Signing Of Joint Venture Agreement Between Naim Cendera sdn. bhd. And Sebiro Holdings Sdn. Bhd.

BackMar 26, 2008
Further to our announcement dated 19th March 2008 in respect of the signing of the Joint Venture Agreement between wholly owned subsidiary Naim Cendera Sdn. Bhd. ("NCSB") and Sebiro Holdings Sdn. Bhd. ("Sebiro"), append hereunder the additional disclosures as follows:-.

Capital Investment

At this moment of time, the Company is assessing the full costing of the project and is therefore unable to ascertain the total capital and investment outlay in the Joint Venture.

Source of funds

The said project with the Ministry Of Education ("MOE") is a government funded project and if the Joint Venture is successful in securing the project, the Joint Venture will be paid by the government on monthly progress payment basis.


Feasibility Studies

Feasibility studies shall be undertaken and dependant upon the results of the said feasibility studies the Joint Venture partners will make the appropriate decision to bring together the parties on a preliminary stage of sharing strength and expertise based on the following-

a) Naim has the capability and experience in building, civil & infrastructure construction whereas
b) Sebiro has extensive experience in undertaking school projects in Sarawak

Duration of the Joint Venture

The Joint Venture Agreement may be terminated on the occurrence of any of the following events:-

a) default by any parties; or
b) upon receipt of written notification from MOE that the Proposal is unsuccessful; or
c) when it becomes apparent that the Proposal is unsuccessful; or
d) the MOE award the contract individually to each party; or
e) where the Proposal is successful, at the time the Contract is terminated/completed and all rights and obligations of the parties in connection with the Contract and in connection with this Agreement have ceased, but in no case before the conclusion of any maintenance/defects liability period in the Contract.

Approval Required

The establishment of the Joint Venture is not subject to the approval of the shareholders of Naim or any government authorities.

Documents for Inspection

The Joint Venture Agreement is available for inspection at the registered office of Naim at 9th Floor Wisma Naim, 2 ? Mile, Jalan Rock, 93200 Kuching, Sarawak during normal office hours for a period of fourteen days from the date of this announcement.


Information

The purpose of the joint venture is to jointly formulate a proposal to enter into a contract with MOE. Currently the Company is negotiating for the project and it will make the necessary announcement, whenever such information is available including -

a) material terms of the arrangement or agreement in relation to the project or contract;
b) details of the current level of operations or expected period of time for the project or contract to become operational


Dated this 26th day of March 2008