CEO Sells Shares In Open Market

We all know that Asia Media is under heavy selling pressure for the past 1-2 weeks. Today it takes a bit of breather, up 8% and looks good for a trend reversal.

However, here comes the news of Amedia's big boss, founder & largest shareholder Wong, disposed 22,633,800 shares (9%) in the open market. And this took place on 16th Oct 2012, which is 2 days ago!

     Ricky Wong: A young millionaire

It doesn't seem to be a good news to investors when the CEO of any company dispose so many shares in the open market. CEO is the one who knows the company best. If the company is going strong in the right way, no one would like to simply sell its shares, unless he is in dire need of a sum of money.

If Amedia's shares were sold 2 weeks ago at RM1, then may be it's still understandable. But the shares were sold at 34sen... How will the market react to this news?

Anyway, after the shares disposal, Wong still have 81+million of Amedia's shares.

Tambun Valued At 95sen

Tambun Indah's share price has surged 17% from 60sen to 70sen for the past 3 days. I think it is largely contributed by an analyst report by RHB.

RHB Research has published a detail analysis on Tambun Indah on 11 Oct 2012. They even do a site visit to Tambun Indah's recently completed project "Pearl Garden".

Interestingly, Tambun's share price is valued at 95sen. The full report of the analysis can be obtained at http://tambunindah.investor.net.my/wp-content/uploads/2012/10/TambunIndah_RHB_121011.pdf

     Pearl City Sales Office

Here is the summary of the report by RHB research:

♦ Penang mainland – an area which has been underestimated. As attention has always been focusing on the Penang island, the prospect of the property market in the mainland has been underestimated. Given the completion of the 2nd Penang Bridge, which connects Batu Maung and Batu Kawan, in Sept 2013 and more industrial parks will be set up on the mainland, population and business activities on the mainland will increase, driving the property buying interest in these areas. Spillover will also come from the island, given the stubbornly high property prices there and hence more attractive price gaps. Tambun Indah (TI) has about 660 acres of land on the mainland to tap on the strong growth potential. The % of Penang island buyers for TI’s key residential project Pearl Garden/Villa has also risen to 41% in 2011 from 28% in 2009.

♦ Property sales accelerating. One year ahead of the completion of the 2^nd Penang Bridge, demand for properties on the mainland is already gaining momentum. This is reflected on the pricing trend of TI’s properties with an appreciation of 10-20% between 2010 and 2011. Moreover, TI’s sales of RM347m in 2011 were more than doubled from RM137m in 2010. Given the right pricing, location, quality products, design and landscaping, we expect TI’s sales to hit RM400m this year. 1H’s property sales already mounted to RM212m and RM600m GDV worth of projects will be released in 2H. Some projects such as the Straits Garden (GDV RM236m) have already achieved take-up rate of 80% and 50% for the first two blocks.

♦ Dividend stands out, anchored by solid balance sheet and earnings growth. TI is professionally managed. The company’s balance sheet is currently in net cash, giving it ample war chest for landbanking. Given the low land cost of RM11 psf for the 650-acre Pearl City (vs. current market value of >RM20 psf), GP margin of 30-35% is not only sustainable but also comparable to some of the top peers in the industry. The steady earnings growth will underpin its dividend payout of 40-60%. Based on the current share price, our DPS estimates suggest a fairly attractive dividend net yield of 11%, possibly the highest in the sector.

♦ Key risks. 1) stock illiquidity; and (2) global macroeconomic risk.

♦ Forecasts. We estimate a massive earnings growth of 66%, 25% and 23% for FY12-14. Unbilled sales as at 1H12 stand at RM262.7m.

♦ 58% upside and 11% net yield. TI is a good Penang mainland property play. There is no research house covering TI currently, which probably explains the company’s relatively undemanding valuations of about 4x PE. TI’s growth and dividend angle have been substantially under-appreciated by the market. We value TI at RM0.95, based on a 40% discount to RNAV. Share price is now slightly below its adjusted IPO price of RM0.64.

*****

Soon after this, The Star has also reported on Tambun Indah for its Pearl City Business Park. According to the report, SIS International School will start construction in Q1 of 2013, followed by its leisure mall in the next quarter. However, there is no hypermarket in the first phase.

From The Star

TAMBUN Indah Land Bhd will develop the RM640mil Pearl City Business Park on 107 acres in Simpang Ampat in early 2013, the biggest commercial centre in the northern region.

Phase one of the project comprises a tenant-mixed control leisure mall with food and beverage and retail outlets, a karaoke and a cineplex.

“Phase one will also feature a RM140mil commercial project with 188 commercial lots, which will start construction in mid-2013, and an international school,” says Tambun Indah managing director K.S. Teh.

The Straits International School and the leisure mall are scheduled to start construction respectively in the first and second quarter of 2013.

“The Straits International School, which is under a Cambridge curriculum, is scheduled to commence the first intake in January 2014,” says Teh.

     SIS International School: on and running 

Phase one is scheduled for completion in 2016.

The group is now planning for phase two which will include a hypermarket, medical and wellness centres, gated landed properties, and a furniture village.

The Pearl City Business Park is located close to the second bridge, North South Expressway, and the double-tracking railway, connecting Padang Besar and Ipoh.

There are 12 established and growing industrial parks within a 15km radius of Pearl City Business Centre, providing support for the project.

The Prai Industrial Estate, Penang Science Park, Bukit Minyak Industrial Estate, Bukit Tengah Industrial Estate and Batu Kawan Industrial Park are among the well-known industrial estates.

“Seberang Prai will attract new home seekers who are looking for quality lifestyle living with pricing within their income range,” Teh adds.

Overheated Amedia

Last week, it is still well above RM1 level. It keeps on achieving new high for the past 2 months. Its chart shows a beautiful uptrend. It has a good earning record. It is ready to be transferred to main board.

Now, it is at RM0.34 level, fell 70% in just one week.

Even the announcement of proposed 1:1 bonus issue plus free warrants could not save Amedia's share from going further down. Why? Probably overheated stock, fried to too high level.

This is the risk and volatility of stock market.

      Amedia: Olympic 10m platform diving gold medalist

Amedia proposed bonus shares and free warrants:

• Proposed bonus issue of 250,800,000 new ordinary shares of RM0.10 each in AMEDIA (“AMEDIA Shares” or “Shares”) (“Bonus Shares”) on the basis of one (1) Bonus Share for every one (1) existing AMEDIA Share held at an entitlement date to be determined later (“Entitlement Date”) (“Proposed Bonus Issue of Shares”)

• Proposed issue of 250,800,000 free warrants (“Warrants”) on the basis of one (1) Warrant for every one (1) existing AMEDIA Share held at the same Entitlement Date as the Proposed Bonus Issue of Shares (“Proposed Free Warrants Issue”)

• Proposed increase in the authorised share capital of AMEDIA from RM50,000,000 comprising 500,000,000 AMEDIA Shares to RM100,000,000 comprising 1,000,000,000 AMEDIA Shares (“Proposed Increase in the Authorised Share Capital”)

Malton Enters Batu Kawan

Malton has announced on 10 October 2012 that, Silver Setup Sdn Bhd ("SSSB"), its wholly-owned subsidiary, had entered into a Joint Development Agreement with Batu Kawan Development Sdn Bhd (formerly known as Abad Naluri Sdn Bhd) for the proposed joint development of a piece of land situated at Batu Kawan, Mukim 13, Seberang Perai Selatan, Pulau Pinang measuring approximately 300 acres.

      A Thriving Township of the Future

This leasehold land is likely to be located at the southern region of Batu Kawan near Penang 2nd bridge. It is purchased by Abad Naluri in March 2011 from Penang Development Corporation for purpose of mixed commercial & residential development. 

     Is the above-mentioned land no.6?

The proposed development is estimated to be worth RM3.8bil and will be completed in phases over 10 years. Malton shall be entitled to 82% of the GDV base on the joint development agreement.

With the "handover" of this project to Malton, Equine should be able to concentrate on its Crescentia Park township project at the north of Batu Kawan.

Malton & Equine, who is a better developer?

Pearl City Reveals Its Proposed Mall

The proposed Pearl City Leisure Mall represents the first stage of Tambun Indah's integrated development at Pearl City Business Park and is strategically in the heart of the established township of Pearl City.

Pearl City Leisure Mall is mainly to provide a quality leisure mall and entertainment outlet for the existing and future residents of Pearl City as well as for serving the increasing population of Southern Seberang Perai.

It will enjoy high visibility along with the F&B alfresco outlets with ample car parks and smooth circulation. All the facilities will be connected and enhanced with landscaped plazas. 

     Pearl City proposed Leisure Mall

Tambun Indah Land Bhd will build first international school on the mainland in the integrated township of Pearl City in Simpang Ampat. The developer had signed a Memorandum of Understanding (MoU) with SIS Charter Sdn Bhd to develop the Straits International School (SIS). Tambun Indah’s subsidiary company Palmington Sdn Bhd will develop the Straits International School (SIS).

The school will be built on a land in Pearl City Business Park. The setting up of this school will go a long way in enhancing the existing attractions of our ever-expanding township and strengthen our value as a fully integrated and self-sustaining development.

     SIS International School Pearl City

    

BM Mahkota: An Ambitious Plan

Finally, the new landed house price in Alma area is so expensive until there is a need to build condominium? However, the condominium price will not come cheap either...

DNP Land is on its way to launch its first high-rise project BM Mahkota in Bukit Mertajam, tentatively in the first half of 2013.

     BM Mahkota

BM Mahkota is located at Impiana Square, or previously called Impiana Commercial Hub, sandwiched between Tesco and future Aeon shopping center. 

It comprises 3 blocks of 22-storeys service apartments with built-up area between 900-1200 sq ft. The estimated price is above RM300,000 each unit. This means that the commercial title unit will be priced above RM333 per sq ft, which is almost like PJD's Wellesley Residences at Harbour Place, Butterworth.

      Impiana Square: earthwork done at BM Mahkota site

The 360 units of service apartments will be built on top of a 4-storey shopping complex. If successful, it will turn Alma into a business center & shopping heaven with the likes of Tesco, Aeon, and Impiana Square shop offices.

Besides the service apartment, a high-rise hotel is also planned in a separate piece of land adjacent to BM Mahkota.

      Site of BM Mahkota and the hotel

The first phase of Impiana Square shoplots are expected to obtain OC soon. The area is boosted by the entry of McDonald's restaurant located at the car park of Tesco where the construction has begun. Lets wait and see what kind of business will come to this area soon.

     McD under construction

Which Investment Should I Choose?

Investment has become a necessity in life, though this subject is still not taught in schools.

No one likes to lose money, but if someone keeps the money under his pillow or in the piggy bank for 10 years, he will "lose" money 10 years later, as the money will lose its value due to inflation.

For example, now you pay 1 dollar for a cup of coffee, after 10 years, the same coffee may cost you 2 dollar. If your 1 dollar now does not "grow" to 2 dollar after 10 years, you will lose your money value.

If we use the compound interest calculator (in the sidebar here) to calculate, we will need to have an interest rate or investment return of 7% annually for 1 dollar to become 2 dollar in 10 years.

So, it's clear that something should be done to "grow" our money to offset the inflation, which is about 3-4% annually. There are many kinds of investment vehicles, we have to choose wisely according to our risk tolerance.

In Malaysia, placing our money in savings account with pathetic interest rate will certainly cause you to lose money. If we put the money in fixed deposit, we may just be able to break even with the inflation rate. Thus, fixed deposit, together with bonds, are considered low-risk or conservative investment. It is suitable for those with low risk appetite or when time is not on their side.

The world is quite fair, we get lower return with lower risk investment and vice versa. So if we wish to get higher return, then we should turn to other investment like stock market.

For those who are interested and have time to study the stock market, they can buy the stocks by themselves. For those who are not interested or have no time, they can invest in unit trust/mutual fund, where they let fund managers to manage their investment in stocks/money market by paying some management fees.

In stock market, there are low risk and high risk stocks too. We can choose blue-chips stocks for consistent dividends but lower capital appreciation (unless we buy at very low during recession). In the other way, we can search for a growth stock with relative small market capitalization so that our money can have a chance to grow exponentially if we are successful.

Of course, we can make money or lose money in the stock market. When the overall market is not right, any stocks can plummet. If our time frame for investment is short, we should not put too many of our eggs in stock market.

There are other investment vehicles such as forex, options, futures, commodities etc, most of these are of higher risk.

Besides, real property is another good way to grow our wealth. It has been proven for more than 100 years that generally, property price will only go up, especially when it is in a good location.

Is real property investment considered high risk or low risk? Some may say that it is low risk because property price will surely trend upwards in long term. Some may say that it is high risk because we may end up serving the huge loan interest for life if we made a bad decision.

For me, if you know nothing about it, never try or never learn, then it is high risk. If you learn it, understand it and become used to it, then it is low risk.

"Don't put all your eggs in a basket". This is quite true. We should spread the risk by investing in a few investment vehicles that we are comfortable with. If we can tolerate higher risk, then we can put a bigger portion of our assets in higher risk investment.

Whatever investment we choose, it should suit our risk appetite and financial position so that we won't have too many sleepless nights!

Notion Sets Record

Notion Vtec has released its 2012 Q3 financial result. Its revenue rises 57% YoY or 13% QoQ to RM95.8 million, while net profit surges 96% YoY or 28.8% QoQ to RM19.8 miilion. Both represent a new record high for Notion.

Notion will give out interim tax-exempt dividend of 1sen, ex on 3rd Sep 2012.

 

Rm mil	Revenue	Net profit
2011 Q1	60	13.4
Q2	54	10.8
Q3	61	10.1
Q4	62	12.5
2012 Q1	40	-4.8
Q2	85	15.5
Q3	96	19.8

The rise in revenue and profit are mainly contributed by more business. After the Thai flood and Japan Tsunami, Notion's business seems to get better. It secures new customers for hard disc drive due to shortage of supply worldwide. It gets more jobs from Nikon after the camera manufacturer's factory in Japan was seriously affected by Tsunami.

In the next quarter of Q4, it is expected that its Thai plant will resume full operation and its Ijuk aluminum recovery plant will commence operation. Its venture in China will also scheduled to start in Q2 of 2013 (Jan-Mac 2013).

There is a very real concern that whether hard disc drive business will sustain in the near future, given the popularity of tablet computer such as ipad, samsung galaxy etc. The emergence of ultrabook may have given some room for HDD industry to breathe but how long can it sustain?

Notion has successfully spread the risk by increasing its camera parts manufacturing business, thus it will not be affected to drastically by a fall in HDD industry. 

Notion's future looks promising. It can be a good stock to hold long term until something in the industry or management change.

Tambun Indah Sets New High

Tambun Indah has just released its latest 2012 2nd quarter financial result. As expected, it is its best ever quarterly result.

For 2012Q2, Tambun Indah's revenue grows 52% YoY, 20% QoQ to RM79mil, and its net profit grow 100% YoY, 3% QoQ to RM9.5mil. Its year 2011 dividend of 3.8sen will be ex-ed on 28th Aug.

RM mil	Revenue	Net Profit
2011 Q1	36	6.4
Q2	52	4.7
Q3	47	3.3
Q4	56	9.2
2012 Q1	66	9.2
Q2	79	9.5

Tambun Indah will launch 5 projects in the 2nd half of 2012, namely Pearl Residence 1, Pearl Impian 1, Straits Garden, BM Residence & Carissa Villa. Most of them are already open for sales actually.

Tambun Indah provides installment up to 36 months for 10% down-payment for house buyers. Together with its current 8 running projects, we can expect money to flow into its bank account consistently via the post-dated cheques & bank loan release for the next 2-3 years.

Besides Straits Garden in Penang island which has decent sales despite being labeled overprice, the next project that could boost its revenue is the Pearl City Business Park at Simpang Ampat. It may not be launched until next year though the land is being cleared at the moment.

     Pearl City Business Park: part of the land cleared

Sunway Again In Bukit Mertajam?

Recently heard some rumour that Sunway is compensating house owners at Kampung Aston just next to Ivory/Dijaya's Aston Villa. Is Sunway going to have another project in Bukit Mertajam?

      Another Sunway project in Bukit Mertajam?

Anyway, this is just a rumour.

Sunway Wellesley, which is Sunway's first project in Bukit Mertajam is currently in the land-filling stage for its commercial development.

The first phase of Sunway Wellesley features 29 units of 3-storey shop offices sprawled over 3.2 acres. As the developer sees the importance of providing choices, the shop-offices come in two unique designs, with built-ups for the first type starting from 3,815 sq ft on a lot size of 1,300 sq ft –perfect for boutiques and wellness centres – and the second design comes with a built-up of 4,270 sq ft with a lot size of 1,460 sq ft, which would appeal to flagship businesses and F&B outlets.

      Sunway Wellesley Grand Lobby

Sunway Wellesley takes modern architecture and gives it a green twist, by providing a 15-feet high ceiling for the ground floor shop-offices, giving room for natural light to filter through with proper ventilation for businessmen and consumers alike. There is also a 15-feet wide verandah walkway and a covered al fresco area, a respite from the hot Malaysian sun for pedestrians. The shop-offices themselves come with double frontage, giving businesses added exposure. 

      Sunway Wellesley

Bukit Mertajam old town center is busy & noisy in the daytime but quiet in the night time, except in the market area. Will Ivory & Sunway projects bring more night life to this area?

CSL: At Strong Support

CSL share price attempted to launch a comeback yesterday, but failed, temporarily.

The China-based stationery maker has its IPO under-subscribed by 50% back in Feb this year at 90sen per share. However, it made its debut brightly when its share price shot up to RM1.40 in the first 3 trading days. This translates into a 55% gain from its IPO price. After retreating to RM1.00, it surged again to touch RM1.90.

Currently it is again close to RM1 level, which should be a strong support technically. Will CSL try to rebound again next week? The chance is there.

      CSL: can it make a U-turn?

CSL recently announced a proposed bonus issue of warrants, with one warrant for every 2 existing ordinary CSL shares. This will increase the total shares 50% to 1,788,886,164 shares when all warrants are exercised. 

Financially, like most other China-based stocks listed here, CSL is considered good. It registers decent growth in revenue and net profit since year 2007, and seems to continue this trend in 2012 base on its strong 2012Q1 result.

RM mil	2007	2008	2009	2010	2011
Revenue	233	413	556	670	837
Net Profit	97	126	169	189	219

RM mil	2012Q1	2011Q1
Revenue	240	184
Net Profit	62	52

From my calculation, its EPS for FY2011 stands at 18.4sen, which gives a PE ratio of 5.6 now at RM1.03 per share, which is attractively low like other China stocks here. However, after the bonus issue of warrants, this figures will change.

In its prospectus, CSL proposed to give out at least 20% of net profit for dividend for FY2012, which is not very attractive.

China stocks are notorious for accounting fraud, do you think it's worth to invest? For short term, perhaps it is worth a try.

Malaysia 1-0 Chelsea FC

SP Setia (40%), Sime Darby (40%) and EPF (20%) has just successfully clinched the rights to redevelop a 39-acres Battersea Power Station site in London for 400mil pounds. The piece of land south to the River Thames, is said to be the last piece of prime land in central London available for redevelopment. 

      Battersea prime land

One of the many bidders for the site is Chelsea Football Club, who may wish to have a new ground there. The existing ground Stamford Bridge is just opposite the river. Now Chelsea FC has lost before the start of new season...

     Battersea power plant

After Singapore and Australia, SP Setia has successfully placed its footprint in another developed country. With the experience and capability of SP Setia & Sime Darby, this redevelopment should be a success.

Malaysia's Chelsea FC fans may wish to get a holiday home there!

Pearl Impian: Latest Addition of Pearl Series

Fresh from the launch of Pearl Residence gated & guarded homes and Straits Garden suites & condominium, Tambun Indah is preparing for another new launch at its flagship project Pearl City.

Pearl Impian, which is labelled as "affordable double storey houses", is now open for registration. This new development is located north of the Sekolah Kebangsaan & Sekolah Menengah Kebangsaan Bandar Tasek Mutiara.

      Pearl Impian site plan

The house size is rather small with a built up area of 20'x36.5' on a land area of 20'x56.5'. They are priced from RM268k after discount. If not mistaken, nearby Pearl Indah with 20'x60' land & 20'x40' built up was launched last year at around RM280k but now the price has gone up to more than RM340k.

     Pearl Impian DST

Tambun Indah has shown its latest Pearl City development plan during the opening of its new sales gallery at BTM earlier this year. At that time, the site of Pearl Impian already been revealed. From the plan, we can expect more houses (probably DST) north to Pearl Impian and probably a bunch of lost-cost high-rise building south of the schools. There is likely to be another gated guarded community between the low cost development and Pearl Residence, where the road between them (Jalan Tasek Mutiara 7) will likely to be connected to Jalan Valdor, where the new Jit Sin High School branch is proposed.

      Pearl City master plan: Pearl Impian is the yellow tag at the bottom

     Jalan Tasek Mutiara 7 will lead to Jalan Valdor

Masteel Gets Revenue Boost

Masteel has entered into an agreement to supply 270,000 tonnes of steel bars & steel billets worth RM500 million in 3 years to Amsterdam-based Trafigura Pte Ltd, which is the world's second largest independent trader of bulk and non-ferrous minerals.

This will come in time for Masteel as it is currently expanding its upstream and downstream steel production.

Financial year 2011 Overview

Overall, FY2011 was a capricious year for Masteel and the steel industry as a whole. While steel demand continued to be positive as a result of increased construction and manufacturing activities in the region, declining margins due to economic emanating from abroad had impacted the Company’s profitability.

In spite of that, we were able to achieve a few notable milestones. For a start, we accomplished a record revenue of RM1.3 billion, up 24.7% from RM1.0 billion in FY2010.

In and addition for FY2011, leveraging upon Masteel’s expertise in the export markets. We were able not only to grow market share in traditional territories, but also make significant in-roads into newer markets like Myanmar and Sri Lanka.

Operationally, we incurred higher financing costs during the year, due to higher working capital requirements coupled with capital expenditure (CAPEX) investments needed to grow our capacity. The other challenging factors included higher energy costs and the effects of foreign exchange (FOREX) fluctuations.

Despite the difficult global market situation toward the end of the year, Masteel was able to weather most of the market gyrations due to its continuing cost control measures that was initiated in 2009 and continued in 2010. This has enabled the Company to remain competitive and profitable in FY2011 with a net profit of RM24.5 million.

Growth Strategies

Acknowledging the need to continue strengthening our capabilities, given Masteel’s aim to be amongst the market leaders as a quality niche steel producer, in FY2011 the Group announced CAPEX plans to invest an estimated RM230 million over the next three years to grow our annual production capacity and improve our profit margins.

This will be achieved by the setting up of a new rolling mill facility in Klang, Selangor, which will be built adjacent to our existing billet plant. This new facility, once fully operational, will have an annual production capacity of 200,000 tonnes, enhancing our total Group capacity of steel bars to over half a million tonnes per annum.

We will also steadily increased our annual meltshop capacity by about 10% to 600,000 tonnes from 550,000 tonnes currently.

This CAPEX investment will allow Masteel to take better advantage of the opportunities inherent within the domestic market as a result of the various economic initiatives being spearheaded by the Malaysian Government as well as the country’s own resilient property market.

It will also allow the Group to benefit further from new opportunities from export markets, especially in emerging regional economies like Indonesia, South India and Myanmar, which are undertaking various infrastructure initiatives that will require our products.

Masteel is also seeking to augment its core business with ventures that would yield higher returns and are less cyclical in nature,this can be seen by the strategic development in FY2011 whereby a joint venture (JV) with KUB Malaysia Berhad (KUB) to supply and operate a world-class rail transport network within the Iskandar Malaysia region and Woodlands, Singapore, was initiated.

This endeavour will provide us with an avenue to expand into the thriving infrastructure industry. Going forward, the Group will explore similar strategies as and when they arise.

      Iskandar Malaysia

Corporate Updates

• Head of Joint Venture Agreement with KUB Malaysia Berhad

On 19 January 2011, Masteel and KUB entered into a 60:40 JV agreement to combine capabilities and resources via a JV firm – Metropolitan Commuter Network Sdn Bhd (MCN) - to undertake the proposed inter-city rail network within Iskandar Malaysia with a connection to Singapore’s MRT network.

On 15 April 2011, the Menteri Besar of Johor, Dato’ Haji Abdul Ghani Othman, endorsed MCN’s application to build and operate the rail network via a press statement. Subsequently, MCN began the process of engaging various Malaysian Government agencies on the matter.

On 8 August 2011, MCN presented the rail network proposal to the Economic Council, chaired by Prime Minister Dato’ Sri Mohd Najib Tun Abdul Razak. The firm was directed to finalise the matter pertaining to its proposal in conjunction with the Government’s own double tracking programme before reverting back to the council.

In September, October and November 2011, Masteel held a series of discussions with the Ministry of Transport, Keretapi Tanah Melayu Berhad and Railway Asset Corporation on the operational requirements of the MCN project. Barring any unforeseen circumstances, the Group is now awaiting the next presentation to the Economic Council, slated for the second quarter of 2012, to seek approval for the project.

Prospects

2012 has seen the continuation of the effects of the sluggishness in demand that had plagued the global steel industry since the second half of 2011. As a whole, the sector continues to be affected by overall lower prices and higher material costs.

The Euro-zone crisis continues to impact global steel prices while China has seen a slowdown in steel imports as its construction and property sectors adjust to monetary tightening by its central government to ease inflationary pressures and to reposition its economy.

However, going forward, the market consensus is one of optimism, with the strong performance of Emerging Market economies and their continued appetite for steel needed for their infrastructure and commercial development.

According to reports in the Indian media, the South Asian nation is expected to boost steel production capacity by 20%to 100 million tonnes per annum by 2013 to meet domestic demand.

Meanwhile, Australian iron ore miners BHP Billiton, Rio Tinto and Fortescue Metals Group remain bullish on China demand in spite of recent slowdowns. The industry giants expect demand for the East Asian giant to continue to grow strongly over the next decade while steel demand elsewhere around the world would rise by about 3% per year over the next eight years.

This forecasted overseas demand bodes well for Masteel, given our continuing strategy to develop our capacity to be more competitive so that we may grow our exports.

However, we can also take heart from the domestic demand, especially by the robust property sector and the increasing number of project rollouts under the Economic Transformation Programme (ETP) that will further fuel demand for steel products.

Masteel’s on-going CAPEX investments to grow our capacity and our strategic location within the Klang Valley, where a large number of major projects are being implemented, plus our competitive pricing, will further galvanise our leading position in the Malaysian steel industry.

Dato ’ Sri Tai Hean Leng @ Tek Hean Leng
Managing Director/Chief Executive Officer

150% in 4 Years.. Are You On The Train?

槟岛黄金地价4年暴涨150%，加上大型基本建设的启动及完工，让州内发展商的争夺战一触即发。

发展商竞相将发展据点外移到乔治市以外的周边二线城市布局，带动 一个接一个新城镇的崛起！ 

第二大桥及工业园的设立，让购屋者信心大增，走出槟岛一窝蜂拥往组织美满家园及寻找新就业机会。

这股热潮造就了更多发展商争相推介更多房屋发展计划，刺激当地的房屋及土地价格在近3年内倍增2倍。

外围城市物色地段

槟城目前的发展趋势是朝向综合商业与住宅的城镇发展计划，而在槟岛已找不到庞大地库施工，使到发展商必须出走到外围二、三线城市物色适合地段。

槟州房地产发展商会主席拿督陈福星指出，州内的二三线城市发力直追，主要受到土地价格暴涨、大型基本建设启动、及就业机会增加的三大主因牵引。

他说，槟州房屋发展计划外移的现象存在已久，早在30多年前槟城人已外移至武吉牛汝莪敏登岭及青草巷一带，十多二十年前转向峇都丁宜、丹绒武雅 及丹绒道光。

“近十年随着槟城人口剧增及槟州工业及经济迅速增长，峇央峇鲁及峇六拜对槟城人来说已不算远，浮罗山背的房屋价格更从5至8年前的20多万飙涨至如今的超过50万令吉。”

陈福星指出，寸土如今的槟岛土地买少见少，即使是有，也是规模非常小的地段，只能进行底密度的高楼发展计划，使到近年内在东北区房屋发展计划活动逐步放缓。 

他说，槟岛土地买少见少，而土地价格高涨让地主要求更高价不急于脱售。

“这逼使槟城地价从2008年的全球金融危机迄今短短4年内暴涨，涨幅介于惊人的100至150%。”

     Southbay, Batu Maung

北海拉惹乌达豪宅多

北海房地产市场以拉惹乌达为中心，近年不断扩张版图。

2011年上半年数据显示，威北是威省三县中，拥有最多公寓和豪华公寓单位的地区，即达4097个单位，威中只有930单位。

过去5年来，以北海拉惹乌达为中心的新房产，几乎都走豪华住宅路线，双层排屋选择不多，发展商专攻豪华围篱住宅，或三层排屋等。

即使是公寓，发展商也摒弃了过去每单位800至1000平方尺的公寓单位，而豪华公寓面积则多是介于1200平方尺至1600平方尺不等。

     Dahlia Park, Kg Benggali

住宅交易增147.54%

原本因为州级政府机构办事处在前首相敦阿都拉当权时期大量迁离，一度失去活力和生命力的峇眼赖，也随着拉惹乌达房产的火红而展现新生机。

峇眼赖甘榜孟加里如今更成了多家本地发展商，力推高级公寓计划的黄金地。

北海拉惹乌达位居峇眼国会选区内，槟州首长林冠英高度重视北海发展。

民联在2008年执政后，至今已经落实了2条新路，而这些新辟路段除了有助纾缓交通，也带动了周边屋业的发展。

在2011年和2010年上半年同比，去年威北住宅房屋交易达2408宗，比2010年的929宗增加了1.59倍，为全槟最高。

这里的住宅交易总值也从1亿5868万增加至3亿9280万令吉，增长率达147.54%。

     Harbour Place, Bagan

大山脚最早发展区域

大山脚是整个威中县发展最早的区域，当时的发展模式就是商店在市区中央地段，在市中央旁就是住宅区，好像当时的丽山花园、石山花园及后期的南美园。 

当时，市区商业地带再加上周边住宅区，就是一般人眼中的“ 大山脚”。 

     Sunway Wellesley, Bukit Mertajam town

阿儿玛最受瞩目

经过岁月洗礼，昔日成为重点发展区的大山脚，也因为地皮价格高涨，再加上没有太多可发展的空间，也促了二线城镇的出现，就好像柏达镇、阿儿玛等，而最受注目的二线城市就要属阿儿玛（ALMA）了。 

阿儿玛是在“2007年结构大蓝图”中获得宪报通过拥有“城镇”地位的发展区。 

今日阿儿玛区内的商业中心、房屋计划或者小型工业区如雨后春笋般林立，这与当初拥有城镇地位是息息相关的。

一般大企业如果要设立分公司、分行、连锁店等，都会参考结构大蓝图所提及的地点，这些企业通常都会选择拥有城镇地位的地区，因为有较高的商机。 

不只是企业，甚至警察局，也要有城镇地区才能增设分局。

     Tropicale Residency, Alma

阿儿玛房地产价翻倍

当年致力争取阿儿玛为城镇地位的前任威省市议员王嵣荃说，当年由于他发现阿儿玛的人口是远远超越市中心，可是由于阿儿玛被归类为“大山脚区”，所以这地区的发展缓慢，当地人民如果要办理重要事务，都必须到5公里外的大山脚市区。 

他过后向城市及乡区发展局陈书，要求在“2007年结构大蓝图”中把阿儿玛列入“城镇地位”，过后在官员召见他汇报后，正式宪报通过阿儿玛为城镇。 

     Hillpark Residence, Alma

财团进驻带动发展

在城镇地位确认后，先是警方在阿儿玛开了一间警察局，多间快餐店陆续在阿儿玛开分店，在2010年底特易购更在此开分行，这些财团的投资也引领了阿儿玛往更蓬勃的发展。

当时阿儿玛只有一家银行，可是今天在阿儿玛已有多间银行分行。 

王嵣荃透露，阿儿玛的地价及屋价在近几年更是水涨船高。 

“就以双层排屋为例，早期2000年，阿儿玛一间双层排屋约12万令吉，2002年约18万令吉，有了城镇地位后，屋价开始涨至30万令吉，2010年，阿儿玛双层排屋售价超过40万令吉。”

他说，在地价方面也是一直高涨，在2007年之前，阿儿玛的屋地价格，一般上每平方尺不会超过8令吉，今时今日的行情是25令吉。 

     Permatang Sanctuary, Alma

龙凤置地打造新城镇 集商业娱乐教育住宅

资金雄厚的发展商龙凤置地有限公司，早在10年前已看好位于策略性地理位置的大山脚经济将随着工业发展起飞。

于是，该公司在当地规划推介发展总值（GDV）超过8亿令吉的综合发展计划，以将大山脚阿儿玛打造成一个集商业、娱乐与住宅区的新城镇。 

龙凤置地近期推介的3项全新发展计划，即是在超过260英亩地段打造大山脚万达花园（BM Utama）及Jesselton Hills高档房屋计划，同时也精心呈献物超所值的Impiana Square商业中心，未来5年还有得忙碌。 

龙凤置地北马区总经理陈国璋指出，现代购屋者的要求已越来越高，除了要幸福家园之外，还要求具商业、娱乐、及教育于一身，如今只有威省才具备这个条件。

     Jesselton Hill, Alma

地库充足屋价诱人

他说，威省除了地库充足外，还有密度比槟岛来得低，距离虽然只有一海之隔，不过屋价却更诱人，二三十万令吉就可坐拥一间有地房屋。 

随着龙凤置地之外，近内竞相涌往威省发展的发展商还包括IJM置地（IJM Land）、双威集团（Sunway Group）及玮力产业集团（Ivory Property Group）等， 而槟岛西南区则包括实达集团（SP Setia）及马星集团（Mahsing）。

     Impiana Commercial Hub, Alma