Latest news with #RM1.62bil
The Star
01-08-2025
- Business
- The Star
RHB inks RM1.62bil insurance, takaful deals with Tokio Marine and Takaful Malaysia
PETALING JAYA: RHB Bank Bhd has entered into 20-year exclusive bancassurance and bancatakaful agreements with Tokio Marine Life Insurance Malaysia Bhd and Takaful Malaysia, in deals worth up to RM1.62bil. Under the arrangement, RHB Bank will exclusively distribute conventional life insurance products from Tokio Marine Life, while its wholly owned subsidiary RHB Islamic Bank Bhd will handle the distribution of family and general takaful products developed by Syarikat Takaful Malaysia Keluarga Bhd (STMKB) and its subsidiary, Syarikat Takaful Malaysia Am Bhd. The parties also entered into a framework agreement to govern the overall structure and coordination of the banca partnerships. In a filing with Bursa Malaysia, RHB said the RM1.62bil-access fee reflects the projected insurance and takaful business volume to be generated over the tenure of the agreements, including sales through its branch network and digital platforms. 'This includes anticipated sales of insurance and takaful products through the bank's branch network and digital channels, based on the historical performance of the existing partnership and forward-looking growth assumptions,' it said. Proceeds from the access fee will be used to meet working capital needs and support the group's future growth initiatives. RHB said the partnership will provide an attractive upfront contribution to profit, long-term revenue visibility and the ability to build on existing operational and technological integration with its insurance partners. In a separate filing, STMKB said while the arrangement is not expected to have a material impact on its earnings for the financial year ending Dec 31, 2025, the partnership is anticipated to contribute positively to the group's future earnings.
The Star
17-07-2025
- Business
- The Star
Sunway JV wins RM2bil Singapore residential job
Sunway said the proposed project is expected to contribute positively to the earnings of Sunway Group from the financial year ending Dec 31, 2026. PETALING JAYA: Sunway Bhd and its Singapore-based joint venture (JV) partner, Sing Holdings Residential Pte Ltd (SHRPL), have secured a residential development project worth RM2.33bil in Chuan Grove, Singapore. In a filing with Bursa Malaysia, Sunway said the Urban Redevelopment Authority of Singapore had awarded a parcel of land measuring approximately 15,831.5 sq m at Chuan Grove for a 99-year lease term for a residential development at S$703.6mil (RM2.33bil) to SHRPL and Sunway Developments Pte Ltd (SDPL) following a successful tender for the land. 'SHRPL and SDPL will incorporate a JV company, in which SHRPL and SDPL will have equity interest in the proportion of 65:35 at a later date, to undertake the development of the land,' it said. SDPL is a wholly owned subsidiary of Sunway Holdings Sdn Bhd, which in turn is a wholly owned subsidiary of Sunway. Sunway said the proposed project is expected to contribute positively to the earnings of Sunway Group from the financial year ending Dec 31, 2026 (FY26) onwards. 'The proposed project is subject to usual property development and construction related risk, including fluctuations in the raw material prices, interest rate movements and gyrations in the property cycle. 'However, these risks could be mitigated by SHRPL and SDPL's experience and track record in property development.' According to Hong Leong Investment Bank (HLIB) Research in an earlier report, the government land sale tender for a residential site at Chuan Grove in Singapore closed on July 8, attracting seven bids. 'This project marks the first collaboration between Sunway and SHRPL in Singapore's property market,' it noted. HLIB Research said the successful launch of Chuan Park underscored the robust demand for quality residential projects in this locality, enhancing the market confidence and feasibility of the upcoming Chuan Grove development. 'Sunway is accelerating its project development in Singapore with the collaboration with a new partner, apart from its long-time partner Hoi-Hup. This current Chuan Grove site should help to replenish the project pipeline in the private residential space.' It said Sunway currently had five ongoing and pipeline projects in Singapore, namely, The Continuum (launched in 2023), Terra Hills (launched in 2023), Tampines site (slated to launch in the first half of 2026), Novo Place (launched in November 2024) and Otto place. HLIB Research said the net profit margin of a private residential project ranges from low-to-mid teens. 'Thus, based on our estimated effective gross development value of RM1.62bil, assuming a 10% net margin, four-year recognition timeline, the share of profit per annum is estimated to be around RM40.4mil, likely to be recognised over FY27 to FY30.' With the group's widening exposure, it said Sunway provides a good proxy to the domestic economy, which is currently entering a new phase of growth.
The Star
26-05-2025
- Business
- The Star
PETRONAS Gas expects resilient year despite operational disruption
KUALA LUMPUR: Petronas Gas Bhd anticipates an overall resilient and stable performance in the financial year 2025, despite operational disruption caused by the pipeline fire incident in Putra Heights on April 1, 2025. In the first quarter ended March 31, 2025 (1QFY25), PETRONAS Gas posted a net profit of RM468.8mil, up from RM456.65mil in the year-ago quarter. The group reported in a filing with Bursa Malaysia that quarterly revenue dipped to RM1.59bil from RM1.62bil in the previous comparative quarter, while earnings per share rose to 23.69 sen from 23.08 sen previously. In line with the performance, the board of directors declared a first interim dividend of 16 sen per share, with an entitlement date of June 12, 2025, and payable on June 24, 2025. Meanwhile, PETRONAS Gas said in an update to the stock exchange it expects the financial impact of repair works and asset restoration resulting from the Putra Heights fire to be about RM170mil. This figure is subject to the final findings of the investigation and is based on the current site conditions and the extent of asset damage, it said. A significant portion of this amount is expected to be capitalised under the company's capital expenditure, with partial recovery anticipated through insurance claims. Revenue loss due to service interruption is projected to be minimal at approximately RM20mil. The total profit impact to the group, combining repair costs and revenue loss, is currently estimated at RM60mil for FY25. "The group remains firmly committed to maintaining the highest standards of safety, operational excellence, disciplined cost management, and long-term strategic growth. "In light of the recent incident, the group is further strengthening its risk management and mitigation frameworks to ensure continuity, resilience, and sustainability across its operations," it said.
