GENERAL ANNOUNCEMENT
COMPANY NAME:KPS CONSORTIUM BERHAD
STOCK NAME:KPSCB
Date Announced:10 October 2012
Type:Announcement
Subject:Cessation of Hai Ming Capital Sdn. Bhd. as Wholly-Owned Subsidiary of KPS Consortium Berhad (“KPSCB” or “Company”)
1.Introduction
Pursuant to Paragraph 9.19(24) of the Main Market Listing Requirements of Bursa Malaysia Securities Berhad, the Board of Directors of KPSCB wishes to announce that the Company has disposed off 600,000 ordinary shares of RM1.00 each, representing 60% from its total investment of 1,000,000 ordinary shares of RM1.00 each in the wholly-owned subsidiary, Hai Ming Capital Sdn. Bhd. (“HMC”) to Exsim Development Sdn. Bhd. (“Exsim”) having its registered office at No. 5-3, Jalan 109F, Plaza Danau 2, Taman Danau Desa, 58100 Kuala Lumpur for a total consideration of RM600.00 [hereinafter referred to as “Disposal”]. As a result of the Disposal, HMC becomes an associate of KPSCB.
2.Information on Exsim
Exsim was incorporated in Malaysia on 14 October 2009 under the Companies Act, 1965 as a private limited company. The authorised share capital of Exsim is RM25,000,000.00 divided into 25,000,000 ordinary shares of RM1.00 each. The total issued and fully paid-up share capital of Exsim is RM11,000,000.00 comprising 11,000,000 ordinary shares of RM1.00 each. The principal activities of Exsim are to carry on the business of housing developers and building contractors. The existing Board of Directors of Exsim are Lim Aik Hoe, Lim Aik Kiat and Lim Aik Fu.
3.Information on HMC
HMC was incorporated in Malaysia on 23 April 1985 under the Companies Act, 1965 as a private limited company. The authorised share capital of HMC is RM1,000,000.00 divided into 1,000,000 ordinary shares of RM1.00 each. The total issued and fully paid-up share capital of HMC is RM1,000,000.00 comprising 1,000,000 ordinary shares of RM1.00 each. HMC was an investment holding and trading of plywood but has ceased operation since 1 January 2004. It remained dormant since then. It has the intention to venture the business into housing development and construction.
4.Rationale for the Disposal
Exsim has the necessary expertise on housing development and construction which will be a strategic partner to KPSCB in HMC.
5.Financial Effects
The Disposal is not expected to have any material impact on the earnings and net assets of KPSCB Group for the financial year ending 31 December 2012.
6.Approval Required
The Disposal is not subject to the approval of the shareholders of KPSCB.
7.Directors’ and Major Shareholders’ Interests
None of the Directors and/or major shareholders of KPSCB and/or persons connected to them have any interest, direct or indirect, in the Disposal.
8.Statement by Directors
The Board of Directors of KPSCB is of the opinion that the Disposal is in the best interest of the Company.
This announcement is dated 10 October 2012.