Transcript Slide 1
Bumi Shareholdings 2002 2000 1998 1990 18.7% 19.1% 20.6% 19.3% Average Bumi Capital Growth Rate 1970-1991 29.6% 1992-2000 11.7% 2002 Non Bumi & Nominee shareholding Non Bumi shareholdings 2002 40.9% 2000 1990 Nominee Cos Bumi with half of nominees Non Bumi with half of nominees 40.3% 46.8% 9.2% 25.2% 45.5% Bursa Malaysia Market Capitalization: RM700b Every Co listed on Bursa complies with 30% Bumi share Bumis have 2 chances in public ballot resulting in every listed Co >30% Bumi shareholdings Government Linked Cos Post Asian Crisis: Many Bumi Cos purchased by Govt. & Petronas & became GLCs. Govt. paid higher than market prices & restructured them 57 listed GLCs: Market cap. RM260b GLCs comprise 54% of KLCI and 36% of Bursa capitalization Government Linked Cos GLCs directors, management and staff overwhelmingly Bumiputeras Bumiputera agenda in capacity building through development of human capital, suppliers and vendors Government holdings in GLCs should be included as Bumi Petronas 2003 Shareholders funds RM129.4b 2003 Profit before tax RM58b Market Cap at PE15x = RM870b. Larger than Bursa Market Cap of RM700b. Bumiputera Agenda in Capacity Building Sectorial Analysis Plantations: FELDA & PNB Cos Agriculture: Bumis own much of Agri land Aerospace: Airod Industries Defense: PSC Industries, Bumi Cos supply arms, equipment Petroleum & Gas: Petronas, MMC, licensing. Bumis have substantial holdings in MNCs Shell, Exxon, BP Sectorial Analysis Finance & Banking: 8 of 10 Banks are Bumi owned & controlled Automotive: Proton, Perodua, DRB Hicom,UMW, Naza. APs for Bumis Energy & Utilities: TNB, Malakoff New Industries IT Biotechnology Tourism Concerns What makes up the 18.7% Bumi? Public Cos: All have >30% Bumis Private Cos: Data not available to public Are we responsible for decline? State Government shareholdings? Shareholdings are at par value SMEs comprise 92% of registered Cos, 1/3 insolvent. Balance contributes to 6% GDP Corporate shareholdings not = wealth Ways of Maintaining Bumi holdings Classify Bumi shares as B shares. B shares trade at discount, higher yield Shares to be owned by trust institutions Once Bumi holding level is achieved. Any subsequent sale is not counted Khazanah and state holdings to be classified as Bumi