Collaboration Agreement with Hasilwan (M) Sdn Bhd
The Company has on 5 December 2016 entered into a Collaboration Agreement (“CA”) with Hasilwan (M) Sdn Bhd (191023-K) (“Hasilwan”).
Hasilwan is involved in the same industry and business as the Company, namely works and projects relating to engineering solutions and mechanical and electrical engineering services. The purpose of the collaboration is to enhance their respective brand names, capabilities, expertise and market presence, by co-operating in areas which are mutually beneficial and which may add value, through the sharing of resources, knowledge and expertise, the leveraging of each other’s strengths and competencies, the tendering for new contracts or awards, the opening up and exploitation of new market opportunities, including the enhancement of the M&E upper value chain.
The CA is for one year, and can be extended, as mutually agreed. The CA can be terminated by either party in accordance with the terms and conditions of the CA.
The CA is not expected to have any material effect on the share capital, earnings, net assets, gearing and substantial shareholders’ shareholding for the financial year ending 30 September 2017.
None of the Directors’ and major shareholders of the Company, or persons connected to them, have any interest, direct or indirect, in the CA.
The Board of Directors, having taken into consideration all aspects of the CA, is of the opinion that the CA is in the best interest of the Company. No approval of shareholders or any relevant government authorities is required, since the CA is undertaken in the ordinary course of business.
This announcement is dated 5 December 2016.