Thursday, January 5, 2017

SG Market (05 Jan 16)

The local market could continue to ride on the global risk-on sentiment amid the recent spate of positive economic data.

Regional bourses opened mixed, with Tokyo (-0.1%) and Seoul (-0.03%) weaker, and Sydney (+0.2%) stronger.Technically, the STI is testing the 2,920 fibonacci resistance (20-dma), with next objective at the 2,953 breakaway gap. Downside support is at 2,900.

Stocks to watch:
*Sino Grandness. Partnering Wechat Food to distribute its products, including its Garden Fresh line, Grandness canned food and Hao Tian Yuan snacks via Wechat's mobile internet platform..

*AEM: Disclosed an outstanding order book of $84.5m as at 1 Jan, or $17.8m higher than its previous update on 9 Dec, comprising purchase orders for equipment and kits to be delivered in the financial year.

*MoneyMax: Proposed to acquire Malaysian pawnbroker Pajak Gadai Hen Teck for RM4.14m.

*TIH: Injected $4.6m as an additional loan to Fortune Code to maintain its 8% share of shareholder funding (i.e. equity and shareholder loans). The additional loan will be used to repay debt as well as for working capital purposes.

*Trendlines: Prime Partners becomes the third investor in Trendlines Medical Singapore, acquiring a 3.75% stake in the subsidiary for an undisclosed price.

*YuuZoo: Issued 53.5m drawdown shares on 4 Jan at $0.1359/share, relating to its GEM facility. The drawdown of $7.3m will be used for business development and working capital.

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