Market firm and KLCI ease slightly...

The FBMKLCI declined 7.93 points to close at 1,766.07 yesterday. Its resistance level of 1,766 and 1,826 will cap market gains, whilst obvious support areas are located at 1,718 and 1,764.
 
MAXIS
 
Maxis reported 1Q13 net profit of MYR475m (-17% YoY, +26% QoQ), 23% of our full-year forecast and 22% of consensus. An 8.0sen DPS was declared as expected. Within the sector, Maxis continues to offer attractive dividend yields, but remain wary of the long-term sustainability of its dividend commitment. Maintain HOLD with a higher target price of MYR7.20 (from MYR6.25).
Hong Leong Bank
 
HL Bank's 9MFY6/13 recurring net profit of MYR1,440m (-0.9% YoY) was in line with the consensus of full-year forecasts. There was little to excite in 3QFY6/13 results, with net profit down 11% QoQ and 23% YoY due to tepid topline growth and higher credit costs. Forecasts are maintained, MYR15.80 TP (2013 P/BV of 2.1x).
 
OTHERS
 
AMMB: Manulife, Metlife among suitors for AMMB insurance unit. Manulife Financial Corp and Metlife Inc are among companies that have made bids for a controlling stake in the life insurance unit of AMMB Holdings Bhd, the third insurance deal in the country over the past year. Zurich Insurance Group, Hong Kong tycoon Richard Li's Pacific Century Group, ACE Ltd and two Japanese insurers have also submitted first-round bids to buy up to 70% in unlisted AmLife Insurance Bhd worth USD350m (MYR1.04b). (Source: The Star)

CIMB: Resumes Thailand Stock Exchange dual-listing plan. CIMB Group Holdings Bhd has officially resumed its plans for a dual listing on the Stock Exchange of Thailand (SET), after postponing it numerous times due to an unresolved double taxation issue. In a filing with Bursa Malaysia, CIMB Group said it had decided to resume its planned dual listing, following recent regulatory developments in Thailand. (Source: The Star)

DiGi: To invest in network modernization. DiGi.Com Bhd, which is looking to invest MYR750m as capital expenditure this year, has reiterated that it was still looking into the possibility of setting up a business trust. DiGi is currently exploring the trust as a potential vehicle for its capital management initiatives. On capex, 80% of this year's allocation would be mainly for its network modernisation for the long-term evolution (LTE) or 4G and 3G networks. (Source: The Star)

Iskandar Investment: IRDA confident of getting MYR21b new investments by year-end. Iskandar Regional Development Authority (IRDA) is confident of attracting MYR21b in new investments by the end of the year. Chief executive officer Datuk Ismail Ibrahim said this was based on the continuous strong interest shown towards the country's first economic growth corridor. Iskandar had received MYR5b in new investments as of the 1Q13, bringing the total cumulative committed to MYR111.3b from 2006. (Source: The Star)

Construction: Private sector continues to drive construction activity. The private sector continued to dominate construction activity in the country with an increase of share to 69.8% in 1Q13. This compares to the 68.4% share in the 4Q12. The total value of construction work done in the first quarter 2013 recorded a decrease of 5.4% QoQ to MYR21b. However, the percentage change YoY showed a significant growth of 18.4%. In 1Q13, the highest percentage share was contributed by the civil engineering sub-sector with 38.0%, followed by non-residential buildings (32.0%), residential buildings (25.8%) and special trade (4.2%).(Source: Business Times)