Political risk clouds NFOs

According to Maybank IB Research, about 50% of NFO earnings, mainly that of Berjaya Sports Toto and Magnum, could potentially be at risk.

PETALING JAYA: Number forecast operators (NFOs) could face some downside risk in the event of a change in Selangor, Penang and Negri Sembilan state governments.

These three states, together with Kedah, Kelantan and Terengganu, are widely expected to dissolve their state assemblies in around a month’s time to pave the way for state elections in the third quarter of this year.