MUHIBAH Stubburn Management refuse to write off bad debts...

[sjz]

MUHIBAH's management really stubburn!!
a huge sum of receivables should be classified as "doubtful debts" but they refused to do so, for over a year!!
instead insisting APH is "viable" project...

"We refer to our announcements made on 17 June 2011 and 9 August 2011, 26 August 2011 and 24 November 2011 in respect of APH project. We are informed that CIMB Bank Berhad (“CIMB”), the financier of APH has appointed PricewaterhouseCoopers as receivers and managers over APH in order to facilitate a restructuring exercise.
As APH is a viable project, Muhibbah Engineering (M) Bhd is working with various financiers, including CIMB, and other relevant parties towards an amicable solution.
Further material development will be updated accordingly."

[gamenmovie88]

Thats y the stock still weak despite so many other counters oledi recovered
only consider to buy when it drop to aorund rm 1
seem like a support there

[ckhkbursa]

Muhibah announced APH project  is a viable buy calllllllllllllllllllllllllllllllllllll lllllllllllllllllllllllllll

[deva74]

dreams

[ckhkbursa]

dreams

Muhibah announcement not you guess

[ckhkbursa]

Muhibbah Engineering<https://brokingrfs.cimb.com/MDVeuLtRIzLsVpSTQ6PUKDUpuJebDtIxlTu_q4P0ZBa-dm8zTEVDSyHFoUZ0qtpijhvH7Q2.pdf>-
APH solution in the works?
 APH has been put under receivership again, which is not necessarily bad
news for its main contractor Muhibbah as it could lead to an alternative
solution that would raise the additional funds needed to complete the
project.  The stock is trading above our worst-case target price (full
provisions) of RM0.81, based on an unchanged 40% RNAV discount. The share
price should be supported by potential positive newsflow on contract
awards. Maintain Trading Buy.

[prudent]

MUHIBAH's management really stubburn!!
a huge sum of receivables should be classified as "doubtful debts" but they refused to do so, for over a year!!
instead insisting APH is "viable" project...

"We refer to our announcements made on 17 June 2011 and 9 August 2011, 26 August 2011 and 24 November 2011 in respect of APH project. We are informed that CIMB Bank Berhad (“CIMB”), the financier of APH has appointed PricewaterhouseCoopers as receivers and managers over APH in order to facilitate a restructuring exercise.
As APH is a viable project, Muhibbah Engineering (M) Bhd is working with various financiers, including CIMB, and other relevant parties towards an amicable solution.
Further material development will be updated accordingly."

may be they think they hv the chance to recover the money .... not possible meh?

[ckhkbursa]

APH solution in the works?
APH has been put under receivership again, which is not necessarily bad news for its main contractor Muhibbah as it could lead to an alternative solution that would raise the additional funds needed to complete the project.
The stock is trading above our worst-case target price (full provisions) of RM0.81, based on an unchanged 40% RNAV discount. The share price should be supported by potential positive newsflow on contract awards. Maintain Trading Buy.
What Happened
Last Friday, Muhibbah, the main contractor for the Asia Petroleum Hub (APH) project, announced that the financier CIMB Bank has appointed PwC as receivers and managers for APH in order to facilitate a restructuring exercise. As APH is a viable project, Muhibbah, which is owed RM371m for works done, is working with various financiers, including CIMB and other relevant parties towards an amicable solution. There will be updates on further material developments.
What We Think
At first glance, this development is another negative surprise given that the earlier receivership status was lifted in late 2011. However, our checks indicate that this development could be positive as this time around, APH has been put receivership to allow for a potential restructuring. The previous receivership status was in response to APH’s inability to come up with additional funding. Though details are limited at this juncture, this announcement suggests that an alternative solution may involve the entry of other parties to facilitate an alternative funding structure. To complete the APH facility, an additional RM1bn-1.4bn is needed, probably to be raised through a syndicated loan.
What You Should Do
Investors should not be too alarmed by this news and should monitor APH developments. But it may be a few months before anything firm materialises. A potential catalyst in the short term is project wins, locally (MRT, 10MP, and oil & gas infrastrucure) and overseas (marine/port infrastructure).
 

[ckhkbursa]

buy call Muhibah

MUHIBBAH Engineering recovered to an intra-day high of RM1.23, the best since Nov 9, 2011 amid fresh bargain-hunting interest. Technically, it may inch higher, with the short-term indicators firming. A push above the 200-day simple moving average will see the fate of this counter turning brighter. Support is envisaged at the RM1.12-RM1.16 range.

[Cyong]

亞洲石油中心重組‧睦興旺可受益

分析評論
  2012-01-09 19:14

（吉隆坡9日訊）亞洲石油中心（APH）再接接管令，但分析員認為這次的接管令對睦興旺工程（MUHIBAH，5703，主板建筑組）而言，卻不完全是壞消息，因為這回APH將展開潛在的重組計劃。
 
聯昌委任普華永道為APH的接管人，且須協助APH展開重組活動。APH共拖欠睦興旺工程3億7千100萬令吉。
 
APH因無力尋求融資而在去年被接管，惟隨後在年杪被解除，但近期接管令又再纏身，不過相信APH將尋求其他解決方案來尋求融資，包括邀請其他方面加入，以儘快達成融資架構。
 
“所須的融資額高達10億至14億令吉，料通過聯合貸款取得。”
 
分析員認為，投資者不須對上述消息而感到過於焦慮，反而應持續觀察事件的進展，但或須耗時數個月才能達致協議。睦興旺工程短期潛在催化劑包括攫取海內外的多項合約。
 
主評：聯昌研究
 評級：短線買進
 目標價：1.38令吉（星洲日報／財經）


[/quote]

[ckhkbursa]

Muhibah APH solution in the works?
APH has been put under receivership again, which is not necessarily
bad news for its main contractor Muhibbah as it could lead to an
alternative solution that would raise the additional funds needed to
complete the project.
The stock is trading above our
worst-case target price (full
provisions) of RM0.81, based on an
unchanged 40% RNAV discount. The
share price should be supported by
potential positive newsflow on
contract awards. Maintain Trading
Buy.
What Happened
Last Friday, Muhibbah, the main
contractor for the Asia Petroleum
Hub (APH) project, announced that
the financier CIMB Bank has
appointed PwC as receivers and
managers for APH in order to
facilitate a restructuring exercise. As
APH is a viable project, Muhibbah,
which is owed RM371m for works
done, is working with various
financiers, including CIMB and other
relevant parties towards an amicable
solution. There will be updates on
further material developments.
What We Think
At first glance, this development is
another negative surprise given that
the earlier receivership status was
lifted in late 2011. However, our
checks indicate that this
development could be positive as this
time around, APH has been put
receivership to allow for a potential
restructuring. The previous
receivership status was in response
to APH’s inability to come up with
additional funding. Though details
are limited at this juncture, this
announcement suggests that an
alternative solution may involve the
entry of other parties to facilitate an
alternative funding structure. To
complete the APH facility, an
additional RM1bn-1.4bn is needed,
probably to be raised through a
syndicated loan.
What You Should Do
Investors should not be too alarmed
by this news and should monitor
APH developments. But it may be a
few months before anything firm
materialises. A potential catalyst in
the short term is project wins, locally
(MRT, 10MP, and oil & gas
infrastrucure) and overseas
(marine/port infrastructure).

[prudent]

this is another example of bad managed project lor ..... was it given to cronies?  although they want to revive it, but it take time lor ..... 

[sjz]

firstly receivership takes TIMESSS to settle every debts and there might be a haircut of the debts as amount owing to Muhibah is being considered as "payables"....
so in every scenario, the amount should be classified as doubtful debts for the time being until finally in one day, muhibah successfully recover the debts, which might or might not be happening, by then, only make amendments...

[tycoon88]

fire the external auditor. they are not doing their job.

i think they more concerned wit losing the biz to another competing audit firm.

[ckhkbursa]

Muhibah the debt of APH RM370m settle?? and CIMB RM800m

[mestikaya]

Muhibah the debt of APH RM370m settle?? and CIMB RM800m

the project only saviour is CIMB as they already invested RM800m, no way out already except try to revive

[sjz]

"APH to see new shareholders "
Muhibbah Engineering Bhd and CIMB Group Holdings Bhd could end up as shareholders through a debt-to-equity swap.

OH great.....now there is a debt-to-equity swap for MUHIBAH...
it's basically useless as no buyer will buy the shares of APH MUHIBAH entitled for, at least for now as APH is in jeopardy...
the only savior here is CIMB.

the statement by MUHIBAH few months later.
"there are reasonable grounds to hold that the receivables are recoverable in due course."
they shud hav write off this amount a lot sooner...

[ckhkbursa]

sellllllllllllllllllllllllllllllll..... ........Muhibah Runnnnnnnnnnnnnnnnnnnnnnnnnnn

[ckhkbursa]

 

[ckhkbursa]

RHB: CIMB not seeking control of APH
By Lee Wei LianFebruary 03, 2012KUALA LUMPUR, Feb 3 — CIMB is not seeking to run the troubled multibillion-ringgit oil terminal project in Johor of which it is the main financier, but is seeking investors to take it over, RHB Research Institute said today.

RHB also said that while the loan to Asia Petroleum Hub (APH) had only been partially  drawn down, there were no plans for  further disbursements at this point in time.

APH reportedly owes CIMB some RM840 million, which was part of a RM1.4-billion bridging loan facility provided  back in 2006.

It was also reported yesterday that as part of the settlement hammered out in recent days, the current shareholders — KIC Oil & Gas (90 per cent stake) and UMNO-linked Trek  Perintis (10 per cent) — had agreed to surrender their equity holdings, although it was not clear if they received financial compensation.

“From our conversation with management, we understand that CIMB does not intend to end up as a shareholder of APH  but rather, CIMB has been seeking suitable investors to take over APH and complete the project,” RHB said in a report today.

“Finally, although the loan has only been partially drawn down, we were made to understand that there were no plans for further disbursements at this juncture.”

It added, however, there was a possibility that APH might be able to draw down on the loan if new investors were found to complete the project.

APH in Johor was once billed as one of the world’s largest fully integrated terminals but was put under receivership by financier CIMB Bank, and PricewaterhouseCoopers were appointed as receivers and managers of the project three weeks ago.

It was designed with a storage capacity of 924,000 cubic metres and large trans-shipment capacity, and located on a 40-ha reclaimed island off the coast of Johor.

RHB said APH was to be completed in 2009 but was now only 60 per cent completed following delays as the soil on the island was found to be unsuitable to be built on.

[ckhkbursa]

傳APH獲聯昌財團注資‧工程或重啟‧睦興旺鬆口氣
大馬 2012-02-04 13:32
（吉隆坡3日訊）由聯昌集團（CIMB，1023，主板金融組）主導的一支財團盛傳與睦興旺工程（MUHIBAH,5703,主板建筑組）聯手通過債務轉換股票方式收購亞洲石油樞紐（ASIA PETROLEUM CLU或APH）高達75%股權，為後者注入新生命力，以完成未竣工的工程。

分析員認為，此舉對睦興旺工程來說是正面的，消除該公司或需提供3億7千萬令吉呆賬撥備的疑慮，也可能從中攫取一些工程合約。

無論如何，一些分析員指出，APH未完成的工程需注入額外資本開銷仍然是隱憂，進而可能影響此工程計劃的可行性。

工程成本多了10億

據悉，上述工程的成本比原先成本為14億令吉已高出10億令吉。

新加坡《新海峽時報》昨天報導，APH獲由聯昌集團主導的一支財團注入資金而重獲生命力，涉及此項重組的銀行家表示，此項拖延的股權紛爭拖累此計劃的推行，聯昌集團已承諾提供所需的融資，以完成此項工程。

聯昌放貸超過8億

據悉，聯昌集團已放貸超過8億令吉。

涉及此工程的一銀行家說：“收購此工程對銀行家來說是有點不確定性的，但它是可行的計劃，沒有理由銀行會拒絕。”

在新財團的入局下，APH現有股東，即KIC石油與天然氣私人有限公司（90%股權）及TREKPERINTIS（10%股權）已同意放棄其現有股權。

肯納格研究指出，APH的人工石油終站海島工程已完成三分二或大約60%，新財團的加入，希望可以重新啟動此工程在18個月內完成。此工程對此財團來說是可行的，對睦興旺工程是正面發展，因它可以解決來自APH的3億7千萬令吉長期應收款項之隱憂，紓緩此公司或提供撥備的壓力。

睦興旺工程持有APH的股權未詳，但根據3億7千萬令吉到期應收款項及1對1的債務換股方式計算，加上總成本高達24億令吉，該行預計睦興旺工程或持有此工程高達15%股權。

肯納格說：“APH未完成的工程需注入額外資本開銷仍然是隱憂，以補償成本的超支，進而可能影響此工程計劃的可行性。”

隨著此公司通過聯營公司攫獲的澳洲出口設施工程，睦興旺工程的盈利可見度至少在未來3年會改善，其有訂單為32億令吉，其他業務也持續提供穩定的賺幅。

可能獲至少10億額外工程

聯昌研究表示，上述消息對睦興旺工程及APH工程來說皆是佳音，但也不會令人感到太訝異，因該公司提供撥備的機率已減低，同時也可能獲得至少10億令吉的額外工程。

基於APH或在未來1至2個月逐步扭轉乾坤，該行認為，投資者應當考量這是購買的良機，就算昨天的漲勢，以調整的目標價，仍然具備16%上漲空間。（星洲日報／財經）