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Bursa Malaysia Bhd’s net profit soared 613% to RM96.3mil in the fourth quarter ended Dec 31, 2009, against RM13.5mil a year earlier, mainly due to a RM76mil gain from the sale of a 25% stake in Bursa Malaysia Derivatives to CME Group Strategic Investment LLC.

Total revenue for the period jumped to RM157.4mil against RM71.1mil in the previous corresponding period.

Datuk Yusli Mohamed Yusoff … “This year, more companies are expected to to be listed as compared to last year.’

Revenue from equities trading increased 30% to RM33.7mil while sales from derivatives trading declined 20% to RM8.2mil.

Earnings per share were 18.2 sen for the quarter against 2.6 sen a year earlier.

It proposed a 9 sen dividend per share compared with 7.8 sen in the previous corresponding period.

Bursa Malaysia Bhd chief executive officer Datuk Yusli Mohamed Yusoff said Bursa was cautiously optimistic about good sentiments coming back to the market.

“So far, the recovery in global markets has seen an increase in trading activities and we hope to see this continue,” he said, adding that Bursa’s revenue was expected to be higher this year than last year.

However, capital expenditure (capex) this year would be increased to RM60mil.

“This year, more companies are expected to be listed as compared to last year with 20 companies having received approval but not yet in the market and a dozen that include Chinese companies are still being reviewed by the Securities Commission.

“This year too, our capex will be increased to upgrade clearing system and also for system related matter as we are going to spend on CME Globex, the world’s most widely distributed electronic trading platform,” he said.

Yusli said the launch of CME crude palm oil (CPO) futures contract trading was expected to be in the first half this year while the launch of trading on CME Globex was expected to be in the second half.

Bursa also expected to maintain the market capitalisation of all the companies listed on the board at RM1 trillion this year, he added.

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Four directors of listed offshore marine service provider Petra Perdana Bhd, including chief executive officer Tengku Datuk Ibrahim Petra Tengku Indra Petra, were removed last night at one of the longest extraordinary general meetings (EGMs) in local corporate history.

The EGM, which dragged for over 13 hours, was called by suspended executive director Shamsul Saad to remove Tengku Ibrahim, his wife Datin Nariza Hajjar Hashim, Wong Fook Heng and Tiong Young Kong.

Eager shareholders arrived as early as 8.30am for the 10am meeting at Renaissance Hotel ballroom. By the time the meeting ended at close to midnight, the shareholders were restless and agitated, with their numbers dwindling from 400 to about 100.

All EGM resolutions were passed, including the appointment of Datuk Kho Poh Eng, Koh Pho Wat, Surya Hidayat Abdul Malik and Ganesan Sundaraj as directors.

No reasons were given for the lengthy vote tabulation process which had started at 2.30pm.

Tengku Ibrahim wished the new board all the best. “We’ve done our best and we have no regrets,” he told reporters. “We did everything possible for the company.”

Meanwhile, Shamsul said the new board members would convene a board meeting first before determining the company’s next course of action.

The entire Petra Perdana saga started with the company selling its 25% stake in subsidiary Petra Energy in a move analysts said could affect the company’s ability to perform in the future.

The divestment would reduce Petra Perdana’s shareholding in Petra Energy to 29.59% with the Tengku Ibrahim faction indicating that the net proceeds would be used to pare down bank borrowings and for other financial obligations.

In December, Shamsul filed an injunction to stop the sale and last week Tengku Ibrahim filed an application to lift the injunction.

Meanwhile, Minority Shareholder Watchdog Group CEO Rita Benoy Bushon said the new board must ensure they have more independent members and there is separation of the role of the new chief executive officer and the chairman.

She added that the representation must be reflective of the shareholdings.

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Rin Kei Mei, who owns 15.5% of EON Capital Bhd (EON Cap), has called for an EGM to appoint eight new directors to join the current board of the financial group.

This latest development follows EON Cap’s rejection of Hong Leong Bank Bhd’s (HLB) RM4.92bil cash offer for the former’s entire assets and liabilities.

The appointments, if approved at the EGM scheduled for Feb 22 at Hotel Equatorial KL, will be of immediate effect and will increase the current EON Cap board size to 15 members.

“The company wishes to announce that the board of directors has today received a letter dated Feb 4 from Kualapura (M) Sdn Bhd and Lintang Emas Sdn Bhd to notify that they will call and convene an EGM pursuant to section 145 of the Companies Act 1965,” EON Cap told the stock exchange last night.

Both Kualapura and Lintang Emas are Rin’s investment vehicles.

“Rin’s group will have a majority of directors if the appointments are approved, and that will pave the way for any kind of fresh offer from HLB to go through,” an analyst said.

Rin is thought to be one of the more willing sellers of the deal as his entry cost was said to be well below HLB’s offer of RM7.10 per share.

On Tuesday, EON Cap rejected HLB’s RM4.92bil cash offer to buy its entire assets and liabilities, saying that it “undervalued” the company.

It said it would not table the offer for consideration and approval by shareholders, therefore lapsing the offer.

The statement yesterday named the eight proposed directors, namely Tengku Ahmad Faisal Tg Ibrahim, Tengku Azman Ibni Sultan Abu Bakar, Haron Siraj, Tan Leh Kiah, Zaha Rina Zahari, Wee Hoe Soon@Gooi Hoe Soon, Nicholas John Lough@Sharif Lough Abdullah and Ahmad Riza Basir

EONCap’s current seven-member board consists of chairman Tan Sri Syed Anwar Jamalullail, Datuk Dr Mohd Shahari Ahmad Jabar, Rodney Gordon Ward and Yeo Kar Peng.

All four are independent directors.

The other three members are major shareholders of EON Cap – they are Rin, Datuk Seri Tiong Hiew Khing and managing director and founding partner of Hong Kong private equity firm Primus Pacific Partners (Primus) Ng Wing Fai.

Of the major shareholders, Tiong has 17.1% stake, Primus which bought EON Cap shares in 2008 has a 20.2% stake, Khazanah Nasional Bhd 10% and the Employees Provident Fund 12%.

“Primus is believed to exert a significant influence on the board, so this proposed appointment of additional directors is seen as a move to dilute the influence of Primus,” an industry observer said.

Primus, said to be the unwilling seller in the deal, is understandably not interested in the all-cash offer as it had in 2008 bought EON Cap shares at RM9.55 each, which is more than a third above HLB’s offer price of RM7.10 a share.

Although HLB’s offer is lower than general expectations, it is believed that the price is still higher than Rin and Tiong groups’ cost of around RM2 per share, and Khazanah and EPF’s cost of below RM6 per share.

At RM4.92bil, HLB’s offer valued EON Cap at 1.4 times price to book value, which falls at the lower spectrum of the valuation range of previous local merger and acquisition deals.

Analysts have said that RM8 per share (1.6 times price to book value) could be a “fairer price’’.

Under the Listing Requirements, shareholders who hold at least 10% of voting rights in the company have the power to convene an EGM to appoint new directors to the board. A company board meanwhile can comprise up to 15 directors.

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