Copyright 2005 New Straits Times Press () Berhad Malaysian Business

January 1, 2005

LENGTH: 10627 words

The movers and shakers-Either by their size or standing, they are able to move the market by their actions. Malaysian Business presents a list of people and companies that are likely to figure in the new year.

THE stock market loves movers and shakers, be they companies or individuals, whose manoeuvres have an impact on stock prices. In 2004, there was no dearth of such news-makers. The DRB-Hicom Bhd saga, the reformation of government-linked companies (GLCs) and the drive to make Khazanah Nasional Bhd a regional investment player all contributed to an exciting environment. Will 2005 be as stimulating? That's anyone's guess. But here we provide you some guidance on people and companies that would most likely provide the sparks this year. Take the case of Tan Sri Syed Mokhtar Al-Bukhary. After winning so many deals in 2004, market observers thought he would have had his hands full. But in a twist to the DRB-Hicom share tussle, Syed Mokhtar won yet again. The new year will not only illustrate how he handles all the companies he has gained control of, but also whether he will have the appetite for more, as some observers believe he will. Also on our watch list are people like Tun Daim Zainuddin, primarily for his banking forays overseas, Tan Sri Halim Saad, who could be making a comeback to corporate Malaysia, and Datuk Ahmad Kabeer Nagoor, who is reportedly one of the largest private equity investors in the country. Personalities aside, the proposed listing of Bursa Malaysia Bhd signals a new phase in the Malaysian capital market, while Khazanah, already busy trying to master the revamp of GLCs, is trying hard to make successful investments out of Malaysia. Malaysian Business takes a look at these individuals and companies. (Please note that the stories appear in no particular order of importance.) PEOPLE TO WATCH TUN DAIM ZAINUDDIN GROWING HIS BANKS IT COMES as no surprise that a former finance minister chooses to spend productive life outside office making money. And what surer way to make money than owning a bank, or banks. The man once entrusted with the keys to the Treasury is now a banker with his imprint well beyond national borders. Tun Daim Zainuddin, an extraordinarily media-shy man, is without doubt revelling in the freedom now that he is no longer in government. By all accounts, he would have preferred to have remained out of government during what would have been the most productive part of his life. But duty beckoned when he was persuaded to take over the reigns of the finance ministry, each time steering and steadying the rudder of a ship sailing through turbulent economic seas. It was a task that required sacrifices as Daim had to relinquish his lucrative bank holdings, those that were held in his personal capacity, that is, while serving in government. Leaving government did not mean he could cash in either, as he received no favours as far as banking licences were concerned. Daim set his sights overseas - the former Soviet satellite states as well as in deepest Africa. With his business savvy, an eye for opportunity and his lawyer's skill in closing a deal, Daim is where he is today, comfortably ensconced among the icons of the banking fraternity. It remains to be seen if his characteristic aloofness will work for or against him. He will always be remembered for fobbing off questions regarding his role on the local bourse by saying his foray into the market was nothing significant. Daim's focus in 2005 therefore will continue to be on growing his banking business in this region. No one should discount his canny ability to beat the odds and become a major player abroad. - By Abdul Razak Chik TAN SRI SYED MOKHTAR AL-BUKHARY MYSTERIOUS NO MORE? EMERGING as the winner in the widely publicised DRB-Hicom saga, Tan Sri Syed Mokhtar Al-Bukhary can now add an automotive division to his corporate empire. Hitherto very much low profile, the event has thrust him to the forefront of the news. With the victory, many expect him to post a new, more open, public persona. Yet, not all analysts are of that opinion. Some expect Syed Mokhtar, 54, to remain as elusive as ever and among the least likeliest people to be seen in public. Whatever it is, it's pretty sure Syed Mokhtar's corporate forays will not be over. 'Even before the ink dries on one acquisition agreement, he seems to be eyeing another,' says a local analyst. 'Don't be surprised that the DRB-Hicom purchase is just the beginning of another corporate manoeuvre.' Perhaps in the coming months, we can expect Syed Mokhtar to revive some of his old ideas, such as the double-tracking or aluminium smelter project. Currently, he controls a fast moving port, an airport, a hotel chain, plantation companies and construction firms. Perhaps, with his finger now firmly on the DRB-Hicom pie, Syed Mokhtar may cast a still wider net on the corporate scene. - By Clarence Y K Ngui DATUK AZMAN YAHYA GOING FOR THE BIG STAKES DATUK Azman Yahya is one of those businessmen who are never quite out of the limelight. Right from his days as managing director of Pengurusan Danaharta Nasional Bhd, Azman, 40, has been a pivotal player in the Malaysian corporate scene. His decision to move into the private sector in May 2002 and list his corporate vehicle, Symphony House Bhd, on the Mesdaq market in February 2003 further piqued media interest in him. Since then, the ex-investment banker has moved shrewdly, ensuring Symphony remains on the radar screen of most analysts. The announcement in early 2004 that Azman wanted to list the company on Bursa Malaysia's main board - an unprecedented move for a Mesdaq company - intensified speculation on the man and the company. The rationale is that surely this corporate whiz kid who is not only the former chairman of Danaharta but also sits on the boards of at least eight listed companies, will not be contented to play for small stakes. Perhaps the hunch is well placed. For one thing, the London School of Economics graduate has moved strongly to capitalise on the burgeoning managed services market, especially the business process outsourcing (BPO) sector. Symphony recently received shareholder approval to increase its stake in Vsource Asia from 30.34% to 91.5%. Vsource has strong presence within the regional BPO market, with operations in Malaysia, Taiwan and Japan. In December 2004, it sealed a US$5 million deal with Avaya Malaysia to strengthen its IT infrastructure to retain competitiveness. How important is the BPO market to Azman? According to recent estimates by Assocham-IDC, the market is expected to reach US$1 trillion by 2006. Not surprisingly, insiders indicate that Azman didn't hesitate to defer Symphony's main board listing to ensure the Vsource deal got through. Now that it is sealed and done, expect Symphony to be a main board company by the second quarter of the year. There are also strong indications that Azman will be moving into the retail sector soon. 'Talks are underway with a foreign company,' says one industry insider. Details about the deal are however hazy at the moment. Even so, the fact that Azman is moving into the retail scene after having made a strong imprint on the IT and share services market indicates that the part-time racing driver has still not finished revving up the local corporate scene. - By S Jai Shankar TAN SRI SM NASIMUDDIN SM AMIN LIFE AFTER THE SAGA ONE of the merits of operating a private limited company is that one is beholden to a private band of shareholders and is thus without the need to satisfy the public thirst for information. So when Tan Sri SM Nasimuddin SM Amin and his associates made a public bid for a substantial share of DRB-Hicom recently, the man widely envied as the 'AP King' (for his seemingly effortless success in securing unlimited Approved Permits, the licence required for car imports), things looked set to change. For one, there would be a lot more information in the public domain, which could help point to the private wealth of the Nasimuddin family. It is not known how much that wealth would have burgeoned to had his effort to secure the DRB-Hicom stake been successful, but one can easily guess that it would be quite substantial. That battle had corporate Malaysia agog. The fight for control of the diversified conglomerate - through a slightly more than 15% strategic stake - provided plenty of excitement as the year drew to a close. It caused the limelight to be focused on all the players - none more so than Nasimuddin. Feted by some, jealously (but quietly) envied by many, Nasimuddin is largely seen as the epitome of assertive action. He had connections, of that there is no doubt. This brought him the monopolistic ability to import cars and sell them on a commercially viable scale. He had business savvy too, and foresight, and a vision to match. Knowing that selling imported cars alone would be akin to putting all his eggs in one basket, Nasimuddin sought out the South Koreans to become his partner and produce the Kia brand locally. Having his ambition to buy the DRB-Hicom stake thwarted, where does that leave Nasimuddin in 2005? He may have learnt that nothing is sewn up until it is sewn up. But Nasimuddin is not one to run away with his tail between his legs. As it is, he has a number of high-profile projects of national significance that will see him remaining the focus of attention on the national stage in 2005. His car assembly plant project in Gurun, Kedah is an important component in the group's move 'upstream' in the automotive industry. He will continue to be the chief source of imported vehicles of superior standing as no one as yet has shown that level of mastery and aptitude in the field. - By Abdul Razak Chik DATUK TAN TEONG HEAN TAKING ON THE BIG BOYS DATUK Tan Teong Hean, 61, has steered Southern Bank Bhd from Malaysia's second smallest bank to a rather formidable banking group, the sixth largest. Today the bank controls a niche segment of SME-financing, unit trusts and credit cards. In 2005, it will not be surprising if Southern Bank emerges as among the country's fastest growing banks in terms of credit card applications and unit trusts. The bank is currently second only to Maybank in terms of credit card subscribers, and second to Public Mutual Fund in terms of fund size. Perhaps by the end of 2005, Southern Bank will surpass them. Yet, what makes Tan unique among Malaysian bankers is his astute business sense. He seems comfortable with Southern Bank's current position and its mid-size. 'Being small does not mean we are not efficient,' he once told Malaysian Business. 'Southern Bank prides itself in being lean and mean,' says an analyst. This, he believes, allows the bank to remain profitable even during times of crisis and economic downturns. Being small compels Southern Bank to be on its toes constantly, seeking efficiency all the time. This includes striking up deals with international organisations such as credit-card operators JCB and MasterCard International, and insurance giant AIG Insurance Group, as well as institutions such as the Women's Institute of Management. 'Tan's ideas of strategic partnership make Southern Bank stand apart from its competitors,' says the analyst. For 2005, it would be interesting to see how Tan helms the group, what with the new equity which includes a stake by the royal family, and intensified competition in a liberalised banking environment. Would Southern Bank be routed by its more powerful competitors? Also important is how Southern Bank and Tan gear themselves for the much expected second round of banking mergers. - By Clarence Y K Ngui TAN SRI CHEE YIOUN CARVING OUT A MEDIA EMPIRE TAN Sri Vincent Tan Chee Yioun, 52, may see his Berjaya Group fast expanding in the telecommunications, pay-TV as well as automotive sectors in 2005. Hailed as Fiabci Malaysia's 2004 Property Man of the Year, Tan continues to juggle a diverse spectrum of activities. 'Tan is man of mystery,' says a local analyst of Tan's corporate manoeuvrings. 'But he is also a man of many distinctions, especially in turning around companies from the darkest depths of losses to great profitability.' For 2005, most analysts believe Tan will continue to wave his magic wand on three major companies: DiGi.com Bhd, MiTV Corporation Sdn Bhd and Hyundai-Berjaya Bhd. In his ongoing pay-TV venture, perhaps Tan will emerge as a credible rival to Ananda Krishnan. 'He is optimistic in carving out a new media empire as the second pay-TV operator in Malaysia,' says an analyst. With the promise of a suite of at least 50 channels and some basic interactive services, Malaysians certainly await his big splash into the sector. The new year may also see Tan pushing ahead in the telco wars with his DiGi.com. While currently the smallest cellular phone operator in Malaysia, DiGi has the fastest-growing subscriber base. Interestingly too, Tan is fast carving a new division in the automotive sector with the manufacturing, assembly and distribution of Hyundai and Inokom lines of vehicles. Hyundai, with its popular Atoz, Getz and Matrix models, were among the fastest-growing brands in terms of sales in Malaysia in 2004. Certainly, there is more to come from Tan. - By Clarence Y K Ngui DATUK AK NATHAN LOOKING ABROAD IS THE KEY DO NOT judge a book by its cover. As unassuming and soft-spoken as he may be, Datuk AK Nathan, 47, is no pushover. In the past 20 years, his Eversendai Engineering Group has stamped its mark on just about every major landmark structure in Malaysia. As any businessman will tell you, building a successful company is no easy feat and it has been no different for Nathan, who is Eversendai's group managing director. He says he had to learn everything the hard way. When Nathan was 15, his father, a newspaper agent, sent him to India for pre-university studies. But he had to return home due to financial constraints six years later in 1979. He then started work as an apprentice at a printing press but later quit to become an insurance agent 'where I learnt a lot about people and sale pitches'. Today, Eversendai, established in the early 1980s, is known in Malaysia and abroad, especially the Middle East, for its structural steel works. The company records a revenue of between RM100 million and RM150 million annually. Nathan is not resting on his laurels. He has plans to capture the Gulf region's lucrative construction contracts. He also intends to list his company in a couple of years. The Eversendai group is involved in the supply, fabrication and erection of steel structures for high-rise buildings as well as low-rises such as stadiums and shopping malls. In fact, the company has built a name for itself for being able to finish jobs within the stipulated period without compromising on quality or safety. Nathan says by venturing abroad, Malaysian construction companies would be able to export their expertise and earn foreign exchange. He feels Malaysia's construction industry has come of age and is able to compete with leading players in the international field. Besides contracts in the United Arab Emirates, Qatar and Saudi Arabia, Eversendai has also completed structural steel-related jobs in Malaysia, Singapore, India, Indonesia, the Philippines and Hong Kong. At present, Eversendai has ongoing projects totalling RM150 million in the Middle East. Its latest contracts include the supply, fabrication and erection of structural steel works for the 1km long Chinatown International City Mall in Dubai, the United Arab Emirates. On the local front, Eversendai's ongoing projects are valued at RM225 million. The group has a workforce of 1,500 worldwide. - By Seelen Sakran KEVIN LEONG THE MAN WITH THE MAGIC BOX AT 36, Kevin Leong Kong Hoy is one of the youngest CEOs of a Mesdaq- listed company. His drive and dynamism drove MoBif Bhd to a successful listing exercise in May 2004, rising rapidly to become one of the top 10 stocks on the exchange. Originally an Internet-based surveillance solutions player, the company is now turning towards Voice-over-Internet Protocol (VoIP) to boost its profit margins. In early 2004, Kevin assembled a team of software engineers to develop its own VoIP solution by investing RM2 million. He gave them two years to complete the project. But the team surprised him by completing within nine months. Since then, it has been a roller-coaster ride for the entrepreneur from Ayer Itam, Penang. The MoBif TA 200 is actually a telephone adaptor and Internet router rolled into one. It uses broadband and VoIP to provide ultra cheap phone calls anytime of the day. These days, Leong keeps himself busy by travelling, taking quick and easy orders for the TA 200. 'It is not difficult to sell,' he boasts, saying he has sold 40,000 units of the device locally as well as in China and Australia. He also claims to have achieved his business target for 2005 and is now preparing for 2006! For the first half of 2004, MoBif recorded a revenue of RM9.2 million. Kevin estimates that by end-2004, he would have doubled it to reach RM18 million. This year, its earnings could triple, thanks to the rising demand for the TA 200. Kevin, son of a former shipping clerk, saw the value of being focused and planning ahead when his father was unexpectedly retrenched in 1989, which plunged the family into a deep financial crisis. Kevin's parents decided to stop the education of his two sisters and took up odd jobs to make ends meet. However, as is typical in some Chinese families, the boys, Kevin and Les Leong, were allowed to continue their studies. Kevin went on to pursue a Diploma in Electrical Engineering at the Tunku Abdul Rahman College. His passion was computer programming languages, especially the low level and difficult assembly language. After graduation in 1989, he took on a job at Intel in Penang as an equipment engineer. In 1991, he pursued postgraduate studies in the United Kingdom. 'When I returned in 1993, five job offers came my way,' he says. He took up the Seagate offer and rose through the ranks to become the youngest director of Seagate Penang at age 28. He made his money via Seagate's stock options, which ran into millions. Today, Kevin 'pays' for his sisters' sacrifices by employing them in MoBif. His brother Les also works with him. Kevin is man to watch in 2005, say analysts. His magic VoIP box will soon lead the company to sit on a neat cash pile. - By Prathaban V MORTEN LUNDAL HELPING THE UNDERDOG NORWEGIAN Morten Lundal, 39, is expected to become a familiar face in Malaysia's telco industry. He replaced fellow Norwegian Tore Johnsen in mid-2004 to head DiGi.com Bhd, the telco often described as the 'nimble other player' in the market. It will be a challenge to fill Johnsen's shoes. Johnsen helped DiGi take on its bigger rivals, Maxis Communications Bhd and the Telekom group, with innovative pricing and packages. Under him, DiGi's market share gew from 16% to 21%. Now Lundal plans to take that further. He's already announced a four- pronged strategy: marketing smartness, operational excellence, organisational effectiveness and creating a value-based management. Lundal is well aware that his company cannot afford to outspend its competitors, who have deeper pockets, but he's relishing the fight. 'Challenging the two incumbents is more fun than to be one of them,' quipped Lundal in a recent interview with the media. In the short time Lundal has been in Malaysia, he has already made his mark. He has implemented an open-office concept, making him perhaps the only chief executive in the country without a designated office or desk. With the tearing down of walls and doors on the floor where the office of the DiGi.com head used to be, Lundal hopes to send a strong message: that DiGi.com will remain a dynamic force in the industry. Will 'David' outdo 'Goliath' in the war of the telco industry? - By Gurmeet Kaur DATUK AHMAD KABEER NAGOOR MAN WITH THE MIDAS TOUCH DATUK Ahmad Kabeer Nagoor, 47, is one personality who will be hard to ignore. He is reported to be one of the largest private equity investors locally via his vehicles K-Capital Sdn Bhd and AKN Capital Sdn Bhd. We listed him as a man to watch in 2004. This year, he makes the cut again on our list, as his business empire appears to be growing rapidly. So far there are no signs that he intends to slow down this year. On the contrary, he is spreading his wings, not just locally but across the region as well, reaching China and Indonesia. Ahmad Kabeer has one listed company on Bursa Malaysia's main board, AKN Technology Bhd (AKN); another on the second board, AWC Facility Solutions Bhd; and two companies on the Mesdaq market, MEMS Technology Bhd (MEMS) and AKN Messaging Technologies (AKN MTech) Bhd. By anyone's standards, four listed companies would have been sufficient to take it easy. But not Ahmad Kabeer. All his listed concerns are making money and have a healthy cash position. He took MEMS to listing and turned around the company to report a modest profit of RM8.2 million for the year ended July 31, 2004. The previous year, MEMS made a loss of RM0.9 million. In the second half of 2004, this former Universiti Sains Malaysia lecturer expanded to China and Indonesia. AKN MTech, whose core business is messaging solutions, bought into a messaging technology company in China, Beijing Chinawire Communications Information Technology Co Ltd (BCCIT), for about RM20.4 million. But while it has a 50% stake in BCCIT, it has no controlling power. AKN MTech also ventured into Indonesia and is now concluding its purchase of PT Surya Genta Perkasa (Mobiltren). The deal will give AKN MTech an 80% stake for a sum of RM10.7 million. Mobiltren is also a messaging solutions provider. Ahmad Kabeer is banking on the large population of China and Indonesia to provide a major boost to the company's revenues, now that short messaging service (SMS) and multimedia messaging service (MMS) have become a practical means of communicating for many. AWC on the other hand is reported to have won projects from the Government for maintenance work in Putrajaya, while AKN Technology has made seven major acquisitions locally as well as in the United States, Hong Kong and China. Ahmad Kabeer was listed as the top Mesdaq tycoon last February by Malaysian Business. With his reputation as someone with the Midas touch on the tech industry, he is certainly a man to watch this year. - By Prathaban V DATIN ALICIA TIAH HOLDING HER OWN DEMURE and stylish, TA Enterprise Bhd's executive chairman Datin Alicia Tiah, also known as Tan Kuay Fong, has held her own in a male- dominated world. Although hubby Datuk Tony Tiah, who stepped down as executive chairman in May 2002, is often presumed to be a directive force as major shareholder, Tan fills his seat rather comfortably. While Tan, 54, has been head honcho for the past two-and-a-half years, she's definitely become more high-profiled in the media of late. There was, of course, the near sale of the group's stockbroking operations to CIMB Bhd that grabbed the limelight in the first half of last year. When that fell through, Tan resolutely set about to reengineer the business and fast-track its merger exercise to attain the elusive Universal Broker (UB) status. Then she embarked on a media blitz of sorts, revealing, among others, her love for interior design, bright colours, costume jewellery, durians and chocolates ... as well as the group's venture into property development. Foresight and a fair amount of patience have seen TA sitting on a gold mine with landbanks in the Golden Triangle, Damansara Heights and other areas around the Klang Valley. And if the success of its well-received maiden project, the high-end Damansara Idaman gated community, is anything to go by, TA is set for interesting times, with property expected to contribute 20% to 30% of group revenue this year. Having resigned from the board of the stockbroking arm and leaving it in the hands of able professionals, Tan is concentrating on the property side of things, a decision that seems to bring her into her creative element. However, as things start to heat up in the stock market, the lady with some two-and-a-half decades of experience in the industry is bound to have a say in matters. After all, with the bulls awakening and the UB status forthcoming, the once biggest retail stockbroker could very well dominate the scene again. While Tan's position may be affected when her husband sells down his stake (as part of UB status requirements), she's the woman at the top for now. So with a two-pronged focus, it'll be interesting to see how Tan decides to plough the field in the months ahead. - By Joanna Sze DATUK CHE MOHD ANNUAR CHE MOHD SENAWI WHITE KNIGHT SET TO GALLOP DATUK Annuar Senawi, as he more popularly known in corporate circles, staged a comeback to the business world when he became the white knight in the rescue of ailing Idris Hydraulic (M) Bhd in 2000. Widely regarded as the key man behind the phenomenal growth of state- owned Malaysia National Insurance Bhd (MNI) in the early 1990s, the successful takeover and restructuring of Idris seems to be his top achievement yet. Annuar's corporate vehicle, Idaman Unggul Bhd (IUB), in which he owns a 14.9% stake, had assumed the listing status of Idris in November 2003. The revitalised group is well on the road to recovery and is expected to meet its forecast pre-tax profit of RM26 million for its financial year ended Dec 31, 2004. Following a change in its strategy, IUB will focus on insurance, timber operations and manufacturing, three core businesses that will drive its earnings growth in the years ahead. Annuar, 57, has big plans for the group. He is charting to make IUB's wholly owned unit, Tahan Insurance Malaysia Bhd, the top 10 insurance group in the country with a market share of at least 5%. Tahan Insurance was created following the merger of Talasco Malaysia Bhd, The People's Insurance Co Bhd and Tenaga Insurance Bhd. With a much bigger capital base, Tahan intends to become a major player in the regional insurance market, particularly Indonesia, the Philippines and Vietnam. In timber operations, IUB plans to venture into downstream activities while its manufacturing subsidiary has already secured orders worth over RM600 million. Besides IUB, Annuar owns a 9.2% stake in second board-listed electrical wires and cables manufacturer, Wonderful Wire & Cable Bhd (WWC), which in turn owns a small interest in Chin Foh Bhd. Annuar had ceased to be a shareholder of Shangri-La Hotels (M) Bhd after failing in his bid to acquire a strategic stake in Landmarks Bhd early last year. - By Norsiah Nurani TAN SRI ROZALI ISMAIL STILL MAKING A SPLASH CONTROLLING three listed companies - Puncak Niaga Holdings Bhd, U- Wood Holdings Bhd and WWE Holdings Bhd - Tan Sri Rozali Ismail, 48, is expected to have a busy year. His flagship water infrastructure group Puncak Niaga Holdings Bhd will feature prominently on the agenda. Just recently, Puncak Niaga's 70%-owned subsidiary, Syarikat Bekalan Air Selangor Sdn Bhd (Syabas), was awarded the privatisation of Perbadanan Urus Air Selangor Bhd, which manages the water supply operations in Selangor, and Putrajaya. The Selangor investment arm, Kumpulan Darul Ehsan Bhd, owns the other 30% interest. The multi- billion ringgit 30-year concession is effective Jan 1. This latest development will see Rozali controlling the largest water supply operation in the country. At present, Puncak Niaga supplies almost half the treated water requirements of Selangor. Rozali and his brother Shaari own 43.6% of Puncak Niaga, held viaCentral Plus Sdn Bhd and Corporate Line Sdn Bhd. While Puncak Niaga is making waves in the water industry, Rozali's property arm U-Wood Holdings is charting its own growth. U-Wood, which was originally a plywood manufacturer, turned to property development when Rozali bought over the company in 1997. The group is now developing Bandar Puncak Alam, a 243-hectare mixed development project near the Sultan Abdul Aziz Shah Airport. U-Wood has completed preliminary works for Phase 1 of the RM2.3 billion Universiti Teknologi Mara campus project and is waiting for the letter of award for the infrastructure works worth RM402 million. Rozali owns a direct 8.32% stake in U-Wood while his brothers Mat Hairi and Shaari own 5.45% and 3.23%, respectively. In the case of wastewater engineering group, WWE, it has some new projects on its plate. One is the Jelutong Sewage Treatment plant in Penang valued at RM478 million. WWE is also in good stead to win the third phase of the project worth RM400 million. Rozali and Mat Hairi jointly own Peribadi Johan Sdn Bhd, which in turn holds 29.25% of WWE. - By Norsiah Nurani TAN SRI HALIM SAAD THE COMEBACK KID COMEBACK stories are always exciting, and it's worth watching former Renong Bhd chieftain Tan Sri Halim Saad, 50, in his attempts to revive his fortunes. And what better way to make a comeback than with a turnaround story. Halim's re-entry vehicle is second boarder Seloga Holding Bhd, a former Practice Note 4 (PN4) construction and property development company that has been bleeding for the past five years. Appointed chief executive officer last June after emerging as Seloga's single-largest shareholder, Halim's challenge is to give Seloga the vital infusion it needs to return to the black by this year. A tall order, maybe, but Halim has a keen business acumen and years of valuable connections on his side. Even during his hiatus, he had been quietly going about different business ventures. His privately held company Metro Ikram Sdn Bhd has been lining up billion-ringgit development projects in Ghana, Turkey and Senegal, while Puri Development Sdn Bhd is working on a RM250 million industrial area at the Malaysia-Thai border in Perak. These open the possibility of Seloga getting a piece of the action even as it is starting to look outside Malaysia. For now, Seloga has a comfortable RM678 million order book with projects in Kuala Lumpur, Cyberjaya, Johor and Sarawak, among others, that could last up to 2010. It has also made forays into the oil and gas sector to build a RM241.3 million specialised asphalt manufacturing plant in Kemaman, Terengganu, the first in Southeast Asia. So it may not be too much of a stretch of the imagination for Seloga to turn profitable. Should Halim succeed, it may be a redeeming point for him after his failure with Renong, the biggest setback for the then fast-rising star. Starting out as an accounting manager, the New Zealand-trained accountant went on to control Renong, United Engineers (M) Bhd, Time Engineering Bhd and several other listed companies before the 1997 economic crisis got the better of him. As a result of the crisis, Renong became the nation's biggest debtor, with arrears of RM30 billion. This led to Halim's unceremonious departure from the corporate world, saddled with a RM3.2 billion put option he could not fulfil, which would no doubt remain a huge question mark on his career. After the Government rescued the company in 2001, it was privatised, reorganised and renamed UEM World Bhd. - By Joanna Sze COMPANIES TO WATCH KHAZANAH NASIONAL BHD Safeguarding The Nation's Stake IT IS safe to guess that not many Malaysians harbour any notion that they have a stake in just about every important corporate entity in the country. While not directly, their equity stake is being held in trust for them in the shape of Khazanah Nasional Bhd, the investment arm of the Malaysian Government. Not only is it entrusted with running a whole host of key businesses, it is profitable to boot! Khazanah owes its creation, its existence and its pre-eminence to an operating environment that make it the exception rather than the rule - in terms of interest-free loans and a raft of government support and legislation. Its twin role remains one of holding and managing investments entrusted to it by the Government as well as undertaking new strategic investments. But as with most things, these decisions are not so clear-cut. A half- filled cup to one is half-empty to another - so a strategic stake in some debt-ridden company, however bright its prospects, is seen as a rescue job by others. While this negative perception is not going to go away, there followed much confidence in its integrity with the appointment of new managing director/chief executive officer Azman Mokhtar. Picked from the private sector, the CFA-equipped accountant has led the way by drawing up a clear demarcation between his private interests and his public duties. This display of 'leadership by example' from someone in such a visible position of power comes as a breathe of fresh air as here is someone who is demonstrably clean and not merely mouthing platitudes as he leads corporate Malaysia into the 21st century. Azman has his plate full; maybe a hard act to follow even. Khazanah before him revived the UEM-Renong Group and also saw the listing of Time dotcom Bhd. Outlining his focus for Khazanah, Azman reviewed its shareholdings in line with the need to hold a more balanced portfolio. Azman and his board can now buckle down to ensure every Khazanah stakeholder with the almost 50 companies with assets well over RM200 billion will report that they have done a good job for all Malaysians. - By Abdul Razak Chik BURSA MALAYSIA BHD The IPO Of The Year AFTER the brouhaha raised by Malaysian remisiers, Bursa Malaysia Bhd's initial public offering (IPO) looks likely to happen sometime by the first quarter of 2005. Investors will no doubt be scurrying to get a piece of the action, as it is probably going to remain the only listing of an exchange, on an exchange, in the history of corporate Malaysia. The exchange is making a public issue of 166 million shares, possibly the biggest IPO of 2005. However, it's left to be seen if this listing will enjoy a healthy book-building exercise - some foreign funds are avoiding Malaysia until clearer signals surface on the issue of Malaysia's re-pegging or de-pegging of its currency. On the other hand, Bursa Malaysia's listing has its attractions. It is the country's only exchange and almost the perfect proxy to the Malaysian stock market. Still, the bourse faces competition from outside. As trading barriers come down, companies and funds are able to move in and out of markets easily, making stock markets in Singapore and Hong Kong key competitors to Bursa Malaysia. The task of ensuring the exchange's competitiveness lies in the hands of its new chief executive, Yusli Mohd Yusoff, and his team. Expectations will be high on them to initiate changes ranging from how Bursa Malaysia is going to attract more foreign companies and funds, to enhancing liquidity on the exchange. It would do well to tap into the vast potential of new companies emerging from India and China. Also, Yusli has promised that the 'new' Bursa Malaysia would be diversifying its earnings from new income streams. Though the exchange is cash-rich, expectations are higher now (than before it was demutualised) on the return on equity that Yusli will help the exchange achieve. For investors who manage to get a piece of the Bursa Malaysia offering, they will be happy to know that when other exchanges listed, their share prices opened at a premium and have continued to trade well. - By Gurmeet Kaur DRB-HICOM BHD Strategic Moves Ahead? THE tussle for DRB-Hicom Bhd's 15.8% strategic shareholding is finally over. It is now time for the 30,000 employees to welcome their new strategic shareholder, Tan Sri Syed Mokhtar Al-Bukhary. It is now a question of how he will bring changes to one of the nation's largest automotive groups. 'Whatever happens, DRB-Hicom will always be on our radar screen,' says a local analyst, who believes Syed Mokhtar will take the automotive group to new heights. 'There is still room for DRB-Hicom to realise its full potential,' he says. But what are the changes we can expect in 2005? Most analysts believe DRB-Hicom would take on more assembling and manufacturing projects. This may include the assembling of Chevrolet models in Malaysia. Currently, all the cars are completely-built-up models. In fact, DRB-Hicom recently took up contract assembly of Mercedes-Benz passenger vehicles at its Pekan plant. Most analysts expect the bulk of the group's business to still come from the automotive division. Among its prime assets are a 34% stake in Honda Malaysia Sdn Bhd and sole distributorship rights for General Motors' Chevrolet, Citroen and Volkswagen-Audi cars in Malaysia. It also hold rights to sell the national make, Proton. Besides automotive, the group also has interests in property development, defence contracts, infrastructure and utilities. In the coming months, some local analysts believe Syed Mokhtar would hive off some of DRB-Hicom's non-core assets. 'We won't be surprised by such a move. That would be in line with the Government's moves for government- linked companies to divest non-core businesses, and it would be good for DRB-Hicom,' says an analyst. At the time of writing, DRB-Hicom's chairman Tan Sri Mohd Saleh Sulong and his team of senior management are expected to remain unchanged. But much remains to be seen in the coming months, and this certainly makes DRB-Hicom among the most notable companies to watch on Bursa Malaysia. - By Clarence Y K Ngui PROTON HOLDINGS BHD All Eyes On Proton NATIONAL car producer Proton Holdings Bhd will probably be one of the most closely followed companies by both the media and investment community this year. The focus will undoubtedly be on how its strategic partnership with Volkswagen AG is developing and the impact it will have on Proton's production and vendors. The public eye will be on the Proton showrooms to see what new models come out of the relationship. Proton's memorandum of understanding with the German carmaker will give the company access to Volkswagen engines and components. The next Proton you buy could be very different in terms of quality standards and drive. It could be a hybrid of sorts that uses local components, with stricter quality control, and a Volkswagen engine and gearbox - selling at Proton- level prices. What both parties gain from this partnership would depend on what they put into it. Since Volkswagen will not have an equity stake in Proton, its level of commitment to Proton remains uncertain. Could the initial period be a 'dating' phase before the German carmaker decides on its position, as was the case with Skoda? The liberalising of the country's market will only increase competition and Proton, as a business entity, has a bigger risk in this relationship. A successful partnership could see Proton's focus evolve from production to selling. With a large plant and established and growing distribution and service network, Proton may see more of its income coming from the optimisation of these facilities. The company will get a taste of that when it begins to assemble Volkswagen cars at its Tanjung Malim plant in 2005 for the local and regional market. The access to Volkswagen technology could lower Proton's research commitments. For Volkswagen, the access to Proton's production and distribution facilities and supply chain will enable it to have a footprint in the region and gain knowledge of the regional market. - By Bhupinder Singh TELEKOM MALAYSIA BHD A Telco In Transformation RECENTLY, Telekom Malaysia Bhd captured the attention of the media and analyst community when it made two significant overseas acquisitions back to back. Buying controlling stakes in an Indonesian and an Indian mobile operator was an aggressive move, which pleased the investment community because of slowing growth in the domestic market. Market observers say the company's faster pace these days can be traced to its new head, Datuk Abdul Wahid Omar. Appointed six months ago, the changes that Wahid has brought to Telekom is to turn it into a different animal, and foreign fund managers love it. Consider this: the foreign shareholding of Telekom swelled from 4% last year to about 22% presently. Those watching the revamp of government-linked companies (GLC) are paying close attention to the Telekom transformation, using it as an important test case of Malaysia's GLC rehabilitation plans. Wahid has initiated many changes at Telekom and 2005 will be a time to see how much of these changes are successfully implemented. Meanwhile, investors are keeping a close look at Telekom's plans for its cellular arm. Last August, Telekom group chief financial officer Jaffa Sany Arifffin said the re-listing of Celcom is likely to take place in 2005 after it failed to materialise last year due to dissenting views. Telekom wants the listing as it says it will unlock the value of Celcom and help the company achieve independence to grow at a faster pace (than the parent company) in the fast-moving mobile industry. Meanwhile, 2005 will also be the year that investors and market observers will be looking to see if Wahid's plans to reshape Telekom into a more market-savvy player bear fruit. Another issue that Telekom will face will be the forced 'unbundling of the local loop'. Indications by the authorities are that Telekom will have to open up its last mile of telephone access that it currently monopolises, to other service providers. How Telekom tackles this potentially revenue-losing prospect is another reason to watch the company. - By Gurmeet Kaur PETROLIAM NASIONAL BHD Fuelled By High Prices SOARING energy prices point to another bonanza year for national oil company Petroliam Nasional Bhd (Petronas). First six-month numbers from the multinational with operations in 35 countries show revenue growth of 44.5% to RM63.5 billion as at end-September 2004 due to strong sales of crude oil, refined products and liquefied natural gas (LNG). Its upstream and downstream businesses abroad are set to fuel Petronas' revenue and production growth in the coming years and the companycontinues to grow its assets. It also continues to expand rapidly in the region while more of its African upstream investments are coming onstream. Petronas' LNG business has grown with new supply agreements and customers as it builds on its access to the Atlantic basin markets. Domestically, the group plans to set up another methanol plant in Labuan. Exploration activity continues to remain active and into deeper waters, which have provided encouraging new finds that add to reserves. A major milestone in 2004 was the listing of KLCC Property Holdings Bhd (KLCCP) in August. The property arm of Petronas, KLCCP's next major investment is a proposed RM60 million property development project at Rantau Petronas in Kertih, Terengganu. The project will cover an area of 24 hectares with a mixed development of shoplots, futsal arena, bowling alley and mini-cinema. President and chief executive officer Tan Sri Mohd Hassan Marican has not discounted the possibility of injecting more Petronas assets into the group's listed entities. Petronas has already offered to transfer its 20% stake in Gas Malaysia Sdn Bhd to Petronas Gas Bhd (PGB). PGB hopes to grow its natural gas supply business to non-power utilisers and market value- added products such as argon in the local and international markets. The downstream refined products and retail business under Petronas Dagangan Bhd (PDB) continues to grow and gain market share. With an annual capital expenditure of about RM500 million, PDB opens some 60 retail outlets a year across the country. Petronas has also obtained the green light from the Indonesian authorities to open retail outlets there. The group's shipping arm, Malaysia International Shipping Corporation Bhd (MISC), has decided to concentrate on energy shipping (LNG, crude oil and petroleum products). The company has disposed of its entire 32- vessel bulk fleet for RM2.81 billion cash. MISC-controlled Malaysia Shipyard and Engineering Sdn Bhd is planning to provide maintenance for the group's fleet including offering LNG ship- repair services. With the equity changes going on with the GLCs, the market will also be keeping an eye on what Petronas will do with its 9.2% stake in Proton Holdings Bhd. - By Bhupinder Singh SCOMI GROUP BHD Moving Further Afield THE rapid expansion of Scomi Group Bhd from a local drilling fluids supplier to a multinational player in a short time makes the group a company to watch. Just how much it can leverage on its recent purchase of Oiltools International Ltd will begin to tell over the following months. The company's balance sheet is already showing substantial changes in the numbers but the challenge for Scomi is to derive even bigger results than already guaranteed by the vendors of Oiltools. In many ways, Scomi's growth reflects the opportunities available to Malaysian companies on the international scene if management and shareholders are willing to take the risk. Scomi's success reflects positively on the ambitious drive of its substantial shareholders, Kamaluddin Abdullah, who is the son of Prime Minister Datuk Seri , and Shah Hakim Zain. Since its listing on May 13, 2003, Scomi has transformed itself from being a major drilling fluid supplier to the domestic market into the world's second truly integrated drilling fluids company with the acquisition of 77.7% of Oiltools. Although Scomi had begun to make inroads into markets like Sudan, Indonesia and Myanmar prior to buying Oiltools, the latter's existing drilling waste management services, machine shop services and distribution of specialty machines and tools in 38 countries have widened the scope of services and market potential for Scomi. With a competitive package of services and track record, Scomi's revenue is anticipated to hit the billion-ringgit mark by end-2005 from about RM200 million at the end of 2003. Scomi will also enjoy the benefit of tax relief for the next five years for the Oiltools buy. The active upstream programme locally will continue to drive Scomi's core oil and gas business and its newly launched marine transport venture, OilServe Marine Sdn Bhd, while SapuraCrest Petroleum Bhd will provide new cash flows and a market to grow in. Scomi's success could act as a beacon of inspiration for other oil and gas related service providers to try their fortunes on the larger stage, as Petronas has demonstrated over the past decade. - By Bhupinder Singh TRANSMILE GROUP BHD Developing A Niche Market AIR transport company Transmile Group Bhd is set to develop a niche market for itself. Under its expansion plans, it will develop the Asia Pacific overnight cargo express service, a trillion dollar market covering countries like India, China and beyond. Currently, the United States and Europe have operators in the segment such as UPS (United Parcel Services), Fedex and DHL, while Asia has none. The company is now concluding matters pertaining to shareholdings, aircraft fleet and landing rights. It has secured a fifth freedom landing right to Los Angeles via Hong Kong and is awaiting permission from the US Federal Aviation Authority to mount the daily services, which should take five to six months to process. Transmile is also acquiring more aircraft including the MD-11 freighters in anticipation of this new service. Sources say the company would continue to identify new market opportunities and secure additional landing rights by leveraging on its status as a designated national cargo carrier. Pos Malaysia & Services Holdings Bhd via a share swap currently holds a 20.3% stake in the group. Billionaire Robert Kuok is the major shareholder of Transmile Group via a 28.9% stake. It is widely believed the synergies that Transmile can reap, now that it is under the Kuok Group, are tremendous. The company is expected to benefit from Kuok's business connections in Hong Kong and China, which could yield numerous business opportunities for Transmile as well as expand its clientele. Thus far, its prudent management expansion policies have kept Transmile's balance sheet relatively strong in the past three years. - By Seelen Sakran DREAMGATE CORPORATION BHD When Dreams Come True DREAMGATE Corporation Bhd, one of Mesdaq market's most successful technology companies, does not boast Multimedia Super Corridor affiliation, nor is it built upon the new media economy. Instead it latches onto an age-old trade that is not only lucrative but is practically recession-proof - gambling and gaming. The company provides all the fancy machines and associated expertise that turn gambling and gaming into such an addictive persuasion for so many. With the wave of liberalisation within the casino industry hitting almost all Asian countries including Singapore, Macau, Thailand and Cambodia, it would not be an understatement to say that this company is one to watch. Most research houses are bullish about the stock, and classify it as a clear buy. It recently reported a cumulative unaudited group pre-tax profit of RM12.7 million on the back of turnover of RM76.5 million for the three quarters ending Sept 30, 2004. In comparison, it recorded a 12-month pro forma profit of RM13.7 million the previous year. Its game plan to retain its exclusive dealership of various branded equipment as well as locking up customers with long-term deals further strengthens its position. It is also banking on R&D to stay on top of the competition. In March last year, it subscribed for a 50% stake in Japanese-based Cron Corporation Ltd (which has a strong R&D team) to strengthen its innovative capabilities. It is estimated that Dreamgate holds almost a 46% share of the 16,000 gaming machines installed in the region. GK Goh, a Singapore-based securities firm, estimates that the market will almost triple in size in the next four years, based on the current expansion plans of existing casino operators. A K&N Kenanga report indicates that Dreamgate has maintained long-term relationships with Asian casino giants such as Resorts World of Malaysia, SJM of Macau and PAGCOR of the Philippines. New demand is also expected to come from Macau and Cambodia as the casino and gaming sector grows. It could also ride on the coat tails of companies like Genting Bhd, which is seeking strong international presence. Genting recently indicated plans to issue a US$250 million bond to overseas investors to finance gaming projects internationally. Not surprisingly, the company intends to increase its workforce by 30% this year. Its manpower strength had grown from 65 in early 2004 to approximately 100 by the year's end. - By S Jai Shankar REDTONE INTERNATIONAL BHD Red Hot Chilly REDtone International Bhd is the darling of investors on the Mesdaq market. Hardly a year into its listing, it is already making investors' heads turn. Within a few months, it became the top Mesdaq stock in terms of market capitalisation - RM541.8 million by end-October 2004. Its share trades at about RM2.60 (as at the time of writing), but analysts are saying that with its newly acquired Network Services Provider (NSP) licence, it could hit RM3.40 this year. REDtone is the largest Discounted Call Service provider in the country with an estimated market share of about 40%. There are 79 licensed players locally who are able to offer similar discounted calls. However, the market is mostly fragmented and only about 30% are said to be active players. The company's strength is its highly vibrant and dynamic management team which understands technology and is willing to take risks. Led by group managing director Wei Chuan Beng, a former employee of Hewlett Packard, the group is seen to be ready to make an even bigger splash this year. The company had a solid run in 2004, chalking up a revenue of RM84.6 million, compared to RM32.1 million in 2003. It recorded a net profit of RM10.3 million. REDtone depends mostly on local telcos, who sell call minutes in bulk. This purchase of wholesale minutes from the telcos is usually done at marked-up prices. But with the NSP licence it received last November, the company will be able to obtain the same minute rates sold to other telcos. CIMB Securities Sdn Bhd predicts that the company's earnings per share would probably increase 13-15% with the NSP licence. Last year, the company received a crucial licence from the Pakistani Government to operate in the country. Its licence allows it to offer voice and data services, making it a serious telco player in the country. Analysts are bullish about the company's latest foray. Its net profit is expected to surge at a compounded average growth rate of 90% between 2004 and 2007, driven by both Malaysian and Pakistani operations. The company is planning to jumpstart local mobile commerce and Internet telephony, which would see it turning into a voice and data powerhouse. Of course, if all goes well, its bottom line will sizzle. - By Prathaban V MULTI VEST RESOURCES BHD Seeking Strategic Investments SMALLISH plantation outfit Multi Vest Resources Bhd (MVest) sprang to life in November last year, sparked by market talk that it could be the subject of a takeover. Besides the possibility of a new major shareholder emerging in the company, speculation was also rife that the oil palm concern was selling its plantation assets in Durian Sebatang and Changkat Jong in Perak to raise funds to buy an uncultivated site outside Malaysia, which it plans to develop into an oil palm estate. Market talk has resurfaced that the Government may want to settle the long outstanding privatisation of Indah Water Consortium Sdn Bhd (IWK). In 2002, a consortium comprising MVest and Nilamas Corp Sdn Bhd was issued a letter of intent for the acquisition of a 100% stake in the national sewerage company, now wholly owned by Khazanah Nasional Bhd after the Government acquired it from main board-listed Prime Utilities Bhd in 2000. The delay in the privatisation of IWK could be due to the new strategy under the National Water Policy that is expected to be out soon. MVest however responded to a query from Bursa Malaysia in the negative, saying it has no knowledge of any new development in the company. MVest, formerly known as Best World Land Bhd, is controlled by well- connected corporate personality Datuk Ketheeswaran Kanagaratnam, more popularly known as Datuk Kenneth Eswaran. He owns a 23.7% stake in the company and is its president and CEO. Eswaran is the president of the Malaysian Associated Indian Chamber of Commerce & Industry and a council member of the National Economic Action Council. Early last year, another well-known figure, former cabinet minister Tan Sri Megat Junid Megat Ayob, resigned as the group's independent and non- executive chairman and director. Under its plantation operations, MVest manages a total of 3,599 hectares of oil palm estate and a crude palm oil mill in Teluk Intan. The group has continuously strived to improve efficiency, productivity and cost- effectiveness in its operations. Its yield per mature hectare improved by 7% to 22% in financial year (FY) ended June 30, 2004 against 20.6% the year before. To enhance its earnings base, MVest has been scouring for strategic investment opportunities in the plantation, infrastructure and utilities sectors. The speculation on the various fronts has benefited MVest's shareholders. The shares have staged a strong rally since October last year, surging over 290% from 37 sen to RM1.45. Incidentally, its financials have also improved over the past four financial years. Having suffered losses for the last three financial years, the group chalked up a small net profit of RM33,000 for the first quarter ended Sept 30, 2004. Nevertheless, it is uncertain whether the group will be able to return to the black in FY05. - By Norsiah Nurani MALAYSIAN PLANTATIONS BHD New Shareholder, Where Art Thou? MALAYSIAN Plantations Bhd (MPlant), which controls the Alliance banking group, one of the smallest banking entities with assets of RM20 billion in March last year, is likely to see changes in its controlling shareholder in the near future. Last year, the company was the subject of a takeover by Temasek Holdings Pte Ltd, the Singapore Government's investment arm, but the deal that was put on the table was not executed. Temasek was given the nod by Bank Negara Malaysia (BNM) in May last year to start negotiations for a strategic stake in MPlant held by Langkah Bahagia Sdn Bhd, which holds the single largest stake in the financial services group with 15.37%. Similarly, Langkah Bahagia had also obtained approval from the central bank to commence talks to dispose of its interest in MPlant. The market can expect to see some twists in the saga as both Temasek and Langkah Bahagia work out the best proposal that will get the stamp of approval from the authorities. In the latest development, Langkah Bahagia and Temasek are said to have formed a private company that has proposed to acquire a 32.9% stake in MPlant. This means that the former made an about-turn in its earlie decision to dispose of its stake to Temasek. Apart from the possibility of having a new major shareholder, MPlant itself has been busy with efforts to strengthen its operations. Its wholly owned unit Alliance Merchant Bank Bhd is in the final leg of acquiring stockbroking firm Kuala Lumpur City Securities Sdn Bhd and several of its related companies for RM273 million. These acquisitions will make Alliance Merchant an investment bank, providing a wide range of integrated banking products and services. MPlant intends to float Alliance Merchant on Bursa Malaysia's main board. This would unlock the value within the MPlant group by increasing its net tangible assets and enhancing shareholder value. - By Norsiah Nurani GENTING BHD Upping The Chips AFTER many years of sitting pretty as the only legal land-based casino in this part of the region, Genting Bhd is today facing a different market dynamic. Throughout the latter part of 2004, reports surfaced that countries like Singapore and Thailand are looking to legalise the industry. Some licences could likely be issued in 2005. When this news first surfaced, a knee-jerk reaction of investors sent the shares of Genting and its subsidiary, Resorts World Bhd, tumbling. Subsequently, investor confidence in the Genting Group was regained as they realised that this so-called threat could actually be a new opportunity for Genting. Genting has a track record of expanding overseas successfully, such as its Lucayan Beach Resort Freeport in the Bahamas and its financing of the Foxwood Indian casino in Connecticut in 1993. Genting has also teamed up with Asia's other casino giant, Stanley Ho, bidding together for casino licences in the United Kingdom. Observers say with this kind of track record and partnerships, coupled with RM4 billion in cash reserves, Genting is well poised to capture any new opportunities arising in the region. Still, Genting is likely to be up against the top casino companies of the world when the bidding starts for the new licences in the region. How Genting plays its cards in 2005 will no doubt be keenly followed by everyone interested in the gaming industry. - By Gurmeet Kaur SUNRISE BHD Far From a Setting Sun WHILE 2005 is seen as a year of consolidation for the property sector, in the absence of government stimulus or other catalyst for growth, one sub-sector may be worth monitoring - the high-end residential market. Pricey housing seems to be well supported by big pockets, as response to launches in the past six months attest, and this is expected to continue for the year ahead. If it does, developer Sunrise Bhd, known for its flagship upmarket residential suburb in Mont' Kiara, is in good stead to capitalise on this. Coming out of financial year 2004 with a record RM200 million in sales, Sunrise is looking forward to bigger and better results for the current financial year, to end in June 2005. It got off to a good start - first quarter results saw a 180% surge in pre-tax profit from the previous corresponding quarter to RM31 million, thanks to progress billings from its high-end condominiums, shop offices and serviced apartments. The company is also embarking on a launching spree with several more condominium projects and phase two of its Solaris shop-office development this year, further boosting its growing coffers by a reported RM1 billion for the financial year. Under the stewardship of Tong Kooi Ong, who also jointly controls listed media group Nexnews Bhd, Sunrise has grand plans to achieve. With projects in the United Kingdom and Australia, a doubling of its landbank in stronghold Mont' Kiara to some 40 hectares, and plans to be debt-free by end-2005 to weather any economic storm, it looks like the sun is far from setting on this company. - By Joanna Sze ECM LIBRA BHD All Set For Bigger Things THIS new boutique investment bank has been making waves for the past two years, beating the big boys to some of the most attractive deals in town. The new year should be no different for ECB Libra Bhd and it remains an outfit to watch. After securing the well publicised listing advisory work for Southeast Asia's biggest budget airline, Air Asia Bhd, in late 2004, ECM Libra is all set to for even bigger things. It could become a universal broker if it purchases another two stockbroking licences. (In 2003, ECM Libra acquired the broking business of BBMB Securities.) There was also speculation that ECM Libra was trying to buy TA Enterprise but the bank has denied it. On the other hand, ECM Libra could decide to become a full-fledged investment bank by acquiring a merchant banking licence. ECB Libra has also made a very significant tie-up with Singapore-listed SBI E2 Capital Holdings Ltd, which is dubbed the Singapore IPO King, for its ability to take many companies, including some from China, for a listing on the Singapore Stock Exchange (SGX). The SBI acquisition will give ECM Libra a head start in capturing the cross-trading market if the strategic alliance between SGX and Bursa Malaysia takes place in 2005. Going forward, ECM Libra will not suffer from any lack of talent to achieve its ambitions. Aside from its three founders - investment bankers David Chua and Lim Kian Onn, and journalist and businessman Datuk Kalimullah Hassan - the company received a boost in the form of one Roger Tan as its managing director in 2004. Tan has been described as the protogo of Tan Sri Quek Leng Chan, the man behind the Hong Leong group. Also joining in 2004 was a well-known name in political Malaysia, Khairy Jamaluddin, as ECM Libra's director of corporate advisory services. Khairy is the son-in-law of Prime Minister Datuk Seri Abdullah Ahmad Badawi. - ByGurmeet Kaur

LOAD-DATE: February 24, 2005