Stocks to watch: Sime Darby, Petra Perdana, Astro, Genting (ext: Edge)

At Bursa Malaysia, several government-linked companies could see interest including Sime Darby and Malaysia Airports Holdings Bhd (MAHB) following the fresh news. Pos Malaysia saw 25 million shares done off-market at an average price of RM2.30 apiece in the morning session. Other stocks are Petra Perdana, Mulpha International, Astro and Genting.

Sime Darby could attract attention as investors hope for the entry of a Chinese sovereign fund.

On Friday, Prime Minister Datuk Seri Najib Razak declined comment on reports that the government was offering a stake  of up to 10% in PLANTATION [ ] conglomerate SIME DARBY BHD [ ] to China, stating that he did not wish to "pre-empt" any decision.

Najib said he did not want to pre-empt any decision and that an announcement would be made once a decision was reached.

PETRA PERDANA BHD [ ] has disposed of 10.5 million shares in  PETRA ENERGY BHD [ ] at RM1.53 apiece for RM16.06 million. The proceeds from the divestment of the stake would be used to reduce borrowings.

However, the Petra Perdana group will sustain a loss on disposal of about RM500,000 arising from the disposal of the sale shares.

Mulpha International made a one-off group gain of RM16.81 million for the year ending Dec 31, 2009. after its units disposed of their entire combined stake in Pacific Orchid Investments Ltd.

Pacific Orchid's group core businesses are paint manufacturing and trading in petrochemicals.

Astro and Genting, which extended their losses on Friday, could continue to see some pressure after  the latest batch of corporate news which disappointed investors.