☕️ Whistleblower saga continues with letter to YDPA

1. MARKET SUMMARY 📈

2. NUMBERS AT A GLANCE 🔢

5% of American businesses report using generative AI to produce goods or services, according to a US Census Bureau survey. Similarly, a Deloitte survey across 14 countries found that only 8% of company leaders had deployed more than half of their generative AI experiments. This suggests many companies are engaging in pilot projects without full implementation. CEOs often face a dilemma: adopting generative AI too slowly may risk falling behind competitors while moving too quickly could harm their firm’s reputation.

Donald Trump’s win may be painful for hardcore Democrats, but it is even more painful for short sellers of Micro Strategy Inc. USD1.2 bil (RM5.29 bil) was lost by traders who bet against MicroStrategy, a major supporter of Bitcoin, between November 6 and November 8, as Bitcoin prices surged to record highs. Overall, short sellers in cryptocurrency stocks have lost more than USD6 bil this year, driven by optimism that US President-elect Donald Trump might implement a regulatory framework for cryptocurrencies.

20,000 tonnes of carbon dioxide emissions per year is the expected reduction for AirAsia after adopting Combo Units at its main hub in Kuala Lumpur International Airport (KLIA) Terminal 2. These advanced, fuel-efficient units replace the typical auxiliary power units (APU) used to power parked aircraft, cutting emissions by 90% at optimal use. The Combo Units, which serve as both Ground Power Units and Air Condition Units, are part of AirAsia’s plan to reduce its ground-based emissions. The airline will roll out four units this month, with plans to expand to all major domestic hubs by 2025.

3. IN MALAYSIA 🇲🇾

Whistleblower saga continues with a letter to Agong
In response to a letter addressed to the PM by the whistleblower asking for intervention and protection in return for filing an official report, Anwar Ibrahim said yesterday that the whistleblower would not be guaranteed protection as protection is only designated for those who are ‘clean’. Anwar has called on all parties to let MACC continue their investigation.

The whistleblower has lodged a police report since, claiming that he was contacted on WhatsApp by a Chinese man who was part of a “hired killer group”, with instructions to kill him in 24 hours if he did not keep his mouth shut. The string of WhatsApp messages included images of guns, bullets, and a picture of a man lying on the road after being shot - the picture was of Shinzo Abe, the late Japanese PM who was gunned down in 2022.

The whistleblower has admitted to giving 8 assemblypersons bribes in his open letter to the Yang di-Pertuan Agong on Tuesday due to fear from the murder threat, alleging that his hand was forced as he needed to secure a project after making significant investments. This change of heart supposedly came from wanting to stop the chain of assemblypersons extorting other businesspeople. How noble.

In light of all this, Sabah CM Hajiji Noor said he had “nothing to hide” as he vowed to give full cooperation to authorities investigating this case, but urged them to probe and arrest the “bribe giver”. He pointed out that the whistleblower decided to leak the story to the media when he failed in his bid to obtain favours from the government.

Rafizi strikes down idea of using vehicle registration for RON95 subsidy
In the Keluar Sekejap podcast, former Umno leader Shahril Hamdan proposed that the two-tier pricing system for RON95 petrol under the targeted subsidy program should be linked to vehicle registrations, which received support from FOMCA CEO Saravanan Thambirajah. They argued that using vehicle registration as a basis for subsidies would be more effective than relying on identity cards, which could be prone to abuse and manipulation.

However, Economy Minister Rafizi Ramli explained that this approach is not viable. Rafizi highlighted, based on the Padu database, that approximately 40% of low-income households do not own registered vehicles, therefore many eligible recipients of the subsidy could be excluded if the system relies solely on vehicle ownership. He pointed out that families often share vehicles under a single registration name, complicating Padu’s effectiveness in accurately targeting subsidies.

In response to Pulai MP Suhaizan Kaiat's supplementary question in Parliament about implementing an adjustable petrol levy paid during road tax renewals as an alternative to direct subsidies at the pump, Rafizi reiterated the issues of using vehicle registration data, like having vehicles registered under other people to game the system that was seen with the diesel subsidies.

Former Perlis MB maintains not guilty stance on misuse of state funds
Azlan Man, 65, pleaded not guilty in the Sessions Court to five alternative charges of misappropriating RM1.06 million from the Perlis government. The charges allege that between 2014 and 2017, Azlan misappropriated funds intended for two travel companies by directing payments into his personal Maybank and CIMB accounts. If convicted, he faces imprisonment of up to 5 years, whipping, and fines.

Additionally, Azlan maintains his not-guilty plea on 5 main charges related to making false claims for an overseas holiday in London that never happened, which could result in a maximum of 20 years in prison and fines. These claims, on offences made between Dec 2013 and Dec 2017, involved documents like falsified plane tickets and hotel bookings to secure reimbursements for expenses that never occurred.

Azlan also faces 5 charges related to receiving proceeds from unlawful activities amounting to roughly RM1 mil, which were allegedly deposited into his accounts during the same period.

Shorts

1. Hasnah Hashim potentially new Chief Judge
   Federal Court judge Hasnah Hashim is poised to be appointed as the new Chief Judge of Malaya (CJM) according to sources, with the formal announcement expected from the Yang di-Pertuan Agong at Istana Negara. If elected, she will become the third woman in Malaysian history to hold this position. At 65, Hasnah may serve for only one year before reaching the mandatory retirement age of 66, although a six-month extension is possible. This news comes after The Bar Council previously urged authorities to fill up the vacancy left by the outgoing Chief Judge, citing concerns over public confidence and a negative impact on judicial administration.

2. More competition coming for Grab
   In addition to European e-hailing giant Bolt launching in Malaysia last week with massive fare discounts, Lalamove is set to join the scene with Lalamove Ride. The service will be part of Lalamove’s main app and is expected to operate 24 hours a day according to the company’s Facebook page. The ride is set to expand by eventually allowing users to pick their preferred vehicle type, just like GrabCar, though that feature is not available to the public yet.

3. Another sinkhole rears its head on the NKVE
   After a heavy downpour yesterday, a new sinkhole emerged along the NKVE at KM18.6 southbound, between the Kota Damansara and Damansara exits. PLUS closed off the left and emergency lanes to ensure the safety of motorists. The closure inevitably led to heavy traffic, starting from Sungai Buloh RnR all the way south past the sinkhole.

   View the sinkhole here.

4. Sultan Muhammad IV Stadium set to reopen
   Built in 1965 and home to Kelantan FC as well as Kelantan United, the iconic stadium is expected to reopen in January 2025 after undergoing renovation, costing roughly RM500,000. The stadium underwent multiple improvements, ranging from drainage work, pipes and wiring, to turf upgrades, all expected to be complete by December the latest.

4. AROUND THE WORLD 🌎

Israeli deal-breakers?

Aid requirements failed, say aid groups
A group of eight aid groups issued a 19-page report saying Israel not only failed to meet the US criteria that would indicate they supported the humanitarian response but have actively taken actions that worsened the situation, especially in northern Gaza. As it stands, the UNRWA reported fewer aid trucks headed into the Gaza Strip in October, with no food allowed to enter northern Gaza for a whole month.

We met most of the demands, says Israel
There are still some items being discussed, though most issues have been addressed. Still, Israel refused some demands, such as allowing entry of up to 100 commercial trucks a day. An official said commercial activity was halted because “Hamas was controlling the merchants”. Measures implemented successfully include the addition of entrances into Gaza, the expansion of the humanitarian zone, and the increase in security for aid vehicles. However, it remains unclear if this is enough.

Malaysia’s contribution
According to Deputy Foreign Minister Mohamad Alamin, RM45 mil in donations and humanitarian aid has been sent to Gaza since Oct 7, 2023. This equates to over 5,000 tonnes of humanitarian aid through the Rafah border. The donations were handled through the Palestine People’s Humanitarian Trust Account with cooperation from various NGOs, UN agencies, and the Malaysian Embassy in Jordan.

Saudi crown prince decries Israel’s actions in Gaza
Crown Prince Mohammed bin Salman called Israel’s actions in Gaza a “genocide”, marking some of the harshest public criticism of Israel by a Saudi official since the war started. Prince Mohammed also criticised Israel’s attacks on Lebanon and Iran and warned Israel against launching attacks on Iranian soil.

No Lebanon ceasefire, says Katz
The Israeli military is continuing its strikes in Beirut and Lebanon, with no signs of a ceasefire. An official announcement from Israel’s newly-appointed defence minister, Israel Katz, promised no ceasefire in Lebanon until Israel has achieved its goals. These include disarming Hezbollah, pushing the group beyond the Litani River, and returning the residents of the north safely to their homes. Until then, Israel will “continue hitting Hezbollah with full force” with “no ceasefire”.

World Policy

• Trump's Day One actions look to rollback Biden's legal entry programmes

  Sources expect the president-elect to announce ramped-up immigration enforcement, likely giving federal immigration officers more latitude to arrest people with no criminal records, surge troops to the US-Mexico border, and restart construction of the border wall. Also indicated was that Trump will roll back incumbent President Biden’s humanitarian legal entry programmes, which have allowed thousands of migrants to enter legally in recent years. Should Trump follow through, it would be a start to his immigration agenda, which includes a promise to deport record numbers of immigrants. 

• North Korea ratifies mutual defence treaty with Russia

  National leader Kim Jong Un has signed a decree to ratify the treaty, with the pact taking effect once both Russia and North Korea have exchanged the ratification instruments. This comes amid international criticism over the two countries’ increasing military cooperation, especially since it was confirmed that North Korea had sent “tens of thousands of troops” to fight in Ukraine. The treaty was signed in June, and, once ratified, calls for each side to come to the other’s aid in case of an attack.

Share Appreciations, IPOs, and Beating Expectations

• Grab sees 15% jump in share price on better earnings forecast

  The company predicted an adjusted EBITDA of up to USD313 mil (RM1.3 bil), up more than USD40 mil from the upper limit of its previous estimate of USD270 mil, prompting the share appreciation to a high of USD5.04. Grab is looking to achieve this by enacting cost cuts to take on competition. The firm also expects revenue for the year to reach up to USD2.78 bil, compared to a previous estimation of USD2.75 bil. While Grab is seeing demand increase at a slower pace due to a challenging macroeconomic climate, the firm remains optimistic about Southeast Asia’s long-term growth outlook. Grab’s market cap stands at USD19.4 bil (RM86.1 bil). Had Khazanah invested, it would have taken off some heat they have been getting lately.

• Delivery Hero looks to list Dubai unit

  The German food delivery firm’s plan to list its Talabat unit in Dubai could see it becoming one of the region’s biggest IPOs for the year. Delivery Hero (also owns foodpanda) is looking to sell a 15% stake, thus retaining a majority interest. The stake is estimated to raise about USD1 bil (RM4.38 bil), with the listing expected to take place in mid-December. The funds raised will go toward optimising capital structure.

• SoftBank reports USD7.7 bil net profit for the quarter

  The latest quarter saw a USD7.7 bil (RM33.75 bil) profit for the group, trumping analyst expectations of USD1.87 bil. SoftBank’s profits had benefitted from the higher share prices of listed companies in its Vision Fund investment vehicles, with the results showing the fruits of SoftBank’s more cautious approach to investment. This also marks the first time the cumulative return on investments for SoftBank’s two investment vehicles was positive since 2022’s first quarter.

Shorts:

1. No new Jags for Brits til 2026

   Jaguar Land Rover will not be selling any new vehicles in the UK, going dormant until 2026 when it will reemerge selling only higher-end electric vehicles. Any Jags still left in inventory are now classified as pre-owned. JLR, alongside other automakers, have faced trouble complying with the UK’s new zero-emission vehicle mandate, which requires that 22% of the new cars a manufacturer sells to be non-polluting.

2. Loss-making VinFast gets founder fund injection

   The Nasdaq-listed Vietnamese EV maker will be getting a USD3.35 bil (RM14.68 bil) injection from its founder and parent firm, Vingroup, by 2026, which is when the EV maker is expected to break even. About USD1.97 bil of the fund injection will come from VinFast’s founder, tycoon Pham Nhat Vuong.

3. At least 35 killed in Zhuhai attack, suspect arrested

   A male driver, age 62, drove into a crowd of people exercising at a stadium, leaving at least 35 dead while a further 43 injured. The man has been arrested but is in a coma from self-inflicted knife wounds. The incident also took place amid heightened security, as Zhuhai is hosting a major international airshow this week.

5. FOR YOUR EYES 📺

1. Your career doesn’t define you. You’re more than your work, carry that spirit into 2025!

2. The US spends a huge amount of money on military per armed forces personnel, compared to other major powers.

3. Bf helped gf to buy RM38k worth of Bitcoin in 2019 — now worth RM282k #MalaysiaMoneyStories