Curtin UniversityFNCE 3000cf-group-assignment..UPDATED>2021

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Cover Sheet – Corporate Finance (FNCE3000) Contribution Signature 1 1 2 3 2 1 2 3 3 1 2 3 4 1 2 3 Contribution Key: (1) Did less than fair share, (2) Did fair share, (3) Did more than fair sh ... are. Recall that there is a 50% penalty if you did not contribute your fair share to completion of the project. Please use the comments section to note any comments you have on the way in which your team worked on the project, the structure of the project, and possible improvements for the project in future sessions. Downloaded by lily wilson ([email protected]) lOMoARcPSD|3319384Shareholder analysis (15%) Summary of the Business RHB Bank Berhad is a fully integrated financial services group in Malaysia, currently ranked the fourth largest in the country. Initially a public limted company, it was founded in 1997 after the merging of DCB Bank and Kwong Yik Bank, with its headquarter situated in Kuala Lumpur. It is now listed as a Main Board of Bursa Malaysia Securities Berhad, trading as MYX:1066.1 RHB Bank Berhad’s core business is to provide assistance, particularly financial service for businesses to grow. With diverse portfolio, the group’s subsidiaries are involved in multiple industries such as commercial banking, financial service, investment banking, stock broking, property investments and offshore banking to enhance their services and achieve their core business. RHB Band have over 200 branches in Malaysia, consisting of conventional and Islamic bank branches. The group also have around 2,000 self-service terminals (SST) and 9 branches oversea.2 In terms of notable achievements, the bank is considered the largest bank in Malaysia by asset size, with presence in regional countries such. As Singapore, Cambodia, Thailand, Indonesia and China. Strategic alliances with global firms allow RHB to gain excess to wider financial products and services, which can be used to research potential business opportunities.3 Message to the Shareholders 1 “Who We Are”.2020. RHB Group. https://www.rhbgroup.com/others/about-us/index.html 2 ibid. 3 ibid. Downloaded by lily wilson ([email protected]) lOMoARcPSD|3319384The chairman of RHB Bank Berhad, Tan Sri Azlan Zainol has released a statement of the company’s performance in 2019, claiming that it has been a “good year” as RHB Bank continues to meet their objectives and improve their position in the market. RHB Bank has faced a moderate growth in the country’s banking industry, largely due to lower demand of loans from companies across most sectors. It was affected by the slower rate of global growth and trading uncertainties caused by the tension between the US and China. Though the Malaysian economy is backed by private organisations, companies are still being affected as the increasing uncertainty of the global trade environment as well as lower government spending, the country’s GDP has seen a decline from the previous year, dropping to 4.3 percent from 4.7 percent in 2018.4 The sustainability initiative which was started in 2018 has continued to improve in 2019, where they have integrated institutional business practices with their business and operation, aligned with the company’s Sustainability Framework. The framework consists of three pillars which are Sustainable and Responsible Banking, Empowering Communities and Embedding Good Practices. This ensures that the company responds to the change of shareholders’ expectations while applying it to their business practices in the context of Environmental, Social and Governance (ESG).5 Due to strong performance in 2019, RHB Bank Berhad has decided to increase their dividend by up to 50.1 percent, where the final dividend of 18.5 sen per dividend is combined with the interim dividend of 12.5 sen per dividend. The dividend of 31.0 sen marks the company’s highest ever dividend in history.6 The potential target audience of the statement is clearly stated by the chairman, which is the shareholders, customers and business partners. [Show More]

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