1.0 INTRODUCTION

The Board of Directors of MKH Berhad ("MKH" or "the Company") wishes to announce that the Company has on 13 July 2021 entered into a Memorandum of Understanding (“MOU”) with Universiti Tunku Abdul Rahman (“UTAR”) (hereinafter referred to collectively as “Parties” or individually as “Party”), for the purpose of initiating industrial and research collaboration between both Parties.

2.0 INFORMATION ON UTAR

UTAR is a not-for-profit private university registered under the Malaysian Private Higher Educational Institutions Act 1996 and having its address at Jalan Universiti, Bandar Barat, 31900 Kampar, Perak, Malaysia and is owned by UTAR Education Foundation.

UTAR is a university offering courses in undergraduate and postgraduate programmes in the areas including Accountancy, Actuarial Science, Applied Mathematics, Arts and Social Sciences, Malay Language Studies, Chinese Language Studies, Business and Economics, Engineering and Built Environment, Information and Communication Technology, Life and Physical Sciences, Medicine and Health Sciences, Media and Journalism, Education, Agriculture and Food Science, and engages in the provision and conduct of research, consultation, management and leadership training and other related educational services at its campuses at Bandar Sungai Long, Selangor and Kampar, Perak in Malaysia.

3.0 DETAILS OF THE MOU

The objectives and scope of the MOU are as follows:-

1. To initiate joint projects on collaborative research and share expertise in research relating to Aquaculture, Agriculture, Food Technology and Food Processing;
2. To exchange ideas and facilities among the Parties in research, curriculum development and to jointly hold webinars, seminars, conferences and workshops relevant to the industry;
3. To facilitate study visits of UTAR undergraduate and postgraduate students, and mutual visits by staff members of the Parties to enhance the learning experience, professional development and curriculum development;
4. To facilitate UTAR students to undergo practical training with MKH; and
5. To facilitate the possible establishment of educational institute offering language, accounting and business courses in East Kalimantan, Indonesia.

4.0 RATIONALE FOR THE MOU

The collaboration with UTAR will enable the synergy of MKH’s strong business and financial capabilities with UTAR’s strong research and development capabilities in high tech aquaculture, agriculture, food technology and food processing and education.

5.0 DURATION OF THE MOU

The MOU shall be effective and valid for a period of three (3) years upon execution of the MOU on 13 July 2021 and may be extended upon mutual agreement.

6.0 TERMINATION

Either Party shall have the right to terminate the MOU for any reason whatsoever by giving the other Party a written notice of three (3) months. Where such termination occurs, the MOU shall continue to apply to on-going programmes or activities until their completion.

7.0 EFFECTS OF THE MOU

7.1 Share Capital and Substantial Shareholdings

The MOU will not have any effect on the share capital and substantial shareholders’ shareholdings of the Company for the financial year ending (“FYE”) 30 September 2021.

7.2 Net Assets and Gearing

The MOU will not have any material impact on the consolidated net assets and gearing of MKH for the FYE 30 September 2021.

7.3 Earnings and Earnings per Share (“EPS”)

The MOU will not have any material impact on the EPS of MKH Group for the FYE 30 September 2021.

8.0 DIRECTORS’ AND SUBSTANTIAL SHAREHOLDERS’ INTERESTS

None of the Directors and/or Substantial Shareholders of the Company and persons connected with them have any interest, direct or indirect in the MOU.

9.0 DIRECTORS’ STATEMENT

The Board of Directors having considered all aspect of the MOU is of the opinion that the MOU is fair and reasonable and is in the best interests of the Group.

10.0 APPROVALS REQUIRED

The MOU is not subject to the approvals of the shareholders of the Company or the relevant authorities.

11.0 DOCUMENTS FOR INSPECTION

Subject to the prevailing movement control order standard operating procedures from the  National Security Council, the MOU is available for inspection at the Registered Office of the Company at Suite 1, 5th Floor, Wisma MKH, Jalan Semenyih, 43000 Kajang, Selangor Darul Ehsan during normal working hours from Monday to Friday (except public holidays or when the office is not open in adherence to the prevailing movement control order standard operating procedures) for a period of three (3) months from the date of this announcement.   

This announcement is dated 13 July 2021.