Suria Capital Holdings Berhad

$SURIA / 6521 (SURIA CAPITAL HOLDINGS BERHAD)
Research by MIDF
SELL – TP RM1.60

" Jesselton Docklands 2 Development Moves Forward”

• Formalising the development of Jesselton Docklands 2 Project
• Entitled to at least 13% of the estimated NDV of RM3.32b
• Estimated development period of 15 years
• No changes to earnings estimates
• Maintain SELL with an unchanged TP of RM1.60

Analyst:
MIDF Research Team
research@midf.com.my

Sold $MASTER / 7029 (MASTER-PACK GROUP BERHAD) and $SURIA / 6521 (SURIA CAPITAL HOLDINGS BERHAD) for after nice 3 years of dividends, and gains
still holding $UOAREIT / 5110 (UOA REAL ESTATE INVESTMENT TRUST)

General Meetings: Outcome of Meeting

$SURIA / 6521 (SURIA CAPITAL HOLDINGS BERHAD)
Research by MIDF
Sell – TP of MYR 1.60

“Kota Kinabalu Mixed Commercial Project JV Inked ”

Maintain SELL. No changes were made to our earnings estimates. The development plan for the JD 1 Project is contingent upon obtaining the necessary approvals and is anticipated to have a development period of 6 years. The stock trades at +1.5 SD above its 5-year historical mean, suggesting a profit-taking opportunity. The awaited tariff revision could serve as a catalyst, which has yet to be factored into our analysis.

Analyst(s):
MIDF Research Team
research@midf.com.my

$SURIA / 6521 (SURIA CAPITAL HOLDINGS BERHAD)

TRANSACTIONS (CHAPTER 10 OF LISTING REQUIREMENTS) : NON RELATED PARTY TRANSACTIONSJOINT DEVELOPMENT AGREEMENT 1 ("JDA 1") ENTERED INTO BY SURIA CAPITAL AND JESSELTON DOCKLANDS 1 SDN BHD ("JD 1") IN RESPECT OF THE JOINT VENTURE TO JOINTLY DEVELOP ONE (1) PARCEL OF LAND OWNED BY SURIA CAPITAL MEASURING APPROXIMATELY 2.543 HECTARES SITUATED AT JALAN TANJUNG LIPAT, KOTA KINABALU, SABAH.

Quarterly rpt on consolidated results for the financial period ended 31/03/2024

Change in Boardroom - DATUK MOHD SOFIAN ALFIAN NAIR

Change in Nomination and Remuneration Committee - DATUK MOHD SOFIAN ALFIAN NAIR

SURIA - Notice of Book Closure

Annual Report & CG Report - 2023

Final Dividend

General Meetings: Notice of Meeting

Suria Capital Holdings Bhd’s partnership with DP World, an Emirati multinational logistics company based in Dubai, is viewed positively by MIDF Research.

OTHERSSURIA CAPITAL HOLDINGS BERHAD (THROUGH ITS WHOLLY-OWNED SUBSIDIARY, SABAH PORTS SDN. BHD.) INKS STRATEGIC COLLABORATION WITH DP WORLD FZE

KUALA LUMPUR: Suria Capital Holdings Bhd’s partnership with DP World to manage Sapangar Bay Container Port (SBCP) presents an opportunity to tackle Sabah’s high logistics costs.

© New Straits Times Press (M) Bhd

$SURIA / 6521 (SURIA CAPITAL HOLDINGS BERHAD)
Research by MIDF
Sell– TP of MYR1.60

“DP World Partnership Confirmed”

No changes were made to our earnings estimates. The stock is currently trading at a premium compared to both its own and the sector’s 5-year average. Therefore, we are maintaining our SELL rating on the stock based on valuation grounds, with our target price unchanged at RM1.60. A key catalyst for the stock would be the long-awaited tariff revision, which has been approved in principle in CY20 and has not yet been factored into our model.

Analyst(s):
MIDF Research Team
research@midf.com.my

Change in Principal Officer - MR LAI SU YIN

Change in Audit Committee - MISS EMMIE M IDANG

$SURIA / 6521 (SURIA CAPITAL HOLDINGS BERHAD)
Research by MIDF
Sell (Downgrade) – Target Price RM1.60

“Pending Port Tariff Revisions”

KEY INVESTMENT HIGHLIGHTS
• 4QFY23 core PATAMI missed our estimate
• Earnings dragged by amortisation expenses
• Anticipating full-year cargo contribution from KKIP plants
• Downward revisions of earnings between -28% to -29%
• Downgrade to SELL with a revised TP of RM1.60

Analyst:
MIDF Research Team
research@midf.com.my

Quarterly rpt on consolidated results for the financial period ended 31/12/2023

$SURIA / 6521 (SURIA CAPITAL HOLDINGS BERHAD)
Research by AmInvest
BUY - TP RM 2.55

"Developing Jesselton Waterfront with Exsim"

We maintain BUY on Suria Capital (Suria) with a higher DCFderived fair value (FV) of RM2.55/share (from RM2.27/share previously) by lowering its WACC to 7.5% from 8% given the possibility of a port handling tariff hike this year. This implies a FY24F PE of 15x, below Westports’ 16x currently. There is no FV
adjustment for ESG based on our neutral 3-star rating.

Suria has entered into 2 joint-venture-cum-shareholders’ agreements (JV Agreements) with Exsim Development’s 75%- owned BEDI Development (BEDI) to undertake the development of 2 parcels of prime land encompassing 35.2 acres within Kota Kinabalu Port.

Analyst:
AmInvestment Bank
Team Coverage

SURIA - Trading Halt & Resumption of Trading

TRANSACTIONS (CHAPTER 10 OF LISTING REQUIREMENTS) : NON RELATED PARTY TRANSACTIONSJOINT VENTURE CUM SHAREHOLDERS AGREEMENTS ("JV AGREEMENTS") ENTERED INTO BY SURIA CAPITAL HOLDINGS BERHAD ("SURIA CAPITAL") AND BEDI DEVELOPMENT SDN BHD ("BEDI") IN RESPECT OF THE JOINT VENTURE IN RELATION TO INTEGRATED MIXED-COMMERCIAL PROJECTS ON TWO (2) PARCELS OF LAND MEASURING APPROXIMATELY 2.543 HECTARES HELD UNDER TOWN LEASE 017561974 ("LAND 1") AND 11.69 HECTARES HELD UNDER COUNTRY LEASE 015722791 ("LAND 2"), SITUATED AT JALAN TANJUNG LIPAT, DISTRICT OF KOTA KINABALU, SABAH.

@portoftheyear

$RCECAP / 9296 (RCE CAPITAL BERHAD) - 29%
$SURIA / 6521 (SURIA CAPITAL HOLDINGS BERHAD) - 22%
$IDEAL / 9687 (IDEAL UNITED BINTANG INTERNATIONAL BERHAD) -21%
$CRESNDO / 6718 (CRESCENDO CORPORATION BERHAD) - 18%
$OFI / 7107 (ORIENTAL FOOD INDUSTRIES HOLDINGS BERHAD) - 10%

Change in Principal Officer - MR LAI SU YIN

$SURIA / 6521 (SURIA CAPITAL HOLDINGS BERHAD)
Research by MIDF
Neutral (Maintain) – Target Price RM1.70

“Below Expectations”

Maintain NEUTRAL. Adjusting for lower port throughput and margins to align with the 9MFY23 figures, we revised our earnings estimates for FY23E/FY24F/FY25F by -12%/-5%/-5%. Nevertheless, our DCF-derived TP stands higher at RM1.70 (from 1.45) with a lowered WACC assumption of 8% (from 9%). This adjustment is based on a lower equity risk premium, considering the expectation of a more stable container throughput resulting from the recent foreign direct investments. The stock is currently trading at +1.5SD from its 5-year historical mean. A key upside risk is the potential revision of port tariffs, which received initial approval in CY20 and is pending implementation.

Analyst:
MIDF Research Team
research@midf.com.my

SURIA - Notice of Book Closure

Interim Dividend

$SURIA / 6521 (SURIA CAPITAL HOLDINGS BERHAD)
SURIA CAPITAL REPORTS STABLE 9MFY23 FINANCIAL PERFORMANCE WITH CONTINUED SUPPORT FROM PORT OPERATIONS BUSINESS

Bursa Announcement: https://bit.ly/4a2kujO