INVESTOR RELATIONS

1. INTRODUCTION

NAIM is pleased to announce that its subsidiary, Peranan Makmur Sdn. Bhd. (“PMSB”) had on 18 July 2022 (“Effective Date”) entered into a Memorandum of Understanding (“MOU”) with Sarawak Metro Sdn. Bhd. (“SMSB”) with intention to collaborate for the proposed construction of the Autonomous Rapid Transit (“ART”) station adjacent to the PMSB’s development at Kuching Paragon @ Sapphire on the Park, subject to the State Government of Sarawak’s approval.

2. INFORMATION OF SMSB

SMSB was incorporated in Malaysia on 26 February 2018 as a private limited company under the Companies Act, 2016. SMSB has been given the rights to implement and manage Kuching Urban Transportation System (“KUTS”) project.

SMSB is a wholly owned subsidiary of Sarawak Economic Development Corporation (“SEDC”). SEDC has been entrusted by the State Government of Sarawak as project developer for the smart urban transportation system known the ART system.

3. RATIONALE OF THE MOU

The MOU allows PMSB and SMSB to collaborate and negotiate for the proposed construction of the ART station at Kuching Paragon and any future mutual business arrangements in relation to the KUTS project.

4. SALIENT FEATURES OF THE MOU

4.1 The parties will work together, proactively and in good faith, to establish all the needed requirements for the formalisation of the collaboration via a definitive agreement.

4.2 In the event, any commercial co-operation activities that may arise from the collaboration under this MOU, such co-operation shall, subject to mutual agreement by all parties be formalised and legalised in the definitive agreements.  However, neither party shall be obliged nor bound to enter into definitive agreement.

4.3 The MOU shall come into effect for a period of 6 (six) months and may be terminated upon the earliest occurrence of any of the following events:-

(a) The parties mutually agree in writing not to proceed with the collaboration under the MOU;

(b) Upon the execution of the definitive agreement; 

(c) The election of any party to terminate this MOU without assigning any reasons whatsoever, by giving the other party at least one (1) months’ notice in writing of its intention to do so; or

(d) Upon expiry of the 6 (six) months from the Effective Date.

5. EFFECTS OF THE MOU

The MOU is not expected to have any effect on the earnings per share, net assets per share, gearing, share capital and substantial shareholders’ shareholdings of the Company for the financial year ending 31 December 2022.

6. INTEREST OF DIRECTORS, MAJOR SHAREHOLDERS AND/OR PERSONS CONNECTED TO THEM

None of the directors and/or major shareholders and/or persons connected to them has any interest, direct or indirect in the MOU.

7. DIRECTORS’ STATEMENT

The Board, having considered all aspects of the MOU, is of the view that the MOU is in the best interest of the Company.

8. APPROVALS REQUIRED

The MOU is not subject to the approval of the shareholders of NAIM or any regulatory authorities.

This announcement is dated 18 July 2022.