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KUALA LUMPUR: G Capital Bhd’s (GCAP) wholly-owned subsidiary, Northern Star Hydropower Sdn Bhd (NSH), signed a memorandum of understanding (MoU) with CCIAM Logistic Company Ltd (CCIAM Logistic) to develop clean energy solutions. Under this agreement, CCIAM Logistics will be the principal arranger for NSH to raise RM325 million (approximately US$65 million) for its 26 MWac small hydropower project development in Pahang within 60 days before a full-term agreement. This collaboration extends beyond financing, encompassing comprehensive services to implement robust environmental, social and governance (ESG) strategies. G Capital executive chairman General (Rt) Tan Sri Affendi Buang expressed optimism about the partnership as he sees it as unlocking a gateway to abundant global green capital and is eager to invest in GCAP’s small hydropower portfolio. “CCIAM Future Energy aligns perfectly with our vision for a sustainable future. Their expertise and presence at HKEX bridge the gap between China and international markets. This partnership will deliver significant benefits for all,” Affendi said in a statement. CCIAM Logistic is a subsidiary of the Hong Kong Stock Exchange (HKEX) main board-listed CCIAM Future Energy Ltd (CCIAM Future Energy). CCIAM Future provides energy-saving solutions, including heating, ventilation and air conditioning (HVAC) systems for commercial, retail and industrial buildings, and the provision of financial investment and loan financing businesses. “This strategic partnership is poised to accelerate Malaysia’s transition to clean energy by attracting foreign direct investment (FDI), fueling economic growth, and propelling the nation towards carbon neutrality,” Affendi said.

LONDON: European shares look set to track Asia’s negative lead on Monday after a weekend dominated by news of escalating tensions in the Middle East and fears of a wider regional conflict. The flight to safety began with talk last week of an Iranian strike on Israel and, after a raid with some 300 drones and missiles, the focus now turns to Israel’s reply. Gold XAU and the US dollar were firm, though the erstwhile safe-haven yen JPY EBS sank to a three-decade low – a reminder that market participants are still treating the Middle East primarily as a risk, albeit a growing one, while interest rates remain the main theme. Going some way to keeping that risk capped, US president Joe Biden told Israeli prime minister Benjamin Netanyahu the US will not take part in a counter-offensive against Iran. Still, the Cboe Volatility Index, or VIX – known as Wall Street’s fear gauge – is hovering near five-month highs. Oil prices were trading lower in Asia, though some analysts said that was because the risk of what Iran called retaliation had already been priced in last week and as traders wait to see if worries of a wider war actually precipitate. Brent futures LCOc1 hovered around US$90 a barrel, after touching a roughly six-month high on Friday. It has risen 17 per cent for the year, while US crude futures CLc1 have gained 19 per cent year-to-date. Any further increase in oil prices towards US$100 a barrel is going to be unwelcome news for central bankers battling rising consumer prices, with last week’s hotter-than-expected US consumer price report continuing to reverberate through markets. Later in the day, traders will get a sense of the strength of the US consumer with retail sales data for last month due. A slew of Federal Reserve speakers are also on the docket this week, with comments from Chair Jerome Powell on Tuesday coming under the spotlight. With US inflation having topped forecasts for three successive months, it’s hard to imagine the world’s most powerful central banker sticking to his same, somewhat-dovish tone from last month. While the geopolitical backdrop is likely to set the tone for the week, there are also plenty of economic events for traders to take cues from, from China’s first-quarter economic growth figures to British consumer prices. The US earnings season is also underway, though that got off to a lacklustre start after reports from the three big banks – JPMorgan Chase & Co, Wells Fargo and Citigroup – disappointed investors and sent Wall Street lower.

KUALA LUMPUR: The net selling trend by foreign investors has extended into its seventh consecutive week, amounting to RM373.5 million during the shortened trading week due to the Hari Raya Aidilfitri holidays. In its latest weekly fund flow report, MIDF Research said this is about 11 per cent wider than the net selling amount of RM336 million in the prior week. It said the sectors with the highest net foreign inflows last week include property (RM75.3 million), transportation and logistics (RM26.8 million) and construction (RM16.5 million). “Sectors they were net selling were financial services (-RM285.9 million), utilities (-RM85.4 million), and consumer products and services (-RM52.7 million),” it added. Meanwhile, it said local institutions remained as net buyers of Bursa for the seventh consecutive week, snapping up RM430.7 million worth of domestic equities. “Conversely, local retailers remained as net sellers for the fifth consecutive week, with net sales amounting to RM57.1 million. “They ended their 22-day streak of net selling by making purchases of RM9.5 million on Tuesday but engaged in net selling on Monday and Friday last week,” said MIDF Research. In terms of participation, the average daily trading volume (ADTV) decreased among local retailers (-3.1 per cent) and local institutions (-15.2 per cent), but increased among foreign investors (3.1 per cent).

KUALA LUMPUR: The ringgit is expected to remain soft and trade around RM4.76 against the American dollar next week ahead of talks by US Federal Reserve (Fed) officials on inflation and the US retail sales data. Bank Muamalat Malaysia Bhd chief economist Mohd Afzanizam Abdul Rashid said a slew of Fed officials are scheduled for talks next week, which he thinks will offer the same messages – that US inflation is still a concern and that they need to be convinced whether it can reach the American central bank’s 2 per cent goal. The US retail sales figure will be announced on Monday, with consensus estimates projecting it will grow 0.3 per cent month-on-month in March from 0.6 per cent previously. “Perhaps the first quarter of 2024 (1Q2024) gross domestic product results for China could be a market-moving data point as investors would want to gauge whether the second largest global economy could grow at around 5 per cent in 2024. Consensus estimates showed China’s economy grew 5.0 per cent year-on-year in 1Q2024,” he told Bernama. Meanwhile, he said the European Union consumer price index would also be interesting to examine. Street estimates show that the inflation rate will moderate further to 2.4 per cent in March, a sign that the European Central Bank could be on the right track to cut interest rates this year. On a Friday-to-Friday basis, the ringgit weakened to 4.7680/7730 versus the greenback compared with 4.7460/7490 a week earlier. The local note traded higher against most other major currencies. Meanwhile, he said the European Union consumer price index would also be interesting to examine. Street estimates show that the inflation rate will moderate further to 2.4 per cent in March, a sign that the European Central Bank could be on the right track to cut interest rates this year.

KUALA LUMPUR: Pulp and paper manufacturer Nextgreen Global Bhd (NGB), via its subsidiary Nextgreen IOI Pulp Sdn Bhd (NIP), signed a memorandum of understanding (MoU) with Xiamen C&D Paper & Pulp Group Co Ltd (Xiamen C&D). This is a strategic collaboration for developing and operating a green and sustainable paper pulp production facility. NGB managing director Datuk Lim Thiam Huat said this strategic collaboration marks a shared commitment to innovation, sustainability, and economic development that is a win-win for both parties. “By scaling up the utilisation of the innovative preconditioning refiner chemical-recycle bleached mechanised pulp (PRC-RBMP) technology with its China-based partner, we aim to pioneer a new era of eco-friendly industrial practices, driving progress and accelerate prosperity for the region and beyond,” he said in a statement. Xiamen C&D is a wholly-owned subsidiary of Xiamen C&D Inc under Xiamen C&D Corp Ltd, a global Fortune 500 company. Under the MoU, NIP and Xiamen C&D will establish a joint venture company with equity interests of 75 per cent and 25 per cent, respectively. The paper pulp production facility is set to be developed across 43 acres of land within the 410-acre Green Technology Park (GTP) in Pekan, Pahang, part of the Eastern Corridor Economic Region (ECER). The initial production capacity is expected to be 100,000 metric tonnes of paper pulp per annum, made from oil palm empty fruit bunches, using NGB’s patented  (PRC-RBMP) technology. NIP will lead feasibility studies, project preparation, procurement, and business development while also engaging with stakeholders and external financiers. Xiamen C&D will lend support in business development, assist with securing external financing, and manage the off-take of the facility’s output. “This MoU comes on the back of our recent announcement that we have entered into a shareholders’ agreement with IOI Paper Pulp Sdn Bhd, an indirect wholly-owned subsidiary of IOI Corporation Bhd, which paves the way for the development of the first large-scale zero-waste paper pulp plant at GTP. “The swift progress highlights our dedication and nimbleness in completing our master plan,” Lim said.