Trading ideas: UWC, Aeon Credit, IJM Corp, Barakah, Asdion

KUALA LUMPUR: JF Apex Research expects UWC Bhd, Aeon Credit Service (M) Bhd, IJM Corp Bhd, Barakah Offshore Petroleum Bhd and Asdion Bhd to be among the stocks to watch on Wednesday.

UWC makes its listing debut today on the Main Market. Upon its listing UWC will have a market capitalisation of RM300.77mil based on the issue/offer price of 82 sen and its enlarged share capital of 366.80mil.

Aeon Credit is being sued by the government to recover unpaid taxes due for the seven years of assessment from 2010 to 2016.

IJM Corp says it will seek “appropriate legal redress” after being terminated as the contractor for the underground package of the Light Rail Transit Line 3 (LRT3) project.

It noted that the termination was due to the project being remodelled from a project delivery partnership model to a fixed price contract model, pursuant to the direction of the government;

Barakah said its unit PBJV Group Sdn Bhd has been notified by national oil firm Petroliam Nasional Bhd (Petronas) that its unit’s licence has been suspended.

Asdion’s board has proposed to undertake a capital reduction to cancel RM30.76mil of its issued share capital, to eliminate the company’s accumulated losses.

Meanwhile, US markets were mixed overnight as investors wait for the Federal Reserve chairman’s testimony for indication of any rate cut.

Earlier, European stocks tumbled after being dragged by automotive and chemical companies.

“Following the lackluster performance in the US and Europe, the FBM KLCI could continue to hover below the resistance of 1,730 points,” JF Apex said.

Source: TheStar