PRESS DIGEST - Malaysia - July 2

Following are the main stories in Malaysian newspapers. Reuters has not verified these stories and does not vouch for their accuracy.

ALL NEWSPAPERS

- Prime Minister Abdullah Ahmad Badawi has given an assurance that Parti Keadilan Rakyat (People Justice Party) de facto leader Anwar Ibrahim will be safe and not be victimised in the process of investigation into a sodomy report lodged against him by an aide.

NEW STRAITS TIMES (www.nst.com.my)

- A protest note will be sent to the United States for suggesting a political motive in the investigation of sodomy allegation against Parti Keadilan Rakyat (People Justice Party) de facto leader Anwar Ibrahim.

BUSINESS TIMES (www.btimes.com.my)

- SapuraCrest Petroleum Bhd (SCRS.KL), a regional oil and gas services provider, plans to spend up to $200 million (654 million ringgit) over the next two years to buy its own deepwater assets, its Chairman Hamzah Bakar said.

- IOI Corp Bhd (IOIB.KL), Malaysia's second most valuable firm, may take its property arm private, make fresh purchases or give its convertible bondholders treasury shares, three foreign investment firms speculate.

THE STAR (www.thestar.com.my)

- Parti Keadilan Rakyat (People Justice Party) de facto leader Anwar Ibrahim, who is being accused of sodomy by his former aide Mohd Saiful Bukhari Azlan, said the allegation would not stick as he had an alibi and could prove that he was with a group of people when the alleged incident took place.

- Most of the initial public offerings (IPOs) that debuted on Bursa Malaysia in the first half year have fallen below their offer price in tandem with the softer market conditions.

THE EDGE FINANCIAL DAILY (www.theedgedaily.com.my)

- Rocked by renewed political uncertainties, rising energy prices and soaring inflation, the Kuala Lumpur Composite Index (KLCI) on Tuesday dropped 11.74 points, or one percent, to close at 1,174.83, its lowest since the March 8 general election.

- Prime Minister Abdullah Ahmad Badawi on Tuesday met Parliamentary Opposition Leader Wan Azizah Wan Ismail and assured her of the safety of her husband who has been accused of sodomy by a former aide.

THE MALAYSIAN RESERVE (news@themalaysianreserves.com)

- IGB Corp Bhd (IGBS.KL) and Insas Bhd (INSS.KL) are selling their combined 50 percent stake in Gleneagles Hospital (Kuala Lumpur) Sdn Bhd to Pantai Irama Ventures Sdn Bhd for 171.63 million ringgit.