MRT jobs to be out in May, ahead of schedule

CONTRACTS for work on Malaysia's first mass rapid transit (MRT) line, linking Kajang and Sungai Buloh, will be awarded in May this year, an official said.

This is earlier than some analysts expected and will likely be welcomed by the market, which has been looking for projects like this, which come under the government's Economic Transformation Programme (ETP), to show progress.

The project's groundbreaking is supposed to kick off this July.

The Land Public Transport Commission chief executive officer Mohd Nur Ismal Kamal said tenders for the preliminary and main works will likely be called by Syarikat Prasarana Negara Bhd at the end of April, with the awards to be announced "around mid-May".

The Prasarana-appointed project manager, a joint venture between Gamuda Bhd and MMC Corp Bhd, will be able to give recommendations on which firms should get contracts, but it will be the government who has the final say, Nur Ismal said.

It is "not clear" yet if tenders for rollingstock, which include trains, will also be called before the project's groundbreaking, he added.

The Kajang-Sungai Buloh line, expected to be operational by 2016, is the first of possibly at least three MRT lines to come that would run a length of between 55 and 60km.

The three lines may cost RM36.6 billion in total, going by Gamuda-MMC's initial estimates in 2009, but this has yet to be determined.

Nur Ismal said the target cost for the first line is currently being worked out.

A special purpose vehicle set up by the Ministry of Finance Inc will be tasked to raise funds for this project, and possibly other infrastructure projects in future, he said.

There will be incentives for MMC-Gamuda if they can deliver the project below the target cost. Should they incur cost over-runs, however, they will have to pay up the difference, he said.

"We are highly focused on delivering the first line," he said.

Nur Ismal was speaking to reporters in Putrajaya after Prime Minister Datuk Seri Najib Razak announced 19 more projects, including the MRT, under the ETP.

More news on the second and third lines may be unveiled in late March or early April this year, he added.

"The timeline for the (first) MRT tender is slightly ahead of our expectations ... it should be viewed positively by the market," Chris Eng, head of reach at OSK Investment Bank Bhd, told Business Times.

Najib said the MRT will employ about 130,000 people at its peak construction phase and have a significant multiplier impact on associated industries.

Investment in it will see an incremental gross national income contribution of RM21.3 billion come 2020.

Read more: MRT jobs to be out in May, ahead of schedule

Mudajya, better late than never?

Mudajya TP=RM7.94 (CIMB)

14.01.11

SC still reviewing affairs of Mudajaya

Source: The Edge | Publish date: Fri, 6 Aug 16:51

KUALA LUMPUR: The Securities Commission said it would conclude its review on MUDAJAYA GROUP BHD [] as soon as possible, after the company announced it had engaged with SC to clarify matters.

In an email reply to The Edge Financial Daily on Friday, Aug 6 it said it was still reviewing the affairs of Mudajaya, whose share price had tumbled 20.5% on Thursday and saw RM156 million erased from its market capitalisation.

The selldown on Thursday was sparked by concerns about SC's informal probe into the company, that is believed to be related to its independent power producer (IPP) project in India.

The selldown on Thursday was sparked by concerns about SC's informal probe into the company, that is believed to be related to its independent power producer (IPP) project in India.

"As part of our review, we have engaged all the relevant parties, including the management of Mudajaya. We aim to conclude our review as soon as possible," said the SC spokesperson.

Before market opened on Friday, Mudajaya announced that it met up with the SC and provided the clarifications needed.

Market fears appeared to have been allayed by Mudajaya's announcement that its board of directors affirmed that the company had conducted its business in a professional manner.

The counter managed to recoup part of the recent losses on Friday, ending the day eight sen higher to RM4 with 17.64 million shares done.

"The board wishes to advise shareholders of the company to exercise caution not to trade in the company's shares based on rumours.

"Currently, the company has no borrowings and has a net cash position of approximately RM223 million. The company's focus remains on delivering and completing all our projects on hand. The board will update the shareholders of the company if and when is necessary," it said.

On Thursday, Mudajaya bought back one million of its shares for RM4.39 million, at prices ranging between RM3.90 and RM4.55. After the purchase, Mudajaya had 2.62 milllion treasury shares. No reasons were provided about the buyback.

Since the informal probe was announced by SC in June 22, the stock has plunged 34.4% from a recent high of RM6.10 to Friday's closing price at RM4.

Prior to the probe, Mudajaya's price rallied following news of a potential change in its substantial shareholding, with speculations that Tanjong plc and MMC CORPORATION BHD []'s unit Malakoff Corp Bhd eyeing a significant stake.

However, both Tanjong plc and MMC Corp had denied the market talk.

Based on its 2009 annual report, Mudajaya's major shareholders include Dataran Sentral (M) Sdn Bhd with a 24.43% stake and Mulpha Infrastructure Holdings Sdn Bhd with 21.45%.

Dataran Sentral's shareholders include managing director Ng Ying Loong and executive director Wee Teck Nam.

Mudajaya 1Q net profit up 260% to RM50.59m

Written by Surin Murugiah Wednesday, 12 May 2010 18:11

KUALA LUMPUR: MUDAJAYA GROUP BHD []'s net profit for the first quarter ended March 31, 2010 surged 260% to RM50.59 million from RM14.04 million a year ago, on the back of a 90.9% increase in revenue to RM239.35 million.

Earnings per share rose to 12.35 sen from 3.77 sen a year ago, the company said on Wednesday, May 12.

It declared a first interim dividend of 5% or one sen per ordinary share of 20 sen each under the single tier system for the financial year ending Dec 31, 2010.

The company said the increase in revenue and profit was mainly due to the increased level of higher profit margin activities during the current quarter as compared to the previous corresponding quarter.

On its current year prospects, Mudajaya said the financial performance of the group for 2010 was expected to improve further.

SunCon, WCT, Fajar, Muhibbbah pre-qualified as main contractors for LRT extensions

Written by Joseph Chin Wednesday, 28 April 2010 11:35

KUALA LUMPUR: Syarikat Prasarana Negara says 17 applicants have been pre-qualified as main contractors for the extensions to the light rail transits for the Ampang and Kelana Jaya lines.

It said on Wednesday, April 28 the applicants have demonstrated their technical and financial capacity and capability with the relevant infrastructure works experience.

They are:
1.Sunway CONSTRUCTION [] Sdn Bhd
2.Fajarbaru Builder Sdn Bhd – Signatium Construction Sdn Bhd JV
3.WCT – Sinohydro JV
4.IJM Construction Sdn Bhd
5.Ranhill – CCCC JV
6.Muhibbah Engineering Sdn Bhd
7.Gamuda Berhad
8.UEM BUILDERS BHD [] – Intria Bina Sdn Bhd JV
9.MMC- Zelan JV
10.MRCB Engineering Sdn. Bhd
11.Trans Resources Corporation Sdn Bhd
12.BPHB – Tim Sekata JV
13.Zabima – Leighton JV
14.Mudajaya Corporation Berhad
15.MTDC – Persys JV
16.Loh & Loh Constructions Sdn Bhd
17.Ahmad Zaki Sdn Bhd

In addition, 15 applicants have been pre-qualified as nominated sub-contractors for the fabrication and delivery of segmental box girder. The successful contractors will be notified officially in due course by Prasarana. The 15 are:

1.Sunway Construction Sdn Bhd
2.Fajarbaru Builder Sdn Bhd – Signatium Construction Sdn Bhd JV
3.WCT – Sinohydro JV
4.IJM Construction Sdn Bhd
5.Ranhill – CCCC JV
6.Muhibbah Engineering Sdn Bhd
7.UEM Builders Bhd – Intria Bina Sdn Bhd JV
8.MMC- Zelan JV
9.MRCB Engineering Sdn. Bhd
10.BPHB – Tim Sekata JV
11.Zabima – Leighton JV
12.MTDC – Persys JV
13.Ahmad Zaki Sdn Bhd
14.Bina Puri – Acre Works – SNC Lavalin JV
15.UEM Construction Sdn Bhd – Projek Penyelenggaraan Lebuhraya Berhad (PROPEL) JV

The financing of the project will be from Islamic bonds guaranteed by the Government. In September 2009, Prasarana had successfully launched RM4.0 billion Sukuk programme of which RM2.0 billion had been raised and oversubscribed by 5.3 times for the 15-year and 2.7 times for the 20-year tranche to part finance the line extension project. The balance of RM2.0 billion will be raised as the project implementation progresses.

Mudajaya Group Berhad

www.mudajaya.com
CIMB Recommendation
Financial Results
Final Dividend

OSK is offering 6 new call warrants

OSK is offering 6 new call warrants today, 20 April 2010 on MISC Berhad (MISC-CH: RM0.160), MUDAJAYA Group Berhad (MUDAJYA-CA: RM0.150), Kecana Petroleum Berhad (KENCANA-CB: RM0.150), Hartalega Holdings Berhad (HARTA-CB: RM0.150), Tan Chong Motor Holdings Berhad (TCHONG-CC: RM0.20) and Top Glove Corporation Berhad (TOPGLOV-CC: RM0.150). Tentative listing date will be on 27 April 2010.

KENCANA-CB, HARTA-CB and TCHONG-CC are by way of market making and no initial placement will be made. MISC-CH, MUDAJYA-CA and TOPGLOV-CC are offered by way of private placement and open for subscription application. Closing of the offering on 21 April 2010.