TRANSACTIONS (CHAPTER 10 OF LISTING REQUIREMENTS) : NON RELATED PARTY TRANSACTIONS NON RELATED PARTY TRANSACTIONS - DISPOSAL OF ALL THE TWO PIECES OF LAND AND THE TWO SEPARATE FACTORIES BUILT ON EACH OF THE TWO PIECES OF LANDS HELD UNDER THE FOLLOWING TWO SEPARATE ISSUED DOCUMENTS OF TITLE :- (1) H.S.(D) 541178, PTD 180984, Mukim Tebrau, Daerah Johor Bahru, Negeri Johor with the approximate area of 0.1263 hectare; (2) H.S.(D) 541179, PTD 180985, Mukim Tebrau, Daerah Johor Bahru, Negeri Johor with the approximate area of 0.1263 hectare, BY IRE-TEX (JOHOR) SDN BHD

IRE-TEX CORPORATION BERHAD

Type Announcement
Subject TRANSACTIONS (CHAPTER 10 OF LISTING REQUIREMENTS)
NON RELATED PARTY TRANSACTIONS
Description
NON RELATED PARTY TRANSACTIONS   - DISPOSAL OF ALL THE TWO PIECES OF LAND AND THE TWO SEPARATE FACTORIES BUILT ON EACH OF THE TWO PIECES OF LANDS HELD UNDER THE FOLLOWING TWO SEPARATE ISSUED DOCUMENTS OF TITLE :-  (1) H.S.(D)   541178, PTD 180984, Mukim Tebrau, Daerah Johor Bahru, Negeri Johor with the approximate area of 0.1263 hectare;  (2)  H.S.(D) 541179, PTD 180985, Mukim Tebrau, Daerah Johor  Bahru,  Negeri  Johor  with  the approximate  area  of 0.1263 hectare,  BY IRE-TEX (JOHOR) SDN BHD

Reference is made to Ire-Tex’s announcement dated 27 December 2018 in relation to the Proposed Disposal (“Announcement”). All abbreviation terms here shall have the same meaning as those set out in the Announcement unless otherwise stated.

 

The Board of Ire-Tex wishes to announce that following the payment of Balance Purchase Price and balance Redemption Sum from ATESB on 27 March 2019 for the Property, the Proposed Disposal is completed on even date.

 

The proceeds from the Proposed Disposal were utilised as follows:

 

Description

Note

Estimated amount

Actual amount

 

 

RM’000

RM’000

Repayment of bank borrowings

(a)

3,300

3,561

Payment of RPGT

-

138

138

Working capital

(b)

1,082

846

Defraying expenses

(c)

80

55

Total

 

4,600

4,600

 

 

Notes:

 

(a) Subsequent to the announcement for the Proposed Disposal, the Company had in February 2019 received the bank statement from RHB Bank Berhad for the full redemption sum of the loan for the Properties.  Thus, RM3,561,000 of the proceeds was used to settle bank borrowings in full and the additional RM261,000 was adjusted from the amount allocated for working capital purposes.

 

(b) The breakdown of funds utilised for working capital is as follows:

 

 

Estimated

amount

Actual amount

Breakdown of funds for working capital

RM’000

RM’000

a)    Working capital of ITJSB which comprises:

 

 

i. Payment of outstanding property agents’ commission for the Proposed Disposal and previous disposal of land and property which was completed on 7 June 2018 

402

305

ii. Payment of overdue corporate taxes and penalty

101

-

iii. Payment to overdue creditors of ITJSB

100

65

b) Loan to other subsidiaries of Ire-Tex whereby the amounts are to be used as payment to overdue creditors of the said subsidiaries

479

476

Total

1,082

846

 

The difference of RM236,000 between the estimated amount (of RM1,082,000) and actual amount utilised (of RM846,000) were due to RM261,000 adjustment to repayment of bank borrowings for the settlement of bank borrowings in full and adjustment from defraying expenses of RM25,000.

 

(c) The actual professional fees and incidental expenses paid for the Proposed Disposal (of RM55,000) (i.e., legal fees, adviser fees and disbursements) was RM25,000 lower than the estimated amount (of RM80,000).  Thus, the difference of RM25,000 was adjusted to the amount allocated for working capital purposes.

 

This announcement is dated 1 April 2019.






Announcement Info

Company Name IRE-TEX CORPORATION BERHAD
Stock Name IRETEX
Date Announced 01 Apr 2019
Category General Announcement for PLC
Reference Number GA1-01042019-00075