Malaysia Morning Wrap | Genting Secures RM1.36 Billion Contracts for FLNG Facility in Indonesia

Monday saw a relatively muted market day marked by falling oil prices and mixed earnings reports, yet major indices managed to climb by the close. At 4 pm ET, the $Nasdaq Composite Index (.IXIC.US)$ was up by 0.27%, the $Dow Jones Industrial Average (.DJI.US)$ increased by 0.65%, and the $S&P 500 Index (.SPX.US)$ rose by 0.26%. The earnings week continues to unfold with significant reports: $Alphabet-A (GOOGL.US)$ and $Advanced Micro Devices (AMD.US)$ are set to report on Tuesday, followed by $Meta Platforms (META.US)$ and $Microsoft (MSFT.US)$ on Wednesday, with $Apple (AAPL.US)$ and $Amazon (AMZN.US)$ concluding the major releases on Thursday. Keep an eye on updates for a first glimpse at their results here on moomoo.

$BURSA (1818.MY)$: Bursa Malaysia Bhd (KL:BURSA) and its subsidiaries will be closed on Thursday in observance of the Deepavali public holiday. Operations will resume on Friday, according to a statement released by the exchange.

$KLCC (5235SS.MY)$: KLCCP Stapled Group (KL:KLCC) has announced the appointment of Datuk Mohd Salem Kailany as Chief Executive Officer of KLCC Property Holdings Bhd and KLCC REIT Management Sdn Bhd, effective November 1. He succeeds Datuk Md Shah Mahmood. Bringing a robust background in property development and real estate, Salem has held notable positions including President and CEO of UDA Holdings Bhd, CEO at PNB Development Sdn Bhd, and Senior Vice President at Sime Darby Property Bhd. His expertise is expected to drive strategic growth and operational excellence within the company.

$GENTING (3182.MY)$: Genting Bhd (KL:GENTING) has awarded contracts totaling RM1.36 billion to Chinese and Indonesian contractors for developing necessary infrastructure for its floating liquefied natural gas (FLNG) facility slated for deployment in West Papua, Indonesia. The agreements involve PT Layar Nusantara Gas (PTLNG), a 95%-owned subsidiary of Genting, partnering with China National Machinery Import & Export Corporation (CMEC) and Shandong Kerui Energy Development Co Ltd (Kerui) for a US$182.87 million (approximately RM793.22 million) project. This project encompasses the design, engineering, and procurement for an onshore gas processing plant, connecting pipelines, and supporting facilities. Additionally, PTLNG signed another contract with PT China Construction Yangtze River Indonesia for the construction, installation, and commissioning of the midstream infrastructure, valued at IDR2.05 trillion (about RM566.79 million). The completion of this infrastructure, expected in 25 months, will enable the facility to process raw gas from the Asap, Merah, and Kido structures in the Kasuri Block, enhancing Genting's energy operations in the region.

$MAHSING (8583.MY)$: Mah Sing Group Bhd (KL:MAHSING) has announced a second partnership with Bridge Data Centres Malaysia Sdn Bhd, a subsidiary of Bain Capital, to further develop their joint venture data centre project, Mah Sing DC Hub@Southville City, located in the Southville City township in Bangi, Selangor. According to a recent press statement, this new agreement involves the development of additional plots of land totaling 35.68 acres (14.44 hectares) adjacent to the original site, aiming to provide a substantial 200MW of power capacity. The first phase of the data centre is expected to be operational by 2026, with Bridge Data Centres overseeing the design, construction, and infrastructure development. This expansion marks a significant step forward in enhancing Malaysia's digital infrastructure capabilities.

$AXREIT (5106.MY)$: Axis Real Estate Investment Trust (KL:AXREIT) (Axis REIT), which primarily invests in industrial assets, reported a 12% increase in its net property income (NPI) for the third quarter, rising to RM69.35 million from RM61.90 million in the same quarter the previous year. The rise in NPI can be attributed to contributions from properties acquired recently. Total revenue for the quarter also saw an 11.8% increase, reaching RM80.27 million compared to RM71.81 million a year ago. Additionally, the REIT declared a third interim income distribution of 2.35 sen per unit, payable on November 29. This declaration increases the year-to-date income distribution to 6.90 sen per share, up from 6.25 sen paid during the same period last year, reflecting continued growth and strong performance in its portfolio.

$IGBREIT (5227.MY)$: IGB Real Estate Investment Trust (REIT) (KL:IGBREIT) and IGB Commercial REIT (KL:IGBCR) have both experienced a notable boost in their net property income (NPI) for the third quarter ended September 30, 2024 (3QFY2024), primarily driven by higher rental income. IGB REIT's NPI for 3QFY2024 increased by 2.53% to RM114.11 million, up from RM111.29 million in the same quarter of the previous year. The REIT also saw its revenue rise by 3.73% to RM155.27 million, compared to RM149.68 million in 3QFY2023. Additionally, the distribution per unit (DPU) for IGB REIT rose to 2.68 sen, scheduled for payment on November 29, 2024, an increase from 2.60 sen in the corresponding period last year. Over the nine months ended September 30, 2024 (9MFY2024), the total DPU reached 8.20 sen, compared to 7.77 sen during 9MFY2023, demonstrating continued growth in shareholder returns.

$PGF (8117.MY)$: ICT Zone Asia Bhd (KL:ICTZONE), an information and communications technology solutions provider, has officially filed for an initial public offering (IPO) to facilitate its transfer from the LEAP Market to the ACE Market. According to its draft prospectus filed with Bursa Malaysia, the IPO will consist of 133 million new shares and an offer for sale of up to 54.91 million existing shares. This move will make available a 23.62% stake in the company to investors, although the pricing details have yet to be disclosed. ICT Zone has been listed on the LEAP Market since December 15, 2020, and the decision for the listing transfer was approved by its shareholders during an extraordinary general meeting on June 21.