CORP BRIEF: Boustead, Maxis and MMHE

by TMR / graphic by MZUKRI MOHAMAD

SC gives 4 months to LTAT to decide on Boustead move

BOUSTEAD Holdings Bhd has said the Securities Commission Malaysia (SC) will grant a four-month extension period to the Armed Forces Fund Board (LTAT) to announce its intention for proposed privatisation. In a filing yesterday, LTAT said the extension given is until Feb 2, 2021, while the SC will not grant any further extensions after that. It also added that there is no material development for the proposal and will remain subject to the finalisation, requisite funding and required regulatory approvals. LTAT announced in May it would consider taking Boustead private at a share price of 80 sen.

Maxis raises RM500m from sukuk issue

MAXIS Bhd has issued the fifth series of the Sukuk Murabahah amounting to RM500 million. In a statement to Bursa Malaysia yesterday, the telecommunications provider noted the issuance of the Islamic medium-term notes has a nominal value of up to RM10 billion by Maxis Broadband Sdn Bhd. The programme will have tenure of more than one year and up to 30 years and will be used to partly settle purchase consideration in relation to buying the businesses and undertakings. It issued its first series in March 2017 amounting to RM840 million in nominal value. Maxis is the leading converged solutions provider in Malaysia providing a variety of high quality digital services encompassing voice, data and solutions.

MMHE records RM2.6m profit in 3Q20

MALAYSIA Marine and Heavy Engineering Holdings Bhd (MMHE) has recorded a net profit of RM2.6 million on revenue of RM369 million the third quarter ended Sept 30, 2020 (3Q20). In a filing to Bursa Malaysia yesterday, the company said turnover rose 45% year-on-year to RM369.5 million on higher revenue from the heavy engineering segment. Its marine segment saw a decrease in revenue due to the lower number of vessels secured for repair and maintenance as the segment has not fully recovered from the Covid-19 pandemic impact. MMHE noted that the pandemic will continue to cloud the oil market this year. “The rise of new Covid-19 cases worldwide has renewed concerns on mobility restrictions, posing a threat to the recovering oil demand. With these lingering effects from the pandemic, the group has seen significant cuts to oil and gas (O&G) capital spending and deferments of final investment decisions by oil majors and expects these to continue, thus limiting the group’s ability to secure new orders in the interim,” it said. MMHE is a globally trusted heavy engineering and marine solutions provider for a wide range of offshore and onshore facilities and vessels. It has over 40 years track of delivering integrated and complex solutions including deepwater support services to international O&G clients.