Stocks to watch: Proton, YTL Power, HeiTech Padu, KLK (Edge)

Stocks on Bursa Malaysia may see some mild upside on Wednesday, Dec 15 after US stocks cut gains to end mostly flat after a late-day sell-off on Tuesday.

Another cautious statement from the Federal Reserve on the economy offset strong retail sales data for November, according to Reuters.

The Dow Jones industrial average was up 47.98 points, or 0.42 percent, at 11,476.62. The Standard & Poor's 500 Index was up 1.13 points, or 0.09 percent, at 1,241.59. The Nasdaq Composite Index was up 2.81 points, or 0.11 percent, at 2,627.72.

Stocks to watch on Bursa Malaysia include PROTON HOLDINGS BHD [], YTL POWER INTERNATIONAL BHD [], HEITECH PADU BHD [], KUALA LUMPUR KEPONG BHD [] and KENCANA PETROLEUM BHD [].

Proton’s capital expenditure (capex) for Group Lotus plc's business turnaround plan of about £480 million (RM2.37 billion) over a five-year period was higher than expected, CIMB Investment Bank said in a research report.

YTL Power is venturing into Jordanian oil shale projects which will see it building an oil plant with an output with 38,000 barrels per day.

YTLP had acquired a 30% stake in Eesti Energia, Near East Investment’s (NEI) Jordanian oil shale projects.

HeiTech Padu Bhd has secured a RM36.79 million contract from the federal government to maintain the computer system of the Road Transport Department. It had accepted a letter of award from the government and the contract was from January 2010 to December 2011.

KL Kepong will fork out £42.4 million or RM209.8 million for its entitlement in the rights issue undertaken by its 18.82% owned Yule Catto.

Yule Catto, which is listed on the London Stock Exchange, is raising funds to acquire PolymerLatex Group, a European emulsion polymer products manufacturer with assets in Europe and Asia, for €443 million (£376 million).

Kencana Petroleum Bhd, with current order book of RM2 billion, plans to bid for contracts valued at four times more next year, said its group CEO Datuk Mokhzani Mahathir.

Meanwhile, the YTL group further restructured its property portfolio with the injection of a slew of assets into Starhill Real Estate Investment Trust (Starhill REIT), making it the first full-fledged hospitality REIT in the country.

LCL Corp Bhd, which was badly impacted by its exposure to the Dubai financial crisis, says it has yet to draw up a regularisation plan to exit from the Practice Note 17.

The non-interested directors of SUNWAY HOLDINGS BHD [] and SunwayCity Bhd have decided to accept the offer made by Sunway Sdn Bhd.

Sunway Sdn Bhd, a private limited company, owned by Tan Sri Jeffrey Cheah – founder of the larger Sunway Group – and Sarena Cheah, had made a RM4.5 billion offer for the assets and liabilities of the two companies.