NST Online Business Times : latest
NST Online Business Times : latest |
| RAM reaffirms Kenanga IB's ratings Posted: 24 Mar 2013 07:10 PM PDT Malaysia's RAM Ratings has reaffirmed Kenanga Investment Bank Bhd's long- and short-term financial institution ratings at A3 and P1, respectively; the long-term rating has a stable outlook. The ratings take into consideration Kenanga IB's expanded retail stockbroking franchise following the completion of its acquisition of ECM Libra Investment Bank in December 2012. The acquisition has cemented its position as Malaysia's second-largest brokerage firm by trading volume in 2012, besides widening its branch network and enlarging its remisier base. The acquisition is expected to strengthen the Bank's brokerage income while non-stockbroking income will still largely stem from its investment-banking business. On this note, Kenanga IB has made strides in building its investment-banking franchise.
In the short term, the Bank will focus on realising synergistic cost savings through staff and branch rationalisation. We envisage that it will need 1-3 years before realising the large-scale benefits of the integration exercise. Similar to all acquisitions, there could be integration risks, especially with respect to aligning the best practices of both entities as well as the retention of human capital and clients. RAM will closely monitor the post-merger integration process. Kenanga IB has healthy loan and securities portfolios, with no exposure to impaired corporate loans or debt securities during the period under review. Its earnings profile is inherently volatile due to the unpredictability of capital market movements. Meanwhile, Kenanga IB's financial performance in none months FY December 2012 was affected by weaker brokerage income and higher personnel costs. On balance, however, the Bank has retained its sound liquidity profile and sturdy capitalisation.-- Reuters |
| Posted: 24 Mar 2013 07:01 PM PDT Share prices on Bursa Malaysia opened higher in early trading Monday, as investors took the cue from the gains seen on Wall Street, dealers said. As at 9.09am, the FTSE Bursa Malaysia KLCI (FBM KLCI) rose 2.52 points to 1,629.41, after opening 3.77 points higher at 1,630.66. They said global sentiment was positive as Cyprus' worries eased after a European Union official said an agreement has been made on an aid package for Cyprus. HwangDBS Vickers Research said the FBM KLCI should see its immediate support level at 1,615 level while immediate resistance stood at 1,635 level.
On the score board, the Plantation Index gained 18.81 points to 7,803.97, the Finance Index rose 22.72 points to 15,347.94 but the Industrial Index slipped 3.26 points to 2,820.32. The FBMT100 earned 17.7 points lower at 11,003.33, the FBM Mid 70 Index was 22.84 points higher at 12,467.49 and the FBM Emas Index advanced 16.67 points to 11,167.18. The FBM Ace Index, however, lost 10.41 points to 3,980.84. Gainers led losers 87 to 57, with 97 counters unchanged, 1,403 untraded and 16 suspended. Turnover stood at 25.75 million shares worth RM20.69 million. Actives, Eti Tech Corp and Luster Industries earne half sen each to six sen and 10.5 sen, respectively, Destini gained 1.5 sen to 36.5 sen, while Efficient E-Solutions was flat at 13 sen. Heavyweights, Maybank improved one sen to RM9.15, CIMB Group gained four sen to RM7.20, but Petronas Chemicals and Maxis were all flat at RM6.38 and RM6.51, respectively. Sime Darby lost four sen to RM9.15 and Axiata Group shed one sen to RM6.35.-- Bernama |
| You are subscribed to email updates from Business Times : latest To stop receiving these emails, you may unsubscribe now. | Email delivery powered by Google |
| Google Inc., 20 West Kinzie, Chicago IL USA 60610 | |
0 ulasan:
Catat Ulasan