Investors – Jaya Tiasa Holdings Berhad

Investor Relations

Jaya tiasa Holdings Berhad ("JTH" Or The "Company") Disposal Of Asset By A Wholly-owned Subsidiary, Jaya Tiasa Plywood Sdn Bhd ("JTP")

BackJul 28, 2005

General Announcement
Reference No JT-050728-40511

Company Name	:	JAYA TIASA HOLDINGS BHD
Stock Name	:	JTIASA
Date Announced	:	28/07/2005


Type	:	Announcement
Subject	:	JAYA TIASA HOLDINGS BERHAD ("JTH" or the "Company") DISPOSAL OF ASSET BY A WHOLLY-OWNED SUBSIDIARY, JAYA TIASA PLYWOOD SDN BHD ("JTP")

Contents :

INTRODUCTION

The Board of Directors of JTH wishes to announce that its wholly-owned subsidiary, JTP has on 28 July 2005 disposed of a warehouse (the "Asset") to Trimogreen Sdn Bhd ("Trimogreen" or the "Purchaser"), a person connected with the Directors and major shareholders of JTH, for a total cash consideration of RM800,000/-.

INFORMATION ON THE PURCHASER

Trimogreen was incorporated on 4 December 1989 and has an authorized capital of RM5,000,000-00 comprising 5,000,000 ordinary shares of RM1.00 each of which 2,000,000 ordinary shares have been issued and fully paid-up. The principal activities of Trimogreen are manufacturing and sale of sawn timber and finger joint moulding. Its manufacturing factory is situated at Lot 113, Block 3, Sare Land District, Tanjung Manis, Sarikei.

Trimogreen is a wholly-owned subsidiary of Subur Tiasa Holdings Berhad ("Subur"), a company listed on the main board of Bursa Malaysia Securities Berhad.

INFORMATION ON THE ASSET

The warehouse is located at Lot 113, Block 3, Sare Land District, Tanjung Manis, Sarikei. It is constructed of steel structure with spandex walls and roof and concrete flooring. Total built up floor area is approximately 80,000 square feet.

The construction of the building was completed in June 1996 for a total cost of RM1,310,558/-. Its net book value as at 30 June 2005 was RM757,442/-.

The gain arising from the disposal of the Asset is RM42,558/-.

CONSIDERATION

The total cash consideration of RM800,000/- was arrived at on a willing-buyer willing-seller basis after taking into account the net book value of the asset.

As the disposal was finalised by mutual discussions, there was no formal documentary agreement entered into in connection with the disposal.

The cash proceeds would be used to finance the working capital of JTP.

RATIONALE

The Asset represents surplus facility of JTP and has not been used since 2001.

EFFECT OF THE DISPOSAL

The transaction is not expected to have any material effect on the earnings, net tangible assets, share capital and substantial shareholders' shareholding of JTH.

APPROVAL REQUIRED

The disposal is not subject to the approval of the shareholders of the Company and any other relevant authorities.

ESTIMATED TIME FRAME FOR THE COMPLETION OF THE TRANSACTION

Barring any unforeseen circumstances, the disposal is estimated to be completed by 31 July 2005.

DIRECTORS AND MAJOR SHAREHOLDERS' INTEREST

Tan Sri Datuk Tiong Hiew King, Tiong Toh Siong Holdings Sdn Bhd and Teck Sing Lik Enterprise Sdn Bhd are the common major shareholders of both JTH and Subur. Trimogreen is a wholly-owned subsidiary of Subur.

The Directors of the Company, namely, Dr. Tiong Ik King, Tiong Chiong Hoo, Tiong Choon and Tiong Chiong Hee are brother, son, daughter and nephew of Tan Sri Datuk Tiong Hiew King respectively.

Accordingly, Dr. Tiong Ik King, Tiong Chiong Hoo, Tiong Choon and Tiong Chiong Hee are deemed interested in the disposal and have abstained from Board deliberation pertaining to the disposal. Save as disclosed, none of the Directors of JTH, major shareholders and/or persons connected with the Directors and/or major shareholders of JTH, have any interest, direct or indirect, in the disposal.

DEPARTURE FROM THE SECURITIES COMMISSION'S GUIDELINES To the best knowledge of the Board of JTH, the transaction has not departed from the Securities Commission's Policies and Guidelines on Issue / offer of Securities. DIRECTORS' RECOMMENDATION The Board of JTH is of the opinion that the transaction is in the best interest of the Company and the Group.

Investor Relations

Jaya tiasa Holdings Berhad ("JTH" Or The "Company") Disposal Of Asset By A Wholly-owned Subsidiary, Jaya Tiasa Plywood Sdn Bhd ("JTP")

inquiry@jayatiasa.net

About Us

For Investors

Happenings

Others

Download Annual Report