Malaysia’s corporate makeover
Surachet aims high with Aseambankers
UEM provides reform blueprint
THE TELL-TALE sign is in the price. When Khazanah, the Malaysian state’s investment arm, became the first borrower to issue an Islamic exchangeable bond in late September it chose Telekom Malaysia as the counterpart into whose shares the bonds can be exchanged.
TM is the biggest firm in Khazanah’s portfolio, and, as such, is most closely associated with the mainly historically pedestrian performance of Khazanah’s various holdings. In the past year, however, as part of Khazanah’s drive to overhaul the companies in which it owns stakes, the telecoms operator has started to clean up its act and make headway in its restructuring. Revenues are up, costs are down and the company’s total outstanding debt is less than 33% of its assets, fulfilling one of the criteria for Shariah compliance. ...
