☕️ Federal Ministers' Vellfire costs you RM5.8k per month
Sarawak state election to be held in 60 days but before Undi18. BNM maintained OPR at 1.75%. VietJet - Vietnam's bikini airline that created its first self-made female billionaire.
1. MARKET SUMMARY
2. NUMBERS AT A GLANCE
60 electric buses will be utilised in the GoKL free bus service by 2023, in line with DBKL’s plans to turn KL into a low-carbon city.
The irony of the UN Climate Change Conference (COP26) that’s happening in Glasgow — around 400 private jets flew into Glasgow, carrying heads of state, billionaires, business leaders and celebrities for a global warming summit. Matt Finch from the UK’s Transport and Environment campaign group said an average private jet emits two tonnes of CO2 for every hour in flight.
RM1.42 million has been paid by the government as of Sept 2021 for the concession of Toyota Vellfire, which federal ministers use as the official vehicle. The luxury MPV costs RM5,759.35 to maintain per month. The switch from Proton Perdana to Toyota Vellfire started in April 2021.
PKR Youth secretary Syukri Razab noticed the total amount paid thus far covers 41 Vellfires, nine more than the number of federal ministers (32) the country has. Puzzling.
3. COVID-19 SUMMARY
The US Centres for Disease Control and Prevention (CDC) approved Pfizer BioNTech’s Covid-19 vaccine for children aged 5 to 11.
Ivermectin cannot be recommended for inclusion in the current Covid-19 treatment guidelines as the medicine did not reduce the risk of severe Covid-19 disease, according to Health DG Tan Sri Dr Noor Nisham Abdullah.
4. IN MALAYSIA 🇲🇾
Politics and Local
Sarawak state election has to be held within 60 days after Yang di-Pertuan Agong Sultan Abdullah Sultan Ahmad Shah has assented to lifting the state of emergency in Sarawak, earlier than the scheduled end-next February.
Young voters in the state will lose out if the state’s election is held before the Undi18 amendments.
Minister in the Prime Minister's Department (Special Functions) Abdul Latiff Ahmad assured that Bumiputera firms would get 60% of the contracts from the RM11 billion of the Digital Nasional Bhd (DNB) 5G project. Putrajaya is financing the RM11 billion through the bond market.
The Attorney-General’s Chambers (AGC) will file an appeal against High Court judge Azman Abdullah’s ruling of six students of the National Defence University (UPNM), which were found guilty of culpable homicide not amounting to the murder of Zulfarhan four years ago.
DAP veteran Lim Kit Siang said the Malacca and Sarawak state elections are aimed to bring the Democratic Action Party (DAP) down. He added if the outcome of both polls is favourable towards the ruling federal coalition, the party could abandon the MoU signed and call for an early election.
If Pakatan Harapan abandons the MoU, the damage will likely be limited to the ruling government. PH lets the rakyat down, again.
Bank Negara Malaysia decided to maintain the overnight policy rate (OPR) at 1.75% following the year’s final Monetary Policy Committee (MPC) meeting on Wednesday (Nov 3).
AirAsia Digital’s logistics venture, Teleport, has launched its dedicated 737-800 fighter as the company reinforces its cargo play in the region. According to Teleport’s CEO Pete Chareonwongsak, the addition of ONE SINGLE freighter will accelerate Teleport’s goal to shift from a pure air freight logistics provider to a complete multi-modal operator. The freighter will be stationed in Bangkok.
The CEO is also looking to raise between USD50 mil to USD100 mil in a Series A funding round. Teleport is last valued at USD300 mil.
RM20 million has been allocated to Cradle Fund Sdn Bhd through the Startup Strategic Action Programme. The fund will be used to develop MYStartup platform, which aims to coordinate as well as offer comprehensive, inclusive services to startups.
Top Glove Corp Bhd clarified that the so-called paper loss on its shares buyback does not arise because the shares it bought back in the open market between Sept 2020 and Feb 2021 are not investments. MFRS 132 paragraphs 33 and 34 state that treasury shares are not an investment but rather equity that is captured at acquisition costs.
The share buyback was meant to be used by the glove maker when it wanted to raise about RM7.7 bil from its proposed Hong Kong listing. However, after the price slump, Top Glove Corp Bhd has since revised the IPO (in HK) figure to RM2.21 billion instead.
5. AROUND THE WORLD 🌎
Nguyen Thi Phuong Thao, Vietnam’s richest woman and first self-made female billionaire, will have an Oxford University college rename itself to Thao College following a donation of GBP155 mil (USD211 mil) from Thao’s holding company, Sovico.
Linacre College will become Thao College after the first check from Sovico clears. Thao is well-known for founding Vietjet, the controversial “bikini airline” known for the occasional scantily-clad flight attendant and for bringing budget travel to a communist country that used to rely on state-owned carriers. Forbes pegs her wealth at USD2.7 bil. Read Thao’s story here.
Alphabet Inc, Google’s parent company, has invested USD1 bil in futures-exchange giant CME Group Inc and struck a deal to migrate the company’s core trading system to Google Cloud in a 10-year partnership. Google Cloud is the 4th-largest cloud provider, with a 6.1% market share - trailing far behind the leader, Amazon Web Service, with more than 40% market share.
This CME deal gives Google Cloud a prized client - CME, with a market cap of USD79.2 bil, is the world’s most valuable exchange operator, facilitating an array of markets, from crude oil to gold to stock-market futures.
Millennials in the US, who are 25-40 years old, own about 2.5% of stocks, equating to about USD1 tril according to Federal Reserve data. This pales in comparison to Baby Boomers, owning 55% of stocks, representing holdings valued at USD22 tril and Gen Xers own 26%, or USD10.5 tril. Curious if millennial’s stock ownership is actually concentrated in the hands of the few tech billionaires and hence an overstatement of millennial’s wealth?
Would be interesting to see similar data for Malaysia. Do let us know if you have come across such data for Bursa Malaysia.
Mexico is in the process of locking in its income from next year’s oil production, in what’s one of the most closely-watched deals among the world’s energy traders. The oil hedge, a multibillion-dollar deal with the country purchasing put options, which typically covers 200 million to 300 million barrels, is so large that it could affect the market.
Mexico has been hedging since the turn of the century with the exception to 2003 and 2004. The deal has paid off several times, especially in 2015 when a record of more than USD6 bil was gained. Mexico earned USD2.8 bil last year from the hedge as oil prices crashed. Since 2001, Mexico has spent US$15.1 billion in fees buying put options but has earned US$16.5 billion thanks to the four times that the hedge came into the money
Henderson Land Development Co won a prime land plot along Hong Kong’s famed Victoria Harbour with a record-breaking bid of HKD50.8 billion (USD6.5 billion) as it expands its portfolio in the city’s most important business district. The company said it will invest HKD63 bil (USD8.1 bil) to develop the site to create an iconic landmark.
This makes it the most expensive plot ever sold in a government tender, surpassing the previous record set by Sun Hung Kai Properties at HKD42 bil. At 516,360 square feet, this works out to a per sq feet price of USD12,588. The development of this land is expected to be completed by 2032.
6. FOR YOUR VIEWING PLEASURE 👁👁
Malacca state election heats up!
Global businesses place new variants of Covid-19 and inflation as their two biggest economic concerns in the next 18 months, according to Fitch Solutions Group Ltd.
How good are Liebherr’s cranes?