MEDIA HIGHLIGHTS

NEM to have 8 action plans
The country’s new economic model (NEM), which is expected to be unveiled at the end of this month, could have eight key initiatives aimed at achieving a high-income economy, sources said. As expected, among the proposed action plans, which are being firmed up, as strategies to move towards a high-income economy, the phasing out of subsidies and the continued gradual removal of affirmative action policies. It is learnt that the government may follow Indonesia’s model of subsidy reforms, although these may not be ready in time for the announcement of NEM. Measures would also be taken under the NEM to restrict the employment of foreign workers. It is also understood that “green” or environmental initiatives would be among the measures. The new model, which is expected to be announced by Prime Minister Datuk Seri Najib Razak at the annual Invest Malaysia conference on 30-31 March, will likely pick up where last’s sweeping reforms left off. (BT)


BRDB may revisit Mieco sale option
Bandar Raya Development (BRDB) is mulling revisiting the option of selling its stake in chipboard maker Mieco Chipboard, its chief said. "We will be happy to re-explore such an opportunity if there are interested parties," chief executive officer Datuk Jagan Sabapathy said. BRDB has a 56.8% stake in Mieco, a pioneer in particle board manufacturing using rubber wood. The developer has been wanting to dispose of its stake in Mieco for the past four years. It spoke to several local and foreign firms but no firm deal was entered into. Despite being optimistic of prospects for Mieco as furniture manufacturing and the audio segment is improving in tandem with economic and industry growth, BRDB wants to sell its share in the company as it is dragging down its profit. By doing that, BRDB said it can also focus more on property development and investment, as chipboard and manufacturing is not its expertise. (BT)


HSL plans ambitious La Promenade project
Riding on the robust sales of its newly-launched guarded and gated residential estate The Leaf, Hock Seng Lee Construction SB has set its next ambitious target to build 1,000 high-end homes in a major mixed-development project in Sungai Kuap, along the Kuching-Samarahan Expressway. Named La Promenade, this single-biggest project ever undertaken by the property arm of Hock Seng Lee (HSL) will have a commercial centre of 200 shophouses, a shopping mall, two office blocks, a clubhouse and a man-made lake and recreational facilities These are in addition to the 1,000 high-end homes in the guarded and gated residential estate. HSL plans to relocate its head office at Jalan Pending to La Promende in one of Sarawak’s fastest growing centres. With a gross development value (GDV) of RM900m, La Promenade would be launched in the second half of this year. Reclamation works for the project is already under way. The entire development spanning 80ha will be carried out in 10 phases over 10 years. (Starbiz)


Pharmaniaga explains licence revocation
Pharmaniaga’s manufacturing licence was revoked due critical findings over the storage and segregation of reject and quarantine materials or products as well as the handling of reject and recalled materials or products, the company said in reply to Bursa Malaysia query on Friday. “The critical findings also involved certain aspects of the premises and equipment,” it said. The revocation order was issued to its unit Pharmaniaga Manufacturing after an audit was carried out between 2 and 4 Feb by the Pharmaceutical Services Division of the Ministry of Health (PSD). Pharmaniaga said it would present all corrective action taken to date as well as a plan of action to address the remaining audit issues to PSD on 8 March. It said the percentage contribution of manufacturing to the group’s profit before tax was 23% based on the unaudited results for the financial year ended 31 Dec 2009.
(StarBiz)


Felda is not expected to be listed soon
Contrary to expectations, the listing of the giant group may not happen soon. The listing exercise of the world’s largest plantation conglomerate, Felda group, may still be up in the air but the on-going reorganisation within its units, Felda Global Ventures Holdings SB and Felda Holdings, indicates otherwise. Since last year, the mammoth group has embarked on a series of “internal reorganisation” which led to the splitting up of its businesses into four “global business lines” – multicrop, oils and fats, oleochemicals and logistics and services – and the creation of five organisational support divisions, says a source close to Felda. Datuk Mohd Bakke Salleh (left) has been put in charge as the global president and chief executive officer of Felda Global along side Felda group chairman Tan Sri Dr Mohd Yusof Noor. The main thrust of the restructuring is to transform Felda into a globally integrated and diversified agro-based multinational corporation (MNC). According to the source, a listing exercise involving Felda will only be pursued if it “clearly adds value to the group and will not disadvantage any of its key stakeholders.” Furthermore, the source says Felda group’s reorganisation is still in the early stages relative to the sheer scale of transformation being pursued. (Starbiz)