Notable filings
Between Feb 19 and 25, notable changes in shareholding in companies listed on Bursa Malaysia included the emergence of Japan’s largest financial group, Mitsubishi UFJ Financial Group Inc, as a substantial shareholder in a number of Malaysian entities. This is by virtue of its wholly-owned subsidiary, Mitsubishi UFJ Trust & Banking Corp, increasing its stake to more than 15% in Aberdeen Asset Management plc, which actively invests in Malaysian companies.

The companies that filed changes in shareholding in the period under review, stating the emergence of Mitsubishi UFJ as a substantial shareholder, were CIMB Group Holdings Bhd, Guinness Anchor Bhd, Panasonic Manufacturing Malaysia Bhd, Pos Malaysia Bhd, United Malacca Bhd, United Plantations Bhd and YNH Property Bhd.

In a separate development on Feb 23, Malaysian Merchant Marine Bhd deputy executive chairman Datuk Ramesh Rajaratnam informed Bursa he has disposed of 5.2 million shares, or 3.1% of the company’s equity capital, on the open market. With the sale, he is now left with 44,400 shares in the company. Ramesh was appointed deputy executive chairman of the company in December 2007.

Malaysian Merchant Marine just reported its FY2009 ended Dec 31 results, which showed losses before tax widening to RM17.3 million from RM13 million the year before. Revenue plunged 60.9% to RM29.7 million.

The group has been trying to restructure and reorganise its capital, only to have shareholders reject its capital reduction scheme. Its fleet disposal plan to raise funds has not taken off as potential buyers face funding problems.

On Feb 24, SEG International Bhd (SEGi) notified the exchange that Koperasi Pegawai-Pegawai Melayu Malaysia Bhd (MOCCIS) had ceased to be a substantial shareholder with the disposal of 18.98 million shares on Feb 18. Also on Feb 18, Cerahsar Sdn Bhd acquired 20 million shares, or 22.45%, of SEGi’s equity share capital.

SEGi’s share price has been on a tear since January this year. Over the last one year, the stock has risen 135.7% from its 52-week low of 70 sen to as high as RM1.65. It closed at RM1.59 last Wednesday.

At ACE Market-listed Sanichi Technology Bhd, PFM Capital Sdn Bhd emerged as a substantial shareholder with a 28.3% stake in the company following the allotment of 40 million shares in a private placement exercise.

Notable movements

Ta Ann Holdings Bhd hit a one-year intra-day high of RM5.20 last Tuesday. According to filings by the group, the Employees Provident Fund (EPF) has been picking up its shares. A filing on Feb 25 showed the EPF adding 111,900 shares to its holdings of slightly more than 20 million shares.

For FY2009 ended Dec 31, Ta Ann’s profit before tax almost doubled to RM94.9 million from RM47.7 million in FY2008. This is despite a 10.5% decline in revenue. The group attributed the better performance to a higher volume of export logs and crude palm oil sales at higher average prices. It also booked an unrealised exchange gain. PBT at Ta Ann’s timber division improved significantly during the year, rising more than 100% to RM54.8 million from RM8.3 million in FY2008.  Profits in its palm oil division increased 6.6% from RM36.1 million to RM38.5 million.
Mamee-Double Decker Bhd has been getting investors’ attention as its share price soared to its one-year intra-day high of RM2.70 last Wednesday.

No filings were made with Bursa on any major transactions of the company’s stock last week. However, the stock’s rise could be due to the company’s stellar financial results, with PBT increasing 86.7% to RM56.2 million in its FY2009 ended Dec 31, from FY2008’s RM30.1 million. Its operating margins expanded to 13.7% compared with 7.6% the year before.

The company attributed its better performance to an improved cost structure as a result of higher production efficiency and stringent cost control of raw materials. As for the outlook for the current year, Mamee-Double Decker expressed optimism given the launch of new products.

This article appeared in Capital page of The Edge Malaysia, Issue 796, Mar 8 - 14, 2009.