Company Name: KOBAY TECHNOLOGY BERHAD
Stock Name: KOBAY
Date Announced: 06 Dec 2017
Category: General Announcement for PLC
Reference Number: GA1-06122017-00078
Description: Option to Purchase entered by Paradigm Aero Technology Sdn. Bhd.
The Board of Directors of Kobay Technology Bhd. (“Kobay” or “the Company”) wishes to announce that on 5 December 2017 Paradigm Aero Technology Sdn. Bhd. (Company No.: 1258406-W) (“PAT”), the wholly owned subsidiary company of Lipo Corporation Sdn. Bhd. (Company No.: 491485-V) (“Lipo”), for which Lipo is the wholly owned subsidiary Company of Kobay, has entered into an option to purchase a piece of factory land located at Perai Industrial Estate, Penang from Messrs. Bright Entity Sdn. Bhd. (Company No.: 797701-U) (hereinafter referred to as “Bright” or “the Vendor”) at an option purchase price of RM16million (hereinafter referred to as “the Option to Purchase”).
PAT was incorporated on 4 December 2017 under the Companies Act 2016 with an issued capital of RM2-00 for which is wholly owned by Lipo. Its intended principal activities is to produce and manufacture parts for aerospace industry.
Bright is a company incorporated in Malaysia owned by, two (2) individuals who are Malaysian Citizen and a Company incorporated in Malaysia, with an issued capital of RM1,000,000 and having its registered address at 19-3, Jalan Tasik Selatan 3, Bandar Tasik Selatan, Kuala Lumpur.
The factory land is hereditament identified as PT1529, Mukim 01, Seberang Perai Tengah, Penang held under HS(D) No. 33005 with land size of approximately 4.6664 acres, together with factory buildings erected thereon bearing postal address No. 2478, Lorong Perusahaan 10, Kawasan Perindustrian Perai, 13600 Perai, Penang (hereinafter referred to as “the Property”). The Property is to be purchased on “as is where is” basis.
Upon signing of the Option to Purchase, PAT has paid an Earnest Deposit of RM16,000. This Earnest Deposit is forfeitable if PAT opt not to exercise the Option to enter into Sale and Purchase Agreement (“SPA”) within 30 days from the date of the Option to Purchase.
The earnest money of RM16,000 (Ringgit Malaysia : Sixteen Thousand Only) is paid from internal generated cash whereas PAT will apply for loan from financial institution to pay for the purchase price should the SPA is executed.
None of the Directors, or major shareholders of PAT or the Company and/or persons connected with them have any direct or indirect interest in the Option to Purchase.
The Board of Directors is of the opinion that the proposed Option to Purchase is in the best interest of PAT and the Company and is not detrimental to the shareholders of PAT or the Company.
Further announcement will be made in due course pertaining to the exercise of the Option to Purchase.
This announcement is dated 6 December 2017.