☕️ The future of travel: KL to London in an hour
Accounting scandal at Serba Dinamik? 'Very dangerous' UK+Indian Covid-19 hybrid variant detected in Vietnam. German scientists figured out the cause behind AZ and J&J vaccines rare blood clot.
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1. MARKET SUMMARY
2. NUMBERS AT A GLANCE
‘Saw’ franchise has hit USD1 billion in total global box office.
RM105.6 billion — Malaysia’s total exports for April 2021, rising 63% y-o-y according to Department of Statistics Malaysia.
RM117 million — the price of the Rolls-Royce Boat Tail, only three available in the world.
3. COVID-19 SUMMARY
If you were on the LRT or MRT during peak hours on May 27 and 28, you ought to get tested for Covid-19 as two passengers onboard were tested positive.
1,000 GP clinics and private hospitals will be allowed to administer vaccines by June 30 2021 according to Khairy Jamaluddin, with a target of about 40,000 doses a day depending on vaccine supply.
Volunteer undertakers are struggling to cope with the surge in Covid-19 deaths.
200,000 people ignored interstate travel restrictions and bypassed police roadblocks during Hari Raya Aidilfitri.
If you’ve been vaccinated, here are thirteen businesses that are giving you promos such as buy 1 free1 coffee, free tau fu far or 50% off nut butters. Go get your freebies!
4. IN MALAYSIA 🇲🇾
2 pax per vehicle, within 10km radius for essential or medical services.
Shopping malls will not be allowed to operate, except for essential services such as groceries and F&B outlets.
F&B outlets are allowed to open — to takeaway, delivery and drivethru.
Sports and recreational activities only limited to jogging and exercise.
Your MITI letter granted previously will expire on May 31 2021.
The list of sectors allowed to operate during FMCO can be found here.
Telekom Malaysia Bhd (TM) doubled its net profit y-o-y to RM325.47 million for 1QFY21 ended March 31, 2021 from RM152.52 million. Improvement in revenue across all but one segment (other telco services) coupled with lower operating costs contributed to the improvement in earnings. No dividend declared for this quarter.
Serba Dinamik Holdings Bhd (Serba) shares were suspended for trading on May 27 and 28 after its May 25 filling concerning a special independent review. Its auditor, KPMG raised audit issues amounting to RM4.5 billion on the group’s transactions. Few things transpired since, will be interesting to see how this story pans out.
Serba’s 2nd larges shareholder proposes the removal of KPMG as auditor.
Serba’s MD and CEO Datuk Dr Mohd Abdul Karim clarified all the issues raised by KPMG and said the company has reverted to all the queries on May 6th, pending reply from KPMG.
Minority Shareholders Watchdog Group (MSWG) urged the minority shareholders to hold the fort and allow KPMG to complete its audit then report to Serba’s shareholders in the upcoming AGM as part of good governance.
Malaysia's leading convenience store, myNEWS has forayed into the convenient mart market to provide its customers a wide variety of ‘Berbaloi’ goods with myNEWS SUPERVALUE. There are currently seven of such stores nationwide and the group is planning to expand aggressively in the year 2021.
News in brief
Three victims that were critically injured from last week’s LRT accident are recovering well according to Datuk Seri Dr Wee Ka Siong.
Senior Minister (Works) Datuk Seri Fadillah Yusof clarified all construction will not be allowed to operate during MCO except for critical services such as maintenance and repair works.
Love scam victim lost RM57,300 — a retiree from befriend a man who allegedly lived “abroad” through social media.
5. AROUND THE WORLD 🌎
Imagine a world where there is no more long-distance flight. Venus Aerospace, a Houston startup, is working on a Mach 12 (12x the speed of sound) hypersonic aircraft to cut travel time from Los Angeles to Tokyo (8,800 km apart) in 1 hour. Most commercial flights take 12 hours to make this similar trip. The company, on its website said that it has made breakthroughs in engine efficiency, aircraft shape, and edge cooling technology that would make ‘one-hour global transport cost-effective’. To this end, it raised a USD3 mil seed round back in March.
Its aircraft would travel at an altitude of 150,000 feet or about 45.7 km, almost 4x higher than most passenger jets. For context, space begins 80 km above Earth’s surface. Imagine flying to London in the morning from KL (10,500 km apart) to have lunch and shop in London and back home by dinner time. SpaceX 3 years ago proposed a similar concept of global travel anywhere in the world in less than an hour using its Starship, travelling at 27,000 km/hr. Clearly, it hasn’t become reality yet as it has just started test flight of its Starship. Wonder how would the human body cope with the g-force.
IAC has successfully spun off Vimeo and took the company public on Nasdaq last week. Its current market cap now is USD6.7 bil. Founded in 2004 in America, Vimeo was and is a YouTube competitor, providing video hosting, sharing and services platform. It has pivoted its business model towards software-as-a-service.
Some highlights on Vimeo:
More than 200 mil users
1.6 mil paid subscribers
Users from more than 190 countries
350,000 new videos added daily with a total 100 bil video views.
Q1 2021 revenue of USD89.4 mil, up from 56.8% from previous year corresponding quarter of USD57 mil
Earnings improved from a loss of USD20.3 mil in Q1 2020 to a profit of USD3.3 mil in Q1 2021
Other companies that IAC has successfully spun off including Expedia, Match.com, CollegeHumor.
JD.com, the Chinese e-commerce company, and its affiliates had a bountiful year in terms of capital raising.. JD.com is 17% owned by Tencent. JD.com and its subsidiaries have raised a total of USD12.02 bil through stock offering since June, giving it a war chest to expand and go up against its archrival, Alibaba. The combined market cap of these companies are about USD1998 bil.
Here are the 4 JD affiliates that have gone public since June:
JD Logistics, the company’s delivery unit went public last Friday in Hong Kong raising USD3.2 bil. It has a vast network of warehouses and more than 200,000 delivery workers giving Alibaba a run for its money.
JD Health, which sells medicine online raised USD4 bil in Hong Kong back in December.
Dada Nexus, a grocery delivery company, in which JD owns more than half of the company, raised USD320 mil on Nasdaq, with Walmart owning about 10% of the company.
JD.com, the parent company itself raised USD4.5 bil in a secondary listing in Hong Kong back in June.
Regulatory headwinds in China has caused the top 10 Chinese tech firms to lose over USD800 bil in market cap since February.
Vietnamese Heath Ministry announced on Saturday that it has discovered a combo of the UK-Indian coronavirus variant, combining the characteristics of the 2 existing variants. At least 4 people in Vietnam are infected with this variant. Vietnam has previously detected 7 variants in the country. Nguyen Thanh Long, Vietnam’s Health Minister described the latest mutation as ‘very dangerous’. This hybrid variant is more transmissible than previously known versions, especially through the air, making it airborne and having the Indian varian characteristics means it’s more infection and easier to evade test.
To date, there were 6,713 confirmed cases and 47 deaths amongst its population of 98 mil people. For the most part since the pandemic erupted, Vietnam has kept it under control, however, a spike in infections since April accounts for half of the confirmed cases. Only more than a mil of its population have been vaccinated thus far.
News in Brief:
A team of scientists from Goethe University, Frankfurt say they have figured out why vaccines like AstraZeneca and Johnson & Johnson can cause unusual blood clots in rare cases due to its ‘delivery mechanism’. This study has not been peer-reviewed yet.
B,J Thomas, the singer behind ‘Hooked on a feeling’ (popularised by The Guardian of The Galaxy) and ‘Raindrops keep fallin’ on my head’ has succumbed to lung cancer. He was 78.
An asteroid taller than the Eiffel Tower and classified as ‘potentially hazardous’ by NASA will be zooming closely past Earth on June 1, though it is expected to pass by safely. Close is relative - it will swing past Earth around 7.2 mil kilometres away at a speed of 64,300 km/hr (20x the speed of a rifle bullet).
6. FOR YOUR VIEWING PLEASURE 👁👁 (Beta Mode)
An extension to the above. Can SpaceX make point-to-point space travel profitable and safer and eventually replace airliners?
Bernard Arnault, chief of LVMH is now the world’s richest man with an estimated fortune USD190.1 bil. See below how LVMH became the world’s largest luxury company with market cap of USD404.4 bil.