Week 3 - 2023
TOTAL TRADE AT RECORD HIGH
The Edge Markets, 18/01/2022; The Sun, NST & The Star, 19/01/2023
Malaysia’s total trade in 2022 rose by 27.8% to RM2.85 trillion in 2022 surpassing the RM2 trillion mark for the second consecutive year and registering the fastest growth since 1994. Exports rose by 25% year on year to RM1.55 trillion in 2022. Imports were up by 31.3% to RM1.3 trillion and the trade surplus rose by 0.6% year on year to RM255 billion, respectively.
BNM MAINTAINS OPR AT 2.75% AS DOMESTIC GROWTH REMAINS INTACT
The Edge Markets, 19/01/2022; The Sun, NST & The Star, 20/01/2023
Bank Negara Malaysia (BNM) has maintained the overnight policy rate (OPR) at 2.75% as domestic economic performances remain intact. BNM highlighted that the global economy continues to be pressured by cost inflation, tighter global financial conditions, and Covid-19-related disruptions in China.
RUMAH SELANGORKU 3.0 TARGETS 60,000 UNITS BY 2025
The Star, 14/01/2023
The Rumah Selangorku 3.0 incentive is expected to increase the number of units to 60,000 by 2025. The policy, which came into effect on 3rd January 2023, added new options to the Rumah Selangorku project including ‘solo’ for those who are single (one room) while for married couples there are the ‘duo’ (two-room), ‘trio’ (three- room) and ‘quad’ (four-room) types. The units will be priced from RM114,750 to RM250,000, including free legal fees, memorandum of transfer and maintenance fees for two years by the developer.
NEGERI SEMBILAN TO INCREASE PERMANENT FOREST RESERVE AREAS
The Sun, 16/01/2023
The Negeri Sembilan Forestry Department is committed to increasing the total area of permanent forest reserve in the State by another 500 hectares to preserve and conserve the quality of the environment and boost the State’s ecotourism. The forest reserve covers 155,000 hectares, or 23% of the entire State and 60% of it is timber production forest, while the remainder is protected forest, including water catchments.
MYAIRLINE LAUNCHES TWICE-DAILY KUALA LUMPUR-SIBU ROUTE
NST, 19/01/2023
MYAirline launched its twice-daily flights from Kuala Lumpur to Sibu, its second destination in Sarawak. This new route will provide travellers with greater connectivity between the peninsula and Sabah and Sarawak.
MDEC TARGETS RM49 BILLION IN INVESTMENTS BY 2025
The Edge Markets, 16/01/2023 & The Star, 17/01/2023
Malaysia Digital Economy Corporation (MDEC) has set a target of RM49 billion worth of digital investments by 2025, creating 49,000 jobs. Digital investments are expected to contribute 25.5% to the gross domestic product (GDP) by 2025. It contributed 23.2% to the GDP at the end of 2022. MDEC is expecting RM29 billion in revenue from the digital sector and RM16 billion worth of exports within the next three years.
MAH SING ACQUIRES 8.2 ACRES OF LAND IN PUCHONG FOR RM86 MILLION
The Edge Markets, 18/01/2023; StarProperty & The Star, 19/01/2023
Mah Sing Group Bhd is acquiring two parcels of land measuring 8.2 acres in Puchong Perdana, Puchong for RM85.86 million from Millennium Acres Sdn Bhd. The group intends to develop one of the parcels into a residential project and the other into a mixed-use development.
MAH SING TO UNVEIL M SENYUM’S ROSALIA 2 LANDED HOMES IN 2Q23
The Edge Markets, 18/01/2023
Mah Sing Group Bhd’s latest double-storey terraced house development, “Rosalia” in “M Senyum”, Bandar Salak Tinggi, Sepang recorded a booking rate of 88% on 15th January 2023. Comprising 139 houses, Rosalia offers four-bedroom and three-bathroom with built-ups ranging between 1,685 sq. ft. and 1,761 sq. ft. and a land size of 20 ft. x 70 ft. The houses are priced from RM560,000. Slated to be launched in 2Q2023, Phase 2 of M Senyum’s Rosalia 2 will comprise 160 double-storey terrace houses, with the selling price starting from RM530,000. The house will have land areas of 20 ft. x 65 ft. and 20 ft. x 70 ft while the built-up areas are being finalised. Mah Sing is also planning to launch Rosalia’s show village in 2Q23, which will feature one bare unit and one with interior design.
Additionally, the group is set to launch 178 Rumah Selangorku double-storey townhouses in “M Senyum”. Priced at RM200,000, the three bedroom and two bathroom houses will have a built-up of 1,000 sq. ft. on a land size of 20 ft. x 70 ft.
PKNS’S INTANA RIA 3 REAFFIRMS HOME OWNERSHIP COMMITMENT
StarProperty, 14/01/2023
Perbadanan Kemajuan Negeri Selangor (PKNS) has launched the “Intana Ria 3” in Seksyen 7, Bandar Baru Bangi. Built on 2.82 acres, the 13 storey project comprises 200 units priced from RM399,000 to RM423,000 for a built-up size of 907 sq. ft. with an allocation of two parking bays each.
TH PROPERTIES-MRCB TO DEVELOP KOTA SEMARAK PROJECT
The Edge Markets, 15/01/2023; The Star & The Sun, 16/01/2023; NST, 17/01/2023
TH Properties Sdn Bhd and Malaysian Resources Corp Bhd (MRCB) are to develop the 27.2 acres Kota Semarak mixed development project on Jalan Sultan Yahya Petra in three phases. The first phase known as 1A (7.2 acres) comprises four towers of 1,226 units of serviced residents, including 100 units of affordable homes (RUMAWIP) and 87 units of shop offices. Scheduled to complete in February 2027, the residential units which are between 802 sq. ft. and 2,400 sq. ft. are priced from RM570,000 onwards. Phase 2 and phase 3 will be developed on 9.1 acres and 10.9 acres of land, respectively.
MCT SETS HIGHER SALES TARGET OF RM848 MILLION FOR 2023
The Edge Markets, 17/01/2023 & StarProperty, 18/01/2023
MCT Bhd is optimistic to achieve a higher sales target of RM848 million for 2023 with more product launches. The first launch of 2023 is “Casa Embun” in Cybersouth, Sepang, comprising two blocks of serviced residences totalling 987 units and 16 units of commercial units on 11.2 acres. Priced from RM286,800, the units come with a built-up area of between 550 sq. ft. and 1,541 sq. ft. Launched on 14th January 2023, all 16 commercial units and 40% of the 482 serviced residence units in Phase 1 of “Casa Embun” has been sold. Phase 2 is expected to be launched in 4Q23.
JOM CHA OUTLET TO OPEN AT AEON BIG WANGSA MAJU
NST, 16/01/2023
Farm Fresh Bhd has entered into a strategic partnership with AEON BiG (M) Sdn Bhd to open a new Jom Cha outlet in the retailer’s Wangsa Maju store. Debuted in August 2022, the Jom Cha brand plans to invest RM8 million and open 25 stores in 2023. The company will spend RM20 million to open 75 locations in shopping malls and integrated townships in 2024.
SOUTH KOREA’S PARIS BAGUETTE OPENS ITS FIRST STORE IN MALAYSIA
The Edge Markets, 18/01/2023 & NST, 20/01/2023
Berjaya Paris Baguette Sdn Bhd (a 50:50 tie-up between Berjaya Food Bhd and Paris Baguette Singapore PLC) has opened its first store in Malaysia at Pavilion Kuala Lumpur. Paris Baguette (a global bakery chain business which started in 1988) is a subsidiary of South Korean foods and confectionary conglomerate SPC Group. Paris Baguette currently owns over 4,000 stores around the world, including 3,400 in South Korea, and 440 scattered over the United States, China, France, Canada and Southeast Asia.
POS MALAYSIA, PETDAG’S CAFÉ MESRA TO DELIVER ‘SMILE IN THE LAST MILE’
The Sun, 19/01/2023
Pos Malaysia Bhd launched its first collaboration with Petronas Dagangan Bhd’s Café Mesra food and beverage outlet with the aim of creating an even more exciting in-store experience and offering further retail convenience at the post office. The Store-Within-A-Store will first pilot in three locations with Café Mesra in General Post Office (GPO) Dayabumi, Post Office Taman Sri Tebrau, Johor; and GPO Shah Alam, Selangor.
CERTAIN RETAIL SUB-SECTORS TO UNDERGO CONSOLIDATION IN 2023
The Edge Markets, 19/01/2023
According to Retail Group Malaysia (RGM), certain sub-sectors in the retail industry could undergo consolidation in 2023 due to domestic challenges, while retail sales are forecast to grow by 3.5% year on year. The eight sub-sectors that could pursue business consolidation include mini markets, low-priced large format stores, courier delivery stores, and beverage-focused food & beverages outlets.
RADIUM DEVELOPMENT LAUNCHES MAIDEN HIGH-END RESIDENCE
StarProperty, 14/01/2023; NST, 16/01/2023 & The Edge Property, 18/01/2023
Radium Development Bhd has launched its “R Suites Chancery Residences” at Ampang, Kuala Lumpur. Located on 2.18 acres of freehold land, the 51 storey development offers 944 residential suites and a 145 room hotel. The project offers Series A and B studios with unit sizes range between 452 sq. ft. and 506 sq. ft., while Series C is two bedroom and two-bathroom suites range between 840 sq. ft. and 861 sq. ft. All units will be partially furnished while the hotel is to be managed by a renowned operator from Kuala Lumpur.
THE SAIL MELAKA ON COURSE TO TRANSFORM MALACCA’S LANDSCAPE
The Sun & The Edge Markets, 19/01/2023
Sheng Tai International is set to change the landscape of Malacca with its “The Sail Melaka”, which looks like the sails of a ship. The RM6.5 billion mixed-use project on 27.5 acres of land is expected to be developed over 10 years. The project is uniquely designed with the globalisation concept in mind and master-planned with nine towers joined with a Celestial Sky Ring on top of each building. The main tower consists of Malaysia’s first fashion brand hotel. Tower two is a 5 Star hotel with a modern oriental concept. Tower three is a hotel and residence with a Japanese zen-inspired look. The fourth tower is M Tower which has been sold en bloc. Towers five and six are planned as condotel with another three towers dedicated as business suites towers. Apart from the nine blocks, there is also the convention and exhibition centre, an international MICE (Meetings, Incentives, Conferences and Exhibitions) venue. The project has one million sq. ft. of luxury shopping mall space with most tenants from Japan with Japanese brands.
AURELIUS PROPOSES TO ACQUIRE LAND FOR RM13.58 MILLION
The Edge Property, 16/01/2023
Aurelius Technologies Bhd (Kulim-based industrial electronic products and semiconductor components manufacturer) has signed the acceptance of the letter of offer from Northern Technocity Sdn Bhd for the purchase of vacant freehold industrial land in Kulim High-Tech Park measuring about 301,874 sq. ft. for RM13.58 million. The company intends to construct an additional manufacturing plant (P5) with an approximate gross floor area of 200,000 sq. ft. on the proposed land to carry out advanced electronics manufacturing, and outsourced semiconductor assembly and test (OSAT) activities.
KUMPULAN JETSON TO SELL LAND FOR RM35 MILLION
The Edge Markets, 19/01/2023 & The Star, 20/01/2023
Kumpulan Jetson Bhd is disposing of a piece of freehold industrial land (4 acres) in Gombak, Selangor together with a factory complex built on it to TYH Management Sdn Bhd for RM35 million.
INTEL CORP REITERATES ITS INVESTMENT COMMITMENT IN MALAYSIA
The Edge Markets, 19/01/2023; The Sun & The Star, 20/01/2023
Intel Corp (a United States-based chip maker) has reiterated its commitment with an investment of more than RM30 billion to expand its operations in Penang and Kulim, Kedah. Intel Corp announced the investment to build a new chip-packaging and testing factory in Malaysia in 2021, which is expected to begin production in 2024.
NAUTICAL INSIGHT, SWISS-BELHOTEL FORM 50:50 JV
NST, 18/01/2023
Nautical Insight Sdn Bhd and Swiss-Belhotel International Ltd have formed a new 50:50 joint venture company (JV) to manage more than 10 existing hotels in Malaysia. Swiss-Belhotel has penetrated the Malaysian market over the years starting with Swiss-Belhotel Kuantan and its newest Swiss-Belexpress Nilai, which will soon open its doors. Nautical Insight-owned La Crista Hotel Melaka (a Muslim-friendly hotel) in the heart of Melaka which also houses Novoid Arena (the largest e-sports arena in the southern region of Malaysia) will be the first hotel to experience the benefits of the joint venture.
RTS LINK 26.11% FINISHED, ON TARGET FOR END-2026 COMPLETION
The Edge Market, 17/01/2023
The RM2 billion Rapid Transit System (RTS) Link connecting Bukit Chagar in Johor Bahru to Woodlands in Singapore is on track for completion by the end of 2026. The rail infrastructure has progressed at 26.11% as of 31st December 2022.
YTL GETS RM1.1 BILLION FINANCING FACILITY TO FUND DATA CENTRE DEVELOPMENT
The Edge Markets, 19/01/2023
YTL Power International Bhd has been granted a RM1.1 billion Islamic term financing facility to fund the development of the 48 megawatts IT load hyperscale data centre (HDC) in Kulai, Johor. The HDC is part of the company’s plans to develop the nation’s first 500 megawatts green data centre park to be integrated with on-site solar photovoltaic power, which aims to provide data storage colocation services to clients looking for more sustainable and lower carbon solutions within Southeast Asia.
AIRTRUNK TO ENTER MALAYSIA WITH HYPERSCALE DATA CENTRE IN JOHOR
The Sun, 20/01/2023
AirTrunk (an Asia Pacific & Japan hyper scale data centre specialist) plans to develop a 150+ megawatt data centre in Malaysia named AirTrunk JHB1. The JHB1 campus will span 25.5 acres of land located in Johor Bahru. The initial phases of JHB1 will provide 50 megawatts of capacity, with construction commencing shortly and due for completion in 2024.
CAPITAL A ENGINEERING ARM OPENS MRO HANGAR FACILITY IN SENAI
NST, 20/01/2023
Capital A Bhd’s engineering arm, Asia Digital Engineering (ADE), has opened its maintenance, repair and overhaul (MRO) hangar facility in Senai, Johor Bahru. Built on 107.4 acres at Senai Airport’s Free Industrial Zone, the 53,820 sq. ft. hangar is the first MRO facility at the Senai International Airport Aviation Park and ADE’s third MRO facility.
THRIVEN GLOBAL ACCEPTS BANKING FACILITIES FROM UOB WORTH RM45 MILLION
The Edge Property, 16/01/2023
Thriven Global Bhd has drawn down partially on its banking facilities granted by United Overseas Bank (Malaysia) Bhd (UOB) worth RM45 million. The banking facilities (a form of financial assistance by the bank) were to finance the proposed development of a block of 293 serviced residences known as “Penang East Service Suite” in Bagan Jermal, Butterworth Penang. The banking facilities comprising Term Loan 1 amounted to RM7.2 million, Term Loan 2 (RM3.8 million), Bridging Loan (RM26 million), Revolving Credit (RM4 million) and Performance Guarantee (RM4 million).
ECOBUILT SECURES RM92MILLION JOB
The Edge Markets, 19/01/2023 & The Star, 20/01/2023
Ecobuilt Holdings Bhd has secured a construction contract worth RM92.46 million from ADM Design and Management Sdn Bhd to undertake construction works for the development of a three-storey logistics complex in Penang. The project is expected to be completed by 4th September 2023.
GOVERNMENT HAS APPROVED THE SABAH PORTS-DP WORLD COLLABORATION
The Edge Market, 16/01/2023
The Sabah State Government has approved Sabah Ports Sdn Bhd’s plan to enter into a strategic collaboration with DP World. The key areas of the collaboration are the management and operation of Sapangar Bay Container Port as well as investment in logistics and supply chain infrastructure in Sabah. The ports under Sabah Ports’ purview are Kota Kinabalu Port, Sapangar Bay Container Port, Sapangar Bay Oil Terminal and Kudat Port, Sandakan Port, Tawau Port, Lahad Datu Port and Kunak Port.