Slippery slope for KLCI

       STOCKS on Bursa Malaysia finished the first half of the year deep in red, as Covid-19 uncertainties sapped investors’ demand for risk.

       The benchmark FBM KLCI ended Wednesday at 1, 532 points, down almost 6% from where its was at the start of the year.

       Stocks were on a slippery slope in June after the government imposed strict lockdown measures to curb rising infections.

       On Monday, the government announced a massive RM150bil stimulus package with RM10bil direct cash injection under phase one of its national recovery plan.？

       But with daily new cases stubbornly high, strict movement control measures are likely to stay, despite the ramped-up vaccination programme.

       On Bursa Malaysia, stocks were higher in earlier trade on the first day of the second half of the year.

       But the deteriorating outlook on the economy and corporate earnings are likely to keep most investors at bay until the pandemic can be contained.

       CTOS launches RM1.2bil IPO

       CREDIT reporting firm CTOS Digital Bhd launched its RM1.2bil initial public offering (IPO) on Wednesday, the country’s biggest listing so far this year.

       The company said at the launch of its prospectus that it expects to list on Bursa Malaysia on July 19.

       It was reported that 23 cornerstone investors had signed on to the company’s public market debut.

       They include AIA Group Ltd, Aberdeen Standard Investments and two of the country’s largest government-linked funds – the Employees Provident Fund and Permodalan Nasional Bhd.

       The listing is the largest since MR DIY Group (M) Bhd’s RM1.5bil IPO last year.

       Both MR DIY and CTOS come from private equity firm Creador’s stable.

       Amirul Feisal helms Khazanah

       KHAZANAH Nasional Bhd on Tuesday announced it had appointed Datuk Amirul Feisal Wan Zahir as managing director to replace outgoing Datuk Shahril Ridza Ridzuan.

       Shahril was leaving Khazanah to pursue his personal interests upon the expiry of his contract with the sovereign wealth fund.

       Earlier on Monday, Malayan Banking Bhd announced that Amirul had resigned from his post as group chief financial officer.？

       Serba Dinamik hits new low

       SHARES in scandal-hit Serba Dinamik Holdings Bhd plunged to a new low this week.

       Filings with Bursa Malaysia showed that key shareholder, the Employees Provident Fund, continued to dump the stock.

       On Wednesday, it was revealed that the fund was no longer a substantial shareholder in the oil and gas services firm.

       The stock fell to a low of 32 sen on Tuesday, down by about 80% from where it was a month ago. ？

       The steep decline also triggered forced selling on 46.3 million shares put as collateral by founder Datuk Mohd Abdul Karim Abdullah.

       Co-founder Datuk Awang Daud Awang Putera, meanwhile, was also hit by forced selling that reduced his stake in the company to less than 1%.