Latest news with #ProlintasInfraBusinessTrust
New Straits Times
6 days ago
- Business
- New Straits Times
EPF yet to make a move on 2025 IPOs, all eyes are on MMC Port's listing
KUALA LUMPUR: With RM1.25 trillion in assets under management, the Employees Provident Fund (EPF) has yet to make a splash in any of the 33 initial public offerings (IPOs) so far this year. This quiet stance comes despite a bustling IPO pipeline. Bursa Malaysia is targeting 60 listings in 2025 with a combined market capitalisation of RM40.2 billion. While EPF has never been a frequent IPO investor, its absence from the 2025 crop so far stands out, especially after the fund backed three of the biggest listings last year. In 2024, EPF took substantial stakes in Johor Plantations Group Bhd and Prolintas Infra Business Trust during their IPOs and later emerged as a major shareholder in 99 Speed Mart Retail Holdings Bhd. These three listings were among the top five IPOs of the year, which together contributed RM20.32 billion, or nearly 65 per cent of the year's total IPO market capitalisation. *Picking the giants* EPF first surfaced in 99 Speed Mart on June 4 this year, acquiring 421.79 million shares or 5.02 per cent. That stake has since increased to 428.58 million shares or 5.10 per cent as of July 1. The convenience store operator, which listed in September 2024, was Malaysia's largest IPO in seven years. The stock jumped 13.9 per cent on debut, closing at RM1.88 from an IPO price of RM1.65. As of last Friday, it was trading at RM2.20, marking a 33.3 per cent gain since listing. Speed Mart joined the FTSE Bursa Malaysia KLCI less than a month after its debut, a rare feat. It also declared a dividend policy of paying 50 per cent of net profit twice a year. Meanwhile, Johor Plantations Group saw EPF come in from the start. On its July 2024 listing, the fund picked up an 8.89 per cent stake, later increasing it to 10.23 per cent. The stock debuted at 83 sen and ended its first trading day at 90 sen, up 7.14 per cent. As of July 4 this year, it was trading at RM1.20, a 44.6 per cent rise since listing. The group also commits to paying at least 50 per cent of its profit after tax and minority interest as annual dividends. Then there is Prolintas Infra Business Trust, where EPF acquired a 6.18 per cent stake during its March 2024 IPO at 95 sen per unit. That has since grown to 7.87 per cent as of July 1. The units were last traded at 96 sen, but what makes Prolintas especially appealing to income-seeking investors is its policy of distributing at least 90 per cent of its distributable income each year. *Mixed IPO performance* This year's IPO landscape has been more of a mixed bag. The first seven debutants posted strong gains, between 8.33 per cent and 98.86 per cent, led by Oriental Kopi Holdings Bhd. But the euphoria didn't last. Since ES Sunlogy Bhd debuted flat on February 20, IPO performances have seesawed, tilting more towards the red than the green. Among this year's headline deals is Eco-Shop Marketing Bhd, which raised RM974 million, Malaysia's largest IPO in eight months. The stock gained six per cent on debut and last traded at RM1.27. Industry watchers say EPF may be taking a more cautious or selective approach, possibly due to valuation concerns, sectoral fit, or broader market uncertainty. Compared to last year, many of this year's listings have been in technology, digital services and smaller industrial segments, which may fall outside the fund's typical investment profile. Bank Muamalat chief economist Dr Mohd Afzanizam Abdul Rashid said two key factors could explain EPF's current stance. One is heightened risk aversion amid global uncertainty, which may have prompted the fund to increase exposure to fixed income assets. "That would mean fixed income markets would be the natural hedge for the pension funds to preserve its capital and at the same time, providing some capital appreciation," he said, noting that bond prices typically rise as yields fall in a rate-cutting environment. The other factor, he said, is scale. Many of this year's IPOs are relatively small compared to the size of EPF's portfolio, which may reduce the economic incentive to participate. Economist Geoffrey Williams said EPF's investment decisions are largely shaped by its strategic asset allocation framework, which prioritises long-term positions over short-term IPO gains. The fund is also more likely to engage with high-capitalisation companies rather than smaller offerings. "EPF has a long-term investment strategy based on its strategic asset allocation guidelines. So generally it will look at long-term investments even if IPOs offer quick returns in the short term," he told Business Times. He added that EPF's hands-off approach in smaller IPOs could help create room for other institutional investors to participate, which in turn supports market confidence and avoids criticism of favouritism. "It is important for EPF not to interfere too much [in] the equity markets because this crowds out smaller investors," he said. "It is better to allow space for other institutional investors to support IPOs." Ultimately, he said, the fund's investment strategy "must be determined by long-term aims and conducted as independently as possible based on market conditions." There is also the matter of timing. With global headwinds, from trade tensions to geopolitical instability, clouding the outlook, EPF could simply be biding its time. *All eyes on MMC Port* There's still plenty of runway left. With 27 IPOs to go before year-end, one big listing could turn the tide. Top of the watchlist is MMC Port Holdings Bhd, tipped to stage Malaysia's biggest IPO in over a decade. Parent company MMC Corp is planning to sell up to 30 per cent of its port arm, having already lodged a draft prospectus with the securities regulator. The deal is likely to hit the market in late Q3 or early Q4. Whether EPF will seize the opportunity remains to be seen, but if it does, the market will be watching closely.
New Straits Times
22-05-2025
- Automotive
- New Straits Times
Prolintas Infra's Q1 earnings surge 70.5pct
KUALA LUMPUR: Prolintas Infra Business Trust posted a 70.5 per cent rise in net profit to RM3.56 million for the first quarter ended March 31, 2025 (1Q25) from RM2.1 million a year ago, supported by increased toll revenue. Its revenue for the quarter edged up 3.21 per cent to RM78.99 million from RM76.5 million a year earlier, driven by higher toll collections. Toll collection rose 3.2 per cent to RM77.8 million from RM75.4 million, fuelled by stronger traffic volumes across its major highways. "Growth was mainly contributed by higher traffic on its key expressways - with the Sistem Lingkaran Lebuhraya Kajang recording a 3.8 per cent increase, the Guthrie Corridor Expressway up 3.1 per cent, the Ampang-Kuala Lumpur Elevated Highway rising 2.8 per cent, and the Lebuhraya Kemuning-Shah Alam growing 1.8 per cent," it said in a statement. The trust said it is confident in the future performance of its highways, highlighting plans to support organic growth by introducing value-added services and amenities along its routes. These efforts aim to enhance revenue potential and position its highways as the preferred choice for motorists.
Yahoo
26-02-2025
- Business
- Yahoo
Prolintas Infra Business Trust Reports Full Year 2024 Earnings
Revenue: RM321.7m (up 140% from FY 2023). Net income: RM26.6m (up from RM73.5m loss in FY 2023). Profit margin: 8.3% (up from net loss in FY 2023). The move to profitability was driven by higher revenue. EPS: RM0.024. All figures shown in the chart above are for the trailing 12 month (TTM) period Looking ahead, revenue is forecast to grow 2.0% p.a. on average during the next 3 years, compared to a 6.4% growth forecast for the Infrastructure industry in Asia. Performance of the market in Malaysia. The company's share price is broadly unchanged from a week ago. You should always think about risks. Case in point, we've spotted 2 warning signs for Prolintas Infra Business Trust you should be aware of. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio
Yahoo
17-02-2025
- Business
- Yahoo
Institutions own 32% of Prolintas Infra Business Trust (KLSE:PLINTAS) shares but private companies control 51% of the company
The considerable ownership by private companies in Prolintas Infra Business Trust indicates that they collectively have a greater say in management and business strategy The largest shareholder of the company is Projek Lintasan Kota Holdings Sdn Bhd with a 51% stake 32% of Prolintas Infra Business Trust is held by Institutions Every investor in Prolintas Infra Business Trust (KLSE:PLINTAS) should be aware of the most powerful shareholder groups. With 51% stake, private companies possess the maximum shares in the company. In other words, the group stands to gain the most (or lose the most) from their investment into the company. And institutions on the other hand have a 32% ownership in the company. Insiders often own a large chunk of younger, smaller, companies while huge companies tend to have institutions as shareholders. Let's delve deeper into each type of owner of Prolintas Infra Business Trust, beginning with the chart below. See our latest analysis for Prolintas Infra Business Trust Institutional investors commonly compare their own returns to the returns of a commonly followed index. So they generally do consider buying larger companies that are included in the relevant benchmark index. As you can see, institutional investors have a fair amount of stake in Prolintas Infra Business Trust. This implies the analysts working for those institutions have looked at the stock and they like it. But just like anyone else, they could be wrong. It is not uncommon to see a big share price drop if two large institutional investors try to sell out of a stock at the same time. So it is worth checking the past earnings trajectory of Prolintas Infra Business Trust, (below). Of course, keep in mind that there are other factors to consider, too. We note that hedge funds don't have a meaningful investment in Prolintas Infra Business Trust. Looking at our data, we can see that the largest shareholder is Projek Lintasan Kota Holdings Sdn Bhd with 51% of shares outstanding. With such a huge stake in the ownership, we infer that they have significant control of the future of the company. For context, the second largest shareholder holds about 7.6% of the shares outstanding, followed by an ownership of 5.8% by the third-largest shareholder. While it makes sense to study institutional ownership data for a company, it also makes sense to study analyst sentiments to know which way the wind is blowing. There is some analyst coverage of the stock, but it could still become more well known, with time. The definition of company insiders can be subjective and does vary between jurisdictions. Our data reflects individual insiders, capturing board members at the very least. Company management run the business, but the CEO will answer to the board, even if he or she is a member of it. I generally consider insider ownership to be a good thing. However, on some occasions it makes it more difficult for other shareholders to hold the board accountable for decisions. Our data suggests that insiders own under 1% of Prolintas Infra Business Trust in their own names. We do note, however, it is possible insiders have an indirect interest through a private company or other corporate structure. It seems the board members have no more than RM1.6m worth of shares in the RM1.1b company. Many tend to prefer to see a board with bigger shareholdings. A good next step might be to take a look at this free summary of insider buying and selling. The general public, who are usually individual investors, hold a 17% stake in Prolintas Infra Business Trust. While this group can't necessarily call the shots, it can certainly have a real influence on how the company is run. Our data indicates that Private Companies hold 51%, of the company's shares. It might be worth looking deeper into this. If related parties, such as insiders, have an interest in one of these private companies, that should be disclosed in the annual report. Private companies may also have a strategic interest in the company. While it is well worth considering the different groups that own a company, there are other factors that are even more important. To that end, you should be aware of the 2 warning signs we've spotted with Prolintas Infra Business Trust . If you would prefer discover what analysts are predicting in terms of future growth, do not miss this free report on analyst forecasts. NB: Figures in this article are calculated using data from the last twelve months, which refer to the 12-month period ending on the last date of the month the financial statement is dated. This may not be consistent with full year annual report figures. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio
