 from PCSB, which stated that the scope of work will be for PCSB’s wells in offshore East and West Malaysia. The duration of the contract will be for three years ending on March 13, 2026, it said. The group expects the contract to contribute positively towards its earnings and net assets per share for the financial year ending June 30, 2023 (FY2023) and onwards until the expiry of the contract. — by Hailey Chung UMW reports lower car sales in April 2023 KUALA LUMPUR (May 24): UMW Holdings Bhd reported lower car sales of 25,641 units in April 2023, down 21.35% from 32,600 units in the same month a year ago. For the first four months (4M2023) of the year, its total sales came in at 129,424 units, higher than the 116,671 units sold in the same period in 2022, according to its statement on Wednesday (May 24). Both UMW Toyota Motor (UMWT) and UMW’s associate company Perusahaan Otomobil Kedua Sendirian Bhd (Perodua) recorded healthy sales amid the Hari Raya holidays. UMW’s president and group CEO Datuk Ahmad Fuaad Kenali said the better sales brought their combined market share to 54.15%. — by Sufi Muhamad Revenue Group’s Danny Leong relinquishes CEO role KUALA LUMPUR (May 24): Danny Leong Kah Chern has relinquished his role as Revenue Group Bhd’s group chief executive officer (CEO), after assuming the position for about five months. He will continue to serve the group as its advisor effective Wednesday (May 24), the payment solution provider said in a bourse filing. Kah Chern had submitted his resignation letter in March, but the group announced at that time that its board had asked him to reconsider his decision. Kah Chern is a former CEO of Cuscapi Bhd and GHL Systems Bhd. Revenue Group was in the spotlight in recent months, after the group filed a lawsuit against the group’s co-founders Brian Ng Shih Chiow and his younger brother Dino Ng Shih Fang. Kah Chern’s appointment to Revenue Group’s board came after the suspension of the Ng brothers from the board in January. Besides Kah Chern, Revenue Group had also appointed three others as directors, namely Ooi Guan Hoe (executive director), Tham Sai Cheong (independent and nonexecutive director) and Leong Seong Wui (executive director). Subsequently, in March, Revenue Group appointed six new directors while eight directors resigned. — by Justin Lim

thursday may 25, 2023 14 The E dge C E O m o rning brief home KUALA LUMPUR (May 24): Lawyers for single mother Loh Siew Hong are seeking to expedite the release of the appeal record following the High Court’s decision to dismiss her bid to reverse the unilateral conversion of her children to Islam. Loh’s counsel J Gunamalar confirmed the matter when contacted. “The next case management is fixed for June 7 to update [the appellate court] on the record of appeal. We are expediting the process of the record of appeal,” she told The Edge on Wednesday (May 24), following case management at the Court of Appeal. Loh is appealing the decision of High Court judge Datuk Wan Ahmad Farid Wan Salleh, who on May 11 ruled that the three children had not stopped professing the religion of Islam even under Loh’s care. He noted that there was no evidence before him to indicate that the children — twin girls who are now 14 years old and a boy who is now 11 — have reverted to the Hindu religion. Thus, the High Court judge said that for the welfare of the children, the status quo ought to be maintained. Wan Ahmad Farid also found that there was no dispute that the certificates Unilateral conversion case: Loh’s lawyers want release of appeal record expedited PUTRAJAYA (May 24): The Court of Appeal on Wednesday (May 24) has allowed the appeals of 68-year-old landowner Tan Jiak Chye to subpoena four people to testify in his RM330 million suit against 1Malaysia Development Bhd (1MDB) and 1MDB’s counterclaim of RM6 million on him in relation to the Air Itam estate. The four are Choo Kwang Wah and Choo Kwang Bin, who are children of the late Chor Phaik Sim, the other owner of the estate, and Datuk Seri Th’ng Boon Chye and Wong Kim Fong of the Kek Lok Si temple. Tan and Chor have undivided shares in the estate. A three-member bench led by Judge Datuk Azizah Nawawi allowed Tan’s appeal to call them as Tan’s witnesses and set aside the Penang High Court decision last year. Sitting with her were Judges Datuk Che Mohd Ruzima Ghazali and Datuk Wong Kian Kheong. Wong, who read the broad grounds of the unanimous decision ruled the Penang High Court judicial commissioner had erred in setting aside the subpoena application on the four as the appellate court found they could be relevant to the case at hand. “The plaintiff (Tan) is entitled to subpoena them, and it is not for the court to determine how the parties would conduct its case. Following that the appeals are allowed,” Wong said. The bench also ordered Kwang Wah, Kwang Bin, Boon Chye and Kim Fong to pay total legal costs of RM10,000 to Tan. Tan’s counsel, M Thayalan, had told the bench that the four witnesses are vital in its case to verify the consent judgement in 2018, Landowner secures appeal to call four witnesses in Penang 1MDB suit on Air Itam estate by hafiz yatim theedgemalaysia.com by Tarani Palani theedgemalaysia.com of conversion were issued to the children in July 2020. Loh, 36, filed her appeal on May 15. In her judicial review application filed in March last year, Loh was seeking declarations that her children are Hindu — her ex-husband Muhammad Nagahswaran Muniandy’s religion prior to his conversion — and the reversal of the registration of her children’s conversion to Islam. She was also seeking declarations that the children were legally unfit to embrace Islam without her approval. She had named Perlis Registrar of Mualaf, the state’s mufti Datuk Dr Mohd Asri Zainul Abidin, the state government and Perlis Islamic Religious and Malay Customs Council (MAIPs) as respondents. She filed for divorce in December 2019, and the divorce was finalised in September 2021. In March 2021, she secured a final court order, giving her full and sole custody of her children. Despite the court order, she claimed that her children were kept from her. However, she was finally reunited with them when the High Court granted her habeas corpus application in February last year. reached with regards to the shares related to the land as Kwang Wah and Kwang Bin along with Boon Chye and Kim Fong are part of the judgement with regards to the land that had seen a deed of settlement be procured. Thayalan said it is their case that it can summon any witnesses that are in fact relevant to the issue. “We are willing to take the risk as it was either we (Tan) or 1MDB that will decide to call them. They know something relevant and material to the case (regarding the land deal),” he said. Both Datuk K Kirubakaran and Muhammad Iman Johar representing the four witnesses disagreed with Thayalan, telling the court that the five letters with the landowners that were dated in 2007, were not the subject matter of the dispute and does not concern them as it was prior to Tan’s dispute with 1MDB. Iman further submitted that the Choo brothers (Kwang Wah and Kwang Bin) were not privy to Tan’s dealings with 1MDB and hence, they should not be called as witnesses. Thayalan in reply said the trial had started in February and would resume in September, and Tan should be allowed to conduct his case and prove their claim properly as all four were signatories in the consent judgement. Read the full story Read the full story Zahid Izzani/The Edge Single mother Loh Siew Hong

thursday may 25, 2023 15 The E dge C E O m o rning brief home KUALA LUMPUR (May 24): A total of RM11.2 billion in unclaimed money is currently under the management of the Accountant General’s Department (JANM) as of April 30, the Dewan Rakyat was told on Wednesday (May 24). Deputy Finance Minister Datuk Seri Ahmad Maslan said over 70% of the unclaimed money was from bank accounts which had been inactive for seven years or more. “As of yesterday, we have refunded RM3.3 billion to the people who made claims,” he said during the question and answer session. He was responding to a question from Fong Kui Lun (PH-Bukit Bintang), who wanted to know the amount of accumulated unclaimed money as of March 31 and plans to utilise said funds for national development. RM11.2 bil in unclaimed money in govt coffers as of April 30, Dewan Rakyat told KUALA LUMPUR (May 24): Prime Minister Datuk Seri Anwar Ibrahim fended off Tasek Gelugor Member of Parliament (MP) Datuk Wan Saiful Wan Jan’s question on monopolies in the supply of water, electricity and highways in Malaysia. Bersatu’s Wan Saiful had enquired if the federal government is planning to break other monopolies, such as in electricity, water, highways, and the operation of trust schools under the Ministry of Education, following the government’s decision to introduce a second 5G network. During the Prime Minister’s question and answer session in Dewan Rakyat sitting on Tuesday (May 23), Anwar responded that he is in agreement that a monopoly situation is not beneficial. He said the supply of water is not a monopoly as it falls under the purview of the state governments, while power is also not a monopoly as there are independent power producers. He also pointed out that not all of the highways were built by the government, and there was competition among different concession holders. “I agree in principle that monopolies, or in this context duopoly (referring to the dual 5G network), should not continue, competition should be encouraged that can give guarantees to consumers as well as lower cost,” Anwar said. Wan Saiful had also asked if the second 5G network will cover both wholesale and retail and if the valuation of Digital Nasional Bhad (DNB) will be guaranteed after being handed over to private companies. DNB was established in early March 2021 to drive the development of the 5G infrastructure in Malaysia. It is a Malaysian special-purpose vehicle company owned by the Ministry of Finance and regulated by the Malaysian Communications and Multimedia Commission (MCMC). Earlier, Communications and Digital Minister Fahmi Fadzil announced that the Cabinet meeting on May 3 chaired by Anwar agreed that the implementation of 5G under a single network will continue until the end of 2023 when coverage is expected to reach 80% of populated areas. DNB will be taken over by a new Anwar fends off Wan Saiful’s question on water, electricity and highway monopolies entity following its scheduled achievement of 80% 5G coverage. Wan Saiful quoted DNB’s value at RM15 billion by Maybank Investment Bank based on its spectrum allocation for 15 years. In response, Anwar said that both 5G networks will have both wholesale and retail. “Even though the rules and agreements with DNB apply, we have to understand that the transition to the second network is not (happening) now, but followed after the one DNB network, so that there is no duplication of costs,” he added. “If we break now, it means the infrastructure that has been completed will be added again. So finally now, our decision is to use the existing infrastructure with the involvement of the existing telcos (telecommunication companies) so that it is more transparent.” Wan Saiful’s questions came after Ampang MP Rodziah Ismail had asked Anwar to state whether the government’s decision to move away from the single wholesale network model resulted in losses in terms of breach of international contracts, security risks, additional financial implications for the government and increased 5G prices for consumers. Anwar did not quantify on losses or gains. However, he said that “the implications of the government were greatly reduced due to the involvement of telcos”. He reiterated that Putrajaya’s decision for a second 5G network was to end the monopoly element associated with DNB to increase competition. He also assured that the MCMC regulatory framework and role are to be strengthened to ensure good coverage and quality of Malaysia’s 5G network. by Hailey Chung theedgemalaysia.com Bernama Wan Saiful had enquired if the federal government is planning to break other monopolies, such as in electricity, water, highways The Edge file photo Elaborating, Ahmad said some RM10 billion of the unclaimed money had been kept in fixed deposits and generated a return of RM250 million a year for the past 10 years. He further said that the RM250 million earned had been paid to consolidated funds and used for development and assistance to the people. Ahmad said unclaimed money is defined as money that has not been paid to its owners, such as salaries, bonuses and dividends within a year or more, as well as money in trading accounts between suppliers and companies. Meanwhile, Ahmad said the government is ready to consider using the unclaimed money for scholarships, but the main focus now is to return the money to the public. He said those who wish to make a claim can refer to the JANM’s portal at www.janm. gov.my or https://egumis.anm.gov.my.

thursday may 25, 2023 16 The E dge C E O m o rning brief home KUALA LUMPUR (May 24): The imposition of sales tax by the state governments of Sabah and Sarawak is the main reason why prices of fresh palm oil fruit bunches (FFB) in those two states are lower than in the Peninsular Malaysia, said the Ministry of Plantation and Commodities (KPK). The ministry said the price of FFB in each region is determined according to the price of crude palm oil (CPO) and palm kernel (PK) in the market as well as taking into account the cost of transportation from the plantation to the oil palm mill. “In Sabah, a 7.5% sales tax is imposed on the price of CPO, while in Sarawak it is 5% as well as a 5% sales tax on the price of crude palm kernel oil (CPKO). “This sales tax causes the net price of CPO at the factory gates in Sabah and Sarawak to be lower than the CPO price in the peninsula,” said the KPK in a written response posted on the Parliament website on Wednesday (May 24). “The quality of FFB received at the manufacturer’s palm oil factory will also determine and affect the price of FFB based on factors such as the level of ripeness of FFB, the length of time FFB is harvested, and foreign matter (dirt) found in the FFB such as sand. Sabah, Sarawak sales tax main reason why palm oil fruit bunches cost less compared to Peninsular Malaysia, says ministry KUALA LUMPUR (May 24): All-Party Parliamentary Group Malaysia (APPGM) on Political Financing has called for the government to consider implementing provisions for state funding of political parties into the proposed political financing law towards deterring corruption at the party level. “There are some Members of Parliament (MP) who have seen the draft law, and they say there was no political element in the draft on state funding — if we truly want to fight corruption at the party level, we need state funding,” APPGM on Political Financing chair and Subang MP Wong Chen told the press on Wednesday (May 24). “Voters may think all politicians are rich but that is not true. If we do not have a state funding provision, Datuk’s, Datuk Seri’s, Tan Sri’s and Tun’s will make donations to the party and that will be very detrimental to fighting corruption in the country,” Wong said, adding that state funding is an important element of democracy and is practiced in advanced democracies around the world. He continued that state funding of political parties is an essential element to raise Malaysia’s standards on the international level, ensure Parliament functions smoothly, and the government operates without corruption Parliamentary group calls for proposed political financing law to include provisions for state funding of political parties by izzul ikrAM theedgemalaysia.com “We want to thank the government for taking the time to respond that they are looking into this matter seriously,” he said in reference to Minister in the Prime Minister’s Department (Law and Institutional Reforms) Datuk Seri Azalina Othman Said’s written reply to a question posed by Kota Melaka MP Khoo Poay Tiong on Monday (May 22) pertaining to the government’s consideration of state funding of political parties. In her written reply on Monday, Azalina said the government is committed to combating corruption, and noted that any changes will need to get Cabinet approval. “Following the political developments after the 15th General Election, the political landscape in Malaysia has also experienced some changes with new coalitions being formed. Therefore, engagement sessions need to continue to get feedback from parties and stakeholders so the bill enacted is inclusive and comprehensive,” Azalina said. “In this regard, the proposed Political Funding Bill will be referred to the PAC (Public Accounts Committee) so that MPs’ views and suggestions on political funding are taken into account,” she added. Read the full story APPGM on Political Financing chair and Subang MP Wong Chen “The difference in palm oil extraction performance (oil extraction rate or OER) at the palm oil mill level will also affect the price because it involves the level of efficiency of operating the mill or machine to minimize oil losses during the processing works to produce CPO,” said the ministry. KPK said the government has no plans to implement FFB pricing in the market for the time being because the price is based on market forces determined by supply and demand. Meanwhile, the ministry also explained that it is evaluating and in the consideration stage for the proposed re-establishment of subsidies, especially for the oil palm replanting programme for smallholders based on high demand from the industry, especially from the smallholders. “KPK together with the Ministry of Finance (MOF) has taken the initiative by creating a financing or easy loan programme, better known as the Oil Palm Smallholder Replanting Financing Scheme (TSPKS) and the Oil Palm Smallholder Agricultural Input Easy Financing Scheme (IPPKS) in collaboration with Agrobank,” it said. bloomberg Bernama

thursday M AY 25, 2023 17 The E dge C E O m o rning brief NOW OPEN FOR SUBMISSIONS >>> • Entry forms can be downloaded for free from theedgemalaysia.com and edgeprop.my. • For enquiries, please contact us at 603-7721 8244 or [email protected] SUBMISSION DEADLINE All entries must reach The Edge Communications Sdn Bhd at Level 3, Menara KLK, No. 1 Jalan PJU 7/6, Mutiara Damansara, 47810 Petaling Jaya, Selangor, by 5PM, FRIDAY, JUNE 23, 2023 The Edge Malaysia Top Property Developers Awards, the anchor awards of The Edge Malaysia Property Excellence Awards, was established in 2003 to rank Malaysia’s best property players based on their quantitative and qualitative attributes. The Edge Malaysia-PAM Green Excellence Award is an exercise to recognise property developments that demonstrate sustainable design that is innovative and outstanding while contributing positively to the community. The Edge Malaysia Affordable Urban Housing Excellence Award is an exercise to recognise outstanding affordable housing projects for the urban middleincome group undertaken wholly by private sector property developers in Malaysia. The Edge Malaysia-PEPS Value Creation Excellence Award is an exercise to measure the capital appreciation of properties between the property developers’ selling price and the subsequent resale price in secondary transactions. The Edge Malaysia Outstanding Overseas Project Award is an exercise to recognise impressive projects undertaken wholly by Malaysian private sector property developers in other countries. Official Solar Partner Supported By

thursday may 25, 2023 18 The E dge C E O m o rning brief world SYDNEY (May 24): The Australian Treasury has referred a confidential document leak scandal involving professional services firm PricewaterhouseCoopers (PwC) to police, Secretary to the Treasury Steven Kennedy said on Wednesday (May 24). The government, a PwC Australia client, has accused the firm of using confidential information about new anti-tax avoidance measures to win more business, in what it has called a major breach of trust. PwC Australia’s CEO stepped down this month and the firm has said it is “committed to learning for our mistakes”. The firm’s former head of international tax, Peter Collins, improperly used confidential Commonwealth informaAustralia refers PwC tax document leak scandal to police (May 24): Treasury Secretary Janet Yellen said signs of market stress are now beginning to emerge as the federal government moves closer to running out of cash, and the Biden administration’s focus is on completing a debt-limit deal rather than contingency planning for a default. “We are committed to not having missed payments and raising the debt ceiling,” Yellen said Wednesday via video conference to an event in London. “We’re not involved in planning for what happens if there’s a default,” she added when asked whether the Treasury was engaged with major financial institutions in game-planning a default scenario. The Treasury chief also reiterated that her department may run out of cash to pay the nation’s bills as soon as June 1. “It’s highly likely that we would run out of resources to meet all the government’s obligations in early June and possibly as early as June 1,” she told a conference sponsored by the Wall Street Journal. “We no longer see very much likelihood that our resources will enable us to get to the middle or end of June.” by Lewis Jackson Reuters tion, and emails tabled in parliament earlier this month revealed “a wide range of individuals” at the firm were privy to the information, said Kennedy. “In light of these recent revelations and the seriousness of this misconduct, the Treasury has referred the matter to the Australian Federal Police to consider commencement of a criminal investigation,” he said. The Australian Federal Police is investigating the alleged misuse of confidential government information, a spokesperson said in a statement to Reuters. PwC Australia will continue to cooperate fully with any investigations into this matter, a spokesperson said. PwC said this month that former Telstra and Optus CEO Ziggy Switkowski will lead an independent review into the leak and will report his findings and recommendations in September. Amid calls to ban the firm from government work, Treasurer Jim Chalmers on Monday foreshadowed steps to crack down on similar behaviour but declined to provide specifics. Australian Senators Deborah O’Neill and Andrew Bragg plan to raise the issue and demand more information during scheduled parliamentary hearings next week, spokespeople told Reuters. reuters Yellen says Treasury pushing for debt-limit deal, not prepping for default by Christopher Condon Bloomberg We are committed to not having missed payments and raising the debt ceiling. Debt-limit talks in Washington hit a fresh impasse with negotiators said to be far apart on key issues. Discussions are set to continue on Wednesday. Republican lawmakers have refused to raise the cap on US borrowing unless President Joe Biden agrees to spending cuts.

thursday may 25, 2023 19 The E dge C E O m o rning brief world (May 24): The money manager of billionaire Infosys Ltd founder Narayana Murthy will hire professionals and double its US$1 billion (RM4.57 billion) in investments in the next five years, betting India will emerge as a high-quality manufacturing hub. Catamaran Ventures LLP, which began operations in 2009, will raise its assets under management to as much as US$2 billion and is exploring strategic partnerships in three new areas: deep tech, precision engineering and manufacturing, and renewables, according to chairman MD Ranganath. That marks a shift from the firm’s prior focus on services, he said in a recent interview. Murthy helped build Infosys into one of India’s national champions by pioneering a novel strategy of outsourcing technology services. His daughter, Akshata Murty, the wife of UK Prime Minister Rishi Sunak, is a director at the British branch of the clan’s investment firm, a separate entity. Catamaran Ventures, based in Bangalore, employs about 15 staff in India overseeing holdings spanning e-sports, insurance and Elon Musk’s Space Exploration Technologies Corp. “For the next stage of India’s growth, manufacturing is clearly one of the trajectories,” Ranganath said. “The advantage for India is all this innovation can be tested in India for scale, and then taken to the global markets.” Murthy’s venture firm previously partnered with Amazon.com Inc to build up Prione Business Services, which began by helping merchants get online to sell their wares before becoming a dominant vendor itself. Catamaran Ventures’ stake was ultimately bought out by Amazon. The firm will continue to back early- and late-stage companies, according to Ranganath. Catamaran Ventures has also invested in social network Reddit and the National Stock Exchange, India’s largest bourse, according to its website. Nearly a third of the firm’s investments are in early-stage companies and the rest is evenly split between late-stage and growth enterprises, according to President Deepak Padaki. The firm has also partnered with early-stage funds, he said. Infosys founder to double private firm’s investments LONDON (May 24): HSBC is reviewing a possible exit from as many as one in five of the countries the lender operates in to sharpen its focus on Asian expansion, chief financial officer Georges Elhedery told Reuters in his first interview since taking the role. These reviews, which could see the British bank deciding to sell or streamline businesses in 12 countries, follow pressure from Chinese shareholder Ping An Insurance, which wants HSBC to prioritise growth in its money-spinning Asian business which generates 78% of group profit. “Some of these will have slower progress than others, and none of them is material enough on its own to change the profile of the overall business, but as we progress through and execute on these assessments, we do expect them to contribute towards that shift to Asia,” Elhedery said, declining to disclose which markets were under review or the time frame for the processes. HSBC’s ongoing pivot to Asia has already triggered planned sales of all or parts of its businesses in France, Greece, Russia and Canada, announced in the last two years. While the markets under review may be relatively small, the move is significant in showing the pressure HSBC faces to shrink its once globe-spanning local banking businesses in order to lift returns and appease its investors. HSBC does not break out the results of every individual country in which it operates in its overall results, making identifying underperforming markets challenging. But its businesses in Europe and Latin America may be particularly under the microscope, with the former region making a net loss in 2022 thanks to restructuring and the costs booked to its headquarters in the region. Latin America contributed just under 5% of group profit. One country not currently under review is Mexico, Elhedery said, despite debate among analysts and investors on the bank’s future presence in the country. “Mexico is performing very well for us,” the veteran banker said, pointing to the US-Mexico-Canada trade agreement and to the China Plus One strategy, which have supported economic growth in Mexico. “Some 70% of client acquisition in the retail business is through employees of the multinational companies that HSBC banks in Mexico, so there are strong synergies with the wholesale business and the package as a whole makes sense for us,” he added. Bigger deals present wider challenges Ping An was the only major HSBC investor backing proposals to force the bank to publish regular assessments on the merits of dividing its franchise along Asian and Western lines at HSBC’s annual shareholder meeting on May 5. A spokesperson for Ping An said the company had no further comment. The failure of Ping An to secure further backing for a split has afforded HSBC chairman Mark Tucker, chief executive Noel Quinn and newly-promoted Elhedery some breathing space to pursue greater profit growth on their terms. “It’s overwhelmingly clear what the majority of our shareholders bar one expect from us, and therefore all our focus now is on deAsia-focused HSBC puts 12 countries on exit watchlist livering for the business and for our customers,” Elhedery said. Wider challenges include executing critical asset sales, managing a price war with rivals as interest rate hikes peak, and dealing with rising political tensions between East and West, analysts and investors said. The bank on April 14 said a nominal €1 deal to offload its French retail business could falter after interest rate hikes upped the amount of capital Cerberus-backed buyer, My Money, will need to secure regulatory approval. HSBC had said it expected to incur a loss of around US$2.3 billion (RM10.5 billion) on the disposal should it go ahead. Elhedery said negotiations are ongoing but HSBC would walk away from the deal to protect shareholder value if necessary. HSBC’s larger US$10 billion sale of its Canada unit has also been delayed until next year, as it battles to ensure a smooth transition of systems to the buyer, Royal Bank of Canada. Failure to complete either of those deals could have wider consequences for HSBC. “In the short term, the risk that the French and Canadian disposals don’t complete ... could put a spanner in the works of its Asia pivot and spark a fresh wave of activism,” said Susannah Streeter, head of money and markets at Hargreaves Lansdown. Beyond dealmaking, Elhedery said the medium-term challenge is sustaining momentum in revenue growth, with the fillip from rising central bank interest rates worldwide already tapering off. The bank is trying to increase income through fee-based products and services, especially in China and Hong Kong where economies are beginning to normalise following the lifting of Covid-19 related restrictions. HSBC is on track to hire around 2,000 private wealth managers in China’s insurance sector over the next two years, adding to the 1,000 hired last year, Elhedery said. by Lawrence White Reuters by Preeti Singh & Baiju Kalesh Bloomberg

thursday may 25, 2023 20 The E dge C E O m o rning brief world JAKARTA (May 24): Indonesia will allow shipments of some raw minerals to continue despite an export ban that is set to start in June, the mining minister told parliament on Wednesday (May 24). The resource-rich country had planned to ban exports of all metal ore to encourage investment in the domestic processing industry. But exports of copper, iron ore, lead, zinc and anode mud from copper concentrates will be allowed until smelters, many of which were delayed by the pandemic, are ready to handle the materials, said Energy and Mineral Resources Minister Arifin Tasrif. He said banning shipments of these materials prematurely would cost the country revenue and jobs. Companies will be allowed to continue exporting as long as their smelters reached 50% completion as of January, Arifin said, and they will be required to pay export duties. Jakarta has said it would exempt copper miners Freeport Indonesia and Amman Mineral Nusa Tenggara from the ban as their smelter development was also delayed by the pandemic. However, bauxite shipments would be stopped in June, Arifin said, since four existing smelters can absorb ores intended for export. “By optimising the processing at these four smelters there would still be an additional export value of US$1.9 billion (RM8.7 billion) ... so the government would still get a net benefit,” he said. He also noted that out of eight bauxite processing plants currently being built, seven were found to be “just open fields” despite progress reports from companies saying they were up to 66% complete. Indonesia in 2020 banned exports of nickel ore, rattling global markets. But the ban resulted in massive inflows of smelter investment and helped boost the value of exports from Southeast Asia’s largest economy. Indonesia to allow exports of five raw minerals despite June ban (May 24): Volatility is rising in Thailand’s financial markets amid concern investors will have to wait until August to find out whether a coalition of pro-democracy parties can form a new government. Uncertainty after the May 14 election first triggered an outflow of funds, worsening the rout in Asia’s worst-performing stock market this year and weakening the baht. Stocks then rallied this week, and the currency retraced some of its losses Wednesday. While the new coalition formalised its alliance Monday, when a quarterly economic report showed better-than-expected growth, there is concern that funds will keep taking money out of the country until there’s clarity on the new leadership. “This is a classic case of politics getting in the way of an economic rebound in the making, which would certainly have been bullish for Thai assets,” said Vishnu Varathan, head of economics and strategy at Mizuho Bank Ltd in Singapore. Overseas investors unloaded the nation’s bonds for a fifth day on Tuesday, with outflows totalling more than US$1.2 billion over the period. They’ve sold off stocks for 11 straight days, withdrawing US$725 million, according to data compiled by Bloomberg. The benchmark SET slid 3% last week before rising 1.7% over the past three days. Thailand’s Election Commission has up to 60 days after the vote to release official election results and certify 95% of the lower house seats. The first session of the new parliament must then take place within 15 days. That pushes back the timeline of government formation to late July or even early August. The coalition forged by the Move Forward Party, which won the most seats in the election with 313, a clear majority in the 500-member House of Representatives. But as things stand, that’s still short of the 376 needed for Pita to become prime minister. He will require broader support from the military-appointed Senate, whose 250 members also vote on who will get the top job. ‘Serious question’ “The rising political risk post election has really unnerved investors, with foreign outflows from Thai bonds and equities,” said Kobsidthi Silpachai, head of Capital Market Research at Kasikornbank Pcl in Bangkok. “There’s a serious question from investors about when the new government will be formed. Any delay would significantly affect the economy.” Should the coalition manage to form a government, the parties are expected to follow through with their promises of giving cash handouts, increasing the minimum wage and boosting allowances for pensioners and the elderly. The Move Forward Party has also pledged to end business monopolies and promote more investment outside of Bangkok. “We still expect the SET Index to move sideway until the parliament’s session to vote on the prime minister,” said Padon Vannarat, head of research at Yuanta Securities Pcl. “We have to watch the senators’ directions closely but we expect the index to rebound, especially when the parliament’s vote for a new PM gets closer.” Read also: Here’s how Thailand’s PM race could play out as talks drag on Uncertainty grips Thai markets with new government in limbo by Karl Lester M Yap & Anuchit Nguyen Bloomberg Reuters

thursday may 25, 2023 21 The E dge C E O m o rning brief world BRUSSELS (May 24): Ryanair on Wednesday (May 24) won its challenge to an EU decision allowing Italian aid to pandemic-hit airlines, the second such victory in two weeks for Europe’s largest budget carrier. The Irish airline has filed more than a dozen lawsuits against billions of euros in what it said was unfair state aid granted to airlines across the 27-country European Union (EU) and approved by the European Commission. The EU’s Luxembourg-based General Court on Wednesday annulled the Commission’s clearing of the Italian state aid, saying the competition enforcer had failed to explain in a clear and unequivocal way why it had not opened an investigation and had given its approval. Ryanair wins latest challenge against aid to Covid-hit airlines (May 24): Goldman Sachs Group Inc has made Japan’s leading taxi-hailing provider, Go Inc, a unicorn with its biggest startup investment in the country. Tokyo-based Go was valued at ¥135 billion (US$1 billion) in its latest fundraising round, which will bankroll aggressive acquisition forays and an initial public offering in the near future, according to President Hiroshi Nakajima. The taxi app operator landed ¥10 billion from the Wall Street titan after pitching itself directly to financial institutions. It also secured a ¥3 billion loan line from MUFG Bank Ltd as well as a ¥1 billion line of credit from Sumitomo Mitsui Trust Bank Ltd. Goldman began investing in global startups from a dedicated vehicle in 2022, and Go marks its biggest outlay in Japan under that initiative. It bumped Go’s valuation up by 5% from its previous funding round two years ago. “We wanted to strengthen our arsenal for new business initiatives and diversify our stakeholders by inviting non-Japanese financial players as we target an IPO within the next few years,” Nakajima said in an interview. Go launched its hailing app in 2020 and quickly became the most-used platform in Japan. It had good pedigree, with 45-yearGoldman backs Japan’s biggest taxi app at US$1 bil valuation without a taxi licence. Instead, Nakajima worked closely with the existing taxi companies — and layered on booking and pickup fees to expand revenue overall. Now commanding 70% of the domestic market, according to Nakajima, Go has outpaced Uber, Didi Global Inc and even Sony Group Corp, which operates a joint venture named S.Ride. “Thanks to the law here, the market is well protected and we don’t need to sacrifice revenue to keep market share,” Go’s president said. The firm sells itself as an aid for drivers to make more money rather than a threat. Its relationship with taxi companies and drivers is key, as having a big roster helps it rapidly respond to app users. Go uses artificial intelligence to suggest routes that will maximise the chance of picking up a passenger. It also helps with updates on roadworks and safer-driving navigation tips. Half of the firm’s revenue comes from its business partners. Go’s app has been downloaded more than 14 million times, and its revenue is expected to grow 70% to ¥18 billion in the fiscal year ending this month. Read the full story by Takashi Mochizuki Bloomberg by Benoit Van Overstraeten Reuters The Commission must act as a guardian of the level playing field in air transport and cannot signoff discriminatory state aid under political pressure by national governments. old Nakajima having previously steered online portal DeNA Co’s taxi-ordering app. It also benefited from the country’s ban on the free-for-all ride-hailing model, championed by Uber Technologies Inc, where anyone can start charging for rides, even tain airlines holding an Italian licence. Ryanair welcomed the court’s ruling. “Today’s judgment confirms that the Commission must act as a guardian of the level playing field in air transport and cannot sign-off discriminatory state aid under political pressure by national governments,” a Ryanair spokesperson said. Two weeks ago the same court ruled in Ryanair’s favour in cases involving pandemic state aid measures for competitors Lufthansa and SAS. Read also: Cathay Pacific fires three after non-English speakers mocked In October 2020, after the Covid-19 pandemic had brought travel to a virtual standstill, Italy had gained the Commission’s approval for €130 million (RM644.06 million) in subsidies to cerbloomberg reuters

THURSDAY MAY 25, 2023 22 THEEDGE CEO MORNING BRIEF WORLD (May 24): Britain’s inflation rate remained much stronger than expected, with the fastest increase in services and core prices in more than three decades fuelling a flurry of bets on more Bank of England interest rate rises. The Consumer Prices Index registered 8.7% in April, higher than any of the 36 estimates from economists or the 8.4% reading forecast by the central bank. Core prices excluding food, energy and tobacco accelerated to 6.8% last month from 6.2% in March. The figures overshadowed the fact that inflation fell into single digits for the first time in eight months and will add to pressure on the Bank of England to keep raising interest rates through the summer. Gilts fell, the pound rose and traders quickly moved to price in further BOE rate increases, betting on almost a full percentage point of hikes through the end of the year. “With inflation proving stickier than the Bank expected, it now seems all-but certain that the Bank will raise interest rates from 4.50% to 4.75% in June and perhaps a bit further in the months after,” said Paul Dales, chief UK economist at Capital Economics. UK’s stubbornly high inflation fuels bets for higher rates (May 24): Traders at five major banks colluded in chatrooms to swap sensitive information on UK bonds, Britain’s antitrust agency said in provisional findings that could pave the way for hefty fines for some of the lenders. Citigroup Inc, Deutsche Bank AG, HSBC Holdings plc, Morgan Stanley and Royal Bank of Canada each unlawfully shared competitively sensitive information in chatrooms between 2009 and 2013, the Competition and Markets Authority (CMA) said on Wednesday (May 23). Deutsche Bank won’t be fined and any penalty that Citi receives will be discounted after the duo admitted their involvement, the CMA said. HSBC, Morgan Stanley and Royal Bank of Canada haven’t admitted any wrongdoing. At this stage, no assumption should be made that any of the banks have broken the law. Penalties may be issued once a final conclusion is reached, the regulator added. The case relates to a small number of traders who worked at the bank and was connected to the buying and selling of UK government bonds — gilt and gilt asset swaps, the CMA said. It involved details of pricing and trading strategies. The conversations were one-to-one, the CMA said. “This could have denied taxpayers, pension savers and financial institutions the benefits of full competition for these products, including the minimisation of borrowing costs,” said Michael Grenfell, executive director of enforcement at the CMA. The UK watchdog has been investigating the allegations since it first opened the probe in November 2018. “Morgan Stanley has cooperated fully with the CMA during this investigation and will continue to constructively engage in the process,” the bank said in a statement. “However, we disagree with the CMA’s provisional allegations and intend to contest them.” The four other banks didn’t immediately respond to a request for comment. Antitrust watchdogs across Europe have taken a closer look at bond market collusion in a series of probes targeting some of the biggest banks in the region. The European Commission issued a formal complaint to Deutsche Bank last year for its alleged role in a cartel linked to euro-denominated bonds. That was the third EU investigation involving cartels affecting the market for bonds trading and comes after the EU spent more than a decade probing how bank traders swapped information in chatrooms. Five major banks colluded on UK bonds, says CMA EU banks are said to sail through early round of stress test BY KATHARINE GEMMELL Bloomberg BY SONIA SIRLETTI, JAN-HENRIK FÖRSTER, STEVEN ARONS & NICHOLAS COMFORT Bloomberg BY TOM REES & ANDREW ATKINSON Bloomberg (May 24): Many large European banks are emerging from early rounds of a key stress test in robust financial health, prompting some regulators to question whether to push harder at a time when investors are focused on the industry’s resilience. Initial submissions to the European Banking Authority’s (EBA) biennial assessment show several lenders’ capital ratios are higher than in previous exercises under the so-called adverse scenario, people with knowledge of the matter said, asking to remain anonymous as the submissions are private. That’s prompting the EBA and European Central Bank (ECB) to lean on banks to be more conservative in subsequent rounds of the tests, which are set to conclude at the end of July. The EBA assessment is a key exam for lenders because it gives insight into their preparedness to weather shocks and also feeds into their capital requirements. Banks, using data from the end of 2022, are tested under an adverse scenario and more benign baseline scenario for the three years through 2025. A clean bill of health strengthens the case for distributing billions of euros of capital to shareholders, even as economic uncertainty increases. An EBA spokeswoman said it would be speculative to draw conclusions given the assessment is still in progress. Read also: EU nations told to prioritise inflation fight amid turbulence Read the full story BLOOMBERG REUTERS

thursday may 25, 2023 23 The E dge C E O m o rning brief world (May 24): China pledged to step up auditing work to ensure the Communist Party’s major policy initiatives are enforced and that public funds are used properly, a possible warning to local officials as economic concerns mount. President Xi Jinping chaired a meeting of the Central Auditing Commission on Tuesday (May 23), which agreed to ramp up supervision this year on the use of fiscal funds and other government measures to stabilize economic growth, employment and prices, according to a readout from state broadcaster CCTV. Auditors will also focus on policies intended to boost the financial sector’s support to the real economy, and closely monitor key areas including local government debts, real estate, food and energy to prevent systemic risks, according to the report. The meeting shows Beijing’s concern about “wayward local governments in particular,” said Christopher Beddor, deputy China research director at Gavekal Dragonomics. “The party is also clearly looking to exercise more top-down control over the state, and auditing plays an important disciplinary role in that effort.” Beddor said it’s possible local governments will face greater scrutiny over their so-called hidden debt, or off balance sheet borrowing. As the dangers of hidden local debts have become a focus of domestic policy conversation, it’s “not inconceivable” that a new around of audit of local government implicit borrowing might be under consideration, he said. The audit group is just one of the various powerful committees Xi has set up since he began his precedent-breaking third term, pushing to expand the party’s influence in everything from the economy and financial markets to technology development and social work. Auditing has also been a key tool the authorities used to crack down on corrupt officials and tighten control on data security. Officials vowed to enhance the “political nature and political function” of auditing in making sure the party’s policies are being implemented, in the same way that “figures are directed to move by the arm,” according to the readout of the meeting. All areas where public funds, stateowned assets and state-owned resources are used shall be included in auditing so that a “regular and dynamic deterrent” is installed, it said, calling for auditors to become an “economic supervision squad.” Corruption involving the linkage between political and economic issues will be firmly curbed, officials warned, with sectors where power, funding and resources “concentrate” to be targeted in particular, according to the CCTV report. Auditing results will also be used in the assessment, appointment and rewarding and punishment of officials, it added. Chinese authorities have stressed a need to ensure economic growth while also curbing financial and other risks. Over the past year the nation’s top disciplinary watchdog has sharply criticised financial regulators and big companies for failures, and Beijing announced sweeping changes to its financial regulatory system in March. China ramps up scrutiny of fiscal funds in warning to officials (May 24): Chancellor Olaf Scholz’s government is pushing to reduce Germany’s dependence on China, but bosses from some the country’s biggest companies are pushing back. Leaders from BASF SE and MercedesBenz AG to Siemens AG and Volkswagen AG are seeking to separate business interests from political concerns heightened by Moscow’s invasion of Ukraine, which exposed Germany’s dangerous reliance on Russian energy. Links to China go even deeper. The Asian superpower is Germany’s biggest trading partner, with total trade last year of nearly €300 billion (RM1.48 trillion), or nearly 8% of the output of Europe’s largest economy. In addition to massive investments in local factories, China is a critical supplier of parts and materials as well as an important buyer of goods for German companies. Executives are plowing ahead, despite political concerns about Beijing’s global ambitions and its tensions with the US. BASF is investing around US$10 billion (RM45.7 billion) in a chemical plant in Zhanjiang on China’s southern coast. Volkswagen has reaffirmed its commitment to an automotive plant in Xinjiang, despite persistent concerns over the treatment of Muslim Uyghurs and other ethnic minorities in the northwest region. “We won’t give up on China,” Arno Antlitz, VW’s chief financial officer, said on an earnings call this month after BYD Co overtook the German manufacturer as China’s German bosses defy Scholz’s plea to shift away from China by William Wilkes & Arne Delfs Bloomberg Bloomberg The Asian superpower is Germany’s biggest trading partner, with total trade last year of nearly €300 billion (RM1.48 trillion), or nearly 8% of the output of Europe’s largest economy. top-selling carmaker in the first quarter. “We’re watching that market closely,” Siemens chief executive officer (CEO) Roland Busch said in a Bloomberg TV interview earlier this month. “There’s a little bit of uncertainty in these times. But we are quite confident — and this is also what but others are saying and predicting — that it’s picking up.” The comments from top business leaders run counter to Scholz’s plea to diversify away from China. His administration has emphasised “de-risking” rather than an initial US call for “decoupling” — a tacit acknowledgment that Germany can ill-afford a hard cut with the world’s second-largest economy. “Decoupling is no perspective that any single country here pursues,” Scholz said last week at the Group of Seven (G7) summit in Hiroshima, Japan. But trade relations will need to shift so that “the risks of dependencies from a single country or a few single states won’t become big.” But there’s little sign that companies are paying heed. Abandoning China is “unthinkable” for German industry, Mercedes CEO Ola Källenius said in an interview with the Bild tabloid in April. “The major players in the global economy — Europe, the US and China — are so closely intertwined that decoupling from China makes no sense.” The Chinese market accounts for around 40% of Mercedes’ deliveries, with the luxury automaker selling more than twice the number of vehicles there than in the US. “The world doesn’t become any less risky when you divide it, rather the contrary,” Stefan Hartung, head of German car parts giant Robert Bosch GmbH, said at the company’s annual press conference earlier this month. Similarly, BASF CEO Martin Brudermüller has warned that it’s riskier not to expand in Asia’s powerhouse economy rather than pull back due to geopolitical concerns. “It is urgently necessary that we get away from China bashing and look at ourselves a little self-critically,” he said in October.

THURSDAY MAY 25, 2023 24 THEEDGE CEO MORNING BRIEF WORLD Wanda is said to mull sale of 20 malls in wealthy parts of China HONG KONG (May 24): China’s Lenovo Group Ltd reported a 24% fall in revenue for the January-March quarter, meeting market expectations, as demand for personal computers (PCs) continued to slump. The world’s largest PC maker said fourth-quarter revenue was US$12.63 billion (RM57.72 billion), down 24% from the same period a year earlier and marking the third consecutive quarter of on-year decline. The result compared with the US$12.74 billion average of eight analyst estimates compiled by Refinitiv. For the full year through March, revenue shrank 14%, marking the first annual decline since 2019. The outbreak of Covid-19 gave a huge boost to electronics sales as consumers and companies alike stocked up on equipment or upgraded existing gear to accommodate a shift to remote work. However, revenue started contracting last year as demand began to fall. For the previous quarter, Lenovo reported a decline in revenue of 24%, its steepest in 14 years. Global PC shipments across the industry declined 29% in January-March to 56.9 million units, fewer than the same period in pre-pandemic 2018 and 2019, showed data from researcher IDC. To improve profit margins, Lenovo has been expanding non-PC businesses, such as in smartphones, servers and information technology (IT) services. For the full year through March, its non-PC businesses grew 7% and now make up about 40% of total revenue. Lenovo revenue falls for third consecutive quarter on weak PC demand ByteDance cofounder sets up new venture firm in Hong Kong BY JOSH YE Reuters BY VENUS FENG Bloomberg Bloomberg (May 24): ByteDance Ltd co-founder Zhang Yiming has set up an investment company in Hong Kong, indicating he’s planning a new chapter after quitting his leadership roles at the social-media giant in 2021. Cool River Venture HK Ltd, incorporated last week, lists Zhang as its sole director, a filing from the Hong Kong Companies Registry shows. Its only shareholder is a Cayman Islands vehicle named Galaxy LLC. Zhang is creating a new venture in Hong Kong just as the city seeks to lure back rich people after years of isolation and population decline during Covid. The government is planning tax cuts and other measures to attract at least 200 family offices in setting up or expanding operations there by the end of 2025. ByteDance’s co-founder is among the top tech executives who have quit their corporate roles as China cracked down on the wealthy in a “common prosperity” drive to reduce inequality. In recent years, he’s frequently traveled to Singapore and has donated money to an education fund in his hometown, joining other tycoons in giving back to society. Zhang, who holds a Hong Kong ID card, has a fortune estimated at US$42.3 billion (RM193.9 billion), according to the Bloomberg Billionaires Index. BLOOMBERG BLOOMBERG (May 24): Dalian Wanda Group Co is weighing the sale of as many as 20 shopping malls in wealthy areas of China, according to people familiar with the matter, as the indebted conglomerate tries to avert a liquidity crunch. The company has reached out to prospective investors including insurance companies and asset management firms about divesting some of its malls in Jiangsu and Zhejiang provinces as well as in Shanghai, said the people, who asked not to be identified as the information is private. Wanda is seeking a valuation of about 700 million yuan (US$99 million) to 800 million yuan for each mall, depending on their location and business, the people said. A mall in Shanghai could fetch as much as 1 billion yuan as the city’s average household income ranks among the highest in the country, another person said. The firm may also explore other options for the malls including selling stakes, one of the people said. Wanda may decide to sell more malls in the region depending on investor response, the person said. Deliberations are ongoing and Wanda could still decide to keep the assets, they added. A representative for Wanda didn’t immediately respond to requests for comment. The sale plan comes as Wanda braces for a potential cash squeeze if it fails to list its mall operator unit in Hong Kong by the end of this year. As part of an earlier agreement with investors, Wanda may have to repurchase about 30 billion yuan of equity if the initial public offering doesn’t happen by December, according to a regulatory document. Wanda has also been in talks with major Chinese banks on a loan relief plan, Bloomberg News reported in May.

thursday may 25, 2023 25 The E dge C E O m o rning 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) Sapura Energy Bhd 176.20 0.000 0.035 0.00 559.3 Bahvest Resources Bhd 82.00 0.030 0.190 -37.70 235.6 BSL Corp Bhd 55.50 -0.010 0.040 -40.83 77.3 Tanco Holdings Bhd 53.30 0.005 0.550 64.18 1,036.7 Jade Marvel Group Bhd 49.60 -0.015 0.220 -29.03 95.7 Dagang NeXchange Bhd 46.20 -0.015 0.420 -17.65 1,325.7 YTL Corp Bhd 45.10 0.005 0.785 35.34 8,606.8 SMRT Holdings Bhd 35.80 0.015 0.645 344.83 287.2 Berjaya Corp Bhd 32.50 -0.010 0.275 -8.33 1,535.5 Vinvest Capital Holdings Bhd 31.70 0.005 0.075 -60.53 72.7 Aneka Jaringan Holdings Bhd 26.10 0.025 0.195 30.00 115.5 Velesto Energy Bhd 24.50 0.000 0.255 70.00 2,095.0 My EG Services Bhd 24.50 -0.005 0.765 -11.22 5,665.2 KNM Group Bhd 24.40 -0.005 0.060 20.00 222.8 Inari Amertron Bhd 23.90 0.100 2.250 -13.79 8,399.1 Hextar Industries Bhd 22.50 0.050 0.485 -37.01 1,332.5 Berjaya Food Bhd 21.80 -0.025 0.605 -41.83 1,061.3 Top Glove Corp Bhd 21.50 -0.020 1.190 31.49 9,529.1 Computer Forms Malaysia Bhd 21.00 -0.010 0.185 -92.66 49.5 Widad Group Bhd 21.00 -0.005 0.425 -1.16 1,229.6 Data as compiled on May 24, 2023 Source: Bloomberg NAME CLOSE CHANGE VOLUME YTD MARKET (%) (‘000) CHANGE CAP (%) (RM MIL) Cloudaron Group Bhd 0.090 200.00 1.0 -5.26 74.8 Key Alliance Group Bhd 0.010 100.00 327.2 100.00 36.8 Focus Dynamics Group Bhd 0.020 33.33 31.1 0.00 127.4 Xidelang Holdings Ltd 0.025 25.00 1,410.0 0.00 52.9 Zelan Bhd 0.030 20.00 439.2 -57.14 25.3 Bahvest Resources Bhd 0.190 18.75 82,049.8 -37.70 235.6 Nexgram Holdings Bhd 0.035 16.67 146.0 -50.00 15.5 Aneka Jaringan Holdings Bhd 0.195 14.71 26,143.0 30.00 115.5 mTouche Technology Bhd 0.045 12.50 31.5 -10.00 41.7 Hextar Industries Bhd 0.485 11.49 22,511.1 -37.01 1332.5 Parkson Holdings Bhd 0.150 11.11 3,746.3 11.11 172.3 Perak Corp BHD 0.250 11.11 10.0 0.00 25.0 GIIB HOLDINGS Bhd 0.105 10.53 3,647.7 16.67 62.1 Harvest Miracle Capital Bhd 0.115 9.52 93.0 -4.17 140.8 Seremban Engineering Bhd 0.930 9.41 0.1 -16.96 74.1 Citra Nusa Holdings Bhd 0.060 9.09 190.0 -7.69 43.2 ManagePay Systems Bhd 0.120 9.09 563.4 0.00 103.4 Hextar Global Bhd 0.740 8.82 11,376.2 -2.63 2899.5 Sand Nisko Capital Bhd 0.190 8.57 9,858.4 -50.00 47.4 PNE PCB BHD 0.065 8.33 375.9 18.18 36.4 Data as compiled on May 24, 2023 Source: Bloomberg NAME CLOSE CHANGE VOLUME YTD MARKET (%) (‘000) CHANGE CAP (%) (RM MIL) Metronic Global Bhd 0.010 -33.33 1,259.9 -50.00 15.3 Scomi Energy Services Bhd 0.015 -25.00 267.3 -72.73 7.0 Sanichi Technology Bhd 0.015 -25.00 701.8 -40.00 21.0 BSL Corp Bhd 0.040 -20.00 55,501.7 -40.83 77.3 G3 Global Bhd 0.025 -16.67 620.1 -16.67 94.3 SMTrack Bhd 0.030 -14.29 4,022.0 -40.00 35.3 MQ Technology Bhd 0.030 -14.29 912.4 -40.00 41.4 Kanger International Bhd 0.030 -14.29 216.9 -25.00 19.5 Ark Resources Holdings Bhd 0.220 -13.73 22.8 -22.81 15.3 Grand Central Enterprises Bhd 0.340 -12.82 2.0 -2.86 67.0 Green Packet Bhd 0.035 -12.50 1,102.1 -36.36 69.8 Bina Puri Holdings BHD 0.035 -12.50 7,491.3 -12.50 117.9 Marine & General Bhd 0.120 -11.11 4,059.9 14.29 86.9 Meridian Bhd 0.080 -11.11 158.0 -33.33 18.1 Asia Poly Holdings Bhd 0.080 -11.11 2,290.7 -27.27 76.7 Icon Offshore Bhd 0.080 -11.11 13,715.1 -15.79 216.5 Nova Wellness Group Bhd 0.775 -9.88 499.3 -13.64 247.0 Johan Holdings Bhd 0.050 -9.09 6.0 -9.09 58.4 Bintai Kinden Corp Bhd 0.050 -9.09 7,117.0 -44.44 44.6 Formosa Prosonic Industries 2.350 -8.20 3,351.7 -27.24 603.9 Data as compiled on May 24, 2023 Source: Bloomberg NAME CLOSE CHANGE VOLUME YTD MARKET (RM) (‘000) CHANGE CAP (%) (RM MIL) Heineken Malaysia Bhd 26.520 -0.520 163.7 5.24 8,011.6 Ajinomoto Malaysia Bhd 14.200 -0.340 76.7 8.56 863.3 Fraser & Neave Holdings Bhd 26.220 -0.340 227.1 21.50 9,616.9 Rapid Synergy Bhd 20.120 -0.340 39.7 26.07 2,150.8 Hong Leong Bank Bhd 19.480 -0.320 567.7 -5.25 42,227.1 Dutch Lady Milk Industries 26.020 -0.260 1.8 -13.96 1,665.3 DKSH Holdings Malaysia Bhd 5.220 -0.240 82.3 21.35 823.0 Formosa Prosonic Industries 2.350 -0.210 3,351.7 -27.24 603.9 Nestle Malaysia Bhd 134.500 -0.200 36.4 -3.93 31,540.3 CI Holdings Bhd 3.280 -0.170 14.9 11.95 531.4 Harrisons Holdings Malaysia 9.850 -0.150 7.7 48.57 674.5 AEON Credit Service M Bhd 11.520 -0.140 58.0 -8.43 2,941.1 Carlsberg Brewery Malaysia 21.260 -0.130 209.7 -7.08 6,500.2 Batu Kawan Bhd 21.680 -0.120 1.5 -2.78 8,528.5 Dayang Enterprise Holdings 1.250 -0.100 11,891.7 -4.58 1,447.2 United Plantations BHD 15.760 -0.100 194.7 4.99 6,537.0 Nova Wellness Group Bhd 0.775 -0.085 499.3 -13.64 247.0 UWC BHD 2.710 -0.080 1,279.0 -32.59 2,985.5 PIE Industrial BHD 3.260 -0.080 53.0 25.38 1,252.0 Petronas Gas Bhd 16.940 -0.080 1,223.7 -1.05 33,519.7 Data as compiled on May 24, 2023 Source: Bloomberg NAME CLOSE CHANGE VOLUME YTD MARKET (RM) (‘000) CHANGE CAP (%) (RM MIL) HextarTechnologies Solutions 24.860 0.360 59.1 45.72 3,198.2 Hong Leong Financial Group 17.720 0.220 165.7 -4.73 20,293.7 BLD Plantation Bhd 10.320 0.140 3.0 0.58 964.9 Inari Amertron Bhd 2.250 0.100 23,931.6 -13.79 8,399.1 AirAsia X Bhd 2.000 0.100 16,074.5 250.88 829.6 Telekom Malaysia Bhd 5.090 0.100 1,750.1 -5.74 19,453.9 Seremban Engineering Bhd 0.930 0.080 0.1 -16.96 74.1 Yinson Holdings BHD 2.610 0.080 1,924.8 7.41 7,586.3 RCE Capital Bhd 1.990 0.070 1,367.0 17.75 1,458.4 Yoong Onn Corp BHD 1.350 0.070 5.0 7.14 214.2 Cloudaron Group Bhd 0.090 0.060 1.0 -5.26 74.8 Kesm Industries Bhd 7.060 0.060 1.0 0.57 303.7 Hextar Global Bhd 0.740 0.060 11,376.2 -2.63 2,899.5 Petronas Chemicals Group Bhd 6.950 0.060 3,925.2 -19.19 55,600.0 YNH Property Bhd 4.910 0.060 36.4 16.08 2,594.9 Chin Hin Group Property Bhd 1.050 0.055 1,413.8 -7.89 554.8 Hextar Industries Bhd 0.485 0.050 22,511.1 -37.01 1,332.5 Genting Plantations Bhd 6.060 0.050 100.1 -2.93 5,437.0 Genetec Technology Bhd 2.420 0.050 1,293.5 1.26 1,815.4 Oriental Holdings BHD 6.750 0.040 5.5 -0.59 4,187.4 Data as compiled on May 24, 2023 Source: Bloomberg CLOSE CHANGE CHANGE (%) CLOSE CHANGE CHANGE (%) DOW JONES 33,055.51 -231.07 -0.69 S&P 500 4,145.58 -47.05 -1.12 NASDAQ 100 13,672.54 -177.20 -1.28 FTSE 100 7,632.40 -130.55 -1.68 AUSTRALIA 7,213.80 -46.09 -0.63 CHINA 3,204.75 -41.49 -1.28 HONG KONG 19,115.93 -315.32 -1.62 INDIA 61,773.78 -208.01 -0.34 INDONESIA 6,745.80 9.12 0.14 JAPAN 30,682.68 -275.09 -0.89 KOREA 2,567.45 -0.10 0.00 PHILIPPINES 6,615.95 12.39 0.19 SINGAPORE 3,214.21 -3.87 -0.12 TAIWAN 16,159.32 -28.71 -0.18 THAILAND 1,536.51 1.67 0.11 VIETNAM 1,061.79 -4.06 -0.38 Data as compiled on May 24, 2023 Source: Bloomberg CPO RM 3,407.0029.00 OIL US$ 77.730.89 RM/USD 4.5935 RM/SGD 3.4103 RM/AUD 3.0196 RM/GBP 5.6893 RM/EUR 4.9489