OTHERS AWARD OF CONTRACT VIVOCOM INTL HOLDINGS BERHAD (VIVOCOM OR THE COMPANY) PROPOSED ACQUISITION; PROPOSED SUBSCRIPTION; AND PROPOSED CONSTITUTION AMENDMENTS (COLLECTIVELY REFERRED TO AS THE "PROPOSALS")
|VIVOCOM INTL HOLDINGS BERHAD|
AWARD OF CONTRACT VIVOCOM INTL HOLDINGS BERHAD (VIVOCOM OR THE COMPANY) PROPOSED ACQUISITION; PROPOSED SUBSCRIPTION; AND PROPOSED CONSTITUTION AMENDMENTS (COLLECTIVELY REFERRED TO AS THE "PROPOSALS")
We refer to the earlier announcements dated 5 November 2020, 30 December 2020 and 11 February 2021 in relation to the Proposals.
The Company wishes to announce on 26 February 2021, V Development Sdn Bhd, (“V-Development”) vide its 97%-owned subsidiary company, Rain International Sdn Bhd (“RISB”), has secured an agreement for the supply of marine sand for a period of 3 years (the “Project”). The Project is expected to be valued at approximately USD 934.7 million (or approximately equivalent to RM3.79 billion). The sand will be supplied to Zhen Hua Engineering Company Ltd-China Communications Construction Company Ltd-CCCC Dredging (Group) Company Ltd. (ZHEC-CCCC-CDC), a joint venture contractor appointed to undertake the main reclamation works for the Hong Kong International Airport Three Runway System Project.
RISB will be procuring the marine sand from Malayan Energistik Solutions Sdn Bhd (“MESSB”) vide an extraction and supply agreement signed between MESSB and V-Development Group. MESSB is an approved permit holder for sand export to overseas from sand concession site areas located in Sandakan, Sabah and Sungai Beluran, Sabah for a period of 3 years. The said approval was obtained by MESSB on 7 October 2019 from the Chief Minister of Department of Sabah.
The salient terms and the basis for the expected Project’s value of approximately USD 934.7 million (equivalent to RM3.79 billion) are as follows :-
The Board of Directors of Vivocom is currently evaluating the financial effects of the Project on the earnings and nets assets of the Group, and on whether the Project will result in a possible diversification of operations of the Group. The Board takes note of its obligation under the listing requirements and will make the necessary announcements to Bursa Malaysia accordingly.
This announcement is dated 26 February 2021.
|Company Name||VIVOCOM INTL HOLDINGS BERHAD|
|Date Announced||26 Feb 2021|
|Category||General Announcement for PLC|