The Board of Directors of the Company (“Board”) wishes to announce that the Board had received a letter for the non-binding offer dated 5 July 2021 (“Letter of Offer”) from the substantial shareholder of the Company, Ideal Land Holdings Sdn. Bhd. (“ILHSB”), to purchase all Ireka’s equity interests in the following subsidiaries and associate companies involved in the property development, property management, urban transportation and information technology business for an indicative offer price of RM40,000,000 (“Offer”):

The Offer is subject to ILHSB or its nominee entering into a binding definitive conditional sale and purchase agreement (“SPA”) with Ireka for the Subject Shares within 30 days from the date of the Letter of Offer (or such other extended period as may be mutually agreed between Ireka and ILHSB).

In view of the interests of certain directors of the Company in ILHSB, namely Datuk Lai Siew Wah, Datuk Lai Voon Hon, Lai Voon Huey, Monica and Chan Chee Kian (collectively referred to as “Interested Directors”), the Interested Directors are deemed interested in the Offer. Accordingly, the Interested Directors and persons connected with them, if any, will abstain from all deliberations and voting at the relevant Board meetings pertaining to the Offer.

The Board (save for the Interested Directors) will deliberate on the Offer and decide on the next course of action. Accordingly, a further announcement will be made in due course upon the Board’s decision and/or execution of the SPA in accordance with the Main Market Listing Requirements of Bursa Malaysia Securities Berhad.

The shareholders of Ireka and potential investors are advised to exercise caution when dealing in Ireka’s shares, as there is no certainty that the Offer may result in a binding agreement.

This announcement is dated 5 July 2021.