Sapura Energy, Keyfield, Awantec, CPE Technology, Axis REIT, Unitrade, Sunview, Iris Corp, ITMAX, Gadang, Ancom Nylex, Ornapaper, Powerwell, HHRG

Sapura Energy, Keyfield, Awantec, CPE Technology, Axis REIT, Unitrade, Sunview, Iris Corp, ITMAX, Gadang, Ancom Nylex, Ornapaper, Powerwell, HHRG

KUALA LUMPUR (April 22): Here is a brief recap of some business news and corporate announcements that made the headlines on Monday:

Sapura Energy Bhd is selling its remaining 50% stake in SapuraOMV Upstream Sdn Bhd to TotalEnergies Holdings SAS for US$705.3 million (RM3.37 billion) — comprising US$530.3 million, cash, and US$175 million relief on debt obligations. Sapura Energy bought the E&P unit for US$898 million back in 2014 from Newfield Exploration Co, before selling half its stake to OMV AG in 2018 for up to US$975 million. The price tag of its remaining 50% stake is US$198 million less than the US$903 million that TotalEnergies is paying to get the other 50% stake from OMV. With the sale, the French oil major will fully own SapuraOMV. — Sapura Energy sells entire 50% stake in SapuraOMV for US$705m to TotalEnergies

Keyfield International Bhd made a robust debut on the Main Market of Bursa Malaysia on Monday with a closing price of RM1.93, a whopping 114.4% or RM1.03 higher than its initial public offering price (IPO) of 90 sen. The impressive gain was the best maiden day trading performance of a Main Market IPO stock over the last six years. The group remains bullish on the outlook for accommodation vessels, due to a shortage of suitable vessels, coupled with strong issuances of new work orders by oil companies. — Keyfield is best-performing Main Market IPO stock on maiden day of trading in last six years

Awanbiru Technology Bhd (Awantec) is appealing Bursa Malaysia Securities’ decision to suspend the trading of its shares, saying the group has demonstrated that its current business operations are viable, sustainable and have growth prospects. The appeal against suspension will be escalated to the relevant regulatory committee of Bursa Securities for deliberation and decision. “Notwithstanding the appeal against the suspension, the trading in the securities of Awantec will be suspended with effect from April 26,” it added. — Awantec files appeal against trading suspension, says has growth prospects

Norges Bank, which manages Norway’s government pension fund, has emerged as a substantial shareholder in CPE Technology Bhd with a 5.45% stake, after acquiring 3.5 million shares or a 0.52% stake in CPE through Citigroup Nominees (Asing) Sdn Bhd. Based on the company’s closing price of RM1.30 on April 17, a back-of-the-envelope calculation indicates that the block of shares was valued at about RM4.55 million. — Norges Bank now a substantial shareholder in CPE Tech as it raises stake to 5.45%

Axis Real Estate Investment Trust (Axis REIT) has proposed to acquire an industrial complex and open storage yard in the Bukit Raja Industrial Park in Klang for RM351.8 million, cash, from a unit of Lion Industries Corp Bhd, Amsteel Mills Sdn Bhd. Axis REIT said it views the properties as high quality and earnings-accretive with strong recurring rental income, and the acquisition will be funded by existing bank financing. According to the REIT’s latest financial statement, its cash and bank balances amounted to RM7.79 million, while its bank financing stood at RM1.55 billion at end-2023. — Axis REIT to acquire industrial complex, storage yard in Klang from Lion group

Unitrade Industries Bhd’s wholly-owned subsidiary Syarikat Logam Unitrade Sdn Bhd has entered into a collaboration agreement with Huawei Technologies (Malaysia) Sdn Bhd and JJ-LAPP (M) Sdn Bhd to facilitate the purchase and sale of Huawei Digital Power-Smart Photovoltaic (PV) solutions. Under the agreement, Huawei will serve as technology adviser while JJ-LAPP will be the authorised value-added partner to promote and sell the smart PV solutions across residential as well as commercial and industrial (C&I) sectors. Meanwhile, Unitrade will act as the project delivery partner in facilitating broader market access. — Unitrade partners with Huawei, JJ-LAPP to offer smart solar systems

Renewable energy player Sunview Group Bhd’s wholly-owned Fabulous Sunview Sdn Bhd has set up a special purpose vehicle (SPV) with Saudi Arabia-based Vision Ambassadors Company for International Trade Consultancy to explore renewable energy (RE) projects. Fabulous Sunview will hold a 40% stake in the SPV, with the remainder to be held by Vision Ambassadors. Both parties have agreed that the initial paid-up capital for the SPV will be 100,000 riyals (RM127,533). The SPV is to explore RE projects in the Gulf Cooperation Council (GCC) countries — Saudi Arabia, United Arab Emirates (UAE), Kuwait, Qatar, Bahrain and Oman — as well as Central Asia. — Sunview to set up SPV with Saudi-based firm to explore RE projects

Iris Corp Bhd is forming a joint venture with Sri Lankan firm Aitken Spence Plc to establish an offshore company that provides business processes outsourcing services in the Colombo Port City Special Economic Zone in Sri Lanka. The group announced that its wholly-owned subsidiary Iris Tech Ventures Sdn Bhd has entered into a shareholders’ agreement with Aitken Spence’s wholly-owned subsidiary Aitken Spence International Pte Ltd. The joint venture will be a 50-50 partnership between the duo, with total investment of the venture amounting to US$500,000 (RM2.39 million). — Iris Corp forms JV to set up offshore company in Sri Lanka

ITMAX System Bhd plans to work with a unit of Johor Corp (JCorp), JLand Corp Sdn Bhd, to explore potential partnerships in developing and deploying smart city and integrated facilities management solutions for township and industrial park developments through its 65%-owned subsidiary Southmax Sdn Bhd. The duo have signed a memorandum of understanding to establish the principles and framework for the intended collaboration. They seek to finalise a JV agreement before setting up a joint venture company for the partnership. — ITMAX to collaborate with Johor Corp to develop smart city solutions

Gadang Holdings Bhd posted a net profit of RM6.47 million for the third quarter ended Feb 29, 2024 (3QFY2024), compared to a net loss of RM4.96 million a year ago, driven by interest accumulation on trade receivables and favourable foreign exchange (forex) translation. The group’s revenue also climbed by 14% to RM141.15 million for 3QFY2024, compared with RM123.98 million a year earlier, driven by increased contributions from the property division. For 9MFY2024, the group posted a net profit of RM14.1 million, compared to a net loss of RM1.62 million for 9MFY2023, attributed to better sales achieved and higher work progress from development projects. — Gadang registered highest net profits since 2QFY22, driven by interest accumulation on trade receivables, forex gains

Ancom Nylex Bhd (ANB) registered a 21.6% year-on-year jump in its net profit for 3QFY2024 to RM20.11 million from RM16.36 million, attributable to improved margins for its agricultural chemicals and industrial chemicals divisions. Revenue was up by 6.8% to RM516.78 million from RM483.95 million. For 9MFY2024, ANB reported a 10% increase in its net profit, as this rose to RM63.03 million from RM56.95 million, while revenue declined 3.6% to RM1.51 billion from RM1.57 billion. — Ancom Nylex sees 22% jump in 3Q profit as margin improves

Ornapaper Bhd plans to diversify into the property development and property investment business. The group said while it remained focused on its existing business — corrugated boards and carton boxes, paper-based stationery products and logistics services —  it has been actively seeking other business opportunities that could enhance long-term returns to its shareholders. — Ornapaper proposes to diversify into property business

Powerwell Holdings Bhd’s wholly-owned unit Kejuruteraan Powerwell Sdn Bhd has secured a RM22.05 million sub-contract from One Ocean Environment Sdn Bhd to supply a low voltage (LV) switchboard for the first stage of Sg Rasau Water Supply Scheme development in Selangor. The project is expected to be completed by the end of June 2025. — Powerwell bags RM22 mil sub-contract for Sg Rasau Water supply scheme project

Bursa Malaysia has demanded an explanation from HHRG Bhd on its proposal to purchase 51% stakes in two companies that jointly own a parcel of land in Kuala Muda, Kedah, that was originally belonged to the Kedah state government. HHRG had proposed to acquire the stakes for RM40 million, which provides the group with access to a parcel of land measuring 150 acres in Kuala Muda, valued at RM96.68 million. — Bursa queries HHRG’s RM40mil deal related to land originally owned by Kedah state govt