DILUTION OF EQUITY INTEREST IN INFRA-INFO TELECOMMUNICATIONS SDN. BHD. (COMPANY NO. 743456-W)
P.I.E. INDUSTRIAL BERHAD (“PIE” AND “THE COMPANY”)
DILUTION OF EQUITY INTEREST IN INFRA-INFO TELECOMMUNICATIONS SDN. BHD. (COMPANY NO. 743456-W) [THE RESTRUCTURING]
The Board of Directors of PIE wishes to announce that upon the allotment of shares in Infra-Info Telecommunications Sdn. Bhd. (Company No. 743456-W) [IITSB] on September 20, 2012, PIE’s equity interest in IITSB has been diluted from 50% to 49%.
IITSB was incorporated in Malaysia on August 8, 2006. The Authorised capital of IITSB is RM1,000,000.00 divided into 1,000,000 Ordinary Shares of RM1.00 each. As at the date of this announcement, IITSB has an issued and paid up capital of RM612,245.00. IITSB is providing wireless broadband services and sale of related telecommunication products.
Vide an announcement made on September 8, 2006, PIE had entered into a contractual arrangement on September 8, 2006 by investing 50% equity interest in IITSB on the basis of the revenue generated and the expenses incurred on providing the wireless broadband internet services (the Distribution) would be distributed from IITSB’s accounts to PIE based its equity interest. As a result of the Restructuring, the Distribution would be reduced from 50% to 49% accordingly.
The Restructuring of IITSB is part of its business strategy to reflect the involvement of the management by equity interest.
There will not be any material effect arising from the Restructuring on the net tangible assets, earnings per share, share capital and substantial shareholding of PIE Group for the financial year ending 31 December 2012.
The Restructuring is not subject to the approval of the shareholders of PIE, or any regulatory authorities.
Directors’ and Major Shareholders’ Interests
None of the Directors or major shareholders of the Company and/or persons connected to them, as defined under the Bursa Malaysia Securities Berhad Main Market Listing Requirements, has any interest, whether direct or indirect, in the Restructuring.
The Board is of opinion that the Restructuring is in the best interest of PIE Group.
This announcement is dated September 20, 2012.