1. INTRODUCTION
The Board of Directors of EHB (“the Board”) wishes to announce that Exsim Concepto Sdn. Bhd. (“ECSB”), a wholly-owned subsidiary of the Company, had on 13 December 2024 accepted a work order (“WO”) issued by Intim Reno Sdn. Bhd. (“IRSB”) on 13 December 2024 in respect of the renovation works for 62 units of offices located at Tower D, Exsim Tower, Millerz Square @ Old Klang Road, Megan Legasi, No. 357 Jalan Kelang Lama, 58000 Kuala Lumpur, Wilayah Persekutuan Kuala Lumpur (“the Sub-Contract Works”).
2. INFORMATION ON ECSB
ECSB was incorporated in Malaysia as a private company limited by shares having its registered address at No. D-09-02, Level 9, EXSIM Tower, Millerz Square @ Old Klang Road, Megan Legasi, No. 357, Jalan Kelang Lama, 58000 Kuala Lumpur, Wilayah Persekutuan Kuala Lumpur.
The nature of business of ECSB is to provide specialised fit-out services for hospitality property assets.
3. INFORMATION ON IRSB
IRSB was incorporated in Malaysia as a private company limited by shares and having its business address at No. 90A, Jalan Pluto AY (U5/AY), Bandar Pinggiran Subang, 40150 Shah Alam, Selangor.
The nature of business of IRSB is interior renovator.
The sole director of IRSB is Ms. Loke Chi Hui.
Meanwhile, the shareholders of IRSB are, as follows:-
4. DETAILS OF THE WO
(a) The sub-contract sum for the Sub-Contract Works is RM20,981,348.00 (Ringgit Malaysia: Twenty Million Nine Hundred Eighty-One Thousand Three Hundred and Forty-Eight only) inclusive of Sales and Services Tax.
(b) The overall completion for the Sub-Contract Works shall be Three (3) months commencing from the date of WO (“Completion Date”).
(c) The defect liability period shall be Six (6) months from the Completion Date.
(d) ECSB shall perform the Sub-Contract Works in accordance with the supplementary terms and conditions mutually agreed upon with IRSB.
5. FINANCIAL EFFECTS
The acceptance of the WO by ECSB to undertake the Sub-Contract Works is expected to contribute positively to the net assets per share, earnings per share and gearing of the Company throughout the duration of the Sub-Contract Works.
6. RISK FACTORS
The Company does not foresee any exceptional risk other than the normal operational risks associated with the WO and/or the Sub-Contract Works. Nevertheless, the Company will take the necessary steps to mitigate the risks as and when they occur.
7. APPROVAL REQUIRED
The acceptance of the WO is not subject to the approval from the Company’s shareholders and/or any regulatory authorities.
8. DIRECTORS’ AND MAJOR SHAREHOLDERS’ AND/OR PERSONS CONNECTED WITH A DIRECTOR OR MAJOR SHAREHOLDER’S INTERESTS
None of the Directors and/or major shareholders of EHB or persons connected with them has any interests, direct or indirect, in the WO and/or the Sub-Contract Works.
9. STATEMENT BY THE BOARD OF DIRECTORS
The Board, after having considered all aspects of the WO and the Sub-Contract Works, is of the opinion that the WO and the Sub-Contract Works are within the ordinary course of business of EHB and the acceptance of the WO is in the best interest of the Company.
This announcement is dated 13 December 2024.