Home / 2019 / May / 17

Daily Archives: May 17, 2019

Four Progressive Leaders to Receive the 2019 YPO Global Innovation Awards

Thirst CEO Mina Guli, RaySearch Laboratories AB CEO Johan Löf,

Malwarebytes CEO Marcin Kleczynski & Apeel CEO James Rogers honored

NEW YORK, May 16, 2019 (GLOBE NEWSWIRE) — YPO, the premier global leadership organization for more than 27,000 chief executives, today announced the winners of its prestigious Global Innovation Awards. Presented in conjunction with YPO Innovation Week, the Global Innovation Awards annually recognizes YPO members who are making an impact through transformation around the globe in four categories: Social Impact, Medical, Technology, and Manufacturing.

“Our goal for the 2019 Global Innovation Award winners is to recognize YPO member companies that are creating scalable solutions which address challenges both at a local and/or global level,” said Mohamed Alkady, YPO Global Innovation Awards Chair. “Each of these winners represent their category with glaring leadership and, most importantly, a clear mission and vision. This extraordinary group have demonstrated a desire and proven ability to make a real impact and we are delighted to present them with this well-deserved honor.”

The 2019 Global Innovation Award winners are:

  • Social Impact — Mina Guli, CEO of Thirst

Thirst is a non-profit organization focused on tackling the world’s water scarcity crisis by educating and engaging the next generation of global water ambassadors.

RaySearch Laboratories AB support thousands of clinics worldwide in the fight against cancer. By making oncology software faster, easier and more flexible, the company enables better care for cancer patients worldwide.

Malwarebytes imagines a world without malware, addressing the issue on a global scale for both consumers and businesses.

  • Manufacturing — James Rogers, CEO of Apeel

Apeel helps farmers and retailers maintain produce quality and greatly reduce food, water, and energy waste from farm to kitchen.

“Today’s announcement epitomizes and reinforces what is both unique and special about YPO and its members,” said Scott Mordell, CEO, YPO. “YPO is a global community that brings extraordinary leaders together, and through a value stream that comes from their member-to-member connections, allows them to accelerate their successes even faster. With our YPO 2019 Global Innovation Awards, we’re celebrating these successes and the impact these members are having on the global community.”

The 2019 Global Innovation Award winners were selected from over 90 nominations that were submitted by YPO members. A judging committee of YPO peers and a distinguished representative from Salesforce reviewed the submissions and determined the winners.

This year’s recipients have been invited to attend Salesforce’s annual Dreamforce conference. Dreamforce brings together thought leaders, industry pioneers and the entire Salesforce community for four high-energy days of learning, inspiration, equality and fun. Salesforce is a YPO Global Strategic Partner and the presenting partner for the 2019 YPO Global Innovation Awards. The YPO and Salesforce partnership is focused on helping YPO members become better leaders, drive business transformation, and connect to their customers in new ways.

YPO Innovation Week, taking place 12-19 May, connects influential entrepreneurs, innovators and thought leaders to exchange ideas about inspiration, breakthroughs and transformation through signature and digital events around the world.

About YPO:
YPO is the premier global leadership organization for more than 27,000 chief executives in over 130 countries and the global platform for them to engage, learn and grow. YPO members harness the knowledge, influence and trust of the world’s most influential and innovative business leaders to inspire business, personal, family and community impact. Today, YPO member-run companies, diversified among industries and types of businesses, employ more than 22 million people globally and generate USD9 trillion in annual revenues. For more information, visit ‪ypo.org.

YPO Media Contacts:
Amy Reid, areid@ypo.org, +1 646 678 0575 (United States)
Vickie Tikam, vtikam@ypo.org, +60 012 331 7411 (Asia)
Serena Marchionni, smarchionni@ypo.org, +34 699 903 472 (Europe)
Brittany Pirozzolo, bpirozzolo@ypo.org, + 1 972 310 9013 (United States)

Sundance Energy Australia Limited Reports First Quarter 2019 Financial and Operational Results

DENVER, May 16, 2019 (GLOBE NEWSWIRE) — Sundance Energy Australia Limited (ASX: SEA) (NASDAQ: SNDE) (“Sundance” or the “Company”), a U.S. onshore oil and gas exploration and production company focused in the Eagle Ford in South Texas, reported its first quarter 2019 financial and operations results today.

First Quarter 2019 Financial Results Highlights

  • First quarter net sales volumes were 1,107,222 boe or 12,302 boe per day, at the top end of the Company’s public guidance. This represents an increase of ~87% as compared to the same period for the prior year. First quarter sales volumes were ~63% oil, ~22% gas and ~15% NGLs.
  • Total revenue for the quarter increased ~99% to US $47.7 million as compared to the same prior year period.
  • Net Loss attributable to owners of the Company for the period was US $31.4 million, largely attributable to an unrealized loss on hedging of $37.1 million. Adjusted EBITDAX1 for the period was US $31.7 million, representing a ~62% Adjusted EBITDAX margin.
  • Average first quarter realized prices excluding the impact of hedging were US $56.47 per barrel of oil, US $2.58 per mmbtu of gas, and US $21.23 per barrel of NGL. This compares to an average WTI price of $54.82 for the quarter. Average first quarter price per boe was US$46.50.
  • Total cash operating costs for the quarter of US $17.90 per boe improved ~5% as compared to US $18.88 per boe for the same prior year period due to lower cash General and Administrative (“G&A”), Lease Operating Expense (“LOE”) and Workover expenses per boe. Cash operating costs for the quarter came in US $1.80 per boe, or ~9%, below guidance of US $19.70 per boe for the quarter.
  • As of 16 May 2019, the Company’s oil hedges covered a total of 5,371,000 barrels through 2023. Hedging covered approximately ~7,776 barrels of oil per day for the remainder of 2019 with a weighted average floor of US $61.09. These figures exclude hedges which have rolled off during the first four months of 2019.
  • First quarter development and production related expenditures totaled US $41.3 million primarily driven by the Company drilling faster than expected, incurring incremental capital costs of approximately $11 million which will reduce 2H 2019 capital expenditures.
  • Subsequent to the quarter’s end, on 16th May 2019 the Company announced a ~39% increase in its Senior Secured Borrowing Base Facility from US $122.5 million to US $170.0 million.

First Quarter 2019 Operational Highlights

  • Sundance brought 2.0 gross (2.0 net) wells onto production during the first quarter on its legacy acreage in Dimmit County. Immediately subsequent to the quarter’s end on April 1st, Sundance additionally brought online the 2.0 gross (2.0 net) well Bracken pad in McMullen County which was drilled during the quarter.
  • During the first quarter the Company additionally drilled the 4.0 gross (4.0 net) well Georgia Buck pad in Live Oak County. The Company exited the quarter with 8.0 gross (8.0 net) drilled uncompleted (“DUC”) wells in Live Oak, all of which it intends to complete during the second quarter. The 4.0 gross (4.0 net) well Roy Esse pad has begun flowing back as of the date of this report, while the Georgia Buck pad will be turned to sales early in the third quarter.
  • As of the date of this report, the Company was in the process of drilling the 4.0 gross (4.0 net) well HT Chapman pad in Live Oak County.
  • As of the date of this report, two additional compressors have been delivered to the CGP-41 gas processing plant. One of the compressors has been tied in, and the second is in the process of being tied in. Upon completion of this capacity expansion, the previously disclosed midstream constraints will be entirely removed at no material capital cost to Sundance. Sundance’s midstream partner is contractually obligated to fund certain infrastructure upgrades up to approximately US $10 million through the contractual term ending in 2022.

Second Quarter and Full Year 2019 Guidance Highlights

  • Sundance’s 2019 plan remains unchanged. The Company intends to operate within cash flow while still providing attractive production and Adjusted EBITDAX growth. The Company’s 2019 plan was formulated assuming a conservative $50 oil price environment. Any incremental cash flow from more elevated commodity prices will be utilized to pay down debt or for additional investment activities as appropriate.
  • During the second quarter, the Company anticipates average sales volumes of 13,500 to 14,000 boe per day for 2019. Sales volumes guidance for full year 2019 remains unchanged.
  • The Company anticipates second quarter EBITDAX of US $35 to $40 million.
  • The Company still intends to bring 25 wells online during full year 2019, at a capital cost of US $135 to $155 million. During the second quarter, the Company intends to spud 8 total wells and place 6 wells onto production, with the 4 well Georgia Buck pad expected to begin producing early in the third quarter.

____________
1 Adjusted EBITDAX is a Non-IFRS measure, please see reconciliation to net income (loss) attributable to owners of Sundance at the end of this release.

The table below provides an overview of the Company’s operational activity for year-to-date 20192:

Well Name County Spud
Date
Frac Start
Date
IP
Date
Lateral
Length
30-Day IP
(boe/d)
%
Oil
60-Day IP
(boe/d)
Roy Esse 15H Live Oak 1-Dec-18 7-Apr-19 4-May-19 4,718′
Roy Esse 16H Live Oak 28-Nov-18 7-Apr-19 4-May-19 4,792′
Roy Esse 17H Live Oak 26-Nov-18 7-Apr-19 4-May-19 4,657′
Roy Esse 18H Live Oak 24-Nov-18 7-Apr-19 4-May-19 4,702′
Bracken 22H McMullen 24-Jan-19 11-Mar-19 1-Apr-19 6,792′ 1,053 76%
Bracken 23H McMullen 22-Jan-19 11-Mar-19 1-Apr-19 6,630′ 856 76%
Georgia Buck 01H Live Oak 21-Feb-19
Georgia Buck 02H Live Oak 23-Feb-19
Georgia Buck 03H Live Oak 25-Feb-19
Georgia Buck 10H Live Oak 26-Feb-19
Chapman 11H Live Oak 16-Apr-19
Chapman 12H Live Oak 14-Apr-19
Chapman 13H Live Oak 12-Apr-19
Chapman 14H Live Oak 10-Apr-19

____________
2 Excludes the held for sale Red Ranch 18H & 19H wells in Dimmit County which were DUC wells at 12/31/18 and were brought online in February 2019.

The tables below set forth the Company’s hedge position as of 16th May 20193:

HEDGE POSITION OVERVIEW
Total Oil Derivative Contracts Gas Derivative Contracts
Weighted Average Weighted Average
Year Units (Bbls) Floor
Ceiling
Units (Mcf) Floor
Ceiling
2019 1,905,000   61.09   67.74 2,088,000   2.86   3.13
2020 2,046,000   56.92   60.49 1,536,000   2.65   2.70
2021 732,000   50.37   59.34 1,200,000   2.66   2.66
2022 528,000   45.68   60.83 1,080,000   2.69   2.69
2023 160,000   40.00   63.10 240,000   2.64   2.64
Total 5,371,000 $55.90 $63.02 6,144,000 $2.73 $2.83
CRUDE OIL HEDGE POSITION BY BASIS
LLS Derivative Contracts Brent Derivative Contracts WTI Derivative Contracts
Weighted Average Weighted Average Weighted Average
Year Units (Bbls) Floor
Ceiling
Units (Bbls) Floor
Ceiling
Units (Bbls) Floor Ceiling
2019 112,000 $52.51 $62.51 613,000 $60.59 $70.09 1,180,000 $62.17 $67.02
2020 2,046,000 $56.92 $60.49
2021 732,000 $50.37 $59.34
2022 528,000 $45.68 $60.83
2023 160,000 $40.00 $63.10
Total 112,000 $52.51 $62.51 613,000 $60.59 $70.09 4,646,000 $55.36 $62.09

____________
3 Excludes realized hedge volumes which rolled off during the first four months of 2019.

The following unaudited tables present certain production, per unit metrics and Adjusted EBITDAX that compare results of the corresponding quarterly reporting periods:

Three Months Ended March 31,
   
Unaudited 2019   2018   % Change
Net Sales Volumes
Oil (Bbls)   722,396   365,241 98 %
Natural gas (Mcf)   1,272,546   884,423 44 %
NGL (Bbls)   172,736   79,513 117 %
Total sales (Boe)   1,107,222   592,158 87 %
Average Daily Volumes
Average daily sales 12,302   6,580 87 %
Product Price Received
Total price received (per Boe) $ 43.12 $ 40.59 6 %
Total realized price (per Boe)(1)(2)(3) $ 46.50 $ 37.92 23 %
Total price received – Oil (per Bbl) $ 56.47 $ 55.15 2 %
Total price realized – Oil (per Bbl)(1) $ 61.15 $ 50.80 20 %
Total price received – Natural gas (per Mcf) $ 2.58 $ 2.46 5 %
Total price realized – Natural gas (per Mcf)(2) $ 2.73 $ 2.47 11 %
Total price received – NGL (per Bbl) $ 21.23 $ 21.60 (2 %)
Total price realized – NGL (per Bbl)(3) $ 22.23 $ 21.60 3 %
(1) Includes realized gains on oil derivatives of $3.4 million and realized losses of $1.6 million for the three months ended March 31, 2019 and 2018, respectively.
(2) Includes realized gains on natural gas derivatives of $0.2 million and realized losses of $6.7 thousand for the three months ended March 31, 2019 and 2018, respectively.
(3) Includes realized gains on NGL derivatives of $172.8 thousand for the three months ended March 31, 2019 and nil for the three months ended March 31, 2018.
UNIT COST ANALYSIS Three Months Ended March 31,    
Unaudited 2019   2018   % Change
Revenue/Boe (Inclusive of Hedging) $ 46.50 $ 37.92 23 %
Lease operating expense/Boe (7.84 ) (9.20 ) (15 %)
Workover expense/Boe (1.31 ) (2.05 ) (36 %)
Gathering, processing and transportation /Boe (2.55 ) 0.00 100 %
Production taxes/Boe (2.83 ) (3.13 ) (10 %)
Cash G&A/Boe(1) (3.37 ) (4.50 ) (25 %)
Net EBITDAX Margin per Boe $ 28.60 $ 19.04 50 %
 
Adjusted EBITDAX(2) $ 31,705 $ 11,279 181 %
Adjusted EBITDAX Margin (3) 61.6 % 50.2 % 23 %
(1) Cash G&A represents general and administrative expenses (non transaction-related) incurred less equity-settled share based compensation expense, which totaled $0.1 million and $0.4 million for the three months ended March 31, 2019 and 2018, respectively.
(2) See reconciliation of loss attributable to owners of the Company to Adjusted EBITDAX included at end of release.
(3) Adjusted EBITDAX Margin represents Adjusted EBITDAX as a percentage of revenue, inclusive of commodity derivative settlements, during the period.

Condensed Consolidated Financial Statements
The Company’s condensed consolidated financial statements are included below.

CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS
Three Months Ended March 31,
Unaudited (US$000s) 2019   2018
Revenue $   47,740 $   24,036
Lease operating, workover and production tax expenses   (13,257 )   (8,515 )
Gathering, processing and transportation expenses   (2,825 )   –
General and administrative expenses (non-transaction related)   (3,868 )   (3,031 )
Transaction-related expense   (527 )   (1,026 )
Depreciation and amortisation expense   (20,338 )   (12,187 )
Impairment expense   (3,479 )   (2,957 )
Finance costs, net of amounts capitalized   (8,243 )   (3,982 )
Loss on commodity hedging, net (1)   (33,343 )   (6,684 )
Loss on interest rate derivative financial instruments, net   (1,620 )   –
Other items income, net   19   1,066
 
Loss before income tax    (39,741 )   (13,280 )
 
Income tax benefit (expense)   8,320   (2,303 )
 
Loss attributable to owners of the Company $    (31,421 ) $    (15,583 )
(1) Included an unrealised loss on commodity hedging of $37.1 and $5.1 million for the three months ended March 31, 2019 and 2018, respectively.
CONDENSED CONSOLIDATED BALANCE SHEETS
       
(US$’000s) March 31, 2019(2)   December 31, 2018
  (Unaudited)   (Audited)
Cash $ 3,923 $ 1,581
Trade and other receivables   16,527   23,633
Derivative assets – current   481   24,315
Other current assets   3,929   3,546
Assets held for sale(1)   29,189   24,284
Total current assets   54,049   77,359
Oil and gas properties   728,005   712,870
Derivative assets – non current   1,941   8,003
Other assets   3,753   3,847
Total assets $ 787,748   $ 802,079
Current liabilities $ 56,144 $ 70,919
Derivative liabilities – current   3,919   436
Liabilities held for sale(1)   1,140   1,125
Total current liabilities   61,203   72,480
Credit facilities, net of financing fees $ 331,288 $ 300,440
Derivative liabilities – non current   8,020   2,578
Other non current liabilities   25,174   33,207
Total liabilities $ 425,685   $ 408,705
Net assets $ 362,063   $ 393,374
Equity $ 362,063   $ 393,374
(1) The Company’s Dimmit County Eagle Ford assets (and related liabilities) were classified as held for sale as of March 31, 2019 and December 31, 2018.
(2) The Company is in the process of finalizing its implementation of IFRS 16 – Leases, which was effective as of January 1, 2019.  The 2019 unaudited condensed financial statements presented in this release do not reflect the impact of IFRS 16.  The Company anticipates that it will recognize approximately $11 to $13 million of right to use assets and a corresponding lease liability on its balance sheet as of March 31, 2019. The first full interim financial statements issued by the Company in 2019 will reflect the implementation of this standard.
CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS
 
Three Months Ended March 31,
Unaudited (US$000s) 2019   2018
Operating
Receipts from sales $   50,183 $   25,896
Payments for operating and administrative expenses   (23,286 )   (9,026 )
Receipts (payments) for commodity derivative settlements, net   7,527   (1,613 )
Other, net   –   (2,324 )
Net cash provided by operating activities  $ 34,424 $ 12,933
Investing
Payments for development expenditures   (54,558 )   (7,058 )
Payments for exploration expenditures   (230 )   (1,359 )
Payment for Eagle Ford acquisition, net   –   (48,000 )
Other   (17 )   (62 )
Net cash used in investing activities ($ 54,805 ) ($ 56,479 )
Financing
Proceeds from the issuance of shares   –   47,585
Proceeds from foreign currency derivatives   –   991
Interest paid, net of capitalized portion   (7,308 )   (3,648 )
Proceeds from borrowings   30,000   –
Repayments of borrowings (including production prepayment)   –   (6,415 )
Other   36   –
Net cash used in financing activities $ 22,728 $ 38,513
Total Net Cash Provided (Used) $ 2,347   ($ 5,033 )
Cash beginning of period $ 1,581   $ 5,761
FX effect   (5 )   338
Cash at end of period $ 3,923   $ 1,066

Conference Call
The Company will host a conference call for investors on Thursday 16th May, 2019 at 4 p.m. MDT (Friday, 17th May, 2019 at 9 a.m. AEDT).

Interested investors can listen to the call via webcast at https://edge.media-server.com/m6/p/4tsj3ygb. The webcast will also be available for replay on the Company’s website.

Additional Information
We define “Adjusted EBITDAX”, a non-IFRS measure, as earnings before interest expense, income taxes, depreciation, depletion and amortization, property impairments, gain/(loss) on sale of non-current assets, exploration expense, share based compensation and income, gains and losses on commodity hedging, net of settlements of commodity hedging and items that the Company believes affect the comparability of operating results such as items whose timing and/or amount cannot be reasonably estimated or items that are non-recurring. Management uses Adjusted EBITDAX to facilitate comparisons of its performance between periods and to the performance of its peers.  This non-IFRS financial measure should not be considered as a substitute for, nor superior to, measures of financial performance prepared in accordance with IFRS.

Below is a reconciliation from the net income (loss) attributable to owners of the Company to Adjusted EBITDAX:

IFRS Income (Loss) Attributable to Owners of Sundance Reconciliation to Adjusted EBITDAX
 Three Months Ended March 31, 
Unaudited (US$000s) 2019 2018
Loss attributable to owners of the Company ($31,421 ) ($15,583 )
Income tax expense (benefit)   (8,320 )   2,303
Finance costs, net of amounts capitalized   8,243   3,982
Loss on derivative financial instruments, net   33,343   6,684
Settlement of commodity derivatives financial instruments   3,751   (1,583 )
Loss on interest rate derivative financial instruments, net   1,620   –
Depreciation and amortization   20,338   12,187
Impairment expense   3,479   2,957
Noncash share-based compensation   135   369
Transaction-related costs included in general and administrative expenses and other   537   1,036
Gain on foreign currency derivatives   –   (1,073 )
Adjusted EBITDAX $31,705 $11,279

The Company reports under International Financial Reporting Standards (IFRS).  All amounts are reported in US dollars unless otherwise noted.

The Company’s full Unaudited Activities Report as filed with the Australian Securities Exchange (ASX) and Securities and Exchange Commission on Form 6-K for the Quarter Ended March 31, 2019 can be found at www.sundanceenergy.net.

The Company’s 2018 Annual Report as filed with the ASX and Form 20-F as filed with the SEC can be found at www.sundanceenergy.net.

About Sundance Energy Australia Limited

Sundance Energy Australia Limited (“Sundance” or the “Company”) is an Australian-based, independent energy exploration company, with a wholly owned US subsidiary, Sundance Energy Inc., located in Denver, Colorado, USA. The Company is focused on the acquisition and development of large, repeatable oil and natural gas resource plays in North America. Current activities are focused in the Eagle Ford.  A comprehensive overview of the Company can be found on Sundance’s website at www.sundanceenergy.net

Summary Information

The following disclaimer applies to this document and any information contained in it. The information in this release is of general background and does not purport to be complete. It should be read in conjunction with Sundance’s periodic and continuous disclosure announcements lodged with ASX Limited that are available at www.asx.com.au and Sundance’s filings with the Securities and Exchange Commission available at www.sec.gov

Forward Looking Statements

This release may contain forward-looking statements. These statements relate to the Company’s expectations, beliefs, intentions or strategies regarding the future. These statements can be identified by the use of words like “anticipate”, “believe”, “intend”, “estimate”, “expect”, “may”, “plan”, “project”, “will”, “should”, “seek” and similar words or expressions containing same.

These forward-looking statements reflect the Company’s views and assumptions with respect to future events as of the date of this release and are subject to a variety of unpredictable risks, uncertainties, and other unknowns. Actual and future results and trends could differ materially from those set forth in such statements due to various factors, many of which are beyond our ability to control or predict. These include, but are not limited to, risks or uncertainties associated with the discovery and development of oil and natural gas reserves, cash flows and liquidity, business and financial strategy, budget, projections and operating results, oil and natural gas prices, amount, nature and timing of capital expenditures, including future development costs, availability and terms of capital and general economic and business conditions. Given these uncertainties, no one should place undue reliance on any forward looking statements attributable to Sundance, or any of its affiliates or persons acting on its behalf.  Although every effort has been made to ensure this release sets forth a fair and accurate view, we do not undertake any obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

For more information, please contact:

United States:
John Roberts
VP Finance & Investor Relations
Tel: +1 (720) 638-2400
Eric McCrady
CEO and Managing Director
Tel: +1 (303) 543-5703
Australia:
Mike Hannell
Chairman
Tel: + 61 8 8274 2128 or
+ 61 418 834 957

MATRADE to ramp up promotion in new markets

KUALA LUMPUR, The Malaysia External Trade Development Corporation (MATRADE) is ramping up products promotion in new markets while expanding into existing and traditional markets.

The traditional markets are the United States, China and Europe.

MATRADE chief executive officer Datuk Wan Latiff Wan Musa said MATRADE was also looking to diversify traditional export products for the country to include electrical and electronic components, and healthcare and medical devices, among others.

Currently, we have furniture and rubber gloves as Malaysia’s traditional export products, he told reporters after distributing bubur lambuk to MATRADE staff, here today.

Commenting on the performance of the country’s economy which grew 4.5 per cent in the first quarter of 2019, Wan Latif envisaged improved exports going forward with the baseline projection for the Malaysian economy to grow between 4.3 and 4.8 per cent for the year.

We have to admit, in the first quarter, February’s performance was not good due to shorted weeks and long holiday season, thus we need to perform better in the quarters to come to counter the situation in the first quarter, he added.

Source: BERNAMA (News Agency)

Yong Tai CEO injects RM36 million to raise stake to 20 per cent

KUALA LUMPUR, Yong Tai Bhd’s chief executive officer Datuk Wira Boo Kuang Loon is raising his stake in the company to 20 per cent from 12 per cent with an injection of RM36 million cash, to further grow the business.

In a statement Friday, the group noted Boo through Domain Capital Sdn Bhd (DCSB) will subscribe an additional 100 million new shares in Yong Tai under a corporate exercise which involves new shares issuance.

“The move to increase my stake in the company is a reflection of my continued conviction and confidence in the Yong Tai Group and the brand that has been built through the years,” Boo said.

Earlier, the group in a filing with Bursa Malaysia said it was looking to raise RM144 million from a proposed special Issue of up to 400 million new shares.

It entered into three subscription agreements with DCSB, Full Intelligent International Ltd and Datin Seri Faridatulfirdaus to formalise the parties’ intention and understanding in relation to the corporate exercise.

Under the agreements, the subscribers will subscribe 300 million special issues shares, while the remaining 100 million new shares will be placed out to independent third party investors soon.

Yong Tai, a tourism and cultural related property developer, expected the corporate exercise to be completed by the second half of 2019.

Source: BERNAMA (News Agency)

Public can pay zakat through Mercy Malaysia

KUALA LUMPUR, It is now possible for Muslims to fulfil their zakat (tithe) obligations by paying it to the Malaysian Medical Relief Society (Mercy Malaysia).

The non-profit humanitarian aid agency has been appointed by the Kedah Zakat Board and Perlis Religious Council’s zakat management division as the bodies’ zakat (tithe) collection agent.

The move allows Mercy Malaysia to receive zakat payments from public and corporate bodies and provides a major source for the agency to fund its humanitarian missions all over the world.

Mercy Malaysia’s Honorary Secretary, Razi Pahlavi Abdul Aziz, said the body has been looking for ways to receive zakat monies in order to generate funds for its activities since 2017.

“In order for Mercy Malaysia to qualify to be categorized as one of the eligible groups of zakat, we have also held discussions with zakat centers and the State Islamic Religious Council with emphasis on humanitarian issues and medical aid being channeled.

We also put forth syariah-compliant fundraising methods to raise funds for the humanitarian works through Islamic Social Financing (ISF), he said to Bernama in an interview recently.

Razi said the ISF, launched last year, permits Mercy Malaysia to receive syariah-compliant funds through means such as zakat, donation, ‘sukuk’ and micro financing.

The United Nations (UN) also sees this methodology (ISF) as an effective and effective alternative to raise funds to finance humanitarian programmes, he said.

Meanwhile, Head of ISF Fundraising and Events Amrul Hazarin Hamidon said 35 representatives from the United Nations (UN) and the International Council of Voluntary Agency (ICVA) came to Malaysia to learn the Islamic financing method as a major source of fundraising for humanitarian purposes.

“In the discussion, they asked for our technical expertise and learned more about ISF. And two Mercy Malaysia representatives were sent to Geneva in March this year to continue discussions regarding the ISF, said Amrul.

“To date, the collection through the ISF initiative has totaled RM500,000 since its launch last year, while Mercy Malaysia received funds from the Selangor Zakat Board for medical outreach to refugees, said Amrul.

He said Mercy Malaysia has also appointed Datuk Dr Mohd Daud Bakar, who is currently the Chairman of the Syariah Advisory Council at the Central Bank of Malaysia, as its syariah advisor.

Mercy Malaysia has now opened a bank account, especially for zakat payments. For details on Mercy Malaysia Zakat, email your questions to zakat@mercy.org.my

Established 20 years ago, Mercy Malaysia conducts humanitarian missions in turbulent countries due to disasters, wars and conflicts by channeling humanitarian aid in the form of emergency medicine, rehabilitation, reconstruction, rehabilitation and many more.

Source: BERNAMA (News Agency)

Taiwanese firms mull moving to Malaysia, ASEAN countries amid US-China tensions

KUALA LUMPUR, Amid the ongoing US-China trade tensions, many Taiwanese companies are opting to leave China by either returning to Taiwan or scouting for suitable sites in Southeast Asia, including Malaysia.

According to the Taiwan External Trade Development Council (TAITRA), Taiwan’s trade promotion agency, there are some 80,000 Taiwanese companies, many of which are small, operating on mainland China.

A large number of them manufacture or deal with machinery products, electronics and automation, supplying to a host of industries such as automotive and aerospace.

Coincidentally, the automotive and aerospace industries are also high on Malaysia’s list of priority industries.

Thus there is what Taiwanese corporate executives describe as a good fit with Malaysian companies, which are trying to assert their global position in these industries.

In an interview with Bernama in Taipei, TAITRA president and chief executive officer Walter Yeh pointed out that Taiwan’s two leading industries are information technology (IT) and machine-building industries.

As the world’s fourth largest exporter of machine tools and components, Taiwan has averaged US$4 billion in exports of these products for each of the last few years from a network of more than 1,000 precision machinery manufacturers and 10,000 plus downstream suppliers, he said.

Since the ongoing US-China trade war has unnerved many buyers and sellers, given the globalised character of supply chains, Taiwanese companies are looking for alternative sites for their new start-up operations.

This is in line with the Taiwanese government’s New Southbound Policy, which essentially focuses on cooperation with the ASEAN member states and also India. The policy is designed to reduce the dependence on China and tap the huge economic and trade potential inherent in the ASEAN region, particularly Malaysia, Indonesia, Singapore, Thailand and Vietnam.

The ASEAN Economic Community (AEC), launched in December 2015, has attracted considerable attention in Taiwan’s industry, which is willing to offer its unique smart technology based on a high level of artificial intelligence that is the mainstay of the Taiwanese industry’s future-oriented development, as one Taiwan industrialist put it.

Yeh said that with the rapid restructuring of the global supply chain, South Asia and the ASEAN have undergone incredible growth in recent years.

The economy in Taiwan is closely tied to the two regions. The ASEAN community is today the second largest export and investment destination for Taiwan. Malaysia is, of course, an interesting market for us and Taiwanese companies would be looking for opportunities in that country, he observed.

He said Taiwan has developed close ties with the ASEAN region in areas such as technology, trade and business and other fields.

The strategy adopted by many Taiwanese companies is to operate from inside the ASEAN region, which suggests that the combined market of over 500 million consumers could be penetrated by setting up manufacturing operations in one of the ASEAN member states.

Yeh pointed out that the island’s Southbound policy was aimed at intensifying trade and business with the ASEAN member states.

Already, Taiwan’s economy is intensely involved in the ASEAN region, following the rapid restructuring of the global supply chain and the impressive growth recorded by the ASEAN member states. Today, ASEAN is the second-largest export and investment destination for Taiwan. We have close ties, including business-to-business contacts, with the ASEAN region in the fields of technology, tourism, education, labour and culture, he explained.

Underscoring TAITRA’s interest in the ASEAN region, Yeh spoke of the three main thrusts undertaken by the agency.

TAITRA’s efforts are three-pronged for forging closer ties with the AEC enhancing human resource networks, providing marketing channels, which includes organising exhibitions, forming buyers’ networks, launching marketing alliances, etc and opening product promotion centres. These efforts are directed towards developing deep, long-term and diverse channels for Taiwanese companies to form partnership ties with the ASEAN economies, Yeh said.

Commenting on the growing trade protectionism and impact of the US-China trade tensions on Taiwan’s business, he said that in the short term, Taiwan’s companies may have to relocate their production operations, but they could also benefit from new orders for electronics and machinery, for example, as a result of the shifting market.

In the mid to long run, it would still be necessary for them to expand to other potential markets outside the US and China. Given their flexibility and resilience, Taiwanese companies are better equipped to work with interested partners, including from the ASEAN region, to develop markets outside the USA and China, he said.

He said that while Taiwan does not have a large domestic market for its sophisticated smart machinery, there is a huge international market created by the overseas manufacturing operations of Taiwan companies.

TAITRA is working towards solidifying Taiwan’s position as a global smart manufacturing hub.

Taiwan’s two product categories the IT and machinery sectors are the strengths of the island’s manifold industries. Yeh pointed out that Taiwan’s machine-tool products, for example, are unique and have highly-advanced innovative features designed to handle complex manufacturing functions with the deployment of robots and automation.

Taiwan exported in 2018 some US$4.565 billion worth of machine tools and components, an 8.28 per cent increase over the previous year. As the world’s fourth largest exporter of machine tools and components, Taiwan has averaged US$4 billion in exports for each of the last few years drawing on a network of over 1,000 precision machinery manufacturers and 10,000 plus downstream suppliers, he said.

Taiwan exports some 80 per cent of its total machine-tool production to 138 countries, helping solar energy plants, major semiconductor manufacturers, panel industries, multinational car makers and others in their innovation efforts and enhancing their competitiveness through an array of advanced machine-tool products.

Some Taiwanese companies operating in the Greater Taichung region, the home to 1,500 precision machinery manufacturers, are also building up contacts with companies in Malaysia’s Kulim Industrial Park. Taiwan has a large cluster of machinery and electronic manufacturers in its own Hsinchu Science Park which contributes over one trillion Taiwan dollars to Taiwan’s economy.

We can learn a lot from each other, remarked a trade official, who prefers to remain anonymous.

Source: BERNAMA (News Agency)

Taiwanese firms mull moving to Malaysia, ASEAN countries amid US-China tensions

KUALA LUMPUR, Amid the ongoing US-China trade tensions, many Taiwanese companies are opting to leave China by either returning to Taiwan or scouting for suitable sites in Southeast Asia, including Malaysia.

According to the Taiwan External Trade Development Council (TAITRA), Taiwan’s trade promotion agency, there are some 80,000 Taiwanese companies, many of which are small, operating on mainland China.

A large number of them manufacture or deal with machinery products, electronics and automation, supplying to a host of industries such as automotive and aerospace.

Coincidentally, the automotive and aerospace industries are also high on Malaysia’s list of priority industries.

Thus there is what Taiwanese corporate executives describe as a good fit with Malaysian companies, which are trying to assert their global position in these industries.

In an interview with Bernama in Taipei, TAITRA president and chief executive officer Walter Yeh pointed out that Taiwan’s two leading industries are information technology (IT) and machine-building industries.

As the world’s fourth largest exporter of machine tools and components, Taiwan has averaged US$4 billion in exports of these products for each of the last few years from a network of more than 1,000 precision machinery manufacturers and 10,000 plus downstream suppliers, he said.

Since the ongoing US-China trade war has unnerved many buyers and sellers, given the globalised character of supply chains, Taiwanese companies are looking for alternative sites for their new start-up operations.

This is in line with the Taiwanese government’s New Southbound Policy, which essentially focuses on cooperation with the ASEAN member states and also India. The policy is designed to reduce the dependence on China and tap the huge economic and trade potential inherent in the ASEAN region, particularly Malaysia, Indonesia, Singapore, Thailand and Vietnam.

The ASEAN Economic Community (AEC), launched in December 2015, has attracted considerable attention in Taiwan’s industry, which is willing to offer its unique smart technology based on a high level of artificial intelligence that is the mainstay of the Taiwanese industry’s future-oriented development, as one Taiwan industrialist put it.

Yeh said that with the rapid restructuring of the global supply chain, South Asia and the ASEAN have undergone incredible growth in recent years.

The economy in Taiwan is closely tied to the two regions. The ASEAN community is today the second largest export and investment destination for Taiwan. Malaysia is, of course, an interesting market for us and Taiwanese companies would be looking for opportunities in that country, he observed.

He said Taiwan has developed close ties with the ASEAN region in areas such as technology, trade and business and other fields.

The strategy adopted by many Taiwanese companies is to operate from inside the ASEAN region, which suggests that the combined market of over 500 million consumers could be penetrated by setting up manufacturing operations in one of the ASEAN member states.

Yeh pointed out that the island’s Southbound policy was aimed at intensifying trade and business with the ASEAN member states.

Already, Taiwan’s economy is intensely involved in the ASEAN region, following the rapid restructuring of the global supply chain and the impressive growth recorded by the ASEAN member states. Today, ASEAN is the second-largest export and investment destination for Taiwan. We have close ties, including business-to-business contacts, with the ASEAN region in the fields of technology, tourism, education, labour and culture, he explained.

Underscoring TAITRA’s interest in the ASEAN region, Yeh spoke of the three main thrusts undertaken by the agency.

TAITRA’s efforts are three-pronged for forging closer ties with the AEC enhancing human resource networks, providing marketing channels, which includes organising exhibitions, forming buyers’ networks, launching marketing alliances, etc and opening product promotion centres. These efforts are directed towards developing deep, long-term and diverse channels for Taiwanese companies to form partnership ties with the ASEAN economies, Yeh said.

Commenting on the growing trade protectionism and impact of the US-China trade tensions on Taiwan’s business, he said that in the short term, Taiwan’s companies may have to relocate their production operations, but they could also benefit from new orders for electronics and machinery, for example, as a result of the shifting market.

In the mid to long run, it would still be necessary for them to expand to other potential markets outside the US and China. Given their flexibility and resilience, Taiwanese companies are better equipped to work with interested partners, including from the ASEAN region, to develop markets outside the USA and China, he said.

He said that while Taiwan does not have a large domestic market for its sophisticated smart machinery, there is a huge international market created by the overseas manufacturing operations of Taiwan companies.

TAITRA is working towards solidifying Taiwan’s position as a global smart manufacturing hub.

Taiwan’s two product categories the IT and machinery sectors are the strengths of the island’s manifold industries. Yeh pointed out that Taiwan’s machine-tool products, for example, are unique and have highly-advanced innovative features designed to handle complex manufacturing functions with the deployment of robots and automation.

Taiwan exported in 2018 some US$4.565 billion worth of machine tools and components, an 8.28 per cent increase over the previous year. As the world’s fourth largest exporter of machine tools and components, Taiwan has averaged US$4 billion in exports for each of the last few years drawing on a network of over 1,000 precision machinery manufacturers and 10,000 plus downstream suppliers, he said.

Taiwan exports some 80 per cent of its total machine-tool production to 138 countries, helping solar energy plants, major semiconductor manufacturers, panel industries, multinational car makers and others in their innovation efforts and enhancing their competitiveness through an array of advanced machine-tool products.

Some Taiwanese companies operating in the Greater Taichung region, the home to 1,500 precision machinery manufacturers, are also building up contacts with companies in Malaysia’s Kulim Industrial Park. Taiwan has a large cluster of machinery and electronic manufacturers in its own Hsinchu Science Park which contributes over one trillion Taiwan dollars to Taiwan’s economy.

We can learn a lot from each other, remarked a trade official, who prefers to remain anonymous.

Source: BERNAMA (News Agency)