Real estate outfit IQI Group is establishing a high-tech manufacturing park in Cambodia’s Kandal province, where the initial phase will have a gross development value of US$300 million that could potentially attract investors from Malaysia.

Daniel Ho, co-founder and group managing director of IQI, revealed that the first phase of the development will cover up to 100 hectares. 

Subsequent phases aim to expand the park to as much as 2,000 hectares, equivalent to 20 square kilometres, he said.

“We have ambitious goals for this high-tech park. Our objective is to create a sustainable high-tech ecosystem for multi-national companies to thrive and to be able to tap into the rewarding ASEAN market,” Ho said.

He emphasised IQI’s vision to transform the area into a thriving industrial hub within five years, attracting both local and international high-value industry players.

In addition to leveraging their platforms to attract manufacturing tenants, IQI and its parent company, Juwai IQI, intend to facilitate cross-border investment and development for corporate clients, particularly from Malaysia, China, and global markets.

IQI has solidified its commitment to the high-tech park through a memorandum of understanding (MoU) with Premium Housing Group, witnessed by Minister of Digital Gobind Singh Deo and Ambassador of Malaysia to Cambodia, Datuk Eldeen Husaini Mohd Hashim.

Chandy Mann, founder of Premium Housing Group, highlighted their extensive landbank and commitment to timely and budget-conscious project delivery. 

“As we plan the first stage of the park, we are working with renowned engineers and top-tier architects to conceptualise the project, so we can offer outstanding facilities to our tenants. We will ensure all designs and engineering comply with ESG standards,” he said.

Mann extended an invitation to like-minded manufacturers, emphasizing the park’s advanced amenities, strategic location, robust infrastructure, and skilled workforce as key benefits for prospective tenants.

 Meanwhile, a seasoned real estate consultant has identified 2024 as an opportune time for real estate investments in Cambodia, noting an anticipated surge in interest from Malaysian companies.

“The market is experiencing a revival as it aligns with the country’s economic growth trajectory.

“Emerging from a prolonged period of stagnation, factors such as increased tourism, rapid urbanisation, and the expansion of the middle class are fueling the growing appeal of the region,” he told NST Property.

Source: NST

IQI to set up manufacturing hub in Cambodia, potentially drawing investors from Malaysia

Sunsuria Bhd has entered into a co-construction agreement with the Fuzhou Municipal People’s Government (Gulou district) for the construction of the Asean Digital Trade Industrial Park in Fuzhou, China. The agreement was signed on Dec 21 during the First Overseas Chinese Talent Conference for Development in Fuzhou, China. 

Sunsuria executive chairman Tan Sri Ter Leong Yap said: “Sunsuria, in collaboration with Fuzhou (Gulou district) to build the Asean Digital Trade Industrial Park in Fuzhou, welcomes outstanding talents and digital companies from China and Malaysia to join us and promote the developments of the digital economy in China and Malaysia.”

For the past 10 years, Ter shared that Malaysia had been one of the active Asean countries in rolling out various initiatives, such as the Multimedia Super Corridor (MSC Malaysia), Malaysia Digital Economy Blueprint and MyDigital, to promote the country’s potential and competitiveness in developing digital tourism, digital trade, digital agriculture and digital finance, among others. 

Digital companies Shanghai Bridge Digital Technology Group, Haohuo Network Technology Co Ltd, Fujian HealthyWay IT Co Ltd and AMG Advance Profitable Sdn Bhd were also signatories of the agreement on Dec 21.

Source: The Edge Malaysia

Sunsuria announces partnership to build Asean Digital Trade Industrial Park in Fuzhou

Lion Group is set to invest US$6 billion (RM27.5 billion) in Algeria, the country’s ambassador to Malaysia, Abdelhafid Bounour, told SunBiz in an exclusive interview.

Abdelhafid said the Malaysian conglomerate’s substantial investment aligns with Algeria’s strategic vision to be the gateway to Africa and beyond.

“For example, Asian and European countries can export to Africa via Algeria. We have all the necessary infrastructure for this. The same applies to African countries; if they want to send goods to Europe, for instance, they can do so via Algeria. This is because we have the advantage of an association agreement with Europe,” he said.

The EU-Algeria Association Agreement was signed in April 2002 and entered into force in September 2005. The agreement sets out a framework for the EU-Algeria relationship in all areas, including trade. It helps the EU and Algeria trade goods more freely, with some advantages for Algeria. The goal was to create a free trade area by September 2020, which mostly happened, except for a few tariffs that Algeria still needs to remove.

SunBiz reached out to Lion Group and it confirmed the plan to invest in Algeria. However, it did not disclose further details.

“We would like to inform you that we are in the preliminary stage of discussions with the authorities there. As such, we are not able to disclose any information at this time,” the group said via email.

According to the Algeria Press Service, Lion Group has begun procedures for the construction of “structurally important” industrial projects worth US$6 billion in mineral-rich Algeria.

Meanwhile, Algeria Invest stated that Lion Group is interested in the country’s aluminium and steel industries.

“Referring to opportunities for cooperation and investment, the Malaysian group expressed its willingness to explore investment opportunities and establish industrial projects in the aluminium and steel sectors in Algeria.

“The two sides also discussed the opportunities for cooperation and partnership in many areas of common interest, particularly in the context of the Malaysian group’s strategy to set up structuring industrial projects in Algeria,” it stated.

Lion Group was established in the 1930s and today has operations in Malaysia, China, Singapore, Hong Kong, Cambodia and Laos. It is involved in retail, property development, mining, steel, agriculture and services. Since 1992, the group has ventured into China with operations in retail and property businesses.

The group has three companies listed on Bursa Malaysia with two in Singapore and one in Hong Kong. It has an annual group turnover of about RM10.86 billion (US$2.4 billion) and provides employment for more than 11,000 people.

Source: The Sun

Malaysia’s Lion Group plans US$6b investment, says Algerian ambassador

Guan Chong Bhd’s (GCB) industrial chocolate factory in the UK has commenced operations, and set its sights on the country’s £2.2 billion (RM13 billion) chocolate market.

The cocoa grinder and industrial chocolate player said that to capitalise on the UK’s growing chocolate demand, GCB had invested about £34 million to set up the 16,000 tonnes annual capacity industrial chocolate factory, its second in Europe.

“The facility is installed with state-of-the-art production machinery, and is specially designed with production lines to produce dark and milk chocolates with high safety and quality standards,” it said in a statement.

Guan Chong managing director and chief executive officer Brandon Tay Hoe Lian said the UK is one of the largest chocolate-consuming countries in Europe, with an average consumption of 8.1kg per capita.

“By positioning ourselves in the UK, we hope to be a formidable chocolate manufacturer, thereby capitalising on the strong demand for chocolate,” he said.

Tay said that with the current machinery installation, the facility still had additional space to increase its capacity.

“For now, we will focus on fine-tuning the facility, and evaluate our prospects for future growth,” he said.

Guan Chong said the plant would produce various types of industrial chocolates, such as chips, chunks, buttons, curls, shavings and more.

It said future expansion plans for the UK industrial chocolate facility would include value-added capabilities in cocoa liquor melting, cocoa butter melting, and cocoa cake grinding.

Guan Chong added that its German subsidiary, Schokinag-Schokolade-Industrie GmbH, had an annual industrial chocolate production capacity of 100,000 tonnes annually, bringing the group’s total production capacity to 116,000 tonnes annually.

Source: Bernama

Guan Chong’s UK industrial chocolate plant commences operations

Supermax Corp Bhd announced that its first glove manufacturing facility in the US is nearing completion, with the group having fulfilled and complied with various regulatory requirements, including permits, to operate the plant in Brazoria County, Texas.

“Supermax’s American and Malaysian teams have been working very hard to manage the setting-up of the US operations and we are pleased to announce that construction of our first manufacturing facility will be substantially completed before the end of December 2023. The next stage will involve the installation of various manufacturing equipment including AI, automation and robotics facilities,” said Supermax executive chairman Datuk Seri Stanley Thai in a statement that was issued following the group’s annual general meeting on Friday.

“A technical team from Supermax Malaysia will be deployed to the US facility in various stages for commissioning of the manufacturing facility,” Thai added.

According to the group, it is the first Malaysian company to set up a glove plant in the US, the biggest glove consuming market in the world.

The group, however, did not indicate when the plant, in which it planned an investment of US$350 million (RM1.6 billion), is expected to start production. It had originally targeted that to be in the fourth quarter of 2022, which was then pushed back to the second quarter of this year.

Meanwhile, Thai shared with shareholders at the AGM that the group is expected to continue to face challenges for the next five to six quarters, with improvements only expected in 2025.

Last month, Supermax reported a net loss of RM2.05 million for its first quarter ended Sept 30, 2023 (1QFY2024), compared to a net profit of RM5.71 million in 1QFY2023, as revenue shrunk to RM177.96 million from RM247.96 million amid weaker demand, while selling prices remained lower.

It is the group’s fourth straight loss-making quarter since 4QFY2023. Still, the group has been progressively narrowing its losses each quarter. It logged a net loss of RM108.07 million in 2QFY2023, RM39.91 million in 3QFY2023 and RM7.17 million in 4QFY2023.

In its results filing, Supermax attributed the losses it incurred to continued weak demand as buyers were still going through their heavily over-stocked positions post-pandemic, while it had to face a loss of revenue from a major market, the US, due to the Withhold Release Order imposed by the US Customs and Border Protection in October 2021, which was only lifted on Sept 18 this year.

Shares in Supermax settled unchanged at 90 sen on Friday, giving the group a market capitalisation of RM2.44 billion. The stock has climbed five sen or 5.88% since the start of this year.

Source: The Edge Malaysia

Supermax’s US factory nears completion

Dagang NeXchange Bhd (DNeX) is establishing access to China’s high technology information technology (IT) solutions and strengthening ties with its partner in the Middle East to expand its geographical footprint into the Middle East and North Africa (MENA) region. 

DNeX entered into an agreement with Zhongheguoji Construction Group Co Ltd (CSI) to set up a joint venture enterprise (JVE) to source for state-of-the-art technology and solutions from China. 

CSI is a state-owned enterprise tasked to capitalise on the resource advantages in China. 

Under Phase 1 of the JVE, DNeX via CSI, will secure access to Smart City technology from Chinese technology partners which include Tencent, the developer of WeChat and a leading technology company listed on the Hong Kong Stock Exchange Kong as well as Tsinghua University Urban Institute, under Tsinghua University, which is ranked 12th on the 2024 World University Rankings. 

The JVE is also set to expand its technological scope by partnering with other Chinese entities specialising in various sectors such as supply chain and logistics, intelligent transportation, electrical manufacturing, clean energy, data centres and equipment

DNeX, through subsidiaries SealNet Sdn Bhd and DNeX MENA Sdn Bhd, has also signed a collaboration agreement with Ajlan & Bros Information Systems Technology (Ajlan Tech) and CSI to explore opportunities in commercial projects in Saudi Arabia in offering Smart City solutions and other relevant technology solutions. 

Ajlan Tech is a business unit under Ajlan & Bros Holding Group, one of the largest private sector conglomerates in the Middle East region, employing over 15,000 people in more than 25 countries. 

DNeX executive chairman Tan Sri Syed Zainal Abidin Syed Mohamed Tahir said the agreements will pave the way for DNeX’s rapid expansion in the MENA region. 

“They grant DNeX access to China’s cutting-edge technology solutions across a wide array of domains, including Smart City applications, such as e-government services and e-commerce, as well as emerging technologies like the Internet of Things (IoT), AI, and block chain, ” he said in a statement.

“The market potential is attractive, and our partnership is designed to leverage on these global trends in digital transformation. 

“We are actively exploring and bidding for a wider range of IT projects with a specific focus on projects in Smart City infrastructure, advancements in e-government services and expansion of digital commerce,” he said.

Source: NST

DNeX teams up with Chinese, Saudi firms to explore businesses in MENA

SAM Engineering & Equipment (M) Bhd plans to inject another RM200 million into its equipment business in Thailand in its current financial year ending March 31, 2024 (FY2024) and the following year.

According to the minutes of the group’s annual general meeting conducted on a virtual basis on Sept 27, SAM said that as it continues to win more projects, it may require additional investment. The minutes were filed with Bursa Malaysia on Thursday.

“We have several options to fund our investment, including from internal funds, bank borrowings and raising funds from the public market,” the group had said in response to a shareholder’s question during the meeting.

According to its 2023 annual report, SAM’s capital expenditure in FY2023 stood at RM222.9 million, which it noted was “mainly for capacity expansion of its equipment business in Thailand”.

SAM has three plants in Thailand, two of which are in the Rojana Industrial Park, and the other in Ban Bueng. One plant in Rojana has already been in operation for two years, while the other two plants are scheduled to commence mass production sometime in FY2024.

In response to a separate question concerning the advantages of its Thailand plants versus its plants in Penang, SAM said it addresses the concerns of the group’s customers on placing all manufacturing activities in one place, which would limit its ability to ensure supply to customers.

“The manufacturing facilities in Thailand mitigates this single-location risk, and allow the company to continue its operations under different conditions,” the group said.

“Apart from that, Penang as a semiconductor hub is also facing certain bottlenecks for growth, particularly on skilled manpower supply. Training and developing skillful manpower will be done but will take time.

“Operating in a different geographical area enables the company to tap into a different talent pool, which is important for the company,” it added.

SAM’s total borrowings more than doubled to RM479.5 million as at end-March this year, up from RM211.0 million a year ago, which it mainly attributed to financing the purchase of property, plant and equipment for the expansion in Thailand as well as working capital requirement to support business growth.

Its equipment business in Thailand is operated under its wholly-owned subsidiary SAM Precision (Thailand) Ltd, which manufactures dies, jigs, parts and cutting tools for disk drives, electronics, semiconductors and assembly of modular or complete machines and equipment.

Besides its equipment business segment, SAM operates another business segment of manufacturing parts for the aviation industry, namely aircraft engine casings, nacelle beams and aero structure products.

It is worth noting that in September, SAM announced that it plans to buy aircraft structure parts and precision engineering components manufacturer Aviatron (M) Sdn Bhd for US$43.4 million (RM203.44 million) cash in a related party transaction (RPT).

The acquisition is deemed an RPT as SAM is purchasing Aviatron from its major shareholder Singapore Aerospace Manufacturing Pte Ltd (SAMPL), which controls 62.49% of SAM.

To fund the acquisition, SAM proposed a renounceable one-for-four rights issue involving 135.397 million new shares at an indicative issue price of RM4.12, to raise RM557.84 million.

The Aviatron acquisition is to take up 36.47% of the rights issue proceeds, with RM200.5 million to repay advances from SAMPL (35.94%), RM149.9 million to repay bank borrowings (26.87%) and RM4 million left to defray expenses relating to the proposals.

Shares in SAM ended three sen or 0.68% lower to RM4.35, giving the group a market capitalisation of RM2.36 billion.

Source: The Edge Malaysia

SAM Engineering to invest another RM200 mil in Thai equipment business

FM Global Logistics Holdings Bhd, a logistics solutions provider, has acquired Singapore-based CAC Logistics Services Pte Ltd for RM18.86 million (S$5.5 million) cash, as it looks to expand its footing regionally.

CAC is principally engaged in general warehousing, road transportation and other related services. It currently operates 236,496 sq ft of warehousing space in Singapore, FM Global’s bourse filing showed.

FM Global’s indirect wholly owned subsidiary, FM Global Logistics Ventures Sdn Bhd, inked a sale and purchase agreement with the vendors Anthony Ng Koon Leng and Randy Cheong Yew Fei on Monday for the acquisition.

The purchase consideration is based on the vendors’ undertaking that CAC would produce an audited annual net profit after tax of no less than S$750,000 for the next two years. If the profit guarantee is not met, the vendors shall have to compensate FM Global for the difference between the promised and the actual earnings. As security for the profit guarantee, part of the purchase consideration — S$1.5 million — will be deposited into the escrow account of a legal counsel appointed by FM Global in Singapore, to be released only upon the due observance and performance of the vendors’ undertakings. 

FM Global said its board believes that the profit guarantee is reasonable, after taking into account historical aggregate net profit after tax of CAC for FYE 2021, FYE 2022, and the seven-month financial period ended July 31, 2023 of about S$1.55 million, as well as the earnings potential of CAC based on its historical financial track record.

“The Singapore market fits into the group’s strategies as Singapore is a major regional business and shipping hub. Currently, the group has its presence in Malaysia, Indonesia, Thailand, Vietnam, India, the Philippines, Australia, the United Arab Emirates and the US. With the acquisition, the group would be able to immediately leverage the existing customer base, market and resources of CAC, which has an established warehousing business and valid business licence in Singapore. CAC will also serve as a gateway to the vast Singapore market via its base in Singapore, as Singapore has many multinational regional offices that will allow the group to increase its customer base,” said FM Global.

With CAC’s warehousing space in Singapore, FM Global’s total warehousing space would increase to about 1.32 million sq ft across multiple countries.

FM Global shares closed unchanged at 62 sen on Monday, giving the company a market capitalisation of RM346.2 million.

Source: The Edge Malaysia

FM Global Logistics buys Singapore-based warehouse operator for RM18.9 mil to expand regionally

reNIKOLA Holdings Bhd aims to expand its renewable energy (RE) portfolio by developing 50 compressed biomethane gas (CBG) projects in Indonesia with a total investment of more than RM1.4bil over the next five years.

reNIKOLA managing director Boumhidi Adel said through the CBG projects, the group hoped to reduce the impact of climate change and contribute to realising Indonesia’s target of achieving 29% renewable energy by 2030.

This is following the recent signing of a memorandum of understanding between the group and PT Perkebunan Nusantara (PTPN IV) to develop the CBG plants in north Sumatra on June 30, 2023.

“For us, ths expansion into Indonesia is another important milestone to expand our RE portfolio as we strive to become one of the leading players in the region,” he said.

reNIKOLA will be supporting PTPN IV to uphold the principle of environmental, social and governance or ESG through plans to build, own and operate four CBG plants at PTPN IV palm oil mills, according to Adel.

In the process, each CBG plant will be utilising PTPN IV’s palm oil mill effluent (pome) as a raw material to produce biomethane.

PTPN IV director Sucipto Prayitno said the group took the initiative to carry out the collaboration in line with the greenhouse gas (GHG) reduction roadmap launched by the PTPN Group.

The roadmap aims to reduce emissions in plantation activities, as well as to support government programmes to reduce GHG emissions by 29% through its own capabilities, or 41% with international assistance by 2030.

He said the group would reduce methane emissions from pome by utilising it to produce new, RE amounting to 377,524 total carbon dioxide in 2030.

Sucipto said through the method, PTPN IV would facilitate PT Kawasan Industri Nusantara to develop the Sei Mangkei Special Economic Zone as the first green industrial zone in Indonesia.

“PTPN IV strives to set industry standards in order to minimise the impact of business on the environment by applying innovative technologies to every business activity,” he said.

“Additionally, we will be building strategic partnerships with industry leaders and experts to encourage Indonesia’s decarbonisation goals.

“With this latest development, we are committed to continuing to expand our ESG practices through the collaboration with reNIKOLA,” Sucipto said in a statement.

Source: The Star

reNIKOLA to invest RM1.4bil in RE projects in Indonesia

DXN Holdings Bhd (DXN), a global health-oriented and wellness direct selling company, is embarking on an expansion journey with plans to establish factories in Morocco, Peru, and Mexico.

During its 27th annual general meeting (AGM) at DXN Cyberville on Monday, all eight ordinary resolutions presented for consideration were approved by shareholders.

“In the first half of 2023, DXN successfully completed new cultivation and manufacturing facilities in China and India, bringing our total number of production facilities to 21. This should allow us to bolster our sales as we continue to further establish ourselves and meet the demands of the existing and new markets,” said DXN non-independent executive chairman and founder Datuk Lim Siow Jin.

“We will continue to work hard to enhance shareholder value. For the first quarter of the financial year 2024, DXN has announced commendable results. In line with our dividend policy to pay-out equivalent to 30-50 per cent of our profit after tax and minority interest, we declared a first interim dividend of 0.80 sen per ordinary share on 4.99 billion ordinary shares, amounting to RM39.9 million to our shareholders.”

Besides expanding its operations in India and China, DXN is targeting new markets such as Brazil, North Africa, and Central Asia as it aims to diversify and grow.

Lim said he is confident of achieving an annual growth rate of 20 per cent, attributing it to the resilience of existing markets and the promising prospects in its new markets.

In response to evolving preferences, DXN will be entering the ready-to-eat meals market and expanding its cosmetics line.

Consumers can expect further expansion within the next three months, as the company makes significant strides in its global presence and product offerings.

DXN is currently the largest Ganoderma producer in the world.

Source: Borneo Post

DXN to open factories overseas, expand to new markets

Clean energy firm Solarvest Holdings Bhd is tying up with two Singapore companies to advance energy storage solutions (ESS) development in solar energy systems.

In a statement yesterday, Solarvest said the collaboration is part of its strategic initiative to expand its geographical reach into the Singapore and Brunei markets to capitalise on the growing demand for sustainable energy solutions.

The company said its wholly-owned subsidiary, Solarvest Energy Sdn Bhd, had entered into a memorandum of understanding (MoU) with Singapore’s multi-faceted industrial consultant IDA Holdings Pte Ltd and Acumon Capital Pte Ltd, a multi-disciplinary real estate developer and manager, for the ESS development for enhanced energy stability and reliability to promote energy sustainability in the commercial and industrial (C&I) rooftop sector.

The MoU will facilitate the comprehensive development of clean energy projects in the C&I sector, including investment management and land sourcing for ESS-integrated solar projects.

“Collaborative efforts will be directed toward submitting project proposals as well as undertaking the development and execution of the secured projects,” said the company.

Solarvest said it had successfully secured a total of nine C&I rooftop solar photovoltaic (PV) installation projects across Singapore and Brunei, with a combined capacity of nearly four megawatt-peak (MWp).

Additionally, the group boasts a robust project tender book of 60 MWp for rooftop solar PV projects in Singapore and Brunei, positioning it to establish a strong market presence in advancing clean energy solutions in both countries.

“The prospects in both countries are highly promising, as Singapore has set its sights on reaching two gigawatt-peak by 2030, while Brunei aims to achieve a solar energy target of 200 MWp by 2025.”

Solarvest said the development of ESS-integrated solar projects involves leveraging lithium battery and hydrogen hybrid technologies to optimise energy usage, efficiently manage peak demand, and ensure a stable power supply.

In the same statement, Solarvest executive director and group chief executive officer Davis Chong Chun Shiong said the company’s expansion into the Singapore and Brunei markets represents a crucial step in strengthening its Asean market presence.

“With that, our total tender book for overseas projects currently stands at 720 MWp, indicating a strong job pipeline for the group. As part of our expansion strategy, we are progressing across the value chain as a holistic clean energy developer for selected overseas projects.

“In addition to offering engineering, procurement, construction and commissioning services, we are actively involved in project development, securing financing and providing comprehensive operations and maintenance services.”

Solarvest’s geographical footprint now includes Taiwan, the Philippines, Vietnam, Indonesia, Thailand, Singapore and Brunei Darussalam.

Source: The Star

Solarvest partners two S’pore firms to widen reach

Malaysian businesses and investors must be prepared to compete for investment opportunities from or in China.

Malaysia’s Consul-General in Nanning Ahmad Phadil Ismail said in view of China’s vast and open domestic market, Malaysia can explore many new markets based on its advantage in agricultural commodity production.

China reopened its international borders in January after almost three years of closure due to the Covid-19 pandemic, and the Malaysian business community must seize the resulting opportunities to explore new markets in the republic, he said.

“China has been Malaysia’s largest trading partner all this while. (But) with the emerging competition from Vietnam, Malaysia must work harder.

“This is just the competition within Asean and not yet taking into consideration competition from Europe, other developed and developing countries,” Ahmad Phadil told Bernama TV in Nanning recently.

He said Asean’s position, especially Malaysia, in the shifting world geopolitical landscape, should be viewed as an opportunity to attract investments.

Ahmad Phadil noted that China and Malaysia have continued to maintain very close relations, despite changes in leadership.

“We must capitalise on these close bilateral relations. China is ready to receive foreign investments. The question is whether Malaysia’s business community is ready to give the same commitment,” he said.

Agricultural commodities are among the main exports from Malaysia to China, and products such as palm oil, durian and edible bird’s nest are warmly received in the Chinese market.

Therefore, Ahmad Phadil hopes the Malaysian business community would make use of the business opportunities at the 20th China-Asean Expo in September this year.

On attracting investments from China, he said electric vehicles, artificial intelligence and green technology are among the new areas that could be looked into.

In 2022, trade with China reached 17.1 per cent of Malaysia’s total global trade of RM2.8 trillion.

Total trade between the two countries last year amounted to RM487.13 billion, an increase of 15.6 per cent compared to 2021.

Source: Bernama

Malaysian businesses, investors urged to gear up for opportunities in China

Indonesia’s Minister of Trade Zulkifli Hasan has invited Malaysian healthcare industry players to invest in the republic.

He said in a statement that industry players need to see the potential, especially in the construction of hospitals outside Java island.

The matter was conveyed during a bilateral meeting with Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz in Kuala Lumpur on Wednesday (June 7).

The meeting was held to discuss the border trade agreement signed by the two ministers in Putrajaya on Thursday, witnessed by Prime Minister Datuk Seri Anwar Ibrahim and Indonesian President Joko Widodo.

According to Zulkifli, the agreement will facilitate trade, as well as improve the well-being of the people on the Malaysia-Indonesia border.

Both countries will now continue the process of ratifying the agreement according to the provisions of the law in their respective countries before it is enforced.

Malaysia is Indonesia’s fifth export destination and fourth import source nation, with the trade value reaching US$27.9 billion (RM128.67 billion) last year.

Indonesia’s exports to Malaysia were worth US$15.4 billion and imports worth US$12.5 billion, with a trade surplus of US$2.9 billion.

Source: Bernama

Malaysian healthcare industry players invited to invest in Indonesia

The government will continue to facilitate the involvement of local companies in the development of Indonesia’s capital, Nusantara, which is able to offer a wider potential for investment, trade and economic collaboration in various fields for industry players from Malaysia.

The Ministry of Investment, Trade and Industry (MITI) said the government would continue to highlight the expertise of Malaysian companies on the international stage and look for opportunities for more Malaysian companies to be involved throughout the period of Nusantara development.

“The Indonesian government, in principle, welcomes Malaysia’s intention and the interest of Malaysian companies to participate in the development of Nusantara,” the ministry said in a written reply published on the Parliament’s website today.

MITI was responding to Oscar Ling Chai Yew’s (DAP-Sibu) question regarding the details of the involvement of private companies and government-related companies in the development of Indonesia’s Nusantara.

The ministry said the involvement of local companies would also be able to contribute towards improving investment and trade performance between Malaysia and Indonesia, in order to realise the well-being of the people in Sabah and Sarawak and the country in general.

Meanwhile, in response to Ling’s question on the government’s proposal to build a highway over the railway connecting Nusantara with Sabah and Sarawak, MITI said as the nearest neighbouring country, Malaysia is also expected to feel the economic spillover effects from Nusantara development, either directly or indirectly, especially for Sabah and Sarawak.

The ministry said during Prime Minister Datuk Seri Anwar Ibrahim’s visit to Indonesia on Jan 8, a total of 10 Malaysian companies expressed their intentions to be involved in the development of Nusantara through the submission of 11 letters of intent (LOI) to participate in various sectors.

It said these included services, urban and real estate development, infrastructure and utilities, healthcare, digital economy, construction materials supply, engineering and support services sectors.

MITI said recently, four more Malaysian companies expressed their intentions through LOI to be involved in Nusantara development.

“The government constantly following the development of Nusantara in East Kalimantan and at the moment, the Ministry of Transport has no proposal to build a railway network connecting Sarawak and Sabah with Brunei or Nusantara.

“Currently, the focus is on the urban rail network under the Kuching Urban Transport System (KUTS) project led by Sarawak Metro in Sarawak while in Sabah, the focus is on improving the railway infrastructure as well as the quality of Sabah’s train services led by the Sabah State Railway Department,” it said.

However, it said the government, through MOT, is willing to help any party interested in conducting a feasibility study related to the construction of a highway or railway connecting Sabah and Sarawak with Nusantara.

Source: Bernama

Govt to continue to facilitate local companies involvement in Indonesia’s Nusantara development

Malaysia has obtained an understanding with the Indonesian government over the investment and supply of hydrogen gas to Nusantara, the neighbouring country’s new capital city in East Kalimantan.

Prime Minister Datuk Seri Anwar Ibrahim said Indonesian President Joko Widodo had previously informed him of the understanding between the Sarawak state government and Indonesia.

“This development is very helpful in gaining investor confidence,” he said in a media conference after chairing the Unity Government secretariat here tonight.

Meanwhile, Sarawak Premier Tan Sri Abang Johari Tun Openg, who was also present at the media conference, said he had the opportunity to meet with Jokowi in Indonesia and discussed the state government’s hydrogen-related investment in Nusantara.

“This shows the confidence of our neighbour towards Malaysia’s current administration,” he said.

Source: Bernama

Malaysia obtains understanding for hydrogen gas investment in Indonesia

The Gamuda Bhd and John Holland Pty Ltd joint venture has been awarded a A$1.03bil (RM3.03bil) design and construct job for the M1 Motorway extension to Raymond Terrace: Black Hill to Tomago Works, by Transport for New South Wales (NSW), Australia.

Based on the 60:40 (John Holland/Gamuda) respective revenue sharing deal, Gamuda’s revenue portion would be A$411mil (RM1.21bil).

In a Bursa Malaysia filing, Gamuda said the job involved 10km of greenfield dual carriageway motorway between the M1 Motorway at Beresfield and Tomago.

It will also involve major interchanges at Black Hill, Tarro and Tomago, and the construction of nine bridges including a 2.6-km viaduct across the Hunter River and flood plain.

Gamuda added that planning and detailed design would start immediately, with site investigations and utilities work in mid-2023.

“The project is expected to contribute positively to the revenue and earnings of Gamuda for the financial year ending July 31, 2023 (FY23),” said the group.

John Holland is one of Australia’s leading building, infrastructure, rail and transport companies.

John Holland’s parent company, CCCI, is a wholly owned subsidiary of China Communications Construction Company Ltd (CCCC), one of the world’s largest infrastructure and engineering companies.

Meanwhile, Seymour Whyte Constructions will build the 5km northern section that bypasses Heatherbrae (for the new M1 Pacific Motorway extension to Raymond Terrace).

A statement by Transport for NSW said the project is being delivered using two collaborative design and construct contracts to ensure innovation, efficiency and value for money in bringing this extension to life.

The Australian and NSW governments are jointly funding the A$2.1bil (RM6.27bil) M1 Pacific Motorway Extension to Raymond Terrace project on an 80:20 basis.

The extension is expected to be open to traffic in mid-2028.

Meanwhile, in a recent report, TA Research said following the disposal of the toll business, Gamuda is now left with two engines of growth – the construction and property divisions.

“With a record high outstanding order book and strong property unbilled sales, we expect the group to continue posting decent earnings performance in the upcoming quarters,” said the research unit.

As of end-October 2022, Gamuda’s outstanding construction order book improved from RM14bil a quarter ago to another record high of RM14.8bil.

“The strong outstanding order book can provide earning visibility up to FY27.

“The overseas projects accounted for 78.4% of the outstanding order book,” said TA Research.

Meanwhile, Gamuda’s management maintains its ambitious new job win target of a total of RM25bil over the next two years.

On the domestic front, despite the recent change in the new government, the group is confident that both the Mass Rapid Transit 3 or MRT3 and Penang South Islands projects will proceed eventually.

For the overseas market, Australia is expected to be a major source of order book over the next decade.

Also, the group intends to increase its exposure to green infrastructure investment.

“A RM2bil budget has already been allocated for investment in this space over the next five years.

“In addition, the group has started to look for renewable energy opportunities in oversea markets,” said the research unit.

As for Gamuda’s property division, it recorded a 43% year-on-year drop in sales to RM480mil in the first quarter of FY23.

This was because the top-selling projects such as OLA and Celadon City were almost fully sold.

“The management remains confident that the property division can hit the sales target of RM4.5bil for FY23.

“This is thanks to newer projects,” said TA Research.

Unbilled property sales eased slightly from RM6.2bil a quarter ago to RM5.8bil.

Source: The Star

Gamuda JV wins RM3bil Aussie project

Caely Holdings Bhd is going to form a joint venture (JV) company to carry the business of apparel manufacturing, undergarments and lingerie in Jakarta, Indonesia.  

In its filing with Bursa Malaysia, it said wholly-owned unit Classita (M) Sdn Bhd entered into a shareholders’ agreement with Jakarta-based PT Bintang Mas Jogja (BMJ) to set up a company (newco) on Nov 18. 

This would provide the troubled lingerie maker with an opportunity for growth expansion, as well as to access new markets and distribution networks, it added. 

Classita and BMJ will hold 60% and 40% stake respectively in the company, which will have an initial issued and paid-up capital of RM1.74 million (IDR6 bil). 

The directors of Classita are Ng Keok Chai, Leong Seng Wui, Hor Weng Kuan and Kenny Khow Chuan Wah. BMK’s directors are Andrew Teguh and Robert Teguh.   

Caely added that the execution of the shareholders’ agreement is expected to contribute positively to the group’s earnings in future.  

The Edge reported last month that the expansion into Indonesia will help reduce the group’s operating costs due to lower wages and abundant skilled worker supply there, as well as help Caely grow its customer base.  

Caely, which is embroiled in allegations of corruption and misuse of funds, reported a net loss of RM352,000 for the three-month period from April 1 to June 30, on a revenue of RM15.75 million.  

Caely shares were last traded at 28 sen, for a market capitalisation of RM96.62 million. 

Source: The Edge Markets

Caely to form 60:40 JV company in Indonesia

Future Forest International (Malaysia) Sdn Bhd has inked a memorandum of understanding (MoU) with Salus Bioceutical (Thailand) Co. Ltd. to facilitate the latest green technology to produce halal hemp products.

In a statement, Future Forest said the MoU was signed by its chief executive officer (CEO) Safina Yaakob and Salus director and CEO Tanadee Pantumkomon at the Asia International Hemp Expo 2022 here on Nov 30, 2022.

Also present were the Trade Commissioner of Malaysia External Trade Development Corporation (MATRADE) Bangkok, Mohamed Hafiz Md Shariff and Salus’s chairman and advisor Supakorn Sa-nguanchartsornkra.

Safina, who is a certified halal auditor by the Department of Islamic Development Malaysia, said Salus is eyeing to tap into the vast halal market and it has a high-capacity cannabis and hemp manufacturing and extraction laboratory.

“Salus is new in the halal industry and they appointed me as their advisor to produce halal hemp products.

“I am assisting them to produce halal and green products including halal hemp fibres,” she told Bernama.

Hemp fibres have been used to manufacture, among others, clothes, bags, shoes, ropes and cords, building materials and insulation purposes.

Safina said the mutual sharing of best practices and expertise in hemp and cannabis technology among the main entities is envisioned in their joint venture company that will be set up in Thailand to promote and market its Malay tea series with hemp/cannabis formulation (Canna Tea Series).

“The MoU will go beyond science and expertise as it will provide them with the impetus to inaugurate market needs by joining forces to explore the halal industry,” she said.

Meanwhile, Tanadee said the partnership would strengthen Salus’s ability to enter the halal market.

“We find that halal certification is one of the most important certificates that we must achieve and we hope the cooperation will guide us to comply with halal certification not only for our products but for cultivation, production and harvesting.

“We must ensure our products, ingredients and manufacturing processes are at the highest quality and following halal standards,” he said.

Future Forest is a sustainable forest and plantation management specialist, with a focus on medicinal plants, herbs and crops with purpose, R&D and project management solutions, which combines a wide range of high-level scientific services with economics in order to offer tailor-made solutions for clients and cooperation partners worldwide.

Salus is one of the first licensed CBD manufacturers from Thailand, after being granted a Hemp Extraction Licence to operate and extract hemp flower.

It is one of the largest cannabis and hemp manufacturing plants in Thailand. The company focuses on operations with cultivation, extraction, manufacturing, analytical testing and marketing of cannabis and hemp products.

Source: Bernama

Future Forest inks MoU with Salus to venture into halal hemp production

Petronas Chemicals Group Bhd’s (PetChem) wholly owned subsidiary BRB International has opened its new lube oil additives manufacturing facility at Echt, Netherlands.

In a statement on Thursday (Nov 10), PetChem said the facility is equipped with higher safety and quality standards and will serve as a lube oils additives and chemicals (LAC) hub for the global market.

PetChem managing director and chief executive officer Mohd Yusri Mohamed Yusof said BRB’s expansion is in line with PetChem’s strategy of diversifying into derivatives, specialty chemicals and solutions to meet the growing and changing customer demands in the region.

“As part of our growth plan for BRB, the opening of this facility marks a significant milestone towards strengthening BRB’s position as an innovative solutions provider,” said Mohd Yusri.
 
BRB’s chief executive officer Ralph Pinckaers added that the LAC unit has been continuously developing solutions for its customers in the automotive, industrial and original equipment manufacturers field for over 40 years.

“With this new facility, the LAC business will have more room for growth and potential development of new offerings. We are positive that this step will enhance BRB’s competitive edge in end markets,” said Pinckaers.

The Echt facility incorporates sustainable practices in BRB’s production of its drive line oil additives, Petrolad®, which uses lower energy consumption and reduces its overall carbon footprint in the making of its products.

This practice will contribute towards PetChem’s sustainability vision to achieve Net Zero Carbon Emissions by 2050.

PetChem closed up nine sen or 1.05% to RM8.64, giving it a market capitalisation of RM69.12 billion.

Source: The Edge Markets

PetChem subsidiary BRB International opens new facility in Netherlands

When a Malaysian consortium comprising S P Setia Bhd, Sime Darby Property Bhd and the Employees Provident Fund decided to develop a 42-acre tract at Battersea Power Station in London, the UK, a decade ago, I had a chance to visit the site during a working trip.

Except for the abandoned power station, which used to generate a fifth of London’s electricity at its peak, it was an empty piece of land.

Fast forward to today, the Battersea Power Station has become an iconic destination for tourists visiting London, as well as a good place for the locals to hang out.

That said, its development has not been smooth in the past 10 years. Not too long after the investment was made, the issue of Brexit emerged alongside news of project delays and cost overruns.

Interestingly, the ground-breaking ceremony in July 2013 was attended by the then London mayor Boris Johnson and former Malaysian prime minister Datuk Seri Najib Razak, both of whom have taken a step back from the political scene.

On my recent visit to the site, I could fully see Malaysia’s can-do spirit. At the opening ceremony, much appreciation was shown to the Malaysian consortium for making the bold move to revive the abandoned site.

As Battersea Power Station Development Company (BPSDC) chairman Datuk Jagan Sabapathy says: “Reopening this prestigious building, which means so much to Londoners and the world, demonstrates what can be achieved by the Malaysian people, working collaboratively with partners from across the world to deliver inspirational projects. This achievement is something for our whole country to be proud of, and I hope many will come to visit.”

Looming over the River Thames, the nearly £9 billion (RM48 billion) investment is bearing fruit, with future developments set to bring more excitement to the site.

Public opening celebrations

On the first day of its public opening on Oct 14, Londoners were seen flocking to the Battersea Power Station to experience the changes to the site. Among the events at the opening celebrations were a multimillion-volt duelling spectacle known as Lords of Lightning as well as performances by the Setia Harmony Drummers and Battersea Power Station Community Choir.

A local I spoke to during the event says, “This is an amazing moment for us residents in London. I never thought the site would be revived. We’re glad to have Malaysia’s participation in this development.”

With the opening of the site, the number of places to shop, dine and experience has increased to more than 60, with brands such as Hugo Boss, Lacoste, Ralph Lauren and Uniqlo present.

Some of the new eateries are Where The Pancakes Are, Poke House and Paris Baguette. These complement the bars and restaurants at Circus West Village such as the Wright Brothers, Battersea Brewery and Fiume.

Homesick Malaysians may want to try dining at Roti King, which serves authentic Malaysian dishes created and curated by head chef and owner Sugen Gopa.

Among the attractions at the historic building are Lift 109, a glass elevator that can transport visitors 109m up to the top of the building’s northwest chimney for an unrivalled 360-degree panoramic view of London’s stunning skyline.

Another draw is the Uber Boat by Thames Clippers, on which you can travel between the Battersea Power Station Pier and Central London in just 20 minutes.

Comprising Phase 2 of the Battersea Power Station development, the Power Station houses 254 apartments and over 100 shops, restaurants and cafés. Notably, Apple and SharkNinja have committed to 500,000 and 25,000 sq ft of office space respectively.

Meanwhile, Phase 3 offers a public pedestrianised gateway to the entire development, with links to the Battersea Power Station underground tube station and a new high street known as Electric Boulevard.

There are two residential development zones on either side of the high street. In April, the first residents were welcomed at Prospect Place. In the same phase will be another high-rise named Koa, with 204 apartments.

According to Battersea Power Station’s master plan, Phases 4 to 7 will not be launched until 2024, with completion in 2028. Thus, the whole development is expected to take another 10 years to complete, Jagan said at a media briefing in London recently.

“Some 60% of the land has been developed, we have another 40% to go,” he added.

BPSDC CEO Simon Murphy says that upon full completion, Battersea Power Station will have a balanced mix of space for commercial and residential developments.

New dining experience

On the retail space, BPSDC head of leasing Sam Cotton says the development project seeks to bring new dining experiences to the people here.

“We want the place to be accessible and a place for people to enjoy. A lot of these brands and businesses have no existing presence in this part of London. So, it’s something new with a little bit of speciality here. 

“For example, Where the Pancakes Are is a small independent restaurant. We’re really supporting small businesses as well as the big ones. The most exciting space going forward will be the Arcade Food Hall, which will be opened early next year. The 22,000 sq ft space will be run by JKS Restaurants with eight individual kitchens,” he explains.

Meanwhile, the historic building’s two control rooms have been fully restored, with Control Room A set to become a unique events space while Control Room B has been transformed into an all-day bar operated by Inception Group.

“It’s not just about shops and restaurants, it’s also about creating a reason to visit for a lot of people,” says Cotton.

The Battersea Power Station project covers 42 acres and includes 3.5 million sq ft of mixed-use commercial space and 4,239 new homes. The Northern line extension has given this neighbourhood its Zone 1 underground station, making it a 15-minute train ride from the West End and the city.

Enhanced living in London with Koa

Located at Electric Boulevard, Koa — a new collection of 204 apartments — is the highlight of the Battersea Power Station development in London, the UK.

Koa will comprise studio (75 units), one-bedroom (75 units) and two-bedroom apartments (54 units). The studio units are priced from £560,000 (RM3 million) to £960,000, with built-ups of 389 to 555 sq ft.

Priced from £855,000 to £1.73 million, the one-bedroom units will have built-ups of 538 to 858 sq ft. As for the two-bedroom units, they will have built-ups of 779 to 1,172 sq ft and are priced from £1.265 million to £2.15 million.

The average price for the project is £1,600 to £1,700 psf.

Koa was launched in the UK on Oct 21, while the launch in Kuala Lumpur took place on Oct 22.

There are two designed interior palettes for Koa: “Dawn” takes inspiration from Foster + Partners’ bright, linear architecture with white kitchens and light stone tiling, while “Dusk” features dark kitchen cabinetry and stone tiling in the bathrooms. Foster + Partners is an award-winning international architectural design and engineering firm that has earned a reputation for its exceptional designs.

Residents will have access to the Battersea Roof Gardens with a 360-degree view of its surroundings while enjoying unparalleled amenities. There will be a private sky lounge spanning 8,350 sq ft on the 14th and 15th floors. Other amenities will include a private screening room, a 2,500 sq ft gymnasium and a 24-hour concierge.

Part of Phase 3 of the Battersea Power Station development, Electric Boulevard offers a pedestrian high street that connects the new Battersea Power Station underground to the foot of the iconic power station.

Brands such as Zara and Zara Home have already opened their doors in conjunction with the public opening of the iconic site on Oct 14. London fitness brand Third Space is expected to open a 28,000 sq ft club here next year.

The Battersea Power Station underground station provides a high-speed connection to the rest of London, with the city and the West End a mere 15-minute train ride away.

“We call this a 15-minute neighbourhood. You can eat, shop, play, work and live here. The driver is the community spirit and the safety of the neighbourhood,” says Battersea Power Station Development Company head of residential Meriam Lock-Necrews.

She observes that after the outbreak of Covid-19, lifestyle has become an important consideration when making a decision to buy a house.

“At Battersea Power Station, you are not just buying an apartment, you are actually buying a lifestyle. We have 19 acres of green space sitting on our doorstep, as well as Battersea Park — one of the largest parks in London — next door,” she says, adding that the units are oversized in order to allow the creation of work-from-home spaces.

Given Battersea Power Station’s strategic location, Lock-Necrews says there has been a 50% increase in capital value since the launch of its Phase 1 residential project in 2017. This is a better performance compared with Central London’s 7.2% growth during the same period, according to JLL Research and HM Land Registry.

“It’s a testament to our product. We have repeat buyers all the time,” Lock-Necrews continues.

Rental-wise, Battersea Power Station has a gross yield of 4.6%, compared with 3.25% in Central London.

She points out that over £700 million of sales have been achieved in the past 18 months, with 85% of those comprising local buyers.

For Koa, Lock-Necrews says the initial response has been encouraging. “We have received a lot of interest already. It’s quite surprising [to see that] considering the current economic condition. However, we have a lot of repeat buyers. People who already live here are even looking to invest ­[in another unit].”

Koa is under construction and is expected to be completed in a year’s time. Show units will be available in the next couple of weeks.

Battersea Power Station is being redeveloped by a Malaysian consortium of S P Setia Bhd, Sime Darby Property Bhd and the Employees Provident Fund. The development won four awards at the Evening Standard New Homes Awards 2022, including the coveted Grand Prix Award. It was also named Outstanding Overseas Project at The Edge Malaysia Property Excellence Awards 2019.

Source: The Edge Markets

Battersea Power Station: A success story

Pecca Group Bhd plans to acquire a 80% stake in an Indonesian car leather upholstery maker firm, in its bid to enlarge its foreign presence in the automotive industry by entering into the Indonesian market.

The group said its wholly-owned subsidiary Pecca Leather Sdn Bhd (PLSB) on Monday (Oct 31) signed a memorandum of understanding with five parties — PT Multi Berjaya Asindo, CSC Automotive Sdn Bhd, Tan Kim Cheang, Neo Hwee Leong and Herny Pramana — for the acqusition of the stake in PT Gemilang Maju Kencana (GMK).

In a filing with Bursa Malaysia, Pecca said PT Multi Berjaya Asindo is involved in the trading of packing, carton box and injection tooling, while CSC is engaged with the production of car interior accessories and trading car accessories.

Neo is the general manager of GMK, while Herny is head of the finance department of the company.

PT Multi Berjaya Asindo is currently the largest shareholder of GMK with a 61% stake, followed by CSC Automotive (22%) and Tan (16%).

Post-acquisition, PLSB will emerge as the largest shareholder of GMK, with an 80% stake. The stake will cost PLSB 6.4 billion rupiah (RM1.94 million).

Neo will also emerge as a substantial shareholder with a 10% shareholding in GMK, with the remaining 10% owned by Herny, who currently owns a 1% stake in GMK. The 10% shareholdings in GMK will cost them 800 million rupiah each.

Pecca said PLSB, Neo and Herny would also inject funds totalling three billion rupiah into GMK for additional working capital, in accordance with the proportion of their shareholding.  

GMK is a company associated with Indonesia’s MPI group of companies.

After the proposed acquisition, Pecca said PLSB will seek to secure business and marketing support from MPI’s founder, Lim See Poh, and will also capitalise on the competency and experience of Neo and Herny.

“The well-established market presence of GMK will help Pecca accelerate its presence in this competitive industry,” Pecca added.  

Pecca’s share price settled 2.5 sen or 2.91% higher at 88.5 sen on Monday, giving the group a market capitalisation of RM666 million.

Source: The Edge Markets

Pecca proposes to acquire Indonesian car leather upholstery maker

Caely Holdings Bhd (CHB) has set plans to expand its manufacturing business segment via a proposed joint venture with an Indonesian counterpart for a new production facility with a total investment value of US$800,000.

Executive director Leong Seng Wui said the company is looking to execute the expansion by the first quarter (Q1) of next year, adding that the investments are to be in cash and machinery available in its Teluk Intan plant in Perak.

“We are in the midst of discussions on the percentage that Caely would take up. Moreover, we feel it is good timing to expand even though we have manufacturing facilities in Malaysia as we rely more on foreign workers,” he said during a press conference here today.

CHB also named seven new members to its board of directors (BoD) to revive its businesses and bring in additional revenue in the near future.

The seven new members are executive chairman Ng Keok Chai, executive directors Leong and Kenny Khow Chuan Wah, independent non-executive directors Datuk Kang Chez Chiang, Krishnan Dorairaju, Chong Seng Ming and Datuk Pahlawan Mior Faridalathrash Wahid.

“The ultimate aim of the new board is to work hard to revive the businesses and to reward all our employees and stakeholders for their long-standing support. We, the new management, will bring the company back on the right track,” he said.

With the appointment of the new members of the BoD, the company aims to stride forward with new business plans.

Besides that, CHB is also looking to re-strategise their direction by identifying and engaging market experts in the property development segment to revive the business.

“With additional land banks in Tapah and Klang Valley, we will be hiring experts in the property development sector to identify potential projects that will contribute positively to the company.

“This will also include future acquisitions to boost Caely’s overall business,” Leong added.

Executive chairman Ng Keok Chai said the new board would fully support and cooperate with the police on the investigation and do its best to recover as much as possible to benefit the company and its shareholders.

“In addition, the newly appointed forensic auditor Virdos Lima Consultancy (M) Sdn Bhd, will be able to continue with their investigation with the support from the new board, including providing the necessary documentation relevant to their investigation to the extent possible,” he said.

Since February 2022, CHB has been embroiled in a legal case of misappropriation of funds which involves the company’s founder and former executive director Datin Fong Nyok Yoon, her husband Datuk Alan Chuah Chin Lai and former BoD.

The couple is alleged to have misappropriated RM30.55 million from Caely (M) Sdn Bhd (CMSB) through 10 questionable related-party transactions.

On 26 August, a change in the boardroom took place when the entire former board members, excluding Fong, were removed, and  Leong, Kang, Ng and Krishnan were appointed as the new BoD.

An additional three members, Khow, Chong and Mior, were appointed to the board on 27 September.

On 5 October, the new BoD lodged a police report requesting a police investigation into the alleged misappropriation of funds amounting to RM30.55 million involving CMSB during the tenure of the previous board members.

In the latest development regarding the civil suit against 12 of its former directors, CHB filed a claim on the possible systematic misappropriation of funds of not less than RM30.55 million in CMSB by Fong and Chuah and other former directors, as they had deliberately concealed and made no disclosure to the public, fraudulent concealment and conspiracy to injure, among others.

“The new board is hopeful of recovering the misappropriated funds which were supposed to be utilised for the business development and growth of the company in the best interests of the stakeholders as soon as possible,” added Ng.

Source: NST

Caely Holdings to expand manufacturing business to Indonesia via joint venture

ETRONAS Chemicals Group Bhd has completed its acquisition of specialty chemicals group Perstorp Holding AB (Perstorp).

“We are delighted to have completed this acquisition. The acquisition is part of our stepping-out strategy, creating a new platform for our growth in the specialty chemicals industry.

“It also goes beyond earnings potential; Perstorp is a strategic fit with similar values and talented workforce who are experts in the industry. We are excited to welcome the Perstorp team to the PCG family,” PCG managing director/ chief executive officer Ir. Mohd Yusri Mohamed Yusof said in a statement.

In May 2022, PCG signed a securities purchase agreement with Financière Forêt S.à.r.l, a company under PAI Partners, a European private equity firm, to acquire the entire equity interest in Perstorp for a base purchase of €1.538 billion (RM7.018bil) cash.

With the completion of the acquisition, Perstorp is now PCG’s wholly-owned subsidiary.

Moving forward post-acquisition, PCG intends to continue preserving and growing the value of Perstorp, as the next few years will be a crucial chapter for both companies.

Among the major development plans include the expansion of Perstorp’s global presence by strengthening its position in the Asia Pacific markets through PCG’s industrial know-how and tapping into its substantial customer base.

Additionally, PCG will also strive to ensure the timely completion of Perstorp’s growth projects in a safe and cost-effective manner.

Perstorp has several projects lined up in the near future, including the launch of Project Air which aims to reduce carbon emissions through the production of sustainable methanol.

Recently, The European Union Innovation Fund selected Project Air, as one of 17 large-scale green tech projects, which together will be granted more than €1.8 billion.

Source: The Star

PetChem completes acquisition of Swedish specialty chemicals group Perstorp

Investments by Malaysian companies in India amounted to US$7 billion (US$1=RM4.63) as bilateral relations continued to flourish in different sectors, Malaysia’s charge d’affaires in New Delhi Amizal Fadzli Rajali said.

Malaysian companies in India operate in areas such as automotive, fast-moving consumer goods (FMCG), infrastructure, healthcare, oil and gas and renewable energy.

“To date, Malaysia’s FDI (foreign direct investment) inflows into India amount to US$7 billion,” he said at the Malaysian National Day reception here on Friday.

On the other hand, he said 150 Indian companies have invested US$3 billion in Malaysia in sectors such as biotechnology, chemicals, financial services, manufacturing, pharmaceuticals and the textile industry.

He said Indian companies are encouraged to expand their operations in Malaysia by taking advantage of the country’s hub position in the Southeast Asian region.

Meanwhile, Indian Minister of State for External Affairs Rajkumar Ranjan Singh, who was the chief guest on the occasion, hailed the growing bilateral relationship and called Malaysia one of India’s major partners in the region.

Singh said the two countries enjoy a “thriving friendship” and their cooperation is growing in various fields.

Those attending the Malaysian National Day reception included ASEAN envoys, diplomats from various missions, Indian government officials, business people and members of the Malaysian and local communities.

Source: Bernama

Malaysian companies invest US$7 billion in India as bilateral relations continue to flourish: charge d’affaires

Scientex Bhd is partnering with Japan’s leading producer of liquid and paste packaging systems, Taisei Lamick Co Ltd, to expand its market share in the region.

Scientex’s wholly owned subsidiary Scientex Packaging Film Sdn Bhd signed a share sale agreement (SSA) with Taisei Lamick to acquire 8,100 ordinary shares representing 80.2 per cent equity interest in Taisei Lamick Malaysia Sdn Bhd (TLM) for RM63.8 million cash.

Upon completion of the SSA, Scientex will hold 80.2 per cent equity in TLM, while Taisei Lamick will hold the remaining 19.8 per cent equity.

Scientex chief executive officer Lim Peng Jin said this partnership is a meaningful step for the company on multiple fronts.

“This collaboration, leveraging on the

strong reputation and collective strengths of Scientex and Taisei Lamick.

“The partnership is poised to bring industry-defining cost-competitive quality products to regional clientele and hence potentially expand our flexible packaging market share,” he said in a statement today.

Lim said the deal would enable Scientex to gain an immediate foothold into the fast-growing film business used in liquid and paste packaging, thus enhancing Scientex’s offering of diversified and customised flexible packaging products, especially in the food and beverage (F&B) sector.

“It will also allow us to expand our capability into producing customised healthcare and hygiene-related packaging and widen the range of value-added packaging solutions in the FMCG sector,” Lim said.

Tokyo Stock Exchange-listed Taisei Lamick is involved in the manufacturing and sale of plastic films, retort pouches, and pouches with zippers for automatic filling with liquids and pastes.

The company also manufactures and sells DANGAN auto fillers for liquids, pastes, peripheral devices, and technical services.

Its subsidiary TLM is primarily involved in the manufacturing and selling of printed and laminated flexible light packaging materials for F&B and fast-moving consumer goods (FMCG) products.

The share acquisition is to be funded by internally-generated funds and bank borrowings and is not subject to the approval of Scientex shareholders and government authorities in Malaysia.

The acquisition is expected to be completed in the second half of this year and is anticipated to contribute positively to the earnings and net assets of Scientex for the financial year ending 31 July 2023.

Source: NST

Scientex partners Japan-based Taisei Lamick to expand into liquid, paste packaging