MY Morning Wrap | UEM Sunrise to Sell Land in Johor for RM144.9 Million for Data Centre Development

Despite a market fall, the S&P 500 and Nasdaq hit all-time closing highs and intraday records just before the bell. The $S&P 500 Index (.SPX.US)$ climbed about 0.27%, while the $Dow Jones Industrial Average (.DJI.US)$ fell 0.31%, and the $Nasdaq Composite Index (.IXIC.US)$ climbed 0.88%. Apple also hit records in a delayed reaction following its AI presentation.

$SPSETIA (8664.MY)$: S P Setia has finally sold its 959.72-acre Tebrau land to a company linked to tycoon Tan Sri Syed Mokhtar Albukhary for RM564 million in cash. The sale was conducted through S P Setia's subsidiary Pelangi Sdn Bhd and was completed earlier on Tuesday with Senibong Island Sdn Bhd. The Malaysian property developer previously failed to sell the land to Scientex due to Bumiputera requirement issues. The deal with Scientex fell through twice, first in March 2023 and then in January 2024, after the company failed to obtain a waiver of the Bumiputera equity condition imposed by the Economic Planning Unit.

$UEMS (5148.MY)$: UEM Sunrise is set to sell land in Johor for RM144.9 million in cash for the development of a data centre by a leading global industry player. The two parcels of freehold land, located in Iskandar Puteri, measure about 11.7 hectares. The state-owned property developer did not disclose the buyer's identity, but the proposed disposal comes after UEM Sunrise signed a memorandum of understanding with LOGOS Infrastructure Holdco in May to develop a data centre campus in Gerbang Nusajaya.

$BAUTO (5248.MY)$: Bermaz Auto's net profit fell 10.3% to RM90.2 million for its fourth quarter ended April 30, 2024, from RM100.6 million a year ago, due to lower revenue despite higher profit contribution from associated company Kia Malaysia. Earnings per share declined to 7.73 sen in 4QFY2024 from 8.63 sen a year ago. Quarterly revenue dropped 12.6% to RM937.5 million from RM1.1 billion, mainly due to lower sales volume from the Mazda and Kia marque in its domestic operations. Bermaz Auto declared a fourth interim dividend of 4.75 sen per share and a special dividend of seven sen per share, totalling 11.75 sen per share, to be paid on Aug 2. Its total dividend for FY2024 is 26 sen per share, against 22 sen per share in FY2023.

$GAMUDA (5398.MY)$: Gamuda Land has announced that its redevelopment plans for the 75 London Wall building in London with UK-based real estate investors Castleforge Partners have been approved. The building, formerly known as Winchester House and formerly the UK headquarters of Deutsche Bank, is expected to be turned into office spaces. The property arm of Gamuda Bhd did not disclose any financial details regarding the project.

$ATECH (5302.MY)$: UK-based Abrdn has acquired 27.83 million shares, representing a 7.062% stake in Kedah-based electronic manufacturing services provider Aurelius Technologies. The transaction price was not disclosed. The major shareholders of Aurelius Technologies are Main Stream Holdings and Main Stream Ltd, with a 20.04% and 19.36% stake, respectively, according to its latest annual report. They are the private vehicles of the company's executive director and CEO, Loh Hock Chiang, and the late Lee Chong Yeow, the co-founder and former CEO.

$HLBANK (5819.MY)$: Hong Leong Bank has issued RM1 billion in nominal value of Tier 2 subordinated notes, under its multi-currency Tier 2 subordinated programmes. The 10-year debt notes have a five-year non-callable period and carry a coupon rate of 4.05% per annum, with coupon payments scheduled every six months. The first call date is on June 11, 2029. The subordinated notes are rated AA1 by RAM Rating Services.