PROPOSED JOINT VENTURE BETWEEN COSWAY (M) SDN BHD ("COSWAY(M)") AND DIJAYA ENTERPRISE BHD IN THE FORMATION OF eCOSWAY.COM SDN BHD ("PROPOSED JOINT VENTURE")
| COSWAY CORPORATION BERHAD |
Contents :
Thank you for your query letter of 2 May 2000 and we are pleased to furnish the Exchange with the following further information in relation to the aforementioned announcement dated 21 April 2000:-
1. Cosway Corporation Berhad ("CoswayCorp") which is the holding company of Cosway(M), will not be contributing any capital and investment outlay in eCosway.com Sdn Bhd ("eCosway").
2. There will not be any joint venture agreement to be entered into for eCosway.
3. The weighted average market price of CoswayCorp for the past five days ( from 14th to 20th April 2000 ) prior to the date on which the terms of transaction were agreed upon was RM2.04.
4. The official launch of the website www.ecosway.com is scheduled in November 2000.
5. The Company does not expect any service contracts to be entered into by the directors of CoswayCorp in the Proposed Joint Venture.
6. The Company is not aware of any persons connected to the directors and/or substantial shareholders who has any interest, directly or indirectly in the Proposed Joint Venture.
In respect of the condition for the prior approval to be sought from the shareholders of CoswayCorp for the Proposed Joint Venture as set out under paragraph 8.1(a) of our announcement, we would like to inform the Exchange that based on the percentage ratio computation as per Part 4 of the Main Board Listing Requirement, the Proposed Joint Venture only amounts to 0.98% of the Net Tangible Assets of CoswayCorp Group which is below the 5% threshold pursuant to Section118(2), and thus CoswayCorp is not required to seek prior approval from the shareholders for the Proposed Joint Venture
Query Letter Contents :
We refer to your announcement dated 21 April 2000.
In this connection, kindly furnish the Exchange with the following additional
information for public release:-
1) Total capital and investment outlay of your Company in eCosway.Com Sdn Bhd
2) Date of the joint venture agreement ( if any )and its salient features
and the time and
place where such document is available for inspection.
3) The weighted average market price for the equity share capital of your
Company for the 5 market days prior to the date on which the terms of
transaction were agreed upon.
4) Expected date for the official launch of your website.
5) Details of any service contracts of proposed directors of your Company in
the Proposed Joint Venture.
6) Whether persons connected to the directors and/or substantial shareholders
has any interest, directly or indirectly in the Proposed Joint Venture.
Kindly furnish the Exchange with your reply within two (2) market days from the
date hereof.
Yours faithfully
KUALA LUMPUR STOCK EXCHANGE
Chong Fui Tzy
Manager, Listing Operations
CFT/MZM
Announcement Info
| Company Name | COSWAY CORPORATION BERHAD |
| Stock Name | COSWAY |
| Date Announced | 4 May 2000 |
| Category | General Announcement |
| Reference No | CC-000504-39221 |