☕️ MACC in The Elephant Corruption Case

1. MARKET SUMMARY 📈

2. NUMBERS AT A GLANCE 🔢

Drunk with numbers

232 mil hectolitres – That’s how much wine was produced worldwide in 2025, according to the International Organisation of Vine and Wine. This is up 3% from 2024, but still 7% below the five-year average. This marked the third consecutive year in which output remained below average, with the organisation attributing the drop to the extreme and volatile weather faced by vineyards. France reportedly recorded its smallest harvest since 1957, with Spain’s output falling to a 30-year low. However, Italy regained its position as the world’s top producer with an 8% rise in output, assisted by favourable weather conditions.

USD830 bil (RM3.43 tril) – That amount represents the total loss in market value of the stocks of the world’s largest listed beer, wine, and spirits producers. This marks a 46% dip below the industry’s record high in Jun 2021. The lost market value is attributed to shifting drinking patterns and rising health concerns, compounded by US tariffs, the impact of interest rates on consumer spending, and elevated commodity prices. The shift in drinking patterns shows that people are drinking less, with a gauge of US alcohol consumption falling to the lowest point since records began in 1939. Warnings from the World Health Organisation and other health bodies have contributed to alcohol becoming less fashionable among millennials and Gen Z, resulting in lower demand.

50% – A 2025 Gallup poll showed that only half of young adults in the US drink alcohol, down from 59% in 2023 and below the 54% share for the general population, leading to what one sommelier called the “worst crisis in the wine world in 100 years”. In response, Chilean wine producers are turning to experiential tourism, sustainable farming, and social media campaigns to woo a younger generation.

3. IN MALAYSIA 🇲🇾

Bersama eyes 15 Johor seats
Parti Bersama Malaysia is set to contest 15 state seats in the upcoming Johor election, with leaders Rafizi Ramli and Nik Nazmi Nik Ahmad confirming that the full slate of candidates will be unveiled this Friday alongside the launch of the party’s campaign vehicle known as the “trak kancil”. The seats include Bukit Naning, Mahkota, Tiram, Puteri Wangsa, Johor Jaya, Permas, Larkin, Stulang, Perling, Kempas, Skudai, Kota Iskandar, Bukit Permai, Bukit Batu, and Senai, covering areas currently held by Umno, DAP, PKR, and Muda.

The party said the selection was based on six months of survey data, membership strength in parliamentary units and feedback from supporters in the respective areas, as well as the suitability of its candidates. Bersama also plans to roll out an integrated campaign system to recruit volunteers nationwide to support its ground efforts across the 15 constituencies. It said the approach aims to reduce campaign costs while building a broader volunteer-driven movement. The party added that the Johor election is not only about contesting seats but also about introducing a different political culture focused on public issues and long-term national direction. Meanwhile, the election will see Pakatan Harapan, Barisan Nasional and Perikatan Nasional competing across all 56 state seats in Johor.

MACC probes elephant deal
The MACC has opened an investigation into the transfer of three elephants named Dara, Amoi and Kelat from Taiping Zoo to Tennoji Zoo in Osaka, Japan, following allegations of irregularities and misconduct in the relocation process. The probe covers the Ministry of Natural Resources and Environmental Sustainability, the Department of Wildlife and National Parks and agents involved in the transfer arrangement. Authorities are reviewing claims that payments linked to the deal may not have been properly channelled to the government, along with possible elements of corruption, abuse of power or misappropriation of funds.

The commission said the investigation is still at an early stage and is being conducted comprehensively as investigators gather evidence and statements from relevant parties. The case gained attention after a wildlife advocacy group, Hidup, urged MACC to investigate, alleging that transactions linked to the transfer, reportedly valued at around RM53 mil, were not fully remitted to the authorities and involved several individuals.

Business updates
Ajinomoto Malaysia goes private: Japan-based Ajinomoto Co Inc is moving to take its Malaysian subsidiary Ajinomoto (Malaysia) Bhd private in a RM603.4 mil deal that will see it exit Bursa Malaysia. The offer price is RM20 per share and will be carried out through a selective capital reduction and repayment exercise. The Japanese parent currently holds 50.38% of the company and plans to buy out the remaining stake it does not own. At the same time, the group will also carry out a bonus issue of 571.1 mil shares funded by retained earnings to support the capital structure needed for the exercise.
Learn: What is share capital reduction?

The move is aimed at unlocking value for minority shareholders while simplifying the group structure. Ajinomoto highlighted that liquidity has been low, with average daily trading volume of about 38,715 shares over the past five years. The RM20 offer represents a 31.57% premium to the last closing price of RM15.20. It also noted that Ajinomoto Malaysia has not raised equity funding for more than 10 years while still incurring listing costs and management time. Once completed, the Malaysian unit will become fully owned by Ajinomoto Co Inc and will be delisted from Bursa Malaysia, allowing it to focus on long-term strategy and operational efficiency.

JCorp profit doubles to RM703 mil: Johor Corporation (JCorp) has reported a strong set of results for FY2025, with net profit more than doubling to RM703 mil for the year ended Dec 31, 2025. The state-owned group saw revenue climb 10% to RM7.63 bil, while profit before tax rose 45% to RM1.04 bil, driven mainly by its healthcare and agribusiness divisions alongside tighter cost control and improved efficiency across operations.

A key contributor was KPJ Healthcare Bhd, where revenue increased 9% to RM4.26 bil on higher inpatient, outpatient and surgical activity across its hospital network. The group’s real estate and infrastructure arm posted a 28% increase in revenue, while QSR Brands, which operates KFC and Pizza Hut in Malaysia, returned to profitability despite higher cost pressures and shifting consumer spending patterns, with revenue rising 19% to RM3.85 bil. JCorp said its balance sheet also strengthened, with net assets rising to RM12.21 bil and cash increasing to RM2.77 bil, while gearing improved to 0.75 times. The group highlighted sharper capital allocation and operational discipline as key drivers as it moves into its next phase of transformation focused on becoming an AI-first and impact-driven investment organisation.

Shorts:

1. Harimau Malaya gets new home
   Harimau Malaya’s long nomadic training era is set to end as the first phase of the RM69 mil National Training Centre in Putrajaya has been completed and is ready for use ahead of the 2026 ASEAN Cup in Sept. For years, the national men’s team did not have a permanent training ground. The facility features three training pitches with Bermuda grass, hybrid turf and synthetic surfaces to meet international standards. FAM said the centre will serve as the team’s permanent base, with FIFA contributing RM24 mil and a second phase worth RM45 mil planned for full facilities including a gym and recovery units.

2. 200L diesel subsidy quota
   The government will introduce a 200-litre monthly quota for subsidised diesel priced at RM2.10 per litre under the Budi Madani Diesel programme, with Finance Minister II Amir Hamzah saying it is based on usage data showing nearly 90% of drivers consume below this level. Eligible users can also apply for an additional 100 litres, bringing the cap to 300 litres for certain groups, with distribution managed through a MyKad-based system.

4. AROUND THE WORLD 🌎

US and Iran finish first round talks
What a tense start to negotiations. Before the first round of talks began, Trump threatened to resume attacks on Iran, while Iran retaliated by keeping the Strait of Hormuz closed. Pakistan and Qatar, acting as mediators, had a tough diplomatic job but reported that the first round of talks between the US and Iran had ‘encouraging progress’ as they had agreed on a roadmap towards ending the war in 60 days.

Iran reported that it managed to obtain some waivers for oil and petrochemical exports, the release of some frozen assets, and the launch of a reconstruction and development plan for the country. Meanwhile, the US said discussions focused on the Strait of Hormuz, Lebanon, nuclear issues, and implementation of the Memorandum of Understanding. Talks will continue throughout the week in Switzerland, but the big question is whether Israel will stop its attacks and whether Trump can keep his fingers off Truth Social.

China’s foie gras goes big
French foie gras with Chinese characteristics? That’s exactly what Chinese farmers are doing now for the hyper-popular but also hyper-controversial foie gras from France. Ducks or geese are force-fed up to six times a day during the final 10 days of their 100-day rearing period, to fatten up their liver, and are served as high-end delicacies in French restaurants. Now, China is converting that into affordable food through its low-cost and high-efficiency business processes to feed the country’s insatiable appetite for foie gras.

Unlike in France, foie gras is used in fried rice and dipped into hot pots. Frozen ones are dipped into red wine and blueberry sauce as desserts. The French will be horrified, but they could also be bowing down to China. Industry analysts predict that China could be the world’s biggest producer in the next few years. Production could have hit 14,000 tonnes in 2025, while France recorded 15,044 tonnes. Together, the two countries account for about 80% of global output, with the remaining being produced by Hungary and Bulgaria.

Tragedies
Qatar’s Ras Laffan explosion kills 13, injures 66
Just when there was hope that the Strait of Hormuz would reopen, disaster struck on Qatar’s Ras Laffan liquefied natural gas complex. Workers were restarting operations after it was damaged in Mar by Iran, but a ‘technical’ accident happened at the Barzan local gas supply facility on Sunday evening. An explosion occurred, leaving at least 13 dead and 66 injured. Ras Laffan LNG complex is Qatar’s largest LNG export facility and produces about one-fifth of the global supply. In Mar, Iranian missiles struck two of its key gas-processing units, reducing 17% of its export capacity. Qatar said repairs would take three to five years to complete. Now, with another explosion, Qatar would have its hands full trying to regain its pre-war production capacity.

Philippines school shooting claims three lives
What is a uniquely American event is now becoming more common in the Philippines. Two students brought a .38-calibre revolver and a 9mm pistol, and opened fire at San Jose National High School in Tacloban, a city on the island of Leyte. At least three students were killed, while seven were wounded. Investigations are ongoing, and victims have been transported to medical facilities for treatment. Meanwhile, the two suspects are now in custody. Shooting incidents are rare in the Philippines, but in Jul 2022, a gunman opened fire at an Ateneo de Manila University law school graduation ceremony in Quezon City. Three people were killed, including former Lamitan City mayor Rose Furigay.

Shorts:

1. UK Prime Minister to resign by Sept
   Seven prime ministers in the last 10 years since Brexit. The UK is undergoing a political crisis like no other, as its current PM, Keir Starmer, is resigning and paving the way for frontrunner Andy Burnham to become the seventh PM in 10 years. Both Starmer and Burnham are part of the Labour Party, and it seems that Burnham stands the best chance to lead the party in the next 2029 election. Starmer has led the party and government for two years, but support for him and the party has eroded. Nigel Farage’s Reform UK Party has been leading in the opinion polls for over a year. Starmer was criticised for being too robotic, while Burnham is known for his strong communication skills.

2. SK Hynix is now king over Samsung
   What an underdog story. In 2002, SK Hynix was on the verge of being sold to Micron. It was severely in debt after a failed expansion drive. Its shares plunged so much that it was declared a penny stock. But it pulled through and remained in creditor control for nearly a decade. Fast-forward to 2026, and SK Hynix has recently become bigger than Samsung in market capitalisation. It logged a KRW2,080 tril (RM5.62 tril) in market cap compared to Samsung’s KRW2,077 tril on 22 June. SK Hynix controls 61% of the High-Bandwidth Memory (HBM) global market, and its HBM chips are in high demand by global AI players for faster performance and lower power consumption. So far in 2026, SK Hynix’s share price has tripled, while Samsung’s has merely doubled amid the global AI boom.

5. FOR YOUR EYES 📺

1. If this were an Olympic sport, we could have won our country’s first gold.

2. Creative - turning local culture into collectible figures and artwork.

3. Domestic abuse - the other, less common side.