PRACTICE NOTE 17 / GUIDANCE NOTE 3 : FIRST ANNOUNCEMENT
|KONSORTIUM TRANSNASIONAL BERHAD|
|Subject||PRACTICE NOTE 17 / GUIDANCE NOTE 3
FIRST ANNOUNCEMENT PURSUANT TO THE PRACTICE NOTE 17 ("PN17") ("FIRST ANNOUNCEMENT") OF THE MAIN MARKET LISTING REQUIREMENTS OF BURSA MALAYSIA SECURITIES BERHAD ("BURSA SECURITIES") ("LISTING REQUIREMENTS")
Practice Note 17 under Paragraph 2.1(e) of the Bursa Securities' Listing Requirements stipulates that where a listed issuer's auditors have expressed`a modified opinion with emphasis on the listed issuer's going concern in the listed issuer's latest audited financial statements and the shareholders' equity of the listed issuer on a consolidated basis is 50% or less of the issued and paid-up capital (excluding treasury shares) of the listed issuer, the listed issuer is an affected listed issuer ("PN17 Company") as it has triggered the Prescribed Criteria under Paragraph 2.1(e) of the Listing Requirements.
In this regard, the auditors of Konsortium Transnasional Berhad ("KTB" or "the Company") have highlighted a material uncertainty related to going concern on the Company's ability to continue as a going concern in the Company's audited financial statements for the year ended 31st December 2018 and based on the Company's quarterly report for the financial period ended 31st December 2019 ("Q4 2019"), the shareholders' equity of the Company on a consolidated basis is approximately 34.8% of the share capital of the Company as at 31st Devember 2019.
Pursuant thereto, the Board of Directors of KTB wishes to announce that the Company is now regarded as an affected listed issuer ("PN17 Company") as it has triggered Paragraph 2.1(e) of Practice Note 17 of the Listing Requirements.
2. OBLIGATIONS OF KTB AS A PN17 ISSUER
Pursuant to the PN17 of the Listing Requirements, KTB as a PN17 Issuer is required to comply with the followings:-
(a) regularise its condition in the following manner:
(i) within 12 months from the date of this First Announcement:
(aa) submit a regularisation plan to the Securities Commission Malaysia ("SC") for approval if the plan will result in a significant change in the business direction or policy of the Company; or
(bb) submit a regularisation plan to Bursa Securities if the plan will not result in a significant change in the business direction or policy of the Company and obtain Bursa Securities' approval to implement the plan; and
(ii) implement the plan within the timeframe as stipulated by the SC or Bursa Securities as the case maybe;
(b) within 3 months from the First Announcement, announce whether the regularisation plan will result in a significant change in the business direction or policy of the Company;
(c) announce the status of the Company's regularisation plan and the number of months to the end of the relevant timeframes refererred to in para 2(a) above, as may be applicable, on a monthly basis until further notice from Bursa Securities;
(d) announce its compliance or non-compliance with a particular obligation imposed pursuant to PN17, on an immediate basis;
(e) announce the details of the regularisation plan and sufficient information to demonstrate that the Company is able to comply with all the requirements set out in PN17 after the implementation of the regularisation plan, which announcement must include a timeline for the complete implementation of the regularisation plan and to be announced by the Company's Principal Adviser; and
(f) where the Company fails to regularise its condition, to announce the dates of the suspension and de-listing of its listed securities, immediately upon notification of suspension and de-listing by Bursa Securities.
3. CONSEQUENCES OF NON-COMPLIANCE
In the event the Company fails to comply with any part of its obligations to regularise its condition within the timeframes permitted by Bursa Securities, Bursa Securities shall:
(a) suspend the trading of the Company's listed securities on the next market day after 5 market days from the date of notification of suspension by Bursa Securities; and
(b) de-list the Company subject to the Company's right to appeal against the de-listing which appeal by the Company must be submitted to Bursa Securities within 5 market days from the date of notification of de-listing by Bursa Securities.
4. STATUS OF THE COMPANY'S REGULARISATION PLAN
As at the date of this announcement, the Company is looking into formulating a plan to regularise its financial condition and the announcement on the same will be made in due course in accordance to the Listing Requirements.
This announcement is dated 14th April 2020.
|Company Name||KONSORTIUM TRANSNASIONAL BERHAD|
|Date Announced||14 Apr 2020|
|Category||General Announcement for PLC|