Announcements


Date: 09 November 2017

MEMORANDUM OF UNDERSTANDING ASIA BIOENERGY TECHNOLOGIES BERHAD MEMORANDUM OF UNDERSTANDING BETWEEN ASIABIO PETROLEUM SDN BHD, PERI FORMWORK MALAYSIA SDN BHD AND AT ENGINEERING SOLUTION SDN BHD


Type Announcement
Subject MEMORANDUM OF UNDERSTANDING
Description ASIA BIOENERGY TECHNOLOGIES BERHAD MEMORANDUM OF UNDERSTANDING BETWEEN ASIABIO PETROLEUM SDN BHD, PERI FORMWORK MALAYSIA SDN BHD AND AT ENGINEERING SOLUTION SDN BHD

1. INTRODUCTION

Asia Bioenergy Technologies Berhad (“Asiabio” or the “Company”) is pleased to announce that its wholly owned subsidiary, Asiabio Petroleum Sdn Bhd (“ABP”) has on 9 November 2017 entered into a memorandum of understanding with Peri Formwork Malaysia Sdn Bhd (“PERI”) and AT Engineering Solution Sdn Bhd (“ATES”) for the collaboration in the technology localization of PERI's formwork and scaffolding systems (hereinafter referred to as “MOU”).

2. DETAILS OF THE MOU

2.1 Salient Terms

The salient terms of the MOU are as follows:-

 (i) Responsibilities of the parties involved:-

PERI

(a) To provide technical and design information of its products and systems to ATES so as to enable ATES to produce and manufacture the products identified in the MOU such as hatches, toeboard steel, steel decks, bottom sheeting and etc. (“Products”);

(b) To determine and assist in the identification of local raw materials for use in the production of the Products; and

 (c) To provide engineering and hands-on training support to the other two parties in the MOU in regards to the usage of its formwork and scaffolding systems.

ABP

(a) To provide for the deployment, erection, implementation and dismantling of scaffolding systems;

(b) To use and deploy the localized PERI products manufactured by ATES; and

(c) To assist in the identification of local raw materials for use in the production of the Products.

ATES

(a) To make available its group's manufacturing facilities and automation systems for the production and manufacture of the Products; and

(b) To assist in the identification and manage of local raw materials for use in the production of the Products.

2.2 Information on the Parties

ABP

ABP is principally involved in the provision of engineering and maintenance services for the oil and gas industry, including the marketing, deployment, design, erection, implementation and dismantling of scaffolding systems.

PERI

PERI is principally involved in the provision of formwork and scaffolding solutions and the provision of engineering and training services related to the construction, oil and gas and industrial sectors.

ATES

ATES is a wholly-owned subsidiary of AT Systematization Berhad (“AT”), a company listed on the ACE Market of Bursa Malaysia Securities Berhad.  AT and its group of companies are principally involved in the fabrication of industrial and engineering parts, as well as the design and manufacture of industrial automation systems and machinery.

2.3 Duration

The MOU is valid for a period of two years from the date of the MOU unless superseded by a definitive agreement to be executed amongst the parties.

3. FINANCIAL EFFECTS

The MOU is not expected to contribute to the earnings and net assets of Asiabio and its group of companies (“Group”) for the financial year ending 31 March 2018. However, the MOU is expected to contribute positively to the earnings and net assets of the Group once a definitive agreement has been signed. The MOU will not have any effect on the share capital and shareholding structure of Asiabio.

4. RISKS

The MOU is affected by general operational risks that relates to the responsibilities of the parties as stated in the MOU.

5. STATEMENT BY DIRECTORS

The Board of Directors of Asiabio, having considered the rationale and terms of the MOU, is of the opinion that the MOU is in the best interest of the Company.

6. DIRECTORS' AND MAJOR SHAREHOLDERS' INTEREST

None of the Directors and/or major shareholders and/or persons connected with the Directors and/or major shareholders of Asiabio have any direct or indirect interest in the MOU.

7. DOCUMENTS FOR INSPECTION

A copy of the MOU is available for inspection at the registered office of the Company located at 10th Floor, Menara Hap Seng, No. 1 & 3, Jalan P. Ramlee, 50250 Kuala Lumpur during normal business hours on Mondays to Fridays (except Saturdays, Sundays and Public Holidays) for a period of three (3) months from the date of this announcement.

This announcement is dated 9 November 2017.

 

 

 







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