We wish to announce that Sunway City (Ipoh) Sdn Bhd (“SCI”), a subsidiary of Sunway, has on 10 June 2016, received a letter from Perak State Secretary dated 9 June 2016 informing that the Development Agreement has lapsed. It also accordingly requests SCI to return the undeveloped portion of the land to the Perak State Government. SCI shall dispute the notice and refer the matter to arbitration pursuant to the Development Agreement.  

The principal activities of SCI are property development and investment holding company.  The authorized and paid-up capital of SCI are RM400 million and RM148.6 million respectively.

The effect of the said notice is not expected to have any material effect on the earnings per share and net assets per share of Sunway for the financial year ending 31 December 2016 and beyond.

None of the directors or substantial shareholders of Sunway or persons connected with them has any interest, whether direct or indirect in the aforesaid matter.

This announcement is dated 13 June 2016.