MAGNI

2.190

(%)

OTHERS Magni-Tech Industries Berhad ("Magni" or "the Company') Business Update on the Group's Production Facilities in Vietnam

MAGNI-TECH INDUSTRIES BERHAD

Type Announcement
Subject OTHERS
Description
Magni-Tech Industries Berhad ("Magni" or "the Company') 
Business Update on the Group's Production Facilities in Vietnam

Introduction

 

The Board of Directors of Magni wishes to announce that due to the current situation of Covid-19 in Vietnam, the Vietnamese government has recently implemented a series of pandemic prevention and control measures in the majority of provinces in Vietnam after the release of its Directive No. 16 on 16 July 2021 to close all non-essential businesses to contain the spread of the COVID-19 virus in sixteen southern provinces of Vietnam.

 

Under the said Directive No. 16, only factories, businesses and service establishments producing and providing essential goods and services are allowed to operate and are also required to ensure workers follow strict health guidelines issued by Vietnam Health Authority.

 

As a result of these measures, a few of the group’s garment production facilities located in Vietnam have been temporarily suspended from 19 July 2021 in compliance with the said Directive No. 16. The precise date for the facilities to resume operations has yet to be determined.

 

In view of the rising number of confirmed cases of Covid-19 in Vietnam, the group has also been implementing mitigation steps to contain the spread of COVID-19 at the said facilities, and safeguard the health of the workers who may have been exposed to the said virus.The group will continue to assess the Covid-19 situation in Vietnam.

 

Impact on Operations

 

The production interruption at our Vietnam’s production facilities is expected to cause delay in the shipment of orders to our overseas customer.

 

The group is mitigating the impact of the government measures by proactive and close engagement with the customer to manage the production capacity challenges and to have the delivery dates re-scheduled in order to meet the demand of customer. The management is assessing the relevant impact on the operations of the group.

 

Impact on Financial Performance

 

The relevant impact on the financial performance of the group is also in the process of being assessed and further announcement will be made in the event of any material development with regard to this matter.

 

This announcement is dated 22 July 2021.






Announcement Info

Company Name MAGNI-TECH INDUSTRIES BERHAD
Stock Name MAGNI
Date Announced 22 Jul 2021
Category General Announcement for PLC
Reference Number GA1-22072021-00084