Maybank IB Views

Star Publications (Malaysia) RM3.41: Hold
Seeking inspiration in Life Inspired Shariah-compliant

Another lukewarm investment. Star will invest RM35m for 51% of Li TV Holdings Limited. Li TV owns and operates Li, Life Inspired, a pan-Asian lifestyle TV channel. It is loss making but is not expected to materially impact Star's earnings. While we are encouraged that Star is continuing to diversify its media assets, it remains to be seen if Li TV can contribute meaningfully going forward. Maintain Hold.

Technicals
The FBM KLCI fell 6.94 points to close at 1,555.64 yesterday. Its resistance areas of 1,555 and 1,574 will cap market gains, whilst the much weaker support areas are located at 1,540 and 1,552. The FBM KLCI stalled at its previous all-time high of 1,576.95 on 6 Jan 2011.

Trading idea today is Dialog

Other Local News
Maybank: Islamic signs MoU with Bank Syariah Mandiri. Maybank Islamic has signed a MoU with Bank Syariah Mandiri (BSM), Indonesia, to establish cross-border collaboration in all Islamic treasury and trade finance matters. The collaboration would enhance cross-border liquidity flows and increase and diversify the application of Islamic financial solutions. (Source: The Edge Financial Daily)

Inari: Gains 6.5 sen on debut. Inari Bhd made its debut on the ACE Market of Bursa Malaysia yesterday, closing 6.5 sen higher than its issue price of 38 sen. Inari expects its fourth new plant, costing RM25m in the Free Industrial Zone in Bayan Lepas, Penang, to increase its revenue by 25% to 30% when the plant is operational by March next year. (Source: The Star)

Iskandar: Another British varsity. Britain's University of Reading Business School is setting up a branch campus in EduCity in Iskandar Malaysia, Johor, for between RM150m and RM200m. To be known as University of Reading Iskandar, construction is due to start next year. (Source: Business Times)

Property: Sagajuta eyes year-end listing. Sagajuta (Sabah) Sdn Bhd hopes to complete its backdoor listing by year-end, to turn the company into a bigger real estate firm. Sagajuta is behind the RM1.2b 1Borneo project in Kota Kinabalu. Sagajuta is planning to buy more land in Sabah, Klang Valley, Penang and Johor to enable it to undertake development projects worth more than RM3b at any one time. (Source: Business Times)

Property: Sapura Resources in KLCC development. Sapura Resources Bhd has proposed a joint venture with KLCC (Holdings) Sdn Bhd (KLCCH), a wholly owned subsidiary of Petronas, to establish a commercial development on a piece of land in KL. The land measuring 7,605sqm will comprise an office tower, convention centre and retail podium. (Source: The Edge Financial Daily)