Latest news with #MBSBIB
New Straits Times
2 days ago
- Business
- New Straits Times
Retail investors step up buying as foreign funds continue to exit
KUALA LUMPUR: Local retailers maintained their net buying momentum for the second straight week, with a significant increase in activity. According to MBSB Investment Bank Bhd (MBSB IB), net inflows surged to RM239.4 million, almost four times higher than the RM52.7 million recorded the previous week. In contrast, foreign investors continued their net selling trend for the second consecutive week, posting a net outflow of RM206.1 million. "Foreign investors were net sellers on every trading day except Monday and Friday, with outflows ranging from RM61.9 million to RM173.3 million. "The largest outflow was recorded on Wednesday, followed by Tuesday with RM88.3 million and Thursday with RM61.9 million. Monday and Friday recorded net inflows of RM1.21 million and RM116.2 million respectively," the research house said. MBSB IB said the construction sector saw the highest net foreign inflows at RM199.5 million, followed by transportation and logistics at RM102.1 million, and industrial products and services at RM94.7 million. On the other hand, the sectors with the largest net foreign outflows were financial services (-RM525.4 million), technology (-RM86.1 million), and consumer products and services (-RM71.8 million), it said. It noted that local institutions reversed their buying trend last week, breaking an eight-week streak of net inflows by registering a net outflow of RM33.3 million. "The average daily trading volume experienced a broad-based increase last week with the exception of local institutions. "Foreign investors and local retailers recorded increases of 6.9 per cent and 9.0 per cent respectively, while local institutions saw a decrease of 2.6 per cent," MBSB IB said.
Barnama
2 days ago
- Business
- Barnama
Malaysia Poised To Become Major Healthcare Hub, Says MBSB IB
BUSINESS KUALA LUMPUR, July 21 (Bernama) -- Malaysia is poised to become a major healthcare hub, driven by quality care, advancing technologies, and the growth of the hospitality sector, said MBSB Investment Bank Bhd (MBSB IB). In a note today, the bank said that the healthcare sector is undergoing a transition due to evolving national healthcare needs. 'Malaysia is progressing from a developing to a high-income nation, and its healthcare system is grappling with the complexities that accompany this shift. "The epidemiological transition from communicable to non-communicable diseases, coupled with an ageing population, reflects a maturing society that now faces diseases of affluence and lifestyle," it said. MBSB IB noted that challenges are no longer merely about basic access, which has largely been achieved in Peninsular Malaysia, but now concern quality, efficiency, equity, and sustainability amid rising costs and demand. Malaysia is not rigidly adhering to a single ideological model – whether fully public or private – but is instead adopting a pragmatic, dual-tier system with increasing public-private partnerships, it said. The bank said strong government support forms the backbone of the sector. 'The government's continued heavy subsidisation of public healthcare and its active pursuit of universal health coverage through various initiatives, such as PeKaB40, Skim Perubatan Madani, and the National Health Fund, demonstrate a firm commitment to ensuring that healthcare remains a right for all citizens, not merely a privilege. 'This is reflected in the Budget 2025's allocation of RM45.3 billion for the domestic healthcare sector. The willingness to address high out-of-pocket expenses also highlights a focus on financial risk protection for the population,' it said.
New Straits Times
3 days ago
- Business
- New Straits Times
Relaxed foreign equity rules may spur M&A interest in smaller Malaysian banks
KUALA LUMPUR: Smaller Malaysian banks could be potential targets if the government relaxes its rules on foreign equity ownership in strategic sectors incuding financial services, analysts said. They named the likes of Alliance Bank Bhd, AMMB Holdings Bhd, MBSB Bank Bhd and Affin Bank Bhd that could attract interest from foreign players. MBSB Investment Banking Bhd (MBSB IB) said regional players from Singapore and China with a deeper strategic stake in Malaysia would likely be keener than the Western peers. MBSB IB noted that Western institutions, including Citibank and Standard Chartered, had recently withdrawn from the Asean region, citing intense competition as the main reason. Players from Singapore could be among the suitors due to the republic's geographical proximity, and deeper ties with Malaysia, while China has been forging strategic partnership with Asean as of late. MBSB IB said AMMB has long been viewed as a potential candidate for mergers and acquisitions, given its modest size and the fundamental improvements it has made in recent years. This is further supported by speculation that its major shareholder and founder Tan Sri Azman Hashim may be open to selling part of his stake if the valuation is favourable "In the case of Affin, Bank of East Asia is said to have been looking to dispose of its holdings for quite some time," it added. Malaysia reportedly was considering easing foreign ownership limits in strategic industries, including the banking and power sectors, as part of efforts to reduce the 25 per cent US tariff on the country's goods. Currently, Malaysia imposes a 30 per cent cap on foreign ownership in commercial banks, while foreign equity in investment and Islamic banks is limited to 70 per cent. Affin Hwang Investment Bank said any liberalisation in rules will have to be open to all foreign entities and not just US companies although it relates to negotiations on US tariff on Malaysian goods. "We gather that DBS is interested to acquire a controlling stake in Alliance Bank, and the possible easing of foreign shareholding limits in local banks will be positive for the banking group, given the potential entry of a strong strategic shareholder. "Public Bank Bhd could also see M&A interest from foreign entities and helo clear the current share overhang due to the majopr shareholders' plan reduce their stake," Affin Hwang added.
The Star
5 days ago
- Business
- The Star
MRT3 developments boosts construction sector outlook, contract awards expected by 2027
KUALA LUMPUR: Investment banks remain optimistic about the construction sector following more clarity and the latest developments involving the Mass Rapid Transit 3 (MRT3) project. In a note today, RHB Investment Bank Bhd (RHB IB) said it expects details to be announced during the upcoming tabling of the 13th Malaysia Plan on July 31, 2025 or Budget 2026 on October 10, including the funding mechanism, latest estimated cost and whether a fresh round of re-tendering is required. "Recall that in the revised Budget 2023, tabled in February 2023, the government announced its intention to review the cost of the MRT3 project in the hope of reducing the total amount to below RM45 billion from the estimated RM68 billion in 2018. "We envisage MRT3 contract awards and construction to likely commence in 2027,' it added. It has maintained an "Overweight' call on the sector. Separately, MBSB Investment Bank Bhd (MBSB IB) expects a re-tender exercise to be called by mid-2026, with contracts to be awarded between the end of 2026 and the middle of 2027, towards the end of the land acquisition exercise. MRT Corp sought four extensions for the project's tender validity. No extensions were sought after the last one in March 2024. This means the tenders would have naturally lapsed, MBSB IB said. "We believe there would also be some changes to the project's original alignment and the placement of stations, considering the reduction in plots of land for acquisition. "Construction of the MRT3 may begin in 2027. This will keep contractors busy up to 2033. This will be a timely continuation of projects following the expected completion of the Johor-Singapore Rapid Transit System and the East Coast Rail Link by the end of 2026,' MBSB IB said. It is maintaining a "Positive' recommendation on the sector. The MRT3 Circle Line is a 51 km orbital alignment to serve the perimeters of Kuala Lumpur. The alignment is expected to be 39 km elevated and 12 km underground, with 22 elevated stations, seven underground and three future stations.- Bernama
Malaysian Reserve
5 days ago
- Business
- Malaysian Reserve
MRT3 development boosts construction sector outlook, contract awards expected by 2027
INVESTMENT banks remain optimistic about the construction sector following more clarity and the latest developments involving the Mass Rapid Transit 3 (MRT3) project. In a note today, RHB Investment Bank Bhd (RHB IB) said it expects details to be announced during the upcoming tabling of the 13th Malaysia Plan on July 31, 2025 or Budget 2026 on October 10, including the funding mechanism, latest estimated cost and whether a fresh round of re-tendering is required. 'Recall that in the revised Budget 2023, tabled in February 2023, the government announced its intention to review the cost of the MRT3 project in the hope of reducing the total amount to below RM45 billion from the estimated RM68 billion in 2018. 'We envisage MRT3 contract awards and construction to likely commence in 2027,' it added. It has maintained an 'Overweight' call on the sector. Separately, MBSB Investment Bank Bhd (MBSB IB) expects a re-tender exercise to be called by mid-2026, with contracts to be awarded between the end of 2026 and the middle of 2027, towards the end of the land acquisition exercise. MRT Corp sought four extensions for the project's tender validity. No extensions were sought after the last one in March 2024. This means the tenders would have naturally lapsed, MBSB IB said. 'We believe there would also be some changes to the project's original alignment and the placement of stations, considering the reduction in plots of land for acquisition. 'Construction of the MRT3 may begin in 2027. This will keep contractors busy up to 2033. This will be a timely continuation of projects following the expected completion of the Johor-Singapore Rapid Transit System and the East Coast Rail Link by the end of 2026,' MBSB IB said. It is maintaining a 'Positive' recommendation on the sector. The MRT3 Circle Line is a 51 km orbital alignment to serve the perimeters of Kuala Lumpur. The alignment is expected to be 39 km elevated and 12 km underground, with 22 elevated stations, seven underground and three future stations. — BERNAMA
