VOICE OF MSWG
Happy New Year to everyone and we hope our readers celebrated the start of 2017 in good spirits with family and friends. We are delighted to introduce a new column, “Voice of MSWG” to convey our messages and highlight concerns or issues to our readers. As we are now a few days into the new year, it is good to think about what this year may bring us. Despite external volatility last year, the Malaysian Capital Market continued to grow and remained resilient. According to the Securities Commission, this was reflected in Malaysia’s capital raising figures for 2016, which showed that close to RM100 billion was raised through the capital market with RM87 billion in corporate bond issuances and IPOs while the rest was secured through secondary fundraising.
Nevertheless, 2017 could be another challenging year for our capital market amid the global economic uncertainties and impending increase of US interest rates and stronger US dollar. Despite facing such economic uncertainties, we hope to see our public listed companies continue to adhere to best CG practices in doing business within the broader objective of greater transparency.
MSWG will continue to be vigilant in monitoring public listed companies to ensure that shareholder rights, particularly minority shareholder rights, are protected and our companies continue to adhere and improve their corporate governance best practices.
We would also like to take this opportunity to thank all the supporters for our Malaysia-ASEAN Corporate Governance 2016 event last December for their unwavering support and commitment towards raising the CG standards in corporate Malaysia.
MSWG’S WATCHLIST
HOVID BERHAD (“HOVID”)
Hovid announced that the company has initiated a product recall today for Ternolol 50mg Film-Coated Tablets manufactured under the batch number BG04645 bearing manufacturing date April 2016, for the Malaysian market.
The batch for recall contains boxes labelled as “Ternolol 50”, however, some of the blisters stated the product as “Ternolol Tab 100mg”. The actual product packed within the boxes is Ternolol 50mg which corresponds to the box label. The tablets contain active atenolol ingredients which are prescribed for hypertension treatment.
The cost of the batch and revenue generated was less than RM25,000.
According to the announcement, the company mentioned that it does not view such errors lightly and is presently investigating the matter. Hovid will implement the required preventive measures to ensure there is no re-occurrence and will work closely with the National Pharmaceutical Regulatory Department.
According to the company, the financial impact on the earnings and net tangible assets of the Group is insignificant.
[Source: Hovid’s announcement on Bursa Malaysia’s website on 6 January 2017]
LOCAL NEWS AND DEVELOPMENTS
BNM's int'l reserves down 1.87% to US$94.6b as at Dec 30
http://www.theedgemarkets.com/my/article/bnms-intl-reserves-down-187-us946b-dec-30?type=Corporate
Proton's partner search: 3 foreign carmakers to make firm offers
Malaysia’s November exports surge 7.8pc, more than forecast
Arrest warrant for Yap over Transocean insider trading
SC Unveils Five-Year Blueprint to Further Strengthen Malaysia as a Leading International Centre for Islamic Fund and Wealth Management
GLOBAL NEWS AND DEVELOPMENTS
US job growth slows, but wages rebound strongly
http://www.theedgemarkets.com/my/article/us-job-growth-slows-wages-rebound-strongly?type=Corporate
US Libor breaks above 1% for first time since 2009
http://www.theedgemarkets.com/my/article/us-libor-breaks-above-1-first-time-2009?type=Corporate
China is confident economy grew 6.7pc in 2016
http://www.themalaymailonline.com/money/article/china-is-confident-economy-grew-6.7pc-in-2016
India sees economy losing momentum; economists warn of deeper slowdown
What drove Blumont's & LionGold's astounding price surge?
OPEC oil output falls from record high ahead of planned cuts - Reuters survey
MSWG Analysts
Lya Rahman, General Manager, [email protected]
Rebecca Yap, Head, Corporate Monitoring [email protected]
Quah Ban Aik, Head, Corporate Monitoring [email protected]
Norhisam Sidek, Manager, Corporate Monitoring [email protected]
Wong Kin Wing, Manager, Corporate Monitoring, [email protected]
Hoo Ley Beng, Manager, Corporate Monitoring [email protected]
Nor Khalidah Khalil, Analyst, Corporate Monitoring [email protected]
Vinodth Ramasamy, Analyst, Corporate Monitoring [email protected]
Muhammad Faris bin Mohamed Yusof, Analyst, Corporate Monitoring [email protected]
DISCLOSURE OF INTERESTS
• MSWG does not hold any shares in Hovid Berhad.
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DISCLAIMER
This newsletter and the contents thereof and all rights relating thereto including all copyright is owned by the Badan Pengawas Pemegang Saham Minoriti Berhad, also known as the Minority Shareholder Watchdog Group (MSWG).
The contents and the opinions expressed in this newsletter are based on information in the public domain and are intended to provide the user with general information and for reference only. Best efforts have been made to ensure that the information contained in this newsletter is accurate and current as at the date of publication. However, MSWG makes no express or implied warranty as to the accuracy or completeness of any such information and opinions contained in this newsletter. No information in this newsletter is intended to be or should be construed as a recommendation to buy or sell or an invitation to subscribe for any, of the subject securities, related investments or other financial instruments thereof.
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MSWG bears no responsibility or liability for any reliance on any information or comments appearing herein or for reproduction of the same by third parties. All readers or investors are advised to obtain legal or other professional advice before taking any action based on this newsletter.
