(1) Proposed Development Of 51,200 Hectares Of Timber Land Into Oil Palm Plantations And Palm Oil Processing Facilities In Eastern Kalimantan, Indonesia On A Joint Venture Basis With P. T. Agronesia Makmur Sentosa (Joint Venture) (2) Proposed Development Of 5,000 Hectares Of Timber Land Into Oil Palm Plantations (Proposed Development)
| KWANTAS CORPORATION BERHAD |
Contents :
Further to our letter dated 22 February 2000, we are pleased to furnish the following information :-
1) The detailed terms of profit and cost sharing will be subject to the detailed negotiation
between two parties and to be finalised in the joint venture agreement. Announcement
will be made as soon as details are available.
2) The joint venture company will be set up upon finalisation of the joint venture agreement
and announcement will be made as soon as details are available.
3) Details of the joint venture partner :-
Company : P. T. Agronesia Makmur Sentosa
Principal Activities : Development of oil palm plantations
Name of Directors : Rony N. Hendropriyono
: MH. Thamrin, SH
: Askim Harun
4) The expected date for the commencement of the joint venture : pending finalisation of the
joint venture agreement, announcement will be made as soon as the agreement is
signed.
5) The joint venture arrangement is expected to contribute to the Group's earning fourth
year after the commencement of the development of the oil palm estate.
6) The development of the 5,000 hectares of land is expected to be commenced as soon
as possible, where possible will be developed together with the 51,200 hectares of land.
Query Letter Contents :
We refer to your announcement dated 11 February 2000 in respect of the
aforesaid matter.
In this connection, kindly furnish the Exchange with the following additional
information for public release:-
1) Total cost of the Joint Venture.
2) The terms of profit and cost sharing of the Joint Venture.
3) If a joint venture company will be set up, to state:-
a) name of joint venture company ("JVC")
b) eventual issued share capital of JVC
c) equity interest to be held by each joint venture partner
d) total cost and investment outlay of your Company in the Joint Venture.
4) Details of the joint venture partner, P.T.Agronesia Makmur Sentosa.
5) Net book value of the respective timber lands based on the latest audited
accounts.
6) The tenure of the timber lands. If leasehold, to state the expiry date.
7) The date on which the Memorandum of Understanding was entered into.
8) Date of commencement of the Joint Venture.
9) The effect of the Joint Venture on the earnings per share and net tangible
assets per share
of your Group.
10) Whether any directors, substantial shareholders and/or persons connected to
directors
and/or substantial shareholders have any interest, direct or indirect in
the Joint Venture.
11) The salient features of the Memorandum of Understanding, joint venture
agreement to be
entered into and valuation report (if any) and the time and place where
such documents
may be inspected.
12) The source of funds for financing the Joint Venture.
13) A statement by the Board of Directors stating whether or not the Joint
Venture is in the
best interest of the Company.
14) The weighted average market price for the equity share capital of your
Company for the
five(5) market days prior to the date of the agreement.
15) The dates on which P.T.Agronesia Makmur Sentosa and Kwantas obtained
approval from
the Indonesian Authorities for the respective timber lands.
16) Whether the Joint Venture is subject to the approval of shareholders and
the relevant
government authorities.
17) Rationale for the Joint Venture.
18) Full details of the Proposed Development.
Kindly furnish the Exchange with your reply within two(2) market days from the
date hereof.
Yours faithfully
KUALA LUMPUR STOCK EXCHANGE
Lisa Lam
Senior Manager, Listing Operations
LL/CMJ
cc: Securities Commission
Announcement Info
| Company Name | KWANTAS CORPORATION BERHAD |
| Stock Name | KWANTAS |
| Date Announced | 28 Feb 2000 |
| Category | General Announcement |
| Reference No | KC-000228-50965 |