The Board of Directors of HeveaBoard Berhad (“HeveaBoard” or “the Company”) wishes to announce that HeveaPac Sdn. Bhd. (”HeveaPac”), the Company’s main operating subsidiary in Seremban, had on 20 February 2021 voluntarily underwent a second COVID-19 full screening (PCR test) for all its employees, both foreign and local, at its factory as precautionary measure to contain and to prevent the spread of the COVID-19 virus. This second screening exercise had revealed that some of its employees were tested positive for COVID-19 whereas the first screening exercise of COVID-19 which was done in December 2020 all were tested negative.

HeveaPac is cooperating and working closely with the Ministry of Health (MOH) to implement the mitigating steps to contain further spread of COVID-19 at the premises, and also to safeguard the health of its employees who may have been exposed to the COVID-19 virus. HeveaPac had also taken necessary steps and had temporarily suspend the Seremban operations from 20 February 2021 to 2 March 2021 or to be further advised by MOH. The Group’s Gemas operation is not impacted by this and remains in full operation.

Impact on operations and financial performance

The temporary closure of HeveaPac operation is expected to result in an estimated reduction in HeveaPac and Group revenue by about 2.7% or 1.8% respectively based on the annual revenue for financial year ended 31 December 2020. Appropriate updates will be furnished in due course as and when the need arises.

This announcement is dated 24 February 2021.