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(AFX UK Focus)
2009-11-18 11:07
SE Asia Stocks-S'pore, Malaysia fall; Indonesia up for 6th day |
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By Viparat Jantraprap BANGKOK, Nov 18 (Reuters) - Stock markets in Singapore and Malaysia fell on Wednesday, with developer Ying Li tumbling following a share issuance plan and palm oil shares such as Sime Darby and IOI Corp leading the decliners in Kuala Lumpur. The Straits Times Index ended down 0.7 percent, led by a 12.7 percent drop to S$0.62 in Ying Li International Real Estate following its proposed placement of 253.2 million new ordinary shares at just S$0.61 each. "Ying Li was hit by its proposed share placement plan because investors were worried about a potential dilution effect on its share price," a Singapore equities dealer said. Big caps erased early gains, with developer CapitaLand , Southeast Asia's biggest developer, easing 0.7 percent, and DBS Group sliding 0.8 percent. CapitaLand gained in early trade after it said the initial public offering of its shopping mall unit, CapitaMalls Asia, would result in a one-off gain of S$883 million and it might consider a special dividend. "We do not foresee Singapore shares doing too well, unless there is bullish sentiment from the U.S. market," the Singapore dealer said. Malaysia edged down 0.4 percent, erasing some of its 0.7 percent advance in the past two days, while Thailand inched up 0.1 percent after ending flat on Tuesday. Indonesia added 0.4 percent in rising trade volume, extending its gain into a sixth day, while the Philippines rose 0.7 percent and Vietnam climbed 1.23 percent. Palm oil firms Sime Darby and IOI Corp each lost almost 1 percent amid fears that rainy weather may cut output. "We maintain our underweight stance on the Malaysian plantation companies as valuations are expensive," said Credit Suisse in a research note on Wednesday. Investors in Kuala Lumpur positioned themselves for the listing of the country's top mobile phone firm, Maxis, on Thursday, and dealers said they expected Maxis to trade up when it makes its debut on the main market. Local funds, many of them squeezed out of Maxis's IPO allocations, are expected to chase up the stock in the open market, they said. In Jakarta, Aneka Tambang rose 1 percent after the state-owned miner said it would not join a consortium buying divested shares in a local unit of Newmont Mining Corp., since the stake on offer was too small. In Bangkok, banks led gainers, with fourth-ranked Kasikornbank up 2.1 percent and number three Siam Commercial Bank almost 1.0 percent higher amid optimism about their loan growth outlook. CIMB Thai Bank soared 29 percent, extending Tuesday's surge after its parent, Malaysia's CIMB Group , announced a plan to list in Bangkok.
In Manila, Philex Mining jumped 8.9 percent and Ayala
Land was up 2.1 percent. In Hanoi, financial firm
Baoviet added 5.6 percent.
(Additional reporting by AiPeng Soo in Kuala Lumpur; Editing by
Alan Raybould)
((viparat.jantraprapaweth@thomsonreuters.com; +66 2 648 9733;
Reuters Messaging:
viparat.jantraprapaweth.thomsonreuters.com@reuters.net))
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