- Market sentiment is expected to be cautious as investors brace for higher US borrowing rates as well as possibly more hawkish tones from the Fed.
- But trade war still pose the biggest tail risk as reports flagged that President Trump is ready to slap US$60b of tariffs on Chinese products this Fri.
- Oil-linked stocks may come into play as crude price climbed 2.3% to a 3-week high on Mid-East tensions and possibility of further declines in Venezuelan oil output.
- Technically, the STI is hovering near its 50-dma at 3,505 and trapped within a triangle pattern bounded by near-term support at 3,490 and resistance at 3,550.
- Secured a five-year technical support agreement and two performance bonuses totalling over £7m with Viridor efW for its Phase 2 Thermal Power Station at Runcorn, UK.
- The £3.25m contract is to provide technical support to the plant's current operation and maintenance team, starting from 2018, while £4m bonuses were awarded for achieving better economic returns from the plant.
- Trades at 14.4x forward P/E.
- Reportedly eyeing regional mobile wallet tie-ups with its associates, AIS (Thailand), Globe Telecom (Philippines), Telkomsel (Indonesia) and Airtel (India).
- This will enable customers to make cashless payments in home currency while abroad.
- About 8.5% of the group's 590m regional mobile customers use their telco's mobile wallets.
- Trades at 14.2x forward P/E and 5% dividend yield.
- MKE has a Hold with TP of $3.69.
- Acquiring a 49%-stake in Beijing Wish for Rmb25.2m in cash.
- Beijing Wish engages in the film production and distribution business as well as commercial performance and concert brokerage businesses in China.
- The acquisition is in line with its strategy to expand its presence in China.
- Post-transaction, Beijing Wish will dispose its film-related businesses, while the vendor has provided an undisclosed profit guarantee.
- Secured $5.6m worth of contracts from existing customers.
- The contracts are for the provision of maintenance, repairs and overhaul services as well as the manufacturing and supply of shipsets.
- Delivery of the shipsets will take place over May-Dec 2018.
- Credit score downgraded by the S&P to "D" from "CC" after it missed principal and coupon payments on two outstanding USD notes.
- The credit agency warns that such failure will trigger cross-defaults on its other obligations
- Separately, major shareholder Goldilocks Investment (8.1%-stake) has filed a lawsuit, alleging that the group had inflated profits to raise money.
- Goldilocks wants a court declaration that management had breached fiduciary duties and is seeking relief on behalf of shareholders, including about US$169m in executive remuneration as well as any interest and damages assessed by the court.
- The legal suit pose another hurdle for its proposed debt restructuring scheme, which needs approval from both bond and share holders.
- Signed strategic agreement with Baixianwang Intelligent Technology and Tomcat Culture to distribute its own-branded products at Baixianwang's unmanned convenience stores.
- Baixianwang is involved in retail platform technology development, covering automated warehousing, transportation and inventory system, domestic robots, and unmanned convenience stores.
- Tomcat Culture does strategic branding, management, execution and licensing, covering creative culture and original animation works.