Kenanga Research downgraded SEG International Berhad
to 'market perform' from 'outperform' to reflect the
higher education firm's increased staff costs and changed
SEG International's staff costs have risen more than
expected and its number of new students is growing slowly,
Kenanga said in a note on Wednesday.
The research house viewed the new discretionary dividend
policy as unfavourable, saying "we believe that the group will
gear up its existing net cash position at the expense of a
higher dividend payout going forward."
At 1120 (0220 GMT), SEG International was down 0.51 percent
at 1.97 ringgit, while the KLSE composite index was up 0.01
percent at 1637.82 points.
(Reporting by Siva Sithraputhran in Kuala Lumpur; Editing by
Subhranshu Sahu; firstname.lastname@example.org)