CORP BRIEF: Tamaco, Boustead and SC

Tamaco gets injunction against TH Plantation

TAMACO Plantation Sdn Bhd gets an ad interim injunction against TH Plantation Bhd (THP) which will remain effective until the next hearing on May 5, 2021. In a filing to Bursa Malaysia, THP noted that the case management was fixed on April 12, 2021, for directions on the Writ of Summon. THP has been served with a lawsuit over its decision to not pursue the proposed disposal of two plantation units to Sabah-based Tamaco Plantation for RM170 million. Tamaco Plantation had filed the lawsuit to oblige THP to complete both sales made in 2019, which are Bumi Suria Ventures Sdn Bhd and Maju Warisanmas Sdn Bhd. The proposal failed to materialise after the Economic Planning Unit withdrew its approval after about 10 days it made the decision. Following the lawsuit, Tamaco Plantation is seeking a declaration from both parties to complete the sales, the timeline for the sales to complete and a declaration that THP was stopped by its own conduct to terminate the agreement.

Boustead’s net loss shrinks in 4Q20

BOUSTEAD Holdings Bhd’s net loss for its fourth quarter ended Dec 31, 2020 (4Q20) narrowed to RM352.3 million from RM1.13 billion following a lower impairment of property, plant and equipment, right-of-use assets and goodwill of RM159.3 million. In a filing to Bursa Malaysia, the company noted that its revenue for the quarter declined 12.86% to RM2.21 billion from RM2.54 billion. Net loss for its financial year 2020 (FY20) almost halved to RM500.9 million from RM1.28 billion, while revenue fell 23.84% to RM7.86 billion from RM10.32 billion. Meanwhile, Boustead Heavy Industries Corp Bhd’s (BHIC) net loss also narrowed to RM74.51 million from RM118.55 million, mainly due to better contribution from littoral combat ships project. Its revenue fell to RM32.43 million from RM42.28 million. For FY20, BHIC’s net loss narrowed to RM50.58 million from RM116.64 million, while revenue fell to RM150 million from RM168.92 million.

Syndicate probed on running 5 unlicensed investment schemes

THE Securities Commission Malaysia (SC) is investigating a syndicate suspected of running five unlicensed investment schemes, including two clone firm schemes, that had duped hundreds of investors of more than RM7 million into unlicensed investment activities. It has brought down the servers used by the syndicate to perpetrate the scams. Investigations are ongoing for possible breaches under the Capital Markets and Services Act 2007. Initial investigations showed that the syndicate had been operating at least five unlicensed investment schemes since 2016, namely Amal Trust (also known as Wakala Ventures or AML Global), Asia Equity Ventures, Equity Global Business, Lindale Ventures and Waheed Ventures (also known as Waheed Trading or Wadeed Global Ventures).