MY Morning Wrap | YTL PowerSeraya Wins Bid to Build Hydrogen-Ready Gas Turbine Unit in Singapore

US stocks closed higher on Monday afternoon, with the S&P 500 and Dow Jones closing at another record high. The Treasury Department's announcement that it expects to borrow less in the first quarter than earlier anticipated, combined with anticipation of a barrage of earnings, helped boost investor sentiment. The $Dow Jones Industrial Average(.DJI.US)$ rose 189 points, or 0.6%, to 38,333, while the $S&P 500 Index(.SPX.US)$ gained 31 points, or 0.6%, to 4,922. The $Nasdaq Composite Index(.IXIC.US)$ was up 152 points, or 1%, to 15,606.

$YTLPOWR(6742.MY)$: YTL PowerSeraya, a unit of YTL Power International, has won the right to build, own, and operate a hydrogen-ready combined cycle gas turbine unit in Singapore with a minimum capacity of 600 megawatts. The Energy Market Authority of Singapore issued a request for proposal in July 2023. The power plant is estimated to cost S$800 million (RM2.82 billion) and is targeted to be completed by Dec 31, 2027.

$TM(4863.MY)$: Telekom Malaysia (TM) is reportedly exploring plans to build a new hyperscale data centre in Malaysia, expanding its capacity beyond the existing Klang Valley Data Centre and Iskandar Puteri Data Centre, according to CIMB Investment Bank. Hyperscale data centres are large facilities offering at least 40 megawatts of IT power capacity, catering to large cloud service providers and internet companies. CIMB expects TM to develop the HDC in phases if it proceeds with the plan.

$SUNSURIA(3743.MY)$: Sunsuria is increasing its stake in Bangsar Hill Park Development, the developer of the Bangsar Hill Park residential property, by 33% for RM71.42 million in cash. The related party transaction will raise Sunsuria's stake in the property developer to 84%, from the current 51%. Sunsuria is buying out Suez Capital and Dasar Temasek, leaving Sunsuria KL as the only other remaining shareholder with a 16% stake. Sunsuria KL is controlled by Tan Sri Ter Leong Yap, who is also the executive chairman and a major shareholder of Bursa-listed Sunsuria. Leong Yap is the brother of Datuk Ter Leong Hing, who is a director and a major shareholder of Suez Capital and Dasar Temasek.

$LCTITAN(5284.MY)$: Lotte Chemical Titan Holding reported its seventh consecutive quarterly loss in the quarter ended Dec 31, 2023, with net losses narrowing year-on-year amid lower feedstock costs and forex gains. The quarterly net loss was RM186.48 million or 8.19 sen per share, compared to RM333.64 million or 14.65 sen per share in 4QFY2022, despite a 10.26% decline in quarterly revenue to RM1.86 billion. The full-year net loss for FY2023 widened to RM780.29 million, from RM731.06 million, with a 23.68% drop in full-year revenue to RM7.65 billion, from RM10.19 billion, which LCTitan attributed to lower sales volume amid slower economic activities in the region.

$YNHPROP(3158.MY)$: YNH Property is planning to sell its Mont Kiara shopping mall, 163 Retail Park, to Sunway Real Estate Investment Trust (Sunway REIT) for RM215 million in cash. Of the proceeds, RM110.94 million will be used to redeem the property from its chargee, Public Bank. Another RM74.06 million will be used for the group's working capital, while RM30 million will go towards the repayment of borrowings. The proposed sale is expected to be completed by 2Q2024, subject to approval at the group's forthcoming extraordinary general meeting.

$BINTAI(6998.MY)$: Bintai Kinden has obtained an interim settlement plan from a debtor and shareholder approval for a private placement exercise, which the group sees as strategic advancements towards financial resiliency and operational vitality. Its unit, Optimal Property Management, has accepted an interim settlement proposal with Kolej Teknologi Islam Melaka over its default and outstanding debts of RM58.9 million. Bintai Kinden fell into Practice Note 17 status in March 2023.

$VARIA(5006.MY)$: Varia Bhd, formerly known as Stella Holdings Bhd, has been awarded a RM94.86 million contract for the Klang River flood mitigation project in Shah Alam, Selangor. Its subsidiary, Mewah Kota Sdn Bhd, has been appointed as a subcontractor for the project by Kator Construction Sdn Bhd. The project is set to last 60 months, starting from Feb 1, 2024, and ending on Jan 31, 2029.

$IREKA(8834.MY)$: Ireka Corp is transferring its 30% stake in two associates related to The RuMa Hotel and Residences to joint venture partner Aseana Properties as part of a settlement to a suit filed by Aseana Properties’ subsidiary last October. As part of the settlement to the RM109.8 million suit filed by ASPL M9 Ltd in relation to a JV agreement signed for the RuMa project development in 2009, Ireka will also transfer back its 19.55% stake in Aseana. The shares represent a 19.55% stake in Aseana, leaving Ireka Corp with 3.52% in the London-listed property player, down from 23.07% currently. The settlement is expected to result in a net financial impact of RM15.2 million on Ireka Corp.