Business this week (June 8-12)

June 8

- * Public Bank Bhd and its unit PBFIN Bhd have issued RM1.2 billion worth of stapled securities under a non-innovative tier 1 stapled securities programme.

- * Dialog Group Bhd and the Johor government’s proposed 500-acre independent deepwater petroleum terminal in Tanjung Ayam and Tanjung Kapal in Pengerang, Johor, could cost more than US$1 billion (RM3.5 billion). Storage space estimated at five million cubic metres of storage.

- * Asia-Pacific private equities recovered in the first quarter (1Q) of 2009 mostly the Canada Pension Plan Investment Board's US$5.07 billion (RM17.7 billion) acquisition of Australia's Macquarie Communications Infrastructure Group.
The AVCJ Asian Private Equity Barometer, produced in association with KPMG, showed private equity investment region-wide in 1Q09 amounted to US$10 billion, up from US$7.4 billion in 4Q08, but still far below the US$27.7 billion of investments made in 4Q07.

- * Petroliam Nasional Bhd will undertake “many initiatives” to maintain oil output off the coasts of Peninsular Malaysia and Sarawak over a longer period as the continental shelf off the peninsula has reached maturity.

June 9

- * The government is most unlikely to invoke an expropriation clause in the toll concession agreement to nationalise PLUS Expressways Bhd as it could involve RM30 billion for such an exercise. The Economic Planning Unit is drafting a longer-term solution to PLUS’ scheduled 10%, three-year increase in toll rates.

- * KNM Group Bhd managing director Lee Swee Eng said the sale of a 1.6% stake recently was a strategic placement as the proceeds used to degear and clear up all the margin taken up during the rights issue.

- * Apple Inc halved the price of its entry-level iPhone to US$99 (RM347) to widen the trendy device's mass-market appeal, as global competition increased following Palm Inc’s launch of the Pre.

June 10

- * Genting Bhd paid US$100 million (RM350.5 million) for a 3.2% stake in US casino operator MGM Mirage.

- * The Securities Commission wants listed companies (PLCs) to do what is necessary, including issuing a prompt denial or confirmation of speculation and also provide profit guidance, to ensure investors make informed investment decisions.

- * Malaysia's bond market can absorb up to RM173.3 billion of net bond issuances in 2010, implying a projected total bond demand-to-supply ratio of 1.8 times, says RHB Research Institute estimates.

June 11

- * IJM Corporation Bhd’s chief executive and managing director Datuk Krishnan Tan Boon Seng reveals that he may probably step down by the end of 2010 under a succession plan to make way for his deputy Teh Kean Ming.

- * Giant US money manager BlackRock Inc will buy Barclays Global Investors for US$13.5 billion which will more than double BlackRock’s assets to roughly US$2.7 trillion and give the company access to fast-growing Exchange Traded Funds and retail investors, making it the world’s biggest asset manager.

- * Water engineering company Salcon Bhd is on the prowl again for an insurance business, not long after aborting its planned acquisition of a general insurance company from political party MIC’s investment arm Maika Holdings Bhd earlier this year.

- * The local market's new benchmark, FTSE Bursa Malaysia KLCI, will be adopted on July 6 with the 30 constituents being the same as the current FTSE Bursa Malaysia Large 30 Index (FBM30).

- * The Employees Provident Fund’s unaudited total investment income fell to RM3.26 billion for 1Q ended March 31, 2009. This was a 10.47% decline from RM3.64 billion in the fourth quarter of 2008 (4Q08) due to lower investment returns from both fixed income instruments and equities.

June 12

* Malaysia Airline System Bhd (MAS) posted a net loss of RM694.8 million in the first quarter ended March 31, 2009 including derivative loss of RM557 million with the early adoption of financial reporting standards (FRS 139). A year ago the group posted a profit of RM46.6 million.

*Astro All Asia Networks plc posted net profit of RM34.53 million in the first quarter ended April 30, a contrast from the RM2.6 million net loss a year ago, underpinned by the strong growth in the Malaysian television business.

- * Compugates Holdings Bhd group managing director Goh Kheng Peow disposed of 38.41 million shares in the open market on June 11.