March 1, 2013

Company announcements: MMCCORP, GENP, AMOLEK, CMSB, PETRONM, GAB

MMCCORP - Changes in Sub. S-hldr's Int. (29B) - EMPLOYEES PROVIDENT FUND BOARD

Announcement Type: Changes in Substantial Shareholder's Interest Pursuant to Form 29B of the Companies Act. 1965
Company NameMMC CORPORATION BERHAD  
Stock Name MMCCORP  
Date Announced1 Mar 2013  
CategoryChanges in Substantial Shareholder's Interest Pursuant to Form 29B of the Companies Act. 1965
Reference NoMC-130301-2AA7B

Particulars of substantial Securities Holder

NameEMPLOYEES PROVIDENT FUND BOARD
AddressTINGKAT 19, BANGUNAN KWSP
JALAN RAJA LAUT
50350 KUALA LUMPUR
NRIC/Passport No/Company No.EPF ACT1991
Nationality/Country of incorporationMALAYSIA
Descriptions (Class & nominal value)ORDINARY
Name & address of registered holder1) Citigroup Nominees Tempatan Sdn. Bhd.
- Employees Provident Fund Board
2) Citigroup Nominees Tempatan Sdn. Bhd.
- Employees Provident Fund Board (RHB INV)
3) Citigroup Nominees Tempatan Sdn. Bhd.
- Employees Provident Fund Board (AM INV)
4) Citigroup Nominees Tempatan Sdn. Bhd.
- Employees Provident Fund Board (ALLIANCE)
5) Citigroup Nominees Tempatan Sdn. Bhd.
- Employees Provident Fund Board (CIMB PRI)

Details of changes

Currency: Malaysian Ringgit (MYR)

Type of transactionDate of change
No of securities
Price Transacted (RM)
Disposed26/02/2013
213,900
 

Circumstances by reason of which change has occurredSales of equity on open market by EPF
Nature of interestDirect and Indirect
Direct (units)1,490,000 
Direct (%)0.04 
Indirect/deemed interest (units)212,361,800 
Indirect/deemed interest (%)6.97 
Total no of securities after change213,851,800
Date of notice27/02/2013

Remarks :
received a notice from Citigroup on 1 March 2013


MMCCORP - Changes in Sub. S-hldr's Int. (29B) - EMPLOYEES PROVIDENT FUND BOARD

Announcement Type: Changes in Substantial Shareholder's Interest Pursuant to Form 29B of the Companies Act. 1965
Company NameMMC CORPORATION BERHAD  
Stock Name MMCCORP  
Date Announced1 Mar 2013  
CategoryChanges in Substantial Shareholder's Interest Pursuant to Form 29B of the Companies Act. 1965
Reference NoMC-130301-26F3F

Particulars of substantial Securities Holder

NameEMPLOYEES PROVIDENT FUND BOARD
AddressTINGKAT 19, BANGUNAN KWSP
JALAN RAJA LAUT
50350 KUALA LUMPUR
NRIC/Passport No/Company No.EPF ACT1991
Nationality/Country of incorporationMALAYSIA
Descriptions (Class & nominal value)ORDINARY
Name & address of registered holder1) Citigroup Nominees Tempatan Sdn. Bhd.
- Employees Provident Fund Board
2) Citigroup Nominees Tempatan Sdn. Bhd.
- Employees Provident Fund Board (RHB INV)
3) Citigroup Nominees Tempatan Sdn. Bhd.
- Employees Provident Fund Board (AM INV)
4) Citigroup Nominees Tempatan Sdn. Bhd.
- Employees Provident Fund Board (ALLIANCE)
5) Citigroup Nominees Tempatan Sdn. Bhd.
- Employees Provident Fund Board (CIMB PRI)

Details of changes

Currency: Malaysian Ringgit (MYR)

Type of transactionDate of change
No of securities
Price Transacted (RM)
Disposed25/02/2013
300,000
 

Circumstances by reason of which change has occurredSales of equity on open market by EPF
Nature of interestDirect and Indirect
Direct (units)1,490,000 
Direct (%)0.04 
Indirect/deemed interest (units)212,575,700 
Indirect/deemed interest (%)6.98 
Total no of securities after change214,065,700
Date of notice26/02/2013

Remarks :
received a notice from Citigroup on 1 March 2013


MMCCORP - Changes in Sub. S-hldr's Int. (29B) - EMPLOYEES PROVIDENT FUND BOARD

Announcement Type: Changes in Substantial Shareholder's Interest Pursuant to Form 29B of the Companies Act. 1965
Company NameMMC CORPORATION BERHAD  
Stock Name MMCCORP  
Date Announced1 Mar 2013  
CategoryChanges in Substantial Shareholder's Interest Pursuant to Form 29B of the Companies Act. 1965
Reference NoMC-130301-20D62

Particulars of substantial Securities Holder

NameEMPLOYEES PROVIDENT FUND BOARD
AddressTINGKAT 19, BANGUNAN KWSP
JALAN RAJA LAUT
50350 KUALA LUMPUR
NRIC/Passport No/Company No.EPF ACT1991
Nationality/Country of incorporationMALAYSIA
Descriptions (Class & nominal value)ORDINARY
Name & address of registered holder1) Citigroup Nominees Tempatan Sdn. Bhd.
- Employees Provident Fund Board
2) Citigroup Nominees Tempatan Sdn. Bhd.
- Employees Provident Fund Board (RHB INV)
3) Citigroup Nominees Tempatan Sdn. Bhd.
- Employees Provident Fund Board (AM INV)
4) Citigroup Nominees Tempatan Sdn. Bhd.
- Employees Provident Fund Board (ALLIANCE)
5) Citigroup Nominees Tempatan Sdn. Bhd.
- Employees Provident Fund Board (CIMB PRI)

Details of changes

Currency: Malaysian Ringgit (MYR)

Type of transactionDate of change
No of securities
Price Transacted (RM)
Acquired22/02/2013
42,900
 

Circumstances by reason of which change has occurredPurchase of share on open market by EPF
Nature of interestDirect and Indirect
Direct (units)1,490,000 
Direct (%)0.04 
Indirect/deemed interest (units)212,875,700 
Indirect/deemed interest (%)6.99 
Total no of securities after change214,365,700
Date of notice25/02/2013

Remarks :
received a notice from Citigroup on 1 March 2013


GENP - MONTHLY PRODUCTION FIGURES (MINING / PLANTATION / TIMBER)

Announcement Type: General Announcement
Company NameGENTING PLANTATIONS BERHAD  
Stock Name GENP  
Date Announced1 Mar 2013  
CategoryGeneral Announcement
Reference NoGP-130301-81B05

TypeAnnouncement
SubjectMONTHLY PRODUCTION FIGURES (MINING / PLANTATION / TIMBER)
DescriptionCROP PRODUCTION FOR FEBRUARY 2013

The Directors of Genting Plantations Berhad are pleased to announce that the crop production for the month of February 2013 is as follows:

CROP PRODUCTION

FFB 111,565 mt



AMOLEK - PRACTICE NOTE 17 / GUIDANCE NOTE 3:MONTHLY ANNOUNCEMENT

Announcement Type: General Announcement
Company NameTHE AYER MOLEK RUBBER COMPANY BERHAD  
Stock Name AMOLEK  
Date Announced1 Mar 2013  
CategoryGeneral Announcement
Reference NoML-130301-63751

TypeAnnouncement
SubjectPRACTICE NOTE 17 / GUIDANCE NOTE 3
MONTHLY ANNOUNCEMENT
DescriptionTHE AYER MOLEK RUBBER COMPANY BERHAD (“AMOLEK” OR “COMPANY”)

MONTHLY ANNOUNCEMENT ON THE STATUS OF REGULARISATION PLAN PURSUANT TO PRACTICE NOTE 17 OF THE MAIN MARKET LISTING REQUIREMENTS OF BURSA MALAYSIA SECURITIES BERHAD (“BURSA SECURITIES”)
On behalf of the Board of Directors of AMolek, Hong Leong Investment Bank Berhad (formerly known as MIMB Investment Bank Berhad) wishes to announce that further to the previous monthly announcement made on 5 February 2013, the Company is awaiting Bursa Securities’ decision on its appeal against the de-listing of the securities of the Company from the Official List of Bursa Securities.
Save for the above, there has been no further material development as at the date of this announcement.

This announcement is dated 1 March 2013.


AMOLEK - PRACTICE NOTE 16 / GUIDANCE NOTE 2:INITIAL ANNOUNCEMENT

Announcement Type: General Announcement
Company NameTHE AYER MOLEK RUBBER COMPANY BERHAD  
Stock Name AMOLEK  
Date Announced1 Mar 2013  
CategoryGeneral Announcement
Reference NoML-130301-63832

TypeAnnouncement
SubjectPRACTICE NOTE 16 / GUIDANCE NOTE 2
INITIAL ANNOUNCEMENT
DescriptionTHE AYER MOLEK RUBBER COMPANY BERHAD (“AMOLEK” OR “COMPANY”)

ANNOUNCEMENT PURSUANT TO PRACTICE NOTE (“PN”) 16 OF THE MAIN MARKET LISTING REQUIREMENTS OF BURSA MALAYSIA SECURITIES BERHAD (“LISTING REQUIREMENTS”)
1. INTRODUCTION
      We refer to the announcement dated 4 December 2012 in relation to the shareholders’ approval for the disposal by AMolek of:

      (a) a parcel of freehold land located at Lot Nos. 299 and 300, Mukim of Ayer Panas, District of Jasin, Melaka for a total cash consideration of RM3.7 million; and
      (b) a parcel of freehold land located at Lot 901, Mukim of Buloh Kasap, District of Segamat, Johor for a total cash consideration of RM4.8 million
      (“Disposals”).

      Upon completion of the Disposals, approximately 99.9% of AMolek’s assets, on a consolidated basis, will consist of cash and cash equivalents. An application for a waiver was thus submitted to Bursa Malaysia Securities Berhad (“Bursa Securities”) from classifying AMolek as an affected listed issuer pursuant to Paragraph 8.03(1) and Practice Note 16 (“PN16”) (i.e. Cash Company) of the Listing Requirements, on the basis that the proceeds from the Disposals would be entirely utilised to recover the 711-acre plantation land in Segamat (“Segamat Land”) and the triggering of the cash criterion would only be temporary since AMolek would cease to be a ‘Cash Company’ as soon as the recovery of the Segamat Land is completed.

      Bursa Securities had on 13 September 2012 decided that AMolek would not be considered as a ‘Cash Company’ as a result of the Disposals, subject to AMolek implementing a regularisation plan as approved by the Securities Commission (“SC”). On 7 January 2013, the SC rejected the application by the Company for an extension of time to finalise and submit proposed revisions to the restructuring scheme which had been approved by the SC on 16 December 2011.

      Thereafter, another application was made to Bursa Securities seeking its approval for a waiver from classifying AMolek as a Cash Company, pending the decision of the Court of Appeal in allowing AMolek’s claim for the return of the Segamat Land, which if granted, would require the Company to utilise the proceeds from the Disposals for the refund of the purchase price for the Segamat Land.

      On 25 February 2013, the Court of Appeal allowed Bintang-Bintang Sdn Bhd’s (“BBSB”) appeal against the earlier decision of the Johor Bahru High Court as announced by the Company on 1 June 2012. The Board of AMolek would be filing a Notice of Motion in the Federal Court seeking leave to appeal to the Federal Court against the decision of the Court of Appeal.

      On 28 February 2013, Bursa Securities notified that the Company is a Cash Company.

2. OBLIGATIONS UNDER PN16 OF THE LISTING REQUIREMENTS

      Paragraph 8.03 of the Listing Requirements provides that the cash company must ensure that its available cash be utilised only for implementing a proposal to acquire a new core business as approved by the SC or pro rata distributions to shareholders in the event it is unable to fulfil its obligations under PN16.

      As a Cash Company, AMolek must:
      (i) submit a proposal to acquire a new core business to the SC for its approval and implement its proposal within the timeframe prescribed by the SC;

      (ii) announce the status of its proposal not later than 2 months after the end of each quarter of a financial year, until further notice from Bursa Securities;

      (iii) announce its compliance or non-compliance with a particular obligation imposed pursuant to PN16 of the Listing Requirements on an immediate basis;

      (iv) announce the details of the proposal which announcement must fulfil the requirements as set out in Paragraph 2.2 of PN16 of the Listing Requirements; and

      (v) where AMolek fails to regularise its condition, announce the dates of suspension and de-listing of its listed securities immediately upon notification of suspension and de-listing by Bursa Securities.

3. CONSEQUENCES OF NON-COMPLIANCE
      (i) If AMolek fails to comply with any of its obligations prescribed in Paragraph 8.03 and PN 16 of the Listing Requirements, Bursa Securities may take action against the Company including but not limited to suspension and/or de-listing proceedings against the Company.

      (ii) If AMolek fails to comply with any part of its obligations prescribed in subparagraph (5)(a) of Paragraph 8.03 of the Listing Requirements, it must ensure that all moneys deposited, together with interests earned, with a financial institution licensed by Bank Negara Malaysia and operated by a custodian are distributed to its shareholders on a pro-rata basis as soon as practicable.

4. STATUS OF PROPOSAL UNDER PN16 OF THE LISTING REQUIREMENTS
      The Company is in the midst of formulating a plan to regularise its financial conditions. The Board of AMolek intends to appeal to Bursa Securities against the decision to classify it as a Cash Company. Any progress in this regard shall be announced to Bursa Securities in due course.

This announcement is dated 1 March 2013.


CMSB - Notice of Shares Buy Back - Immediate Announcement

Announcement Type: Notice of Shares Buy Back - Immediate Announcement
Company NameCAHYA MATA SARAWAK BERHAD  
Stock Name CMSB  
Date Announced1 Mar 2013  
CategoryNotice of Shares Buy Back - Immediate Announcement
Reference NoCM-130301-2D9AB

Date of buy back01/03/2013
Description of shares purchasedOrdinary shares of RM1.00 each
CurrencyMalaysian Ringgit (MYR)
Total number of shares purchased (units)33,000
Minimum price paid for each share purchased ($$)3.080
Maximum price paid for each share purchased ($$)3.090
Total consideration paid ($$)
Number of shares purchased retained in treasury (units)33,000
Number of shares purchased which are proposed to be cancelled (units)0
Cumulative net outstanding treasury shares as at to-date (units)9,793,300
Adjusted issued capital after cancellation
(no. of shares) (units)
Total number of shares purchased and/or held as treasury shares against the total number of outstanding shares of the listed issuer (%)2.94


PETRONM - TRANSACTIONS (CHAPTER 10 OF LISTING REQUIREMENTS):RECURRENT RELATED PARTY TRANSACTIONS

Announcement Type: General Announcement
Company NamePETRON MALAYSIA REFINING & MARKETING BHD  
Stock Name PETRONM  
Date Announced1 Mar 2013  
CategoryGeneral Announcement
Reference NoPM-130301-52246

TypeAnnouncement
SubjectTRANSACTIONS (CHAPTER 10 OF LISTING REQUIREMENTS)
RECURRENT RELATED PARTY TRANSACTIONS
DescriptionTRANSACTION PURSUANT TO PARAGRAPH 10.09 OF THE MAIN MARKET LISTING REQUIREMENTS
- ACQUISITION OF LPG MARKETING AND SALE BUSINESS OF PETRON FUEL INTERNATIONAL SDN BHD

Introduction

Petron Malaysia Refining & Marketing Bhd (formerly known as Esso Malaysia Berhad) (“PMRMB”) wishes to announce that it has on March 1, 2013 executed a formal agreement with its sister company, Petron Fuel International Sdn Bhd (formerly known as ExxonMobil Malaysia Sdn Bhd) (“PFISB”) (collectively “Companies”) to acquire, effective immediately, PFISB’s Liquified Petrolem Gas (“LPG”) marketing and sale business.

Background

PMRMB and PFISB both have LPG businesses. The businesses of both Companies involve marketing and sale of LPG as well as bottling of LPG cylinders at (for PMRMB) the Port Dickson Terminal and (for PFISB) at a Westport Terminal bottling facility (that is operated by a joint venture company owned by PFISB in equal part with a 3rd party oil company unrelated to Petron Corporation).

Since the acquisition of controlling shares in PMRMB and PFISB by Petron Oil & Gas International Sdn Bhd (“POGI”), an indirect wholly-owned subsidiary of Petron Corporation (“Take-over” and in relation to PMRMB, the subject matter of an announcement made on March 30, 2012), both Companies have been exploring means of streamlining the LPG business. This is because being under two separate Companies, the LPG businesses of both Companies require separate operational and financial management . The LPG cylinders used by both Companies too are of different sizes and colour schemes.

This again is contrary to the Companies’ plans on harmonizing the brand and image of all products under the ‘Petron” brand. Currently PMRMB’s LPG cylinders use the “Esso” brand name while PFISB uses the “Mobil” brand name – both of which are proprietary to ExxonMobil, which by agreement between ExxonMobil and Petron Corporation, Petron Corporation is required to re-brand as the right of using ExxonMobil’s proprietary brand names are for a limited duration only. In this regard all LPG cylinders marketed by Petron subsidiaries in Malaysia (“Petron”) are being re-branded as “PETRON-GASUL”; a proprietary LPG brand of Petron Corporation.

Rationale for the Acquisition

The rationale in PMRMB acquiring the LPG marketing and sale business of PFISB is logical given that 85% of Petron’s market share in the LPG business in peninsular Malaysia comes from PMRMB.

PMRMB currently bottles 80% of its LPG cylinders at its Port Dickson Terminal and 20% of its requirements at the Westport Terminal bottling facility. The Companies have agreed:

(1) that the Westport Terminal bottling facility will be engaged to continue to Bottle LPG cylinders for PMRMB; and

(2) As LPG is a controlled item as determined by the Government, the Westport Terminal bottling facility will act as a business continuity facility in the event of any disaster or emergency affecting PMRMB’s ability to bottle LPG at its Port Dickson Terminal bottling facility.

By taking over PFISB’s network of dealers (and its market) and with a single focus brand (“PETRON – GASUL”) PMRMB would be able to grow its business in the peninsular Malaysia LPG market. The streamlining of operational and financial management too would lead to efficiencies in managing the business.

By taking over PFISB’s marketing and sale business, PMRMB would have immediate access to existing LPG cylinders of PFISB that it could refurbish, re-brand as “PETRON-GASUL” and market to its customers.

Salient Terms of the Agreement

The salient terms of the Agreement are that:

1. PMRMB takes over PFISB’s LPG cylinders and the LPG marketing and sales business

2. PMRMB will pay PFISB (“Consideration”):

(a) a one off nominal goodwill payment for taking over its business, dealership and customers;

(b) a one off scrap value payment for its LPG cylinders that PMRMB takes over;

(c) a one-time payment for PFISB’s LPG inventory balance at a transfer price based on market rate; and

(d) Westport Terminal bottling facilities fees in the form of fixed annual cost and a variable cost.

3. PFISB will exit the LPG marketing and sale business and concentrate its efforts as a bottling plant operator.

The Agreement is for a two year period and may be extended by mutual agreement between the Companies. The total Consideration over the duration of the Agreement (that also includes the above-mentioned variable bottling cost that is charged at prevailing market rate of LPG) is expected to be RM16,733,000.

Related Party Transaction

The Agreement entered into by PMRMB with its sister company PFISB would be a recurrent related party transaction.

Related Parties

Following the Take-over, and the subsequent completion of the Mandatory General Offer, POGI controls 73.4% of the paid up capital and voting shares in PMRMB and is the largest shareholder of PMRMB. From the date of the Take-over on March 30, 2012, POGI owns 100% of the paid up capital in PFISB. Apart from that disclosed above, POGI has no other direct or indirect interest in the Agreement.

Mr. Ramon S. Ang, Mr Eric O. Recto and Ms. Aurora T. Calderon are common directors of POGI and PMRMB. Mr Lubin B. Nepomuceno is a Director of PMRMB and is an alternate Director to Mr Eric O. Recto on the Board of Directors of POGI.

Mr Ramon S. Ang and Mr Lubin B. Nepomuceno are common Directors of both PMRMB and PFISB. Mr Ramon S. Ang is also Chairman and Chief Executive Officer of PMRMB. Both Directors had declared their interest to the Board of Directors of PMRMB and abstained from discussion or voting when the Board of PMRMB considered and passed the necessary resolution pertaining to the proposed acquisition of PFISB’s LPG marketing and sale business.

All the above-mentioned Directors have no direct or indirect interest in the Agreement between PMRMB and PFISB. They were also not directly or indirectly involved in the negotiations between the Companies leading to the execution of the said Agreement.

Apart from that disclosed above, no person connected to PMRMB’s major shareholder (POGI), or the above-mentioned Directors have any direct or indirect interest in the said Agreement.

‘Percentage Ratio’

The highest ‘percentage ratio’ calculated pursuant to Paragraph 10.02(g) of the Main Market Listing Requirements is 2.23%. The consideration was negotiated by the Companies on an arms-length basis, following strict internal guidelines, to ensure terms and conditions, including the consideration paid, was fair and reasonable to both Companies.

Approvals – Board Audit Committee / Board of Directors / Regulatory Authorities

The Board Audit Committee of PMRMB having reviewed the Agreements and the related party nature of the Agreement, formed the view that :

  1. It was in the best interest of PMRMB as by taking over the LPG business of its sister company (PFISB) it would be able to expand on its market share and the focus of the LPG business unit (and its resources in managing the business) would be heightened. The plan would also lead to marketing and distribution efficiencies that would benefit PMRMB financially in the long term.
  2. The terms of the agreement are fair, reasonable on and normal commercial terms. This is because the deal allows PMRMB to acquire the assets of PFISB especially LPG cylinders at scrap value, which would be much lower than acquiring the same in the open market. The business, dealership and customer base of PFISB too was being acquired for a nominal goodwill. Further the ‘fixed fee’ and ‘bottling fee’ agreed between the parties are on normal commercial rates as applicable currently in the market.
  3. Considering the long term benefits to PMRMB, the terms of the agreement and the availability of the PFISB’s operations in Westport for bottling LPG (and as a business continuity site for PMRMB’s Port Dickson Terminal bottling facility), the plan would be beneficial to its investors. Thus the plan would not be detrimental to minority shareholders’ interest.

The Board of Directors of PMRMB, having reviewed the proposal and rationale for the acquisition of PFISB’s LPG marketing and sale business as well as the terms of the Agreement and having considered the views of the Board Audit Committee, resolved that the Agreement was in the best interest of PMRMB.

The above said Agreement does not require any regulatory approvals on the part of PMRMB and any regulatory notice by PFISB to the relevant authorities will be dealt with by PFISB independent of PMRMB.

This announcement is dated March 1, 2013.



PETRONM - OTHERS ANNOUNCEMENT PURSUANT TO PARAGRAPH 9.03 OF THE MAIN MARKET LISTING REQUIREMENTS

Announcement Type: General Announcement
Company NamePETRON MALAYSIA REFINING & MARKETING BHD  
Stock Name PETRONM  
Date Announced1 Mar 2013  
CategoryGeneral Announcement
Reference NoPM-130301-51641

TypeAnnouncement
SubjectOTHERS
DescriptionANNOUNCEMENT PURSUANT TO PARAGRAPH 9.03 OF THE MAIN MARKET LISTING REQUIREMENTS

Introduction

Petron Malaysia Refining & Marketing Bhd (formerly known as Esso Malaysia Berhad) (“PMRMB”) wishes to announce that it has as of March 1, 2013, exited the Lubricants sector of its overall business.

Background

On March 30, 2012, 65% of the voting shares in PMRMB (then ‘Esso Malaysia Berhad’) owned by ExxonMobil International Holdings Inc was acquired by Petron Oil & Gas International Sdn Bhd, an indirect wholly-owned subsidiary of Petron Corporation. As announced on the same day (“TERMINATION OF AGREEMENTS WITH EXXON MOBIL CORPORATION’S AFFILIATES”), among the inter-company agreements PMRMB had with Exxon Mobil Corporation affiliates (that were terminated) was the lubricant and specialty supply arrangement between PMRMB and Exxon Trading Asia Pacific Pte Ltd. Exxon Mobil Corporation’s proprietary ‘Mobil’ branded lubricants were carved out of the acquisition agreement between Petron Corporation and ExxonMobil as ExxonMobil wished to retain its lubricant brand and have control over its branded lubricant business.

PMRMB (in the interim following the acquisition by Petron) continued to allow its petrol station dealers to stock ‘Mobil’ branded lubricants which the dealers could acquire directly through ExxonMobil appointed distributors in Malaysia. PMRMB also made arrangements for its petrol station dealers to acquire ‘Petron’ branded lubricants directly from appointed 3rd party lubricants distributors.

This arrangement with 3rd party lubricant distributors to supply ‘Petron’ branded lubricants directly to PMRMB’s petrol station dealers and motorist will continue even after PMRMB exits the Lubricants business.

‘Petron’ branded lubricants are proprietary brands of Petron Corporation.

Rationale for the Discontinuation

PMRMB recognizes that the marketing of a new brand of lubricants to the Malaysian market would require much allocation of cost and other resources on the part of PMRMB.

PMRMB having reviewed the matter, formed the view that PMRMB’s strengths lie in its strong and visible retail fuels marketing business and commercial business – including LPG, industrial and wholesale fuels and aviation fuel. It also has a substantial business in petroleum refining and supply/distribution; elements within PMRMB that supports its retail and commercial businesses. The marketing and sales efforts and resources of PMRMB (including time, financial allocations and manpower) would be more beneficially utilised in fuels marketing and commercial businesses where there is certainty of higher return on investments.

PMRMB also takes the view that lubricants business under a new brand name may take time to mature and in the interim, Minority Interests may be adversely affected by low or negative margin in relation to investments made in this sector; when such investments could be made in other higher-return businesses of the Company.

Financial Impact

It is estimated that marketing efforts to introduce a new brand of lubricants in the Malaysian market would not yield immediate returns. Further, the loss of profit contribution from the sales of a new brand of lubricants, to the Company’s overall profitability, would not be material. Thus no significant or material negative financial impact is expected from the discontinuation of the Lubricant business. PMRMB is also of the view that the re-allocation of investments and resources to the Company’s higher yield businesses would result in better returns on investment.

Approvals – Board of Directors / Regulatory Authorities

The Board of Directors (including the Independent Directors of the Board Audit Committee), following deliberation of the proposal opined that the proposal would be in the best interest of the Company and that the proposal would not have any detrimental effect on Minority Interest shareholders. No approvals from regulatory authorities are required for the above.

This announcement is dated March 1, 2013.



GAB - Change in Boardroom

Announcement Type: Change in Boardroom
Company NameGUINNESS ANCHOR BERHAD  
Stock Name GAB  
Date Announced1 Mar 2013  
CategoryChange in Boardroom
Reference NoGA-130301-2ABA7

Date of change01/03/2013
NameHans Essaadi
Age47
NationalityDutch
Type of changeAppointment
DesignationManaging Director
DirectorateExecutive
QualificationsMr Essaadi obtained his Bachelor’s degree (Major in Finance) from Hotelschool the Hague, an international institute for Hospitality Management, Netherlands where he completed a 4-year business oriented course including two international traineeships. 
Working experience and occupation Hans Essaadi started his career in 1991 as a Sales Representative with Heineken Netherlands and in 1995 he moved to Heineken Germany as Sales Manager. Hans returned to Heineken Netherlands in 1997, first serving as Heineken Export Manager with the Heineken Export Group and then as Senior Brand Manager until the end of 2002.

In early 2003, Hans was appointed Country Manager of Heineken Puerto Rico, a key market for Heineken Group as the no. 10 Heineken beer market in the world. By the end of 2005, he was appointed General Manager of Brau Union International based in Vienna, Austria, part of Heineken Region – Central and Eastern Europe.

Subsequently in 2008, Hans was appointed General Manager of Sirocco, a joint venture between Heineken and Emirates in Heineken Region – Africa and Middle East, his most recent role prior to joining Guinness Anchor Berhad. In this role, he oversaw several key markets in the Gulf Region and managed a portfolio of brands from various principals including Heineken International, AB InBev, Molson Coors and Asia Pacific Breweries.  
Directorship of public companies (if any)Confederation of Malaysian Brewers Berhad 
Family relationship with any director and/or major shareholder of the listed issuerNil 
Any conflict of interests that he/she has with the listed issuerNil 
Details of any interest in the securities of the listed issuer or its subsidiariesNil 

Remarks :
Further to the Company's announcement dated 4 January 2013 in respect of the nomination of Mr Hans Essaadi as the new Managing Director of Guinness Anchor Berhad ("GAB"), the Company is pleased to announce that the appointment of Mr Hans Essaadi as the Managing Director of GAB has been effected on 1 March 2013.

Concurrent with the above appointment, Mr Hans Essaadi has also been appointed as a member of the Executive Committee.

Mr Hans Essaadi will attend the MAP training scheduled for 6 and 7 March 2013.

This announcement is dated 1 March 2013.


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