General Announcement

Reference No CC-100312-32689

Company Name

:

IRE-TEX CORPORATION BERHAD

Stock Name

:

IRETEX

Date Announced

:

12/03/2010

Type

:

Announcement

Subject

:

INVESTMENT IN TFH CORPORATE SDN. BHD.

Contents

:

1. Investment in TFH Corporate Sdn. Bhd.

The Board of Directors of Ire-Tex Corporation Berhad ("ITCB" or "the Company") wishes to announce that the Company has on 12 March 2010 subscribed for and has been allotted 165,000 ordinary shares of RM1.00 each amounting to Ringgit Malaysia One Hundred And Sixty Five Thousand (RM165,000.00) only representing a 55% equity interest in a company called TFH Corporate Sdn. Bhd. (TFH) ("the Investment"). With the Investment, TFH has become a subsidiary company of ITCB.

Announcement Details :

2. Information on TFH
TFH is a company incorporated in Malaysia under the Companies Act, 1965 on 24 September 2009. The Authorised Capital of TFH is RM500,000.00 dividend into 500,000 ordinary shares of RM1.00 each. With the latest subscription of shares the paid up capital of TFH is Ringgit Malaysia Three Hundred Thousand (RM300,000.00) only comprising 300,000 shares of RM1.00 each (Shares) of which 165,000 Shares are held by the Company and 135,000 Shares are held by other shareholders.
The principal activity of TFH is sales and marketing of agricultural waste related products

3. Rationale for the Investment in TFH

The Investment will provide an opportunity for the Company to venture into a new business with new market

4. Effects of the Investment

The Investment is not expected to have any material impact on the earnings of the Company for the financial year ending 31 December 2010

The Investment will not have any effect on the net assets of ITCB Group as it was by way of cash.

The Investment will not have any effect on the share capital and substantial shareholders shareholding of ITCB

5. Approvals Required

The Investment is not subject to the approval of any governmental authorities or the shareholders of the Company

6. Directors' and Major Shareholders' Interests

None of the Directors and major shareholders of ITCB and/or persons connected with them have any interests, direct or indirect, in the Investment.

7. Directors' Statement

The Board of Directors of ITCB, having considered all aspects of the Investment, is of the opinion that the Investment is in the best interest of the Company

8. Compliance with the Securities Commission's Policies and Guidelines on Issue/Offer of Securities ("SC Guidelines")

The Board of Directors of ITCB is not aware of any departure from the SC Guidelines

This announcement is dated 12 March 2010.