Lion Industries Corp Bhd’s 99%-owned subsidiary Amsteel Mills Sdn Bhd is selling the latter’s 100% stake in Antara Steel Mills Sdn Bhd to Esteel Enterprise Pte Ltd for approximately US$158.82 million (about RM663.85 million) under an all-cash deal that will enable Lion Industries to unlock the value of Antara Steel for a disposal gain of around RM403.1 million and finance Lion Industries’ planned expansion into the flat steel business.
Monday, 12 Apr 2021 10:23 AM MYT
On the broader market, gainers led losers 261 to 233, while 1,051 counters were unchanged, 612 untraded and nine others suspended. Malay Mail pic
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KUALA LUMPUR, April 12 Bursa Malaysia opened easier this morning due to cautious market sentiment, with selling mostly seen among the heavyweights, led by Axiata and Digi.
At 9.10am, the benchmark FTSE Bursa Malaysia KLCI (FBM KLCI) erased 4.01 points to 1,608.24 from Friday’s close of 1,612.25.
The index opened 1.71 points weaker at 1,613.96.
On the broader market, gainers led losers 261 to 233, while 1,051 counters were unchanged, 612 untraded and nine others suspended.
LION Industries Corp Bhd, controlled by tycoon Tan Sri William Cheng Heng Jem, is banking on a return to hot rolled coil (HRC) manufacturing to turn its fortunes around. The group, one of the country’s oldest steel makers, has been loss-making for the past two financial years amid intense competition and slowing market growth.
Last December, the group announced plans to restart production of HRC in the second quarter of 2021 with a production capacity of 2.5 million to 3 million tonnes a year.
“Our plans to restart the HRC plant is part of the group’s turnaround plans, which we expect to contribute positively to the results,” says a Lion Industries spokesman in an email response to The Edge.
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Despite the market rally that took place in most part of this year, share prices of steel-related counters have largely stagnated as investors stayed away from the sector.
However, thanks to the anti-dumping duty news and the recovery play in the sector, such counters are finally waking up from deep slumber.
Yesterday, Masteel jumped 34.58% to 72 sen, its highest in over two years, while Lion Industries gained 17.46% to 74 sen, its highest since mid-2018.
Melewar surged by 74.63% to 58.5 sen, Mestron Holdings Bhd gained 10.26% to 21.5 sen, Mycron Steel Bhd rose by 52.69% to 71 sen and Hiap Teck (pic) was up by 5.49% to 48 sen.
Melewar surged by 74.63% to 58.5 sen, Mestron Holdings Bhd gained 10.26% to 21.5 sen, Mycron Steel Bhd rose by 52.69% to 71 sen and Hiap Teck (pic) was up by 5.49% to 48 sen.
5:26 PM MYT
KUALA LUMPUR: The FBM KLCI pared some of its gains at closing on Monday, as some mild profit-taking signs emerged on the local bourse.
At closing, the 30-stock index added 2.73 points to 1,643.9 after opening 1.06 points higher at 1,642.23. The index had earlier climbed to a high of 1,655.96 and fell to a low of 1,639.92.
There were 701 gainers, 549 losers and 407 counters unchanged. Turnover stood at 8.71 billion valued at RM3.9bil.
In today’s session, 15 of the KLCI-component stocks chalked up gains while nine counters fell and six counters closed unchanged.
Dealers said news on the US stimulus package boosted investor sentiment coupled with upbeat data from China.