MCO for whole of Malaysia from May 12 to June 17
All of Malaysia will come under the movement control order (MCO) from tomorrow until June 7 in view of a “more critical and vicious third wave” of Covid-19 infections. “With daily cases exceeding 4,000 cases, and with 37,396 active cases and 1,700 deaths as at May 10, Malaysia is facing a third wave that could break into a national crisis,” said Prime Minister Tan Sri Muhyiddin Yassin. “The chain of infection can only be broken with the public staying home by enforcing stricter movement control,” he said in a statement yesterday. Muhyiddin said the restriction on inter-district and interstate travel, as well as social, sports and education activities, started yesterday and would go on until June 6 as previously announced. “The start for the rest of the instructions will begin May 12 and be in effect until June 7,” he added. Throughout this period, all economic sectors would remain operational, he said. (The Star)
Additional Hari Raya SOP as entire country to go under MCO
Aildilfitri prayers at mosques and surau is allowed with not more than 50 people for mosques and surau that can cater to over 1,000 capacity. However only 20 people are allowed for mosques and surau that can accomodate less than 1,000 capacity. The same number of congregation is applicable for the five daily prayers and Friday prayers. House-to-house visits as well as “ziarah kubur” (cemetery visits) are not allowed during Raya. Meanwhile, the operations of non-Muslim places of worship will also be tightened. Muhyiddin said that this would be set by the National Unity Ministry. (NST Online)
Retailers fall, REITs mostly unchanged on HIDE impact
Shares in retailers fell after the Ministry of Science, Technology and Innovation (MOSTI) ordered premises flagged as Covid-19 hotspots by the Hotspot Identification for Dynamic Engagement (HIDE) system to close for three days. Some of the locations that these retailers have operations in, such as malls, have been flagged by HIDE. However, real estate investment trusts (REITs) that have their mall assets closed down by the HIDE system were mostly unchanged as analysts did not expect their earnings to be significantly dragged by this. BIMB Securities Research analyst Azharuddin Nordin said the new list of hotspot places or HIDE introduced by MOSTI over the weekend could have an additional impact on the market and consumer spending. “The HIDE system could jeopardise an already soft retail sector recovery as companies such as Padini would struggle as malls are at risk of temporary shutdowns, while consumers could become apprehensive in visiting malls/places that are on the HIDE list, hence affecting traffic or footfall.” (The Edge)
KAPB offers RM2bil new shares to buy 51% of The Exchange 106
Koperasi Amanah Pelaburan Bhd (KAPB) has offered RM2 billion new equity shares to the Malaysian public to partially finance the purchase of 51% of The Exchange 106. The cooperative, which is expected to earn an 8% return per annum, plans to use part of the proposed funds to construct and develop a medical university and a new hospital on a 141-acre (57ha) land in Serdang, Selangor. The shares are available to be subscribed by its existing members and new members from the public. KAPB is a unit of AP Holding Bhd (APHB), primarily involved in real estate investment via its Hartanah AP Rakyat Sdn Bhd (HAPRSB) unit. KAPB executive chairman Datuk Ilyas Mohamed said APHB signed a sale and purchase agreement for the building over a year ago, which is expected to be completed this June after being delayed following the Covid-19 outbreak. (The Malaysian Reserve)
HR minister says Act 446 still in force
The Ministry of Human Resources (KSM) has denied reports by news portals that it has suspended the enforcement of the Workers’ Minimum Standards of Housing and Amenities (Amendment) 2019 (Act 446). Its minister Datuk Seri M. Saravanan said the act was still in force and enforcement operations were constantly being carried out to ensure compliance with the standard operating procedures (SOPs) of Covid-19 set. Act 446 is implemented to address housing management issues through stricter enforcement action. He said as of May 8, a total of 17,882 employers have been inspected nationwide and of that total, 6,069 of them were found to have complied with the act while 11,813 still failed to adhere to the law. (Malay Mail)
Gamuda, Putrajaya to benefit from highway trust proposal
Putrajaya stands to be the greatest beneficiary from the proposal put forth by Gamuda Bhd to have four tolled highways acquired by a highway trust for RM5.2 billion through monies raised from bond issuances, according to Kenanga Research. It highlighted that by undertaking the proposal, the government gets to save on toll compensations worth RM5.3 billion over the toll concessions’ remaining tenures while also indirectly help Gamuda raise PFI (private funding initiative) equity to jump-start the intended Mass Rapid Transit 3 (MRT 3) project. It is learned that under the proposal the toll hike will be waived by extending the tenures of four concessions, meaning road users will continue to pay the same amount for a longer period. Separately, CGS-CIMB Research viewed that the proposed plan will serve as an immediate benefit to Gamuda as the proceeds can be utilised to partly fund its 10-year Penang South Islands (PSI) plans. (The Edge)
