News by Ben Shane Lim

Group notes rebound in sub-RM600,000 portion of market.

Razor-thin margins, volatile material costs, labour shortage are said to make large projects untenable…

According to sources, a large local fund has been in talks with E&O on taking up an equity stake in the sea-fronting development project near Penang island. The project, Phase 2A, involves reclaiming 253 acres (102.38ha) of land, which has an estimated gross development value of RM20 billion.

Tan Sri Lim Kang Hoo, the property tycoon who has been in the news since he bought into 1Malaysia Development Bhd’s Bandar Malaysia project, is said to have shelved plans to list his flagship Iskandar Waterfront Holdings Sdn Bhd (IWH).

Riding on a tide of good news over the past one year, Ekovest Bhd’s market capitalisation has surged over 140% to RM2.22 billion.

After operating for almost 15 years and now enjoying record-high passenger volumes, many would ­expect that KLIA Ekspres to be a commercially viable project that can stand on its own.

It only takes one bad quarter to spook investors. After posting a 20% drop in first-quarter net profit, Gadang Holdings Bhd saw its share price fall almost 13% from a record high of RM3.38 two days earlier.

Kesturi stake disposal is in line with strategy for matured infrastructure assets.

Tan Sri Liew Kee Sin can breathe a sigh of relief. The listing of his overseas property development outfit, Eco World International Bhd (EWI), is now on firm footing with Tan Sri Quek Leng Chan’s GuocoLand Ltd set to take up a strategic 27% stake.

The privatisation was first proposed in May.