The Board of Directors (“Board”) of Sunway wishes to announce that the Board proposes to implement an internal reorganisation exercise amongst some of its subsidiaries involving the following transactions:

(a) Proposed Transfer of Identified Companies

Sunway Holdings Sdn Bhd (“SunHoldings”), a wholly-owned subsidiary of Sunway, will acquire the entire equity interests in Sunway Permai Sdn Bhd, Sunway Transit System Sdn Bhd and Sunway Dimension Stones Sdn Bhd from Sunway Construction Sdn Bhd (“SunCon”), a wholly-owned subsidiary of SunHoldings (“Proposed Transfer of Identified Companies”).

(b) Proposed Transfer of Hoi Hup Sunway

Sunway Concrete Products (S) Pte Ltd (“Sunway Concrete Products”), an indirect wholly-owned subsidiary of SunCon, will dispose of its entire equity interests representing 30% of the share capital of Hoi Hup Sunway Development Pte Ltd (“Hoi Hup Sunway”) to SunHoldings (“Proposed Transfer of Hoi Hup Sunway”). 

The Proposed Transfer of Identified Companies and Proposed Transfer of Hoi Hup Sunway are collectively referred to as the “Proposed Internal Reorganisation”. SunHoldings will enter into a conditional share sale agreement with SunCon for the Proposed Transfer of Identified Companies.  SunHoldings will also enter into a conditional share sale agreement with Sunway Concrete Products for the Proposed Transfer of Hoi Hup Sunway.

The Proposed Internal Reorganisation is not expected to have any effect on the issued and paid-up share capital of Sunway or Sunway’s substantial shareholders’ shareholdings or any material effect on the earnings, net assets or gearing of Sunway on a consolidated basis.

The Proposed Internal Reorganisation is not conditional upon any other corporate exercise/scheme of Sunway.

None of Sunway’s directors, major shareholders and/or persons connected to them has any interest, whether direct or indirect, in the Proposed Internal Reorganisation.

The Board, after considering all aspects on the Proposed Internal Reorganisation, is of the opinion that the Proposed Internal Reorganisation is in the best interest of Sunway.

This announcement is dated 19 September 2014.