☕️ Nagaentrahn, Malaysian death row inmate in Singapore, to hang today after mum's final appeal dismissed

1. MARKET SUMMARY

2. NUMBERS AT A GLANCE

USD7 bil — the amount of aid Ukraine needs monthly, according to its president Volodymyr Zelensky during an address to the International Monetary Fund (IMF) and World Bank. The World Bank estimates the war in Ukraine has incurred about USD60 bil of physical damage.

RM210 — the average amount Malaysian households lose monthly in terms of food waste disposal costs. Housing and Local Government Minister Reezal Merican Naina Merican said Malaysians produce 38,000 tonnes of solid waste daily, and of that amount, about 17,000 tonnes is food waste.

Countries are spending more than USD2 trillion per annum on military as European countries beef up their armed forces in response to Russia’s invasion of Ukraine.

3. COVID-19 SUMMARY

• The US Food and Drug Administration (FDA) expanded its approval of the Covid-19 treatment — remdesivir — to young children, including pediatric patients 28 days of age and older, weighing at least 3 kg.

4. IN MALAYSIA 🇲🇾

1. The 3-judge Court of Appeal of Singapore has dismissed the last-ditch appeal by Panchalai Supermaniam, the mother of a Malaysian death row inmate in Singapore, Nagaenthran Dharmalingam, to halt his death sentence today. He requested to hold his family members’ hands in the court, not in prison and was approved. The UN Human Rights Office has joined calls for Singapore to halt the execution and consider granting 33-year old Naga clemency. There are more than 50 people reported to be on death row in Singapore, according to UNHR.

2. Amanah Vice-President Mahfuz Omar said PH should accept back those that betrayed the coalition in GE15 so long they have ‘insaf’ and all parties should unite under the “big tent” approach to face the common enemy. There’s always a bigger agenda at play in politics - would anyone really believe that a traitor would truly repent and have no other hidden purpose?

3. Fireworks disposal by Sentul police had gone wrong yesterday evening, leading to an explosion at the Sentul police evidence storage facility. 3 men sustained light injuries. No reports on what went wrong. The police force invited the media to witness the disposal of RM4.17 mil of fireworks which were set to be destroyed by a backhoe. Instead, they were in for a fireworks display - during daytime and on the ground.

4. Eight companies, including the likes of Gamuda, IJM Corp and MRCB, have submitted separate proposals to the government for a flood mitigation project in flood-prone areas in the west of Klang Valley. The cost under the various proposals ranges between RM5 - RM15 bil. In March, the federal government announced an additional RM15 bil for such projects between 2023 to 2030 — this is a massive increase from the RM1 bil that had been set aside in the 12th Malaysia Plan (2021 - 2025).

5. Acquisition news:

   1. KPower Bhd is planning to buy hydropower plants in Kota Marudu, Sabah, with a capacity of 29.1 MW, for RM130 mil in cash and shares. Want some idea of how much it costs to own a hydropower plant? RM4.47 mil to acquire 1 MW in this deal.

   2. F&N Holdings Bhd is going upstream - it is acquiring the entire shares of Ladang Permai Damai Sdn Bhd for RM215.59 mil in cash. The acquired company is primarily involved in crop plantation. Why would a beverage company buy into a farm? By going upstream, F&N will own vertically integrated operations to grow crops to feed its dairy farm, ultimately reducing its costs. There will be no additional layer to share its margins with. Read here to understand “upstream” and “downstream” of a value chain.

6. Your frappucino won’t go up in price despite the global commodity price shock. Berjaya Food Bhd CEO Sydney Lawrence Quays said Berjaya Starbucks hopes to avoid passing higher coffee prices to consumers “at all cost” due to the fixed price agreement its supplier, Starbucks Coffee International, has with coffee planters.

5. AROUND THE WORLD 🌎

1. Russia’s top diplomat — Foreign Minister Sergei Lavrov — said the situation in Ukraine could escalate to World War III and said the threat of a nuclear conflict “should not be underestimated.”

2. The US Defence Secretary Lloyd Austin has pledged to move “Heaven and Earth” to help Ukraine win its battle against Russia’s unprovoked invasion during the meeting of allies from 40 nations met at Ramstein airbase in Germany. German defence minister Christine Lambrecht said Berlin has agreed to give the go-ahead to the delivery of used Gepard anti-aircraft tanks to Ukraine.

3. Environmental campaigners used kayaks and a dinghy on Monday to stop a Russian oil tanker from unloading its cargo south of Norway's capital as a protest against Russia’s invasion of Ukraine. The activists accused Norwegian companies of financing Russia’s warfare in Ukraine.

4. Europe’s largest lender HSBC Bank saw its profit fall by more than a quarter in the first three months of the year — profit before tax (PBT) of USD4.2 bil, a decline of USD1.6 bil from the same period in 2021. HSBC did a kitchen sinking exercise — a USD600mn charge for expected credit losses due to the Russian invasion and a slowdown in the Chinese property sector. The term “kitchen sinking” was first coined after Tesco’s strategy to report all bad news in one go instead of dripping it.

5. Kim Jong-un said he wants to develop North Korea's nuclear capacities as fast as possible during a speech at a parade to celebrate the 90th anniversary of the North Korean army. Kim said he’d deploy the nuclear weapons if provoked.

6. Jack Dorsey has thrown his support behind Elon Musk, saying that the Tesla tycoon is the “singular solution” he trusts to lead the company. However, some employees are concerned with the takeover as Musk has a tendency toward “hot takes” and “knee-jerk reactions” (e.g. Dogecoin memes).

7. Jeff Bezos took a swipe at Musk’s deal to take over Twitter by posing a rhetorical question — whether the deal will make things difficult for Tesla Inc. in China. Twitter is banned in China by officials wary of the impact on public discourse, while Tesla has close ties with China.

8. The European Central Bank (ECB) policymaker Martins Kazaks said the ECB should raise interest rates soon and has room for up to three hikes this year. Inflation expectations have started to move above the ECB's target, forcing policymakers into a corner. The ECB will next meet on June 9 to decide on the next moves.

6. FOR YOUR EYES 👁👁

1. It’s a smiley facing, until you flip your phone upside down.

2. What happens if you fast and do not eat for days and weeks? You actually would get healthier.

3. Proton owner, Geely, launched its latest affordable EV model under its Geometry sub-brand. The name? EX3 Kungfu Cow. Given the colour below, could have been called Kungfu Panda if it wasn’t for copyright issues.