SUNWAY, BERJAYA LAND, AXIATA, MAS

Sunway Holdings Bhd’s (SGW MK, Hold, TP: RM1.09) interest in acquiring the local concrete plants, quarries and asphalt factories owned by HeidelbergCement AG may have waned, after the latter raised the indicative sale value for these assets to US$250m (RM885m) from US$200m. The German company upped the asset’s selling price following the emergence of three other interested parties. Submission for bids is expected to start next week. However, with the raising of the price, Sunway, as well as one of the three private equity firms are no longer keen to place their bids. (Financial Daily)
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Berjaya Land Bhd (BLand) has placed out a 3.18% stake comprising 40m shares of 10 sen each in numbers forecast operator Berjaya Sports Toto Bhd (BToto) (BST MK, Buy, TP: RM5.80) at RM4.75 per share for a total of RM190m cash to partly redeem RM848.1m, 8% secured exchangeable bonds that would mature on Aug 15, 2011. BLand said yesterday itsmajor shareholder Tan Sri Vincent Tan Chee Yioun had also concurrently placed out a total of 15.6m shares in Toto, thus reducing his direct interest to 54.5m shares representing 4.34% stake in BToto. Following the placement, BLand group’s stake in BToto was reduced to 47.48% comprising 596.27m shares from 50.66% comprising 636.27m shares. BLand said despite
the weak market conditions, there was ample interest to absorb a total of 55.6m shares, raising some RM264.1m cash.
(Financial Daily)
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Axiata Group Bhd (AXIATA MK, Buy, TP: RM3.12) is considering an offer for Millicom International Cellular SA’s assets in Cambodia and Sri Lanka. The company may bid as much as US$500m (RM1.77bn) for Millicom’s stake in its Cambodian unit and US$200m for the Sri Lankan operations, according to two people with knowledge of the matter. Axiata declined to
comment. (Financial Daily)
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Malaysian Airline System Bhd (MAS MK, Sell, TP: RM2.00) will suspend its thrice-weekly services from Kuala Lumpur to New York via Stockholm, and the return leg, effective October due to a drop in demand. The last flight would be on September 30, after serving New York since 1998. “The suspension is part of our continuous review to ensure that we retain the correct balance in network and fleet utilisation given supply and demand.” said commercial director Datuk Rashid Khan.
(Financial Daily)