SC fines Deloitte for RM2.2 million over 1MDB deal
The Securities Commission (SC) has today imposed fines on Deloitte PLT for four breaches related to the RM2.4 billion Sukuk Murabahah Programme issued by Bandar Malaysia Sdn Bhd (BMSB) in 2014. Deloitte was found to have committed two breaches for failure to immediately report to the SC on irregularities which may have a material effect on the ability of Bandar Malaysia to fulfil its obligations in repaying sukukholders. Deloitte was the statutory auditor for BMSB and 1MDB Real Estate Sdn Bhd (1MDB RE), both entities under 1Malaysia Development Bhd (1MDB), in 2015 and 2016. The SC imposed a total fine of RM2 million for the above breaches, the maximum fine provided under Section 354(3)(b) of the CMSA. Deloitte was also fined another RM200,000 for two breaches under Section 276(1) of the CMSA. (NST Online)

BCorp to acquire 4.61% of Berjaya Land for RM87 mil
Berjaya Corp Bhd (BCorp) and its wholly-owned subsidiary Juara Sejati Sdn Bhd have entered into an agreement with Penta Master Fund Ltd, PCM Industrial LP and Penta Asia Long/Short Fund Ltd to acquire 4.61% of Berjaya Land Bhd (BLand) for RM87.4 million. The stake purchase comes on the heels of an earlier announcement by BCorp executive chairman Tan Sri Vincent Tan of plans to restructure his business empire as shares of the group’s listed entities BLand and 7-Eleven Malaysia Holdings Bhd, are largely undervalued, for instance. He indicated the restructuring could involve the sale of assets, the privatising of 7-Eleven Malaysia and BLand, and the listing of BLand’s hotel assets on the Singapore Exchange. (The Edge Markets)

HBA: Rent out the affordably priced unsold properties if they can’t sell
The National House Buyers’ Association (HBA) has come up with a suggestion to fix the overhang problem of residential properties in the affordable pricing range: rent them out. Property developers and the authorities should consider renting out some of these affordably priced units to low income earners who need a roof over their heads, said HBA secretary-general Datuk Chang Kim Loong. There are houses priced below RM150,000 that are attractive to homebuyers, but there is not enough information distributed to the public. There has to be enough marketing done for these properties, he said, such as setting up a website where the public can access information on the location, types of property and selling prices of these affordable homes. (The Edge Markets)

Far East Kuchai Development unveils maiden project
The Kuala Lumpur suburb of Kuchai Lama has seen a major transformation in the past 10 years, with new developments and infrastructure improvements. The latest development in the area is Residensi Far East in Jalan Kuchai Lama, developed by Far East Kuchai Development Sdn Bhd. Residensi Far East will have 226 units in a 36-storey block on 0.75 acres of leasehold land. The upcoming Kuchai Lama MRT station is 300m away. It has a GDV of RM120 million and the company is looking to build a reputation through this project, using quality materials. Since the launch in July, more than 60% of Residensi Far East has been sold. A second development is set to be unveiled in the third quarter, and consist of 167 units, similar in design to those in Residensi Far East. Far East Kuchai Development has plans for more projects in the future. It is also looking to build a portfolio in property investment. (The Edge Markets)

Sunway to launch RM10bil Sukuk programme
Sunway Bhd has established a sukuk programme of RM10 billion in nominal value. The Islamic commercial papers/Islamic medium-term notes programme would be set up under the shariah principle of mudharabah with a tenure of seven years, and the first issuance would be in the first quarter of 2019. The proceeds from the programme would be used to finance its investment activities, capital expenditure and working capital. Sunway said the sukuk would be guaranteed by the group by way of a Kafalah guarantee in favour of the sukuk trustee. “The sukuk to be issued are unsecured, and shall be transferable and tradable in the secondary market. (The Star Online)