UPA Corporation Bhd. ("UPA" or "Company")
New Business Activities in the Healthcare Industry
- Conditional approval granted by MIDA on the manufacturing licence

We refer to your Company’s announcement dated 5 August 2020, in respect of the aforesaid matter.

In this connection, kindly furnish Bursa Securities with the following additional information for public release:-

1. To disclose the name and principal business of the reputable melt-blown technology developer and its origin country.  
2. It is disclosed that total investment for this project is estimated at RM10.00 million and it will be funded through internally generated funds. To disclose the coverage of total investment, and its breakdown.
3. It is disclosed that the maximum annual production capacity for melt-blown non-woven fabric is at 600,000 kgs while the maximum production capacity for 3-ply mask and surgical face mask is at 86 million pieces per year for the first phase. Please explain whether the Company intends venture into the manufacturing of surgical face mask as well. To explain whether the RM10 million include the overall investment, or only first phase of the investment plan. To disclose the overall plan of its investment. To explain the estimated revenue from the production capacity of 600,000 kgs and whether it result in diversification in operation of UPA pursuant to paragraph 10.13 of the LR.
4. Clarification on where the production of masks will be operated and whether it requires any modification to the existing machineries or production line or it will be operated from the entire new machineries or new production facility.  
5. Further clarification on the target market segment or country for the products.
6. To elaborate on the risks exposure in relation to this business, rather than just a general statement “The risks related to the melt-blown fabric business includes technical expertise, raw material supply and the associated execution risks.”.
7. It is disclosed that UPA has obtained conditional approval granted by MIDA on the manufacturing licence in the title of your announcement. Please provide further details of the approval, including scope, the conditions of approval, the validity period etc.
8. The prospects of this new business.

Please furnish Bursa Securities with your reply within one (1) market day from the date hereof.

Yours faithfully,
Listing

Regulation
 

Cc : Market Surveillance Dept. , Securities Commission (via fax)