Replacing DRB-HICOM as the largest shareholder of Pos Malaysia could be straightforward for several reasons, supported by various sources:

1. Market Dynamics: The logistics and postal industries are experiencing significant shifts due to e-commerce growth. This transformation opens the door for new shareholders with a clear focus on modern logistics to take a more prominent role. As noted in recent reports, companies that align closely with market trends are more likely to succeed  .
2. Shareholder Influence: The existing relationship between DRB-HICOM and Pos Malaysia might not be as synergistic as needed for future growth. A new shareholder could bring fresh perspectives and strategic direction, crucial for navigating the challenges facing the postal sector  .
3. Valuation and Share Price: The current valuation of Pos Malaysia may present an opportune time for strategic investment. Analysts suggest that potential investors could find value in acquiring a stake, especially if they can leverage synergies in logistics and technology  .
4. Regulatory Environment: Recent regulatory developments may facilitate changes in shareholding structures, making it easier for new investors to step in. For instance, initiatives from the Malaysian government aimed at boosting the logistics sector could favor new shareholders committed to growth and innovation .

😎

To help Pos Malaysia turn around, a strategic approach focusing on its core business, operational efficiency, and growth sectors like e-commerce logistics is essential. Several steps could be considered, drawing from both evidence from industry trends and Pos Malaysia’s recent efforts:

1. Strengthening E-commerce Logistics

Evidence: The growing e-commerce market in Malaysia and globally presents a significant opportunity for logistics companies. Pos Malaysia has already made moves to capitalize on this, such as expanding its parcel delivery services. A 2024 study reported rapid e-commerce growth in Southeast Asia, emphasizing the need for robust logistics infrastructure . Pos Malaysia should further optimize and expand its e-commerce-related logistics services by improving delivery speeds, integrating digital tracking, and offering last-mile delivery solutions.

Action: Invest in technology to enhance parcel tracking, automation in sorting centers, and customer service.

2. Reducing Operational Costs

Evidence: Pos Malaysia has been facing rising operational costs, which have been eating into its profitability. Evidence shows that one of the main challenges for postal services worldwide has been adapting to the decline in traditional mail volumes . To mitigate this, Pos Malaysia has begun trimming down non-core assets like PNSL Bhd, and further streamlining operations could yield additional savings.

Action: Pos Malaysia could invest in digital solutions to automate more of its processes, reduce manpower costs, and close or downsize underperforming post offices, while increasing partnerships with third-party logistics providers.

3. Optimizing Real Estate

Evidence: Many postal companies globally have unlocked value by monetizing their real estate holdings. In Malaysia, property prices, especially in urban areas, can be quite high. Pos Malaysia’s substantial real estate portfolio could be monetized through sale or leasing agreements to generate significant capital, which could then be reinvested into modernizing its logistics infrastructure .

Action: A strategic review of Pos Malaysia’s real estate assets could help identify properties that are either underutilized or not essential to core operations. These could be sold or redeveloped.

4. Improving Customer Service and Digital Transformation

Evidence: Customer satisfaction is critical in both traditional postal services and modern logistics. A McKinsey report on logistics transformation highlighted that digital customer interfaces and real-time service tracking were key differentiators in the industry . Pos Malaysia has already started offering digital services, but more work can be done to improve the customer experience through mobile apps, user-friendly websites, and faster response times.

Action: Continue enhancing digital channels, creating an omnichannel experience where customers can interact easily via mobile, web, and physical points of contact.

5. Partnerships and Diversification

Evidence: Some successful postal companies have formed partnerships with global e-commerce giants like Amazon, Alibaba, and regional players to leverage scale. Partnerships with financial services companies and fintech firms have also helped diversify income sources  .

Action: Pos Malaysia can seek strategic partnerships or joint ventures to expand its services into adjacent markets like financial services, leveraging its widespread reach across the country.

Implementing these strategies based on market evidence could significantly aid Pos Malaysia in its turnaround, positioning the company for sustainable growth.

Pos Malaysia may still hold valuable non-core assets that could be sold as part of its ongoing restructuring efforts. In recent years, it has sought to streamline its operations and focus on core logistics, e-commerce, and postal services, leading to several divestments like the sale of Pos Aviation and PNSL Bhd  .

Possible areas where Pos Malaysia might explore further asset sales include:

1. Real Estate Assets: Pos Malaysia owns several strategic properties across the country. In previous years, the company has highlighted its significant real estate holdings, which include post office buildings and distribution centers. Monetizing or selling these properties could generate substantial cash flow, especially in high-demand urban locations.
2. Other Non-core Businesses: Although the company has already sold off its aviation and shipping units, it may still hold other smaller subsidiaries or investments that are not aligned with its core focus on logistics and e-commerce. These could be candidates for future divestment.

The sale of these assets would be in line with Pos Malaysia’s strategy of reducing operational complexity and focusing on more profitable ventures. However, further details would depend on the company’s ongoing assessment of its portfolio and financial strategy.

The decision by Pos Malaysia to sell PNSL Bhd for RM123.21 million can be seen as a positive strategic move for several reasons:

1. Focus on Core Business: By divesting non-core assets like PNSL Bhd, Pos Malaysia can concentrate on its core operations—postal services and logistics. This aligns with the company’s broader strategy of streamlining operations to remain competitive in a challenging industry that has seen declining demand for traditional postal services  .
2. Improved Financial Health: The sale is expected to generate significant cash flow, which will help reduce debt and interest expenses. For a company that has faced financial pressures in recent years, this infusion of cash can stabilize its financial position and allow it to reinvest in more critical areas .
3. Restructuring for Growth: Pos Malaysia has been undergoing a transformation to adapt to a digital economy, and shedding non-core, capital-intensive assets like shipping operations is part of this restructuring. It enables the company to be more agile and responsive to changes in the logistics and e-commerce sectors .

In summary, selling PNSL Bhd seems to be a prudent decision that supports Pos Malaysia’s long-term sustainability and strategic realignment. However, the success of this decision depends on how effectively Pos Malaysia uses the proceeds to strengthen its core business operations.

As of September 2024, Pos Malaysia has announced the sale of its ship chartering unit, PNSL Bhd, for RM123.21 million. The proceeds from this sale are expected to strengthen the company’s cash flow and reduce its interest expenses. However, details on whether the cash from this disposal has been fully received were not explicitly stated in the available reports  .

It is likely that the funds are in the process of being transferred as part of the transaction, but confirmation on the exact timing of receipt may be included in future financial reports from Pos Malaysia.

Pos ada free cash flow, boleh bertahan sampai untung, dll kena sabar😜

nice😜 Yes, in 2024, Pos Malaysia has indeed been involved in divestment activities. One of the significant moves was the sale of its ship chartering unit, PNSL Bhd, for RM123.21 million. This sale is part of Pos Malaysia’s strategy to exit non-core businesses and focus on improving its financial performance and core operations, such as postal services and logistics. The sale is expected to enhance the company’s cash flow and reduce interest expenses  .

In addition, Khazanah Nasional Berhad, a major shareholder of Pos Malaysia, has been planning a strategic divestment of its stake in the company. This process involves finding a new controlling shareholder and is being undertaken as part of Pos Malaysia’s transformation journey .

Aaron Chen likely has a vested interest in not letting Genetec Technology Berhad fail for several potential reasons:

1. Financial Investment: If Aaron Chen has a significant financial stake in Genetec Bhd, he would have a strong incentive to ensure the company’s success to protect his investment and ensure future profits.
2. Strategic Importance: Genetec Bhd operates in high-growth sectors such as automation, industrial engineering, and electric vehicle manufacturing. The success of the company could be critical to Chen’s broader business interests or partnerships, particularly in industries related to technology, automation, or energy.
3. Reputation: As a business figure, Aaron Chen’s reputation would be tied to the companies he is associated with. A failure of Genetec could reflect poorly on him and impact his ability to secure future business opportunities or investments.
4. Network and Influence: Genetec may be part of a broader network of companies, suppliers, or partners that are connected to Chen’s business dealings. Allowing it to fail could disrupt key business relationships or supply chains that could affect other ventures he’s involved in.

These are potential reasons why Aaron Chen would be motivated to keep Genetec Bhd operational and successful. 😜

NTA 54sen; offer price for privatisation above 50sen is very likely f any; hang in there yah 😜

Proton and Perodua’s electric vehicle (EV) projects are poised to significantly benefit Genetec Technology Berhad due to their focus on battery storage systems and EV components.

1. Growing Demand for EVs: Both Proton and Perodua are set to introduce affordable EVs by 2025. Perodua, for instance, is collaborating with international partners to launch its first electric model, likely based on the popular Myvi. This push towards EVs aligns with Malaysia’s National Industrial Master Plan (NIMP2030), which aims to enhance local EV production and technology  .
2. Battery Storage Systems (BESS): Genetec is already benefiting from increasing demand for battery storage solutions. The company has received substantial orders for battery storage systems and is actively participating in tenders that could further boost its order book by hundreds of millions in the coming years . As the local automotive industry shifts towards EVs, Genetec’s expertise in BESS is crucial for supporting the infrastructure required for these vehicles.
3. Strategic Positioning: With Proton and Perodua leading the charge in Malaysia’s EV market, Genetec stands to gain from the broader ecosystem. As these companies ramp up EV production, Genetec can supply critical technologies and components, thereby enhancing its revenue streams and market presence in a rapidly growing sector.

This synergy between local automakers and Genetec’s technological capabilities positions the company well to capitalize on the burgeoning EV market in Malaysia.

The recent surge in tourist arrivals in Malaysia is significantly benefiting companies like Pos Malaysia. As of June 2024, Malaysia recorded nearly 17.5 million visitor arrivals, with expectations to reach 27.3 million by the end of the year  . This is a substantial increase compared to previous years, as the tourism sector continues to rebound post-COVID-19, driven by initiatives like visa liberalization and promotional activities  .

This influx of tourists enhances the demand for logistics and delivery services, which Pos Malaysia can capitalize on. The increased foot traffic and online shopping from tourists directly boost the e-commerce segment, which often relies on efficient postal and delivery services. Moreover, with many international tourists exploring Malaysia, the need for reliable and swift logistics solutions grows, providing Pos Malaysia with opportunities to expand its service offerings  .

For more detailed statistics and insights on how tourism impacts various sectors, you can refer to sources such as Travel and Tour World and Malay Mail.

The global eCommerce market is projected to continue its rapid growth, which will likely enrich companies like Pos Malaysia in the near future. The surge in online shopping is driven by increasing internet penetration, mobile commerce, and changing consumer behaviors, particularly post-pandemic.

1. Market Growth: eCommerce is expected to reach approximately $6.4 trillion globally by 2024, with Asia-Pacific leading in growth. Malaysia’s eCommerce market is also expanding, driven by local consumers’ preferences for convenience and a wider selection of goods  .
2. Pos Malaysia’s Role: As a key logistics and postal service provider in Malaysia, Pos Malaysia stands to benefit significantly from the growth of eCommerce. The company is focusing on enhancing its logistics capabilities and infrastructure to cater to the increasing demand for parcel delivery services, which is a critical component of the eCommerce ecosystem  .
3. Strategic Initiatives: Pos Malaysia is investing in technology and partnerships to streamline its operations and improve delivery efficiency. This includes enhancing its digital platforms to provide better services to online retailers and consumers  .

In summary, the ongoing global eCommerce growth creates numerous opportunities for Pos Malaysia, positioning it to enhance its service offerings and capture a larger market share in the logistics sector. You can find more detailed insights on this topic from various financial news sources, including reports from Statista and The Star.

Genetec Technology Berhad has demonstrated consistent growth in both sales and profit over the past five years, driven by its strategic focus on sectors like Electric Vehicles (EV) and renewable energy storage.

In FY2023, Genetec achieved a revenue of RM295 million, which reflects a steady increase from RM178 million in FY2021. Their profit before tax (PBT) grew significantly during this period, reaching RM72 million in 2023, up from RM37 million in 2021. The company’s gross profit margins have also improved, rising from 29% to 33%  .

This growth is largely attributed to their strong presence in the EV sector, which remains their key revenue driver. Despite industry volatility, the company’s ability to secure recurring orders from long-standing clients, coupled with continuous operational efficiency improvements, has bolstered both its revenue and profit margins .

Genetec Technology Berhad is enriched by its involvement in the electric vehicle (EV) industry for several reasons:

1. Growing Global Demand: The EV market is experiencing a massive surge in demand, driven by environmental concerns, government policies promoting clean energy, and the transition away from fossil fuels. Genetec’s role in providing automation solutions for EV manufacturing positions it as a crucial player in this expanding industry  .
2. Strategic Focus on EV and Energy Storage: Almost 100% of Genetec’s revenue comes from the EV and energy storage sectors. These sectors are capital-intensive, and as more automakers expand their EV production lines, they require highly efficient, automated systems to meet growing demand. Genetec’s expertise in creating intelligent manufacturing solutions allows it to capitalize on this wave of demand, driving revenue and profitability .
3. Long-Term Growth Potential: The global shift toward renewable energy and electrification is still in its early stages. As the world increases its investment in clean energy infrastructure (estimated to grow by 10-20% in 2024), Genetec’s position as a supplier of key automation solutions for EVs ensures long-term growth opportunities .

In essence, the rise of EVs has become a primary revenue driver for Genetec, ensuring the company stays at the forefront of technological advancements in the automotive industry.

Aaron Chen, a key figure in Genetec Technology Berhad, has a vested interest in ensuring the company’s success, given his involvement in its strategic direction and leadership. Chen, known for his deep commitment to technology-driven growth, is likely focused on maintaining Genetec’s momentum in critical sectors like electric vehicles (EVs) and renewable energy.

One reason Chen won’t allow Genetec to fail is the company’s strong position in industries that are pivotal for future growth. The EV and energy storage segments are gaining significant traction globally, and Genetec’s role in providing intelligent automation solutions for these industries puts it at the forefront of technological and industrial transformations. Chen likely sees the enormous potential in these sectors, especially with the rise in global clean energy investments projected for 2024  .

Moreover, Chen’s leadership is essential in maintaining investor confidence, which has seen fluctuations but generally points toward optimism. His determination to steer the company through challenging economic cycles, while capitalizing on new opportunities in automation and energy, indicates that he has a long-term vision for Genetec that would drive him to ensure its continued success.

Genetec Technology Berhad is positioned for a potential rebound due to strong growth in key segments, particularly in the electric vehicle (EV) and energy storage markets. In Q3 FY2024, the company reported revenue of RM76.9 million and a profit before tax (PBT) of RM25.2 million, reflecting solid financial performance with margins around 32.7%. Despite a slight year-on-year revenue dip compared to Q3 FY2023, this decline is attributed to typical project progression in high-value industries rather than a lack of demand or pipeline strength.

Genetec’s success is largely driven by its focus on intelligent manufacturing solutions for EVs and renewable energy, as well as the ongoing global push toward clean energy, which is expected to see a rise in investments in 2024. The company continues to position itself as a leader in automation for these industries and is optimistic about its future performance, supported by a strong product pipeline and new business leads  .

Additionally, investor sentiment toward Genetec has fluctuated but shows signs of improvement due to its strategic focus and financial discipline, which has attracted positive market attention . The company aims to capitalize on the growing demand for clean energy infrastructure and further expand its market share in the coming years.

Kawan Food Bhd is likely to experience a surge in its share price following Malaysia’s Budget 2025 due to several key factors:

1. Increased Consumer Spending Power: The Budget includes pay increases for government employees, which is expected to drive higher consumer spending. This is particularly beneficial for food companies like Kawan, as their frozen food products are popular among Malaysian households. As disposable incomes rise, the demand for convenient food options such as Kawan’s roti, parathas, and frozen snacks is expected to increase, boosting the company’s sales and stock performance  .
2. Share Buybacks: Kawan Food has been actively buying back its shares, which often leads to a rise in stock prices due to reduced supply and increased investor confidence. These buybacks signal that the company sees value in its own stock, which could further propel prices upward .
3. Global Market Expansion and Efficient Operations: Kawan Food has been expanding into new markets, including South America, which is expected to contribute to its growth. Additionally, the company’s adoption of digitalization and efficiency-boosting initiatives under Industry 4.0 helps reduce costs and reliance on manual labor, improving margins and profitability .

Overall, these factors, along with positive market sentiment, suggest a strong potential for Kawan Food’s stock to rise in the wake of Budget 2025.

When evaluating whether Berjaya Assets Bhd (BJASSET) is better positioned for privatization compared to Berjaya Food Bhd (BJFOOD), there are several factors to consider:

1. Real Estate Holdings: BJASSET has significant real estate assets, including iconic properties like Berjaya Times Square and Berjaya Waterfront in Johor Bahru . The value and strategic importance of these properties could make BJASSET more attractive for privatization, as it has a higher asset-based value compared to BJFOOD, which focuses on the food and beverage industry .
2. Valuation Metrics: BJASSET has a low free-float (11.4%), and its valuation metrics suggest it may be undervalued, with a market capitalization of MYR 780 million . On the other hand, BJFOOD has shown recent declines in stock price and earnings , although it remains profitable and continues to issue dividends, which makes it appealing for long-term investors. However, BJASSET’s real estate potential could drive stronger long-term gains post-privatization compared to BJFOOD’s reliance on consumer spending.
3. Business Focus and Growth: BJFOOD has faced challenges with fluctuating revenue and earnings, depending heavily on the performance of its Starbucks and Kenny Rogers Roasters franchises . While BJFOOD offers consistent, though modest, growth, it doesn’t present the same upside potential as BJASSET’s large-scale real estate and development prospects .

Given these factors, BJASSET appears to have stronger assets and potential for value appreciation in a privatization scenario, especially if the group plans to leverage its valuable properties.

When evaluating whether Berjaya Assets Bhd (BJASSET) is better positioned for privatization compared to Berjaya Food Bhd (BJFOOD), there are several factors to consider:

1. Real Estate Holdings: BJASSET has significant real estate assets, including iconic properties like Berjaya Times Square and Berjaya Waterfront in Johor Bahru . The value and strategic importance of these properties could make BJASSET more attractive for privatization, as it has a higher asset-based value compared to BJFOOD, which focuses on the food and beverage industry .
2. Valuation Metrics: BJASSET has a low free-float (11.4%), and its valuation metrics suggest it may be undervalued, with a market capitalization of MYR 780 million . On the other hand, BJFOOD has shown recent declines in stock price and earnings , although it remains profitable and continues to issue dividends, which makes it appealing for long-term investors. However, BJASSET’s real estate potential could drive stronger long-term gains post-privatization compared to BJFOOD’s reliance on consumer spending.
3. Business Focus and Growth: BJFOOD has faced challenges with fluctuating revenue and earnings, depending heavily on the performance of its Starbucks and Kenny Rogers Roasters franchises . While BJFOOD offers consistent, though modest, growth, it doesn’t present the same upside potential as BJASSET’s large-scale real estate and development prospects .

Given these factors, BJASSET appears to have stronger assets and potential for value appreciation in a privatization scenario, especially if the group plans to leverage its valuable properties.

Focusing more on BJAsset Bhd over BJFoods Bhd could be justified by several strategic and financial considerations:

1. Stable and Diversified Income Streams: BJAsset Bhd, a property investment and development company, generally benefits from long-term rental income, property appreciation, and development profits, which provide more stable and predictable revenue streams. This contrasts with BJFoods, which operates in the food and beverage industry, a sector highly susceptible to fluctuations in consumer spending, commodity prices, and economic cycles. BJAsset’s diversified portfolio in real estate offers better insulation against these volatile factors.
2. Growth Potential in Real Estate: The property market, particularly in prime locations, offers significant long-term growth opportunities. With urbanization trends, rising demand for commercial spaces, and the potential for property development, BJAsset Bhd is positioned to capitalize on the appreciating value of its assets. In contrast, BJFoods Bhd is more limited by market saturation, intense competition in the F&B sector, and shifting consumer preferences, which may cap its growth prospects.
3. Less Sensitivity to External Shocks: Real estate investments tend to be less sensitive to external shocks, such as inflation, geopolitical instability, or economic downturns, compared to the food industry. BJFoods is vulnerable to changing consumer behaviors, supply chain disruptions, and cost pressures (e.g., raw material price hikes), which can affect profitability. BJAsset, on the other hand, can better weather economic downturns, as property values may hold steady or recover faster.
4. Capital Appreciation and Asset Value: BJAsset Bhd’s real estate assets naturally appreciate over time, providing a stronger foundation for capital growth. Real estate offers tangible asset value, and property investments typically appreciate, even in inflationary environments. BJFoods’ focus on quick-service restaurants and consumer products offers less tangible capital growth, and the brand value is more prone to fluctuations based on trends and consumer loyalty.
5. Higher Returns on Assets and Capital: BJAsset may offer higher returns on investment through strategic property management, development projects, and rental yields, especially in a recovering property market. In contrast, BJFoods, which operates in the low-margin, high-volume food industry, might not offer the same return on assets (ROA) or return on equity (ROE), as its margins can be squeezed by rising costs, competition, and operational risks.
6. Market Confidence and Investor Sentiment: Investors often perceive real estate companies as more resilient and less prone to short-term volatility. If BJFoods is experiencing a downturn due to operational challenges, changing consumer preferences, or declining sales, focusing on BJAsset can help restore investor confidence. BJAsset’s tangible asset base and longer-term growth potential are more appealing for risk-averse investors.

In conclusion, shifting focus toward BJAsset Bhd is a more defensive and growth-oriented strategy, offering more stable income, lower operational risk, and significant capital appreciation potential compared to the challenges faced by BJFoods Bhd in the competitive and fluctuating F&B sector.

Focusing more on BJAsset Bhd over BJFoods Bhd could be justified by several strategic and financial considerations:

1. Stable and Diversified Income Streams: BJAsset Bhd, a property investment and development company, generally benefits from long-term rental income, property appreciation, and development profits, which provide more stable and predictable revenue streams. This contrasts with BJFoods, which operates in the food and beverage industry, a sector highly susceptible to fluctuations in consumer spending, commodity prices, and economic cycles. BJAsset’s diversified portfolio in real estate offers better insulation against these volatile factors.
2. Growth Potential in Real Estate: The property market, particularly in prime locations, offers significant long-term growth opportunities. With urbanization trends, rising demand for commercial spaces, and the potential for property development, BJAsset Bhd is positioned to capitalize on the appreciating value of its assets. In contrast, BJFoods Bhd is more limited by market saturation, intense competition in the F&B sector, and shifting consumer preferences, which may cap its growth prospects.
3. Less Sensitivity to External Shocks: Real estate investments tend to be less sensitive to external shocks, such as inflation, geopolitical instability, or economic downturns, compared to the food industry. BJFoods is vulnerable to changing consumer behaviors, supply chain disruptions, and cost pressures (e.g., raw material price hikes), which can affect profitability. BJAsset, on the other hand, can better weather economic downturns, as property values may hold steady or recover faster.
4. Capital Appreciation and Asset Value: BJAsset Bhd’s real estate assets naturally appreciate over time, providing a stronger foundation for capital growth. Real estate offers tangible asset value, and property investments typically appreciate, even in inflationary environments. BJFoods’ focus on quick-service restaurants and consumer products offers less tangible capital growth, and the brand value is more prone to fluctuations based on trends and consumer loyalty.
5. Higher Returns on Assets and Capital: BJAsset may offer higher returns on investment through strategic property management, development projects, and rental yields, especially in a recovering property market. In contrast, BJFoods, which operates in the low-margin, high-volume food industry, might not offer the same return on assets (ROA) or return on equity (ROE), as its margins can be squeezed by rising costs, competition, and operational risks.
6. Market Confidence and Investor Sentiment: Investors often perceive real estate companies as more resilient and less prone to short-term volatility. If BJFoods is experiencing a downturn due to operational challenges, changing consumer preferences, or declining sales, focusing on BJAsset can help restore investor confidence. BJAsset’s tangible asset base and longer-term growth potential are more appealing for risk-averse investors.

In conclusion, shifting focus toward BJAsset Bhd is a more defensive and growth-oriented strategy, offering more stable income, lower operational risk, and significant capital appreciation potential compared to the challenges faced by BJFoods Bhd in the competitive and fluctuating F&B sector.

Focusing more on BJAsset Bhd over BJFoods Bhd could be justified by several strategic and financial considerations:

1. Stable and Diversified Income Streams: BJAsset Bhd, a property investment and development company, generally benefits from long-term rental income, property appreciation, and development profits, which provide more stable and predictable revenue streams. This contrasts with BJFoods, which operates in the food and beverage industry, a sector highly susceptible to fluctuations in consumer spending, commodity prices, and economic cycles. BJAsset’s diversified portfolio in real estate offers better insulation against these volatile factors.
2. Growth Potential in Real Estate: The property market, particularly in prime locations, offers significant long-term growth opportunities. With urbanization trends, rising demand for commercial spaces, and the potential for property development, BJAsset Bhd is positioned to capitalize on the appreciating value of its assets. In contrast, BJFoods Bhd is more limited by market saturation, intense competition in the F&B sector, and shifting consumer preferences, which may cap its growth prospects.
3. Less Sensitivity to External Shocks: Real estate investments tend to be less sensitive to external shocks, such as inflation, geopolitical instability, or economic downturns, compared to the food industry. BJFoods is vulnerable to changing consumer behaviors, supply chain disruptions, and cost pressures (e.g., raw material price hikes), which can affect profitability. BJAsset, on the other hand, can better weather economic downturns, as property values may hold steady or recover faster.
4. Capital Appreciation and Asset Value: BJAsset Bhd’s real estate assets naturally appreciate over time, providing a stronger foundation for capital growth. Real estate offers tangible asset value, and property investments typically appreciate, even in inflationary environments. BJFoods’ focus on quick-service restaurants and consumer products offers less tangible capital growth, and the brand value is more prone to fluctuations based on trends and consumer loyalty.
5. Higher Returns on Assets and Capital: BJAsset may offer higher returns on investment through strategic property management, development projects, and rental yields, especially in a recovering property market. In contrast, BJFoods, which operates in the low-margin, high-volume food industry, might not offer the same return on assets (ROA) or return on equity (ROE), as its margins can be squeezed by rising costs, competition, and operational risks.
6. Market Confidence and Investor Sentiment: Investors often perceive real estate companies as more resilient and less prone to short-term volatility. If BJFoods is experiencing a downturn due to operational challenges, changing consumer preferences, or declining sales, focusing on BJAsset can help restore investor confidence. BJAsset’s tangible asset base and longer-term growth potential are more appealing for risk-averse investors.

In conclusion, shifting focus toward BJAsset Bhd is a more defensive and growth-oriented strategy, offering more stable income, lower operational risk, and significant capital appreciation potential compared to the challenges faced by BJFoods Bhd in the competitive and fluctuating F&B sector.

Contrarian investing, which involves going against prevailing market trends, is difficult for several reasons:

1. Psychological Pressure: Contrarian investors must resist the urge to follow the crowd, which can be emotionally challenging. They often face skepticism from others, leading to self-doubt when their strategies diverge from popular sentiment.
2. Timing the Market: It is hard to identify the right moment to buy or sell undervalued or overvalued assets. Even if a contrarian’s analysis is correct, prices may continue in the same direction for an extended period, causing short-term losses.
3. Market Sentiment: Stock prices are driven by emotions, and momentum may sustain market trends longer than expected, adding complexity to contrarian strategies.
4. Underperformance: Contrarian investors often endure long periods of underperformance, waiting for the market to correct itself, which requires patience and confidence.
5. Risk of Being Wrong: Contrarians may misjudge market trends, as some may reflect genuine shifts in the economy or technological advancements, leading to missed opportunities or incorrect bets.
6. Economic Uncertainties: Factors like interest rates, inflation, and political instability create unpredictable challenges, making it harder for contrarians to anticipate when market conditions will improve.

Overall, contrarian investing demands conviction, resilience, and patience, as it involves significant risks and psychological stress, but the rewards can be substantial for those who succeed.

Boosting POS logistics with this new proton EV.

https://protonmbfev.com/?utm_source=meta&utm_medium=cpc&utm_campaign=mbf_em7book&fbclid=IwZXh0bgNhZW0BMAABHVIJgAQF7odM7MgSCp2ghMfEqLMsGf03ByzIILHsKE5EEaTbTuej63kA2Q_aem_KiMe9L8DBibC55CRXsKjGA

Probably a gang buy n sell in tandem to pull down the price before they play it sky high with good news coming probably. Worth buying 😉now

Possible Reasons for Privatization:

1. Pos Malaysia’s Financial Struggles:
• Pos Malaysia has faced challenges in recent years, including declining mail volumes due to digitalization and increased competition in the logistics and courier industry. If the market is undervaluing Pos Malaysia’s shares because of these struggles, DRB-HICOM may see an opportunity to take it private, restructure, and turn around the business away from public market pressures.
2. Turnaround Potential:
• DRB-HICOM may believe that taking Pos Malaysia private could allow for a more focused turnaround strategy. Without the need to meet short-term earnings expectations from public shareholders, DRB-HICOM could implement long-term restructuring plans, potentially involving cost-cutting, digital transformation, or selling off non-core assets.
3. Unlocking Asset Value:
• Pos Malaysia owns a significant amount of real estate, including postal offices and distribution centers across the country. DRB-HICOM might consider privatizing the company to have more flexibility in managing and monetizing these assets without needing approval from minority shareholders.
4. Synergies with DRB-HICOM’s Other Businesses:
• DRB-HICOM is involved in various sectors, including automotive, property, and services. Privatizing Pos Malaysia could allow it to better integrate Pos Malaysia’s logistics and courier operations with its other businesses, creating synergies and potentially reducing operational costs.
5. Avoiding Public Scrutiny:
• As a public company, Pos Malaysia is subject to significant regulatory and public scrutiny. By taking it private, DRB-HICOM could operate with greater flexibility and confidentiality, especially if it needs to make major changes such as workforce reductions, asset sales, or significant business restructuring.
6. Enhancing Digital Transformation:
• Pos Malaysia has been focusing on digital transformation to shift from traditional mail services to e-commerce and logistics. DRB-HICOM may see privatization as an opportunity to accelerate these changes without the distraction of public market expectations.

Possible Reasons for Privatization:

1. Pos Malaysia’s Financial Struggles:
• Pos Malaysia has faced challenges in recent years, including declining mail volumes due to digitalization and increased competition in the logistics and courier industry. If the market is undervaluing Pos Malaysia’s shares because of these struggles, DRB-HICOM may see an opportunity to take it private, restructure, and turn around the business away from public market pressures.
2. Turnaround Potential:
• DRB-HICOM may believe that taking Pos Malaysia private could allow for a more focused turnaround strategy. Without the need to meet short-term earnings expectations from public shareholders, DRB-HICOM could implement long-term restructuring plans, potentially involving cost-cutting, digital transformation, or selling off non-core assets.
3. Unlocking Asset Value:
• Pos Malaysia owns a significant amount of real estate, including postal offices and distribution centers across the country. DRB-HICOM might consider privatizing the company to have more flexibility in managing and monetizing these assets without needing approval from minority shareholders.
4. Synergies with DRB-HICOM’s Other Businesses:
• DRB-HICOM is involved in various sectors, including automotive, property, and services. Privatizing Pos Malaysia could allow it to better integrate Pos Malaysia’s logistics and courier operations with its other businesses, creating synergies and potentially reducing operational costs.
5. Avoiding Public Scrutiny:
• As a public company, Pos Malaysia is subject to significant regulatory and public scrutiny. By taking it private, DRB-HICOM could operate with greater flexibility and confidentiality, especially if it needs to make major changes such as workforce reductions, asset sales, or significant business restructuring.
6. Enhancing Digital Transformation:
• Pos Malaysia has been focusing on digital transformation to shift from traditional mail services to e-commerce and logistics. DRB-HICOM may see privatization as an opportunity to accelerate these changes without the distraction of public market expectations.

Privatizing BJAssets could make strategic sense for BJCorp if it sees untapped value in the company, potential for operational synergies, or if it wants to simplify the corporate structure.

BJCorp might consider privatizing BJAssets and what challenges or advantages such a move might present.

Possible Reasons for Privatization:

1. Undervaluation in the Stock Market:
• If BJAssets’ shares are perceived to be undervalued, BJCorp might see an opportunity to privatize the company by buying up the remaining shares at a lower price than its intrinsic value. This would allow BJCorp to fully control the company and potentially sell or restructure assets for a profit later.
2. Streamlining the Corporate Structure:
• BJCorp might wish to simplify its group structure by consolidating BJAssets under its full control, reducing the complexity of managing a publicly listed subsidiary. This could lower administrative costs and align BJAssets more closely with BJCorp’s broader strategic objectives.
3. Full Control for Strategic Decisions:
• Full ownership of BJAssets would allow BJCorp to have more freedom to execute strategic decisions without the need for approval from minority shareholders. This could be particularly important if BJCorp sees opportunities for significant restructuring, asset sales, or new ventures involving BJAssets.
4. Improved Operational Efficiency:
• By taking BJAssets private, BJCorp can focus on long-term strategic goals rather than short-term market pressures. This could improve operational efficiency as the company may no longer need to comply with public reporting requirements and other obligations of being a listed company.
5. Potential Synergies:
• If BJCorp believes there are synergies between its core business and BJAssets’ operations, it may see privatization as a way to capture more value through integrated management and operations, leading to cost savings and revenue enhancements.

Buy pos, unseen potentials hidden.
KUALA LANGAT: Malaysia's courier, express, and parcel market is expected to reach US$1.58 billion (US$1=RM4.32) next year, driven by rising e-commerce demand and infrastructure improvements, said Deputy Communication Minister Teo Nie Ching.

Following this, Teo urged local companies in the sectors to seize the opportunity to further develop their businesses and make use of the policies and initiatives announced by the government.

She said the courier industry is a critical pillar of the Malaysian economy, enabling e-commerce and supporting small businesses, generating RM5.7 billion in revenue and creating over 200,000 jobs in 2023.

"Malaysia's aggressive digital transformation policy has caught the eyes of global investors from the technological space.

"The country has secured investments totalling US$16.9 billion for the period of up to 2038 from global technology giants such as Amazon Web Services, Microsoft, Google and Oracle," she said

A potential acquisition of Pos Malaysia by Ninja Van seems plausible, though no specific deals have been confirmed. Pos Malaysia has been struggling with losses due to intense competition from newer logistics companies like Ninja Van and J&T Express. These competitors have gained market share by offering lower rates, making it challenging for Pos Malaysia to stay profitable. Analysts suggest that Pos Malaysia could benefit from an acquisition, especially by e-commerce players or logistics companies like Ninja Van, to modernize its operations and improve service offerings  .

If Ninja Van were to acquire Pos Malaysia, it would allow the company to expand its logistics infrastructure, especially in rural areas where Pos Malaysia has a strong presence. This could help Ninja Van enhance its delivery services across Malaysia. Moreover, the acquisition could lead to digitalization efforts, potentially transforming Pos Malaysia into a tech-driven logistics service provider, improving e-commerce integration and last-mile delivery .

A potential acquisition of Pos Malaysia by Ninja Van seems plausible, though no specific deals have been confirmed. Pos Malaysia has been struggling with losses due to intense competition from newer logistics companies like Ninja Van and J&T Express. These competitors have gained market share by offering lower rates, making it challenging for Pos Malaysia to stay profitable. Analysts suggest that Pos Malaysia could benefit from an acquisition, especially by e-commerce players or logistics companies like Ninja Van, to modernize its operations and improve service offerings  .

If Ninja Van were to acquire Pos Malaysia, it would allow the company to expand its logistics infrastructure, especially in rural areas where Pos Malaysia has a strong presence. This could help Ninja Van enhance its delivery services across Malaysia. Moreover, the acquisition could lead to digitalization efforts, potentially transforming Pos Malaysia into a tech-driven logistics service provider, improving e-commerce integration and last-mile delivery .

The disposal of Pos Malaysia by DRB-HICOM can be seen as a strategic move to maximize shareholder value for several reasons:

1. Focus on Core Businesses

DRB-HICOM's diverse portfolio includes automotive, property, and services, among other sectors. Pos Malaysia, primarily in postal and logistics services, may not align with DRB-HICOM's core growth areas. By divesting Pos Malaysia, DRB-HICOM can streamline its portfolio and focus on its core competencies, such as the automotive sector, where it has a stronger competitive edge. This focus could lead to better allocation of resources, improving profitability and growth prospects, thereby maximizing shareholder returns.

2. Unlocking Value Through Monetization

The sale of Pos Malaysia would unlock capital tied up in a non-core asset. DRB-HICOM could use the proceeds from the sale to invest in higher-growth areas within its core segments, pay down debt, or return capital to shareholders via dividends or share buybacks. This would enhance the overall value for shareholders, especially if the capital is reinvested in projects with higher returns on investment.

3. Potential to Attract Strategic Investors

By divesting Pos Malaysia, DRB-HICOM opens the possibility for Pos Malaysia to be acquired by a strategic investor or a logistics-focused player who can leverage Pos Malaysia's existing infrastructure and network to scale the business. A strategic buyer could bring in new technology, expertise, and efficiency, potentially leading to a more competitive and profitable Pos Malaysia, which would increase the value of the stake being sold.

4. Improvement in Operational Efficiency

Pos Malaysia has faced challenges, including declining mail volumes and competition from other logistics companies. DRB-HICOM may not be able to address these issues effectively due to its focus on other sectors. A sale to an entity that specializes in logistics could lead to operational improvements, cost efficiencies, and innovation, enhancing Pos Malaysia’s profitability. This, in turn, would lead to a higher valuation of the business and, ultimately, better returns for DRB-HICOM shareholders through a more favorable sale price.

5. Reduction of Debt and Financial Leverage

Selling Pos Malaysia can provide DRB-HICOM with liquidity to reduce its debt, thereby lowering its interest expenses and financial leverage. Improved financial health would strengthen DRB-HICOM's balance sheet, making it more attractive to investors. Additionally, a lower debt burden could improve the company's credit rating, reducing borrowing costs for future projects.

6. Market Perception and Investor Confidence

The strategic disposal of non-core assets often signals to the market that a company is actively managing its portfolio to create value. For DRB-HICOM, this could enhance investor confidence as it demonstrates a commitment to capital discipline and long-term shareholder returns. This positive perception could lead to an improved stock price, benefitting existing shareholders.

7. Opportunity for Spin-Off or IPO

If outright sale is not preferred, DRB-HICOM could consider spinning off Pos Malaysia through an IPO, allowing shareholders to directly benefit from the value of the standalone entity. This approach would create two distinct entities, giving investors the choice to invest in either DRB-HICOM's core businesses or the logistics sector through Pos Malaysia. It would also potentially unlock hidden value as a separate listing might attract higher valuations for Pos Malaysia.

By disposing of Pos Malaysia, DRB-HICOM can better position itself to pursue growth opportunities that align with its strengths, while allowing Pos Malaysia to seek new paths under more specialized management. This strategic reallocation of resources is likely to maximize overall shareholder value.

The disposal of Pos Malaysia by DRB-HICOM can be seen as a strategic move to maximize shareholder value for several reasons:

1. Focus on Core Businesses

DRB-HICOM's diverse portfolio includes automotive, property, and services, among other sectors. Pos Malaysia, primarily in postal and logistics services, may not align with DRB-HICOM's core growth areas. By divesting Pos Malaysia, DRB-HICOM can streamline its portfolio and focus on its core competencies, such as the automotive sector, where it has a stronger competitive edge. This focus could lead to better allocation of resources, improving profitability and growth prospects, thereby maximizing shareholder returns.

2. Unlocking Value Through Monetization

The sale of Pos Malaysia would unlock capital tied up in a non-core asset. DRB-HICOM could use the proceeds from the sale to invest in higher-growth areas within its core segments, pay down debt, or return capital to shareholders via dividends or share buybacks. This would enhance the overall value for shareholders, especially if the capital is reinvested in projects with higher returns on investment.

3. Potential to Attract Strategic Investors

By divesting Pos Malaysia, DRB-HICOM opens the possibility for Pos Malaysia to be acquired by a strategic investor or a logistics-focused player who can leverage Pos Malaysia's existing infrastructure and network to scale the business. A strategic buyer could bring in new technology, expertise, and efficiency, potentially leading to a more competitive and profitable Pos Malaysia, which would increase the value of the stake being sold.

4. Improvement in Operational Efficiency

Pos Malaysia has faced challenges, including declining mail volumes and competition from other logistics companies. DRB-HICOM may not be able to address these issues effectively due to its focus on other sectors. A sale to an entity that specializes in logistics could lead to operational improvements, cost efficiencies, and innovation, enhancing Pos Malaysia’s profitability. This, in turn, would lead to a higher valuation of the business and, ultimately, better returns for DRB-HICOM shareholders through a more favorable sale price.

5. Reduction of Debt and Financial Leverage

Selling Pos Malaysia can provide DRB-HICOM with liquidity to reduce its debt, thereby lowering its interest expenses and financial leverage. Improved financial health would strengthen DRB-HICOM's balance sheet, making it more attractive to investors. Additionally, a lower debt burden could improve the company's credit rating, reducing borrowing costs for future projects.

6. Market Perception and Investor Confidence

The strategic disposal of non-core assets often signals to the market that a company is actively managing its portfolio to create value. For DRB-HICOM, this could enhance investor confidence as it demonstrates a commitment to capital discipline and long-term shareholder returns. This positive perception could lead to an improved stock price, benefitting existing shareholders.

7. Opportunity for Spin-Off or IPO

If outright sale is not preferred, DRB-HICOM could consider spinning off Pos Malaysia through an IPO, allowing shareholders to directly benefit from the value of the standalone entity. This approach would create two distinct entities, giving investors the choice to invest in either DRB-HICOM's core businesses or the logistics sector through Pos Malaysia. It would also potentially unlock hidden value as a separate listing might attract higher valuations for Pos Malaysia.

By disposing of Pos Malaysia, DRB-HICOM can better position itself to pursue growth opportunities that align with its strengths, while allowing Pos Malaysia to seek new paths under more specialized management. This strategic reallocation of resources is likely to maximize overall shareholder value.

For Berjaya Assets Berhad (BJAssets), financial reengineering to maximize shareholder value can involve a mix of strategies to optimize its financial structure, improve operational efficiency, and better manage its asset portfolio. Here are some approaches:

1. Debt Restructuring and Capital Optimization

Optimize Debt Levels: BJAssets can consider refinancing existing debts at lower interest rates or extending maturity dates to improve cash flow. By reducing interest expenses, the company can enhance profitability.

Issuance of Bonds or Hybrid Instruments: BJAssets might issue bonds or convertible securities to raise capital for new projects or to refinance high-cost debt, balancing risk and return for shareholders.


2. Asset Monetization and Divestment

Sell Non-Core Assets: BJAssets could identify underperforming or non-essential assets (like certain properties or subsidiaries) and divest them to free up capital, which can be reinvested in core, high-growth areas.

Unlock Real Estate Value: Considering its significant real estate holdings, BJAssets can explore options like sale-and-leaseback arrangements, setting up a Real Estate Investment Trust (REIT), or even outright sales to generate liquidity and reduce the burden of property management.


3. Business Segment Spin-offs

Gaming and Leisure Segment Spin-off: If BJAssets has gaming or leisure assets, creating a separate entity through a spin-off can help in attracting investors who are interested in that specific sector. This can lead to better valuation as each segment would be analyzed on its own merits.

Property Development and Hospitality Division IPO: BJAssets could consider listing its property and hospitality segments separately, which can bring in new capital and provide investors with more focused investment opportunities.


4. Cost Reduction and Operational Efficiency

Streamline Operations: Implement cost-cutting measures across its various business segments, focusing on reducing overheads, automating processes, and optimizing the supply chain.

Digital Transformation: Invest in technology to improve service delivery, particularly in areas like property management, hospitality, and retail, which can drive efficiency and enhance customer experiences.


5. Strategic Partnerships and Mergers

Joint Ventures in Real Estate Development: Partnering with other developers or property management companies could lead to shared investment and reduced financial risk in new projects, especially for high-capital developments.

Acquisitions in Gaming, Hospitality, and Retail: Expanding its portfolio through strategic acquisitions can help BJAssets to diversify revenue streams, tap into new markets, and strengthen its core business.


6. Shareholder-Friendly Policies

Share Buybacks: If BJAssets has surplus cash, repurchasing its own shares could increase the earnings per share (EPS) and potentially improve stock prices, signaling confidence in its financial health.

Revisit Dividend Policy: Implementing or enhancing a consistent dividend policy could attract investors looking for regular income, improving the attractiveness of BJAssets stock.


7. Capital Allocation and Risk Management

Efficient Allocation of Capital: Redirecting capital to higher-margin businesses or those with growth potential, while scaling back from less profitable ventures, can help optimize returns.

Effective Risk Management: Implementing hedging strategies to mitigate exposure to interest rate changes, currency fluctuations, or other financial risks can stabilize the company’s earnings.


8. Expanding Revenue Streams

Diversify into High-Growth Areas: BJAssets can explore new sectors or geographic regions with high-growth potential, possibly through partnerships or new projects, to enhance its revenue base.

Leverage Existing Assets: By maximizing the use of its existing assets, such as turning properties into mixed-use developments or enhancing gaming and retail spaces, BJAssets can drive higher returns.


These strategies can help Berjaya Assets Berhad streamline its operations, improve financial efficiency, and ultimately enhance shareholder value by focusing on profitability, risk management, and strategic growth.

Financial reengineering can help Pos Malaysia maximize shareholder value through several key strategies, focusing on optimizing its capital structure, cost efficiency, and asset utilization. Here are some approaches Pos Malaysia could take:

1. Debt Restructuring

Leverage Optimization: Pos Malaysia can restructure its debt to lower financing costs, taking advantage of lower interest rates or extending repayment periods. By improving its debt-to-equity ratio, the company can enhance its financial stability, which may result in higher stock valuation.

Issuance of Bonds or Preferred Shares: These can be used to refinance existing debt or fund expansion while potentially providing tax benefits due to interest deductibility.


2. Asset Monetization

Divestment of Non-Core Assets: Pos Malaysia could sell underperforming or non-core assets (such as real estate or certain subsidiaries) to free up capital, improve operational focus, and reinvest in high-growth segments.

Real Estate Investment Trust (REIT): It could spin off some of its real estate holdings into a REIT, which can generate cash flow through rent and provide investors with a separate asset to invest in.


3. Spin-offs and IPOs

Pos Shop & Café Spin-off: A potential IPO or spin-off of its Pos Shop & Café business could unlock hidden value by allowing it to operate independently, potentially attracting investors focused on retail or hospitality.

Logistics & E-Commerce Segmentation: Pos Malaysia could carve out its logistics and e-commerce arms, which are growing sectors, as separate entities to attract focused investors.


4. Cost Optimization

Operational Efficiency: Implementing automation and digital transformation to reduce operational costs, streamline logistics, and improve service delivery would enhance profitability.

Workforce Optimization: Adjusting the workforce size and roles to match the company's future operational needs more closely could also result in cost savings.


5. Capital Allocation

Share Buybacks: If Pos Malaysia has excess cash, it could engage in share repurchases, which would reduce the number of outstanding shares, thereby increasing earnings per share (EPS) and boosting stock prices.

Dividend Policy Adjustment: Pos Malaysia could adopt a more attractive dividend policy, paying higher or more consistent dividends, which would attract income-seeking investors.


6. Strategic Acquisitions and Partnerships

E-commerce and Digital Expansion: By acquiring or partnering with e-commerce platforms or digital logistics companies, Pos Malaysia can enhance its service offerings and capture new revenue streams.

Regional Expansion: Strategic expansion into ASEAN or other growing regions could provide a new source of revenue and diversify risks.


7. Balance Sheet Optimization

Working Capital Management: Improving the management of receivables, payables, and inventory can help free up cash flow, which can be reinvested in more profitable ventures or returned to shareholders.

Debt Refinancing or Repayment: Reducing high-interest debt can increase profitability and reduce the company's financial risk.


By adopting these strategies, Pos Malaysia could enhance its financial performance and maximize shareholder value through improved profitability, reduced risk, and better capital efficiency.

Acquiring a stake in DRB-HICOM's shareholding in Pos Malaysia would depend on several factors, including the financial capacity, strategic fit, and intent of companies like Shopee, Lazada, Grab, or Carousell.

Here's a general assessment:

1. Shopee (Sea Limited): Shopee's parent company, Sea Limited, is a major e-commerce player in Southeast Asia with significant resources. Sea Limited has shown a capability for major acquisitions and investments, particularly in areas that align with its core businesses like e-commerce and digital payments (ShopeePay). Acquiring a stake in Pos Malaysia could enhance Shopee's logistics capabilities, but it would depend on strategic priorities, available capital, and potential synergies.


2. Lazada (Alibaba Group): Lazada, backed by Alibaba, has a strong presence in Southeast Asia, and Alibaba has deep experience in logistics through its Cainiao network. If Lazada sees value in controlling logistics services in Malaysia or building a more integrated network in the region, acquiring a stake in Pos Malaysia could be a strategic move. However, it would also depend on Alibaba’s current priorities and financial health.


3. Grab Holdings: Grab has been diversifying beyond ride-hailing to include services like food delivery, logistics, and digital payments. A stake in Pos Malaysia could help Grab expand its logistics network, especially for e-commerce. Grab has the financial strength to make such an acquisition, but it would have to justify how it fits into their long-term strategy.


4. Carousell: Compared to Shopee, Lazada, and Grab, Carousell is a smaller player primarily focused on the online classifieds and second-hand goods market. Acquiring a stake in Pos Malaysia might be beyond its current financial capacity, and it may not align as directly with its core business model. It would be less likely unless Carousell partners with another investor.



Overall, Shopee and Lazada (via Alibaba) are the most plausible candidates if they see strategic value in controlling or partnering with a national logistics network in Malaysia. Grab might also consider it if it sees an advantage in logistics integration. Carousell would likely lack the resources unless supported by a larger partner.

The gambling businesses of BJAssets Bhd (Berjaya Assets Berhad) and Sports Toto are highly valuable to the Berjaya Group for several key reasons:

1. Consistent Revenue Generation

• Sports Toto is one of the largest gaming operators in Malaysia, offering lottery and number forecasting games, which are immensely popular. It provides a steady and substantial cash flow to the Berjaya Group.
• Gambling is a stable business segment, as people continue to participate in gaming and lottery activities regardless of economic fluctuations. This makes it a reliable source of income even during tough economic times.

2. High Profit Margins

• The gambling and lottery sectors typically have high profit margins due to their operational structure. While overhead costs remain relatively low, the income from tickets and betting is substantial. This makes the gambling operations extremely lucrative.
• For Berjaya Group, Sports Toto contributes a significant portion of its earnings, bolstering the overall profitability of the group.

3. Market Monopoly and Licensing

• In Malaysia, the gambling sector is heavily regulated, and Sports Toto holds one of the limited licenses to operate legally in the country. This monopoly-like control on the market gives Berjaya Group a competitive edge, as there is little competition in the legal gambling space.
• Such licenses are valuable and hard to obtain, further enhancing the importance of these businesses to Berjaya.

4. Diversification within Berjaya Group

• The Berjaya Group operates in a wide range of industries, from property development and retail to hospitality and food services. The gambling and lottery business provides diversification, balancing out risks from other sectors that may be more prone to economic cycles or industry-specific challenges.
• For example, while property or retail businesses might face downturns during economic slowdowns, the gambling business tends to remain resilient.

5. Cash-Flow for Expansions and Investments

• The cash flow generated from BJAssets’ gambling and Sports Toto businesses enables Berjaya Group to invest in other ventures. The group’s expansion into hotels, resorts, and international businesses has often been funded by the steady flow of cash from its gaming operations.
• Sports Toto has also expanded internationally, including investments in the UK through its subsidiary, Berjaya Sports Toto (BST).

6. High Public Demand

• Gambling, particularly lotteries and number-forecasting games, has significant demand in Malaysia. The appeal of a potential windfall makes these games attractive to large segments of the population. Sports Toto is a well-established brand with decades of trust, which ensures a strong customer base.

7. Real Estate Connection

• BJAssets Berhad, which focuses on property development and investments, owns assets like Berjaya Times Square, a major commercial and retail property in Kuala Lumpur. The presence of casinos and gaming operations, including outlets for Sports Toto, adds value to these real estate assets by driving foot traffic and boosting related businesses like retail and hospitality.

8. Tourism and Entertainment Value

• The gaming sector is not only about gambling but also about entertainment, often tied with hospitality and tourism. Berjaya’s casinos and gaming venues attract tourists, further enhancing revenue for the group’s hospitality businesses such as hotels and resorts.

9. Cross-Brand Synergy

• There is a synergy between the Berjaya Group’s various businesses, particularly in property and gaming. For instance, tourists visiting Berjaya’s hotels or shopping at their retail properties can easily access gaming facilities, thus driving up revenue for both segments.

Conclusion

The gambling businesses of BJAssets Bhd and Sports Toto are valuable to the Berjaya Group because they provide a stable, high-margin, and consistent revenue stream. This income not only contributes to the group’s overall profitability but also funds expansion into other industries, supports diversification, and ensures a steady cash flow even during economic downturns. The limited competition due to licensing, coupled with the high demand for gambling services, further solidifies these businesses as core assets to the Berjaya Group.

Vincent Tan, the Malaysian billionaire and founder of Berjaya Corporation Berhad (which includes BJAssets Bhd), is known for being a pragmatic businessman who values diversity and inclusivity in his companies. His decision to recruit Muslims, or people from different ethnic and religious backgrounds, to lead BJAssets Berhad or any of his other businesses likely stems from several reasons:

1. Malaysia’s Demographics: Malaysia is a multi-ethnic and multi-religious country, with Muslims making up around 60% of the population. By recruiting Muslim leaders, Tan could be fostering a leadership team that reflects the broader Malaysian society, which may help in building stronger ties with stakeholders, the community, and government entities.
2. Cultural and Religious Sensitivity: Appointing leaders from the Muslim community may also reflect a respect for cultural and religious practices, especially if the company’s operations or business dealings involve regions where Islam is the dominant religion.
3. Business Strategy: From a business perspective, having leaders who are familiar with the customs, traditions, and needs of the Muslim community can help BJAssets Bhd tap into new markets or serve Muslim-majority customer segments better. This could be especially relevant if Berjaya Group is involved in industries like halal food, Islamic finance, or real estate projects targeted at Muslim buyers.
4. Reputation and Goodwill: By promoting inclusivity in leadership, Vincent Tan could be enhancing his company’s reputation for fairness and equality. This can lead to better public relations and foster goodwill among different communities in Malaysia.
5. Personal Philosophy: Vincent Tan has spoken about his desire to give back to society and may see diversity in leadership as part of his commitment to contributing positively to the country’s social fabric.

These factors suggest that Tan’s approach is not only a reflection of the socio-political and cultural landscape of Malaysia but also a strategic business move designed to position BJAssets Bhd for success in a diverse marketplace.

Carousell, a popular online marketplace in Southeast Asia, formed a strategic alliance with Pos Malaysia to enhance its logistics and delivery capabilities. There are several reasons behind this partnership:

1. Improved Delivery Services: By partnering with Pos Malaysia, Carousell can provide more efficient and reliable delivery options for its users. Pos Malaysia has an extensive nationwide network, which allows Carousell sellers to easily ship items across Malaysia, including remote areas.
2. Enhanced User Experience: The integration of Pos Malaysia’s services helps Carousell offer a smoother and more seamless experience for both buyers and sellers. This includes faster shipping times, affordable delivery options, and integrated tracking services, which can boost user satisfaction.
3. Local Market Focus: Pos Malaysia is a trusted and well-known logistics provider within the country. Partnering with them allows Carousell to further localize its services and build trust among its Malaysian users, positioning itself as a more locally relevant platform.
4. Cost Efficiency: Strategic alliances like this help companies optimize costs. Carousell can leverage Pos Malaysia’s established infrastructure without building its own logistics network from scratch, which reduces operational costs for delivery and potentially makes shipping more affordable for its users.
5. Expansion of E-commerce Ecosystem: The partnership helps both Carousell and Pos Malaysia grow their businesses. Carousell gains a reliable delivery partner, while Pos Malaysia gets access to a growing customer base on Carousell’s platform, increasing its presence in the e-commerce ecosystem.

This collaboration strengthens Carousell’s position as a key player in the Malaysian online marketplace while supporting Pos Malaysia’s efforts to innovate and expand its e-commerce-related services.

The relationship between Berjaya Assets Bhd (BJAssets) and Sports Toto Bhd (formerly known as Berjaya Sports Toto) has potential for strategic collaboration or synergy, particularly due to their overlapping interests in the gaming and property sectors. Both companies are part of the Berjaya Group, controlled by prominent Malaysian tycoon Tan Sri Vincent Tan, which increases the likelihood of cooperation or potential restructuring.

Opportunities for Collaboration or Merger:

1. Gaming Synergies: BJAssets, which owns Berjaya Times Square and has gaming assets, might explore closer ties with Sports Toto given the shared focus on the gaming industry. A merger or partnership could consolidate their gaming operations, leading to cost efficiencies, broader market reach, and a unified platform to tap into gaming-related revenue streams like special draws or future digital gaming ventures.
2. Property and Real Estate Development: Sports Toto has a strong cash flow from its gaming business, while BJAssets has significant assets in property development and investment. If these companies explore a merger or joint venture, the combined financial strength could lead to further development of gaming-centric properties (e.g., entertainment hubs, integrated resorts), potentially increasing footfall for both retail and gaming services.
3. Cross-Marketing and Branding: As both are part of the Berjaya Group, cross-marketing could benefit both brands. For example, Sports Toto could collaborate with BJAssets properties for promotions or events, leveraging BJAssets’ prime real estate like Berjaya Times Square to attract customers.
4. Potential Merger: While there is no specific news or official statement on a merger between BJAssets and Sports Toto, it’s feasible given their shared ownership structure and overlapping interests. A merger could streamline operations and maximize the value of their combined gaming, property, and retail assets.

Overall, while no specific plans for a merger have been announced publicly, the shared ownership and potential for synergies between BJAssets and Sports Toto make future collaboration or corporate restructuring a possibility.

The relationship between Berjaya Assets Bhd (BJAssets) and Sports Toto Bhd (formerly known as Berjaya Sports Toto) has potential for strategic collaboration or synergy, particularly due to their overlapping interests in the gaming and property sectors. Both companies are part of the Berjaya Group, controlled by prominent Malaysian tycoon Tan Sri Vincent Tan, which increases the likelihood of cooperation or potential restructuring.

Opportunities for Collaboration or Merger:

1. Gaming Synergies: BJAssets, which owns Berjaya Times Square and has gaming assets, might explore closer ties with Sports Toto given the shared focus on the gaming industry. A merger or partnership could consolidate their gaming operations, leading to cost efficiencies, broader market reach, and a unified platform to tap into gaming-related revenue streams like special draws or future digital gaming ventures.
2. Property and Real Estate Development: Sports Toto has a strong cash flow from its gaming business, while BJAssets has significant assets in property development and investment. If these companies explore a merger or joint venture, the combined financial strength could lead to further development of gaming-centric properties (e.g., entertainment hubs, integrated resorts), potentially increasing footfall for both retail and gaming services.
3. Cross-Marketing and Branding: As both are part of the Berjaya Group, cross-marketing could benefit both brands. For example, Sports Toto could collaborate with BJAssets properties for promotions or events, leveraging BJAssets’ prime real estate like Berjaya Times Square to attract customers.
4. Potential Merger: While there is no specific news or official statement on a merger between BJAssets and Sports Toto, it’s feasible given their shared ownership structure and overlapping interests. A merger could streamline operations and maximize the value of their combined gaming, property, and retail assets.

Overall, while no specific plans for a merger have been announced publicly, the shared ownership and potential for synergies between BJAssets and Sports Toto make future collaboration or corporate restructuring a possibility.

$$$ Overall, Pos Malaysia could see growth opportunities in the e-commerce sector

Budget 2025 presents a positive impact for Pos Malaysia, with potential opportunities.

Positive Factors:

1. Digitalization and E-commerce Support: Pos Malaysia, as a postal and courier service provider, stands to benefit from the continued growth of the digital economy and e-commerce in Malaysia. Budget 2025 places emphasis on enhancing the digital infrastructure, which could boost demand for courier and logistics services as e-commerce expands further.
2. Support for SMEs: As Budget 2025 includes initiatives to support small and medium enterprises (SMEs) through grants and loans, this could stimulate demand for Pos Malaysia’s business services, such as logistics, as SMEs typically require affordable and reliable shipping solutions for their products.

Budget 2025 appears to have several aspects that could be favorable for Berjaya Assets Bhd (BJAssets), depending on its specific areas of involvement.

1. Property Development: If BJAssets has exposure to property development, it could benefit from the positive outlook for the sector. Budget 2025 is expected to continue supporting initiatives like the revised Malaysia My Second Home (MM2H) policy, which attracts foreign buyers. Developers are also advocating for schemes like the Home Ownership Campaign (HOC) and first-time homebuyer grants, which could increase property demand. The Johor-Singapore Special Economic Zone (JS-SEZ) may further bolster demand for strategic landholders in key areas  .
2. Gaming Sector: BJAssets’ interests in the gaming industry may see stable prospects as no significant changes are expected in gaming taxes. The continuation of special draws could marginally boost revenue .
3. Renewable Energy: If BJAssets is invested in energy infrastructure, Budget 2025’s focus on green energy initiatives and the National Energy Transition Roadmap (NETR) could open opportunities in solar energy, grid enhancements, and other renewable projects  .

Thus, BJAssets stands to gain from several initiatives in Budget 2025, particularly in property, gaming, and energy sectors, depending on its portfolio exposure.

Banyak sinergi jika pos Malaysia dan lazada, shopee ataupun grab dalam satu kumpulan

Jika drb lepaskan pos msia, pos and drb share price up serta merta😉

Drb can privatise pos Malaysia, then buat macam proton, jualkan 49% kpd lazada, shopee ataupun grab. Juga boleh lepaskan stake kini directly. Wait n see

Jika jualkan pos kpd grab, lazada atau shopee, balik rm3-4 takda masalah 😉

KUALA LUMPUR: The planned audit on some 2,000 government-linked companies (GLCs) is timely to identify those that are dormant and can be closed down or sold, an economist said.

Dr Geoffrey Williams said the money generated from disposing those companies can be channelled for better purposes.

He said GLCs have thousands of subsidiaries which are underperforming and could be sold through a process of responsible privatisation. In other words, they could be sold to employees, community groups or others with a clear social agenda.

"In addition, these subsidiaries are often preferred in tenders for GLC contractors meaning private companies and SMEs are crowded out. Auditing them will help create an agenda to cut crowding out," he told Business Times.

He added GLCs are often underperforming or dormant but still have board positions and senior managers appointed through patronage.

Audits on the GLCs cuts these patronage cascades and reduces corruption.

"The change in criteria for GLC appointments is also important because it opens up opportunities for senior managers especially in underrepresented groups such as women or young executives and makes appointments available on merit.

"This should help to improve the quality, credibility, accountability and transparency of GLC management and governance," added Williams.

The government fully backs the National Audit Department's (NAD) audit of 2,000 GLCs starting next year.

Prime Minister Datuk Seri Anwar Ibrahim said the department's involvement would enhance lower-level oversight and help resolve the frequent confusion among agencies.

In September, the NAD announced that it would be auditing 2,000 GLCs beginning next year to create a new era of enhanced governance in Malaysia.

Auditor-General Datuk Wan Suraya Wan Mohd Radzi said the initiative followed the recent approval of the Audit Act 1957 amendment bill in July 2024, which significantly strengthened the Auditor-General's powers, thus enabling a more comprehensive oversight of public spending in Malaysia.

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KUALA LUMPUR: The planned audit on some 2,000 government-linked companies (GLCs) is timely to identify those that are dormant and can be closed down or sold, an economist said.

Dr Geoffrey Williams said the money generated from disposing those companies can be channelled for better purposes.

He said GLCs have thousands of subsidiaries which are underperforming and could be sold through a process of responsible privatisation. In other words, they could be sold to employees, community groups or others with a clear social agenda.

"In addition, these subsidiaries are often preferred in tenders for GLC contractors meaning private companies and SMEs are crowded out. Auditing them will help create an agenda to cut crowding out," he told Business Times.

He added GLCs are often underperforming or dormant but still have board positions and senior managers appointed through patronage.

Audits on the GLCs cuts these patronage cascades and reduces corruption.

"The change in criteria for GLC appointments is also important because it opens up opportunities for senior managers especially in underrepresented groups such as women or young executives and makes appointments available on merit.

"This should help to improve the quality, credibility, accountability and transparency of GLC management and governance," added Williams.

The government fully backs the National Audit Department's (NAD) audit of 2,000 GLCs starting next year.

Prime Minister Datuk Seri Anwar Ibrahim said the department's involvement would enhance lower-level oversight and help resolve the frequent confusion among agencies.

In September, the NAD announced that it would be auditing 2,000 GLCs beginning next year to create a new era of enhanced governance in Malaysia.

Auditor-General Datuk Wan Suraya Wan Mohd Radzi said the initiative followed the recent approval of the Audit Act 1957 amendment bill in July 2024, which significantly strengthened the Auditor-General's powers, thus enabling a more comprehensive oversight of public spending in Malaysia.