Investment & Market Trends

Lotus’s Malaysia, the Malaysian subsidiary of Thailand’s Charoen Pokphand Group retail business, is set to acquire Village Grocer along with four other retail brands in a deal valued at RM1.66 billion, according to reports by Says.com. The acquisition marks a major expansion for Lotus’s in Malaysia, strengthening its footprint in the country’s growing retail sector. Village Grocer, known for its premium supermarket offerings, has built a loyal customer base, while the additional four brands further diversify Lotus’s portfolio, spanning mid-market and convenience store segments. Industry analysts say the move positions Lotus’s Malaysia to better compete with both local and international supermarket chains, as consumer spending and modern retail demand continue to grow. The acquisition also reflects a broader strategy by the Charoen Pokphand Group to consolidate its retail operations in Southeast Asia and capture synergies across multiple store formats. Lotus’s Malaysia has not yet disclosed details regarding the integration plan for the acquired brands, but reports suggest the company will maintain existing management teams to ensure operational continuity while aligning corporate strategy across the group. The RM1.66 billion deal is expected to significantly boost Lotus’s market share in Malaysia and provide access to new customer segments. It also underscores the growing appetite for consolidation in the Malaysian retail sector, where competition is intensifying and scale is increasingly crucial for profitability. Regulatory approvals for the acquisition are expected to be sought in the coming months, with completion anticipated later in the year, subject to compliance with Malaysian competition and corporate regulations.

Gold futures contracts on Bursa Malaysia Derivatives are anticipated to trade within a broader range next week, as heightened volatility in the oil market begins to shape the wider macroeconomic outlook. Stephen Innes, managing partner at SPI Asset Management, noted that persistent tensions in West Asia and a surge in crude oil prices could place additional pressure on gold prices. “If the West Asia crisis continues without signs of easing and crude oil approaches a worst-case scenario near US$120 per barrel, the correlation we have observed between oil, yields, and the dollar suggests that gold could face further downward pressure from higher interest rates and a firmer US dollar,” he said. Under typical conditions, gold is expected to trade within roughly US$50 per troy ounce week-to-week. However, Innes added that current energy market volatility makes such predictions less reliable. “For now, I am expecting a broader trading range of around US$5,025 to US$5,125 per troy ounce,” he said. On a week-on-week basis, Bursa Malaysia gold futures contracts saw modest declines. The March 2026 contract fell to US$5,103.8 per troy ounce from US$5,128.50 previously, while April 2026 decreased to US$5,122.6 per troy ounce from US$5,147.0. The May 2026 contract dropped to US$5,141.8 per troy ounce from US$5,166.10, and June and August 2026 contracts settled lower at US$5,175.7 per troy ounce, down from US$5,200.0 per troy ounce. Weekly trading activity also showed a decline. Trading volume narrowed to 48 lots, down from 73 lots a week earlier, while open interest eased to 78 contracts, compared with 100 contracts previously. In the physical market, gold was fixed at US$5,130.1 per troy ounce during the London Bullion Market Association (LBMA) afternoon fix on March 12, 2026. Market analysts noted that while gold is traditionally seen as a safe-haven asset during periods of geopolitical uncertainty, its performance is increasingly linked to energy prices, interest rates, and the strength of the US dollar. Investors are expected to closely monitor developments in the Middle East and the oil market, as these factors are likely to influence gold’s short-term direction and trading range in the coming week.

Empire Premium Food Bhd, the owner of the popular Empire Sushi brand, has signed a retail underwriting agreement with Maybank Investment Bank Bhd (Maybank IB) for its upcoming initial public offering (IPO) and proposed listing on the Main Market of Bursa Malaysia. From left: Empire Premium Food Bhd non-independent executive director and COO Jordan Tan, Empire Premium non-independent executive director and CEO Nicole Lim, Maybank Investment Bank Bhd chief executive officer Micheal Oh-Lau and Maybank Investment Bank managing director and regional head of equity capital market Raymond Chooi. The agreement marks a key step in Empire Premium Food’s plans to raise capital from public investors, enabling the company to fund expansion initiatives and strengthen its presence in Malaysia’s growing food and beverage sector. Under the underwriting arrangement, Maybank IB will manage the retail portion of the IPO, ensuring smooth subscription and allocation for investors. This also provides confidence to the market that the IPO process will be well-structured and professionally managed. Empire Premium Food, known for its premium sushi and Japanese cuisine outlets, has seen strong growth in recent years, driven by increasing consumer demand for high-quality dining experiences. The capital raised from the IPO is expected to support the company’s strategic growth plans, including new outlet openings, technology upgrades, and potential regional expansion. Management said the IPO is part of its broader strategy to create long-term shareholder value while enhancing brand visibility in Malaysia’s competitive food and beverage market. The listing on Bursa Malaysia’s Main Market will also allow public investors to participate in the growth of Empire Premium Food as it scales operations and strengthens its position in the F&B industry.

The Armed Forces Fund Board (LTAT), Malaysia’s pension fund for armed forces personnel, is exploring opportunities to expand its investment portfolio into the technology sector, including the United States, as part of efforts to enhance long-term returns. According to sources familiar with the matter, LTAT is currently in discussions with relevant authorities to obtain approval for the proposed move. The plan, if greenlit, would see the fund diversify beyond traditional sectors such as property, infrastructure, and fixed income, tapping into high-growth industries that could generate stronger returns over time. The US technology sector, once a “hot” market for investors, has recently seen more cautious sentiment amid market volatility and geopolitical concerns. Despite this, LTAT believes selective exposure could provide attractive opportunities, particularly in companies with strong fundamentals and long-term growth potential. A spokesperson for LTAT said the fund is committed to ensuring that any new investment strategy aligns with its mandate to safeguard and grow the retirement savings of Malaysia’s armed forces personnel. “Our goal is to optimise returns for our members while managing risk prudently. Expanding into high-potential sectors such as technology is part of this strategy,” the spokesperson said. Industry analysts noted that Malaysian pension funds, including LTAT, are increasingly looking overseas and into growth sectors as domestic opportunities become limited or overvalued. By targeting areas such as US tech, LTAT aims to diversify currency exposure, tap into innovation-driven growth, and position the fund for long-term resilience. While details of the fund’s potential investment plan remain under review, market watchers will be closely monitoring LTAT’s moves, as any approval could signal a broader trend of Malaysian institutional investors seeking higher returns through selective exposure to global technology companies.

IJM Corp Bhd’s management is defending the company’s value and outlining plans to accelerate the unlocking of its assets, following Sunway Bhd’s conditional voluntary takeover offer of RM3.15 per share. In an independent advice circular (IAC) released on Friday, M&A Securities Sdn Bhd advised IJM shareholders that the offer is “not fair and not reasonable.” Following the advisory, IJM group chief executive officer Datuk Lee Chun Fai said the company is considering a restructuring plan that could see several of its business segments spun off into separate pure-play listed entities. The move is intended to better reflect the group’s underlying value and address the holding company discount currently applied to IJM’s share price. Lee said the existing conglomerate structure makes it difficult for individual business segments to be properly valued by the market. “When everything is put into one basket — highways, construction projects, profitable units and also operations that are not performing as strongly, such as our Indian business — the valuation tends to average out,” he said during an interview at IJM’s headquarters in Petaling Jaya. He noted that IJM’s construction division is performing strongly, supported by projects including data centres and the New Pantai Expressway (NPE2) extension. However, these strengths may not be fully reflected in the group’s overall valuation under its current structure. According to Lee, spinning off business segments into standalone listed entities may be the most effective way to unlock the company’s true value. However, the proposed restructuring would depend on the current board remaining in place. If major shareholders — including the Employees Provident Fund (EPF), Permodalan Nasional Bhd (PNB), and Kumpulan Wang Persaraan (Diperbadankan) (KWAP) — choose to accept Sunway’s takeover offer, the restructuring plan may not proceed. M&A Securities noted that Sunway’s offer represents a 46.1% to 51.4% discount to the estimated value of IJM shares, which it placed between RM5.84 and RM6.48 per share. The decision now rests with shareholders, who must determine whether to accept the takeover offer or allow the current management team time to unlock the group’s asset value through restructuring.

OGX Group Bhd, a new ACE Market-listed company, has secured RM72 million in confirmed orders as of January 13, 2026, boosting its expansion plans in East Malaysia. Managing director Tan Suan Loong said the orders, spanning business and education sectors in Sabah, are part of the company’s strategy to strengthen its presence in the state. “Demand in Sabah is growing, and we have secured several projects to support that growth,” he said at OGX’s post-listing press conference. Tan added that the company anticipates strong growth over the next 12 to 24 months, driven by ongoing expansion and new project acquisitions. OGX Group made its ACE Market debut at 28 sen per share, a seven-sen discount to its IPO price of 35 sen, with 6.67 million shares traded. Tan noted that geopolitical developments may temporarily affect the share price, but he is confident it will eventually reflect the company’s fundamentals and growth potential. The company plans to use IPO proceeds to expand its facilities, including a new site near its Bukit Jelutong, Selangor location, expected to be operational by mid-2027. OGX is also exploring opportunities to broaden its brand portfolio, with potential European and Chinese partnerships expected within six to 12 months.

Hong Leong Bank Islamic (HLB Islamic) has launched a refreshed consumer brand identity as HLB Islamic, along with its new initiative, Hayat @ HLB Islamic. HLB Group CEO Kevin Lam said the rebranding aims to strengthen the bank’s Shariah-compliant offerings and position HLB Islamic as a key growth engine, while providing a unified gateway for financial solutions across the Hong Leong Financial Group. Dafinah Ahmed Hilmi, CEO of HLB Islamic (centre left), and Kevin Lam, Group Managing Director and CEO of HLB (centre right), unveiled the refreshed identity of HLB Islamic and introduced Hayat @ HLB Islamic, the bank’s new proposition centered around wealth stewardship. “The transition to HLB Islamic allows us to connect more deeply with our diverse customers and scale our Shariah-compliant franchise as a primary growth driver,” Lam said. “By aligning our Islamic banking identity with the HLB brand, we make our solutions more accessible, intuitive, and digitally integrated.” Lam added that HLB Islamic aspires to be Malaysia’s preferred gateway for wealth management, offering customer-centric, value-based financial solutions that lead in innovation. HLB Islamic CEO Dafinah Ahmed Hilmi explained that Hayat @ HLB Islamic reflects a shift in how the bank approaches financial services, focusing on long-term wealth stewardship. “We design solutions around our customers’ life stages, making financial planning simple, seamless, and intuitive,” she said. The launch aligns with the bank’s vision of “Timeless Principles Guiding Tomorrow’s Wealth”, introduced during its 20th anniversary in December 2025, emphasizing sustainable and responsible wealth management for customers’ long-term financial security.

Malaysia should continue its diplomatic engagement with the United States while maintaining transparency in its manufacturing and supply chains and further diversifying trade, an economist advised. The remarks follow the US decision to launch Section 301 investigations into structural excess manufacturing capacity in several economies, including Malaysia.                       IPPFA Sdn Bhd director of investment strategy and country economist Mohd Sedek Jantan. Mohd Sedek Jantan, director of investment strategy and country economist at IPPFA Sdn Bhd, explained that Section 301 probes are a procedural step the US typically takes before imposing trade measures. “These investigations do not automatically lead to tariffs,” he said. “They allow Washington to assess whether certain manufacturing policies or production levels create burdens on US commerce, particularly after the Supreme Court invalidated earlier emergency tariffs.” Mohd Sedek noted that Malaysia’s exposure to the probe is moderate, as it focuses on manufacturing sectors that form key components of Malaysia’s exports to the US, such as electronics, semiconductors, and machinery. He added that the main risk lies in closer scrutiny of supply chains rather than broad tariffs. “The investigation could accelerate supply chain restructuring across Asia and ASEAN,” he said. “Companies may rethink where they locate production, leading to greater diversification within the region rather than concentrating output in a few countries.” He also highlighted that this development presents both risks and opportunities for Malaysia. While sectors like electronics and electrical products, semiconductors, machinery, and intermediate manufacturing could face increased scrutiny, the country could also benefit as multinational companies consider Malaysia a stable and neutral hub for regional production. “If trade measures are imposed, impacts are likely to be sector-specific, mainly affecting supply chains linked to these industrial segments rather than Malaysia’s exports broadly,” Mohd Sedek said. He emphasized that ASEAN cooperation will be critical, as many supply chains operate across multiple countries in the region. “Better coordination on rules of origin and supply chain transparency can help address US concerns while keeping ASEAN an attractive and trusted manufacturing base,” he added.

Oil and gas (O&G) services provider Elsa Bhd has received approval from Bursa Malaysia to proceed with its listing on the ACE Market, which is expected to take place in the second quarter of 2026. In a statement on Thursday, the company said the proposed initial public offering (IPO) is aimed at strengthening its capabilities in oilfield services, robotics and digital solutions as it expands its role within the energy sector. Managing director Daniel Ilham described the approval as a significant milestone for the group. “This approval marks an important step in Elsa’s corporate journey as we prepare to become a publicly listed company. It will provide us with a platform to further strengthen our presence as an integrated provider of O&G service solutions,” he said. Elsa had earlier released its draft prospectus in October, outlining plans for a public issuance of 118.4 million new shares and an offer for sale of 36.4 million existing shares by major shareholders. The IPO price and market capitalisation have yet to be finalised. According to the draft prospectus, Elsa offers oilfield support services across the entire field lifecycle, alongside digital infrastructure, engineering services and talent sourcing solutions. The company also holds a Petroliam Nasional Bhd (PETRONAS) licence and collaborates with international technology partners. Proceeds from the IPO will mainly be used to expand its oilfield services and digital solutions segments. Part of the funds will also be allocated to enhance its robotics and inspection capabilities, including acquiring specialised equipment and technologies to improve asset inspection efficiency for upstream clients. The remaining funds will be utilised as working capital to support the execution of contracts as the company’s project pipeline continues to grow. Chairman Amiruddin Zain said the listing represents a key stage in Elsa’s development, enabling the company to capitalise on opportunities driven by the growing demand for automation and efficiency in the global energy sector. “The move to the ACE Market marks a pivotal chapter in Elsa’s corporate evolution. As the energy industry increasingly focuses on efficiency and automation, this listing will provide the financial flexibility needed to capture these structural shifts,” he said. Malacca Securities is serving as the principal adviser, sponsor, underwriter and placement agent for the IPO.

PeterLabs Holdings Bhd’s former executive director Datuk Loh Saw Foong and his wife Datin Lin Ching Yein have officially ceased to be substantial shareholders, ahead of a non-interested shareholders’ vote on their planned repurchase of the company’s 60% unit under a settlement agreement. The couple sold their stakes via direct transactions on March 11, disposing of 16.315 million shares each, or 32.63 million shares in total—representing an 11.86% combined stake. Following the sale, Loh retains a 1.1% stake, while Lin holds no shares. Leong Kok Hou acquired the 32.63 million shares on the same day, becoming a substantial shareholder with an 11.86% stake. The transaction price was undisclosed, though Bloomberg data suggested a rate of 21 sen per share, a 22% discount to the March 11 closing price of 27 sen. The disposals follow a settlement agreement reached in October 2025, which resolved a dispute between PeterLabs, Loh, and Lin related to the company and its units, PeterLabs Sdn Bhd and 60%-owned Thye On Tong Trading Sdn Bhd (TOTT). Under the agreement, Loh and Lin will repurchase TOTT’s 60% stake at a price not exceeding the 2022 sale price of RM10.8 million. The proposed repurchase is scheduled for a vote by non-interested shareholders at an extraordinary general meeting on April 13. The dispute traces back to May 2025, following an internal investigation into alleged misconduct by Loh, which led to his temporary suspension. The Malaysian Anti-Corruption Commission also conducted raids on PeterLabs and TOTT offices as part of the probe. Shares in PeterLabs remained untraded on Thursday, last closing at 27 sen, valuing the company at RM72.93 million.