KGROUP

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TREEMED SDN BHD ("TREEMED"), A KEY ALLIANCE GROUP BHD ("KEYALLIANCE") ASSOCIATE, SECURES RM32 MILLION CONTRACT FROM THE GOVERNMENT ("CONTRACT")

KEY ALLIANCE GROUP BERHAD

Type Reply to Query
Reply to Bursa Malaysia's Query Letter - Reference ID IQL-11102021-00002
Subject TREEMED SDN BHD ("TREEMED"), A KEY ALLIANCE GROUP BHD ("KEYALLIANCE") ASSOCIATE, SECURES RM32 MILLION CONTRACT FROM THE GOVERNMENT ("CONTRACT")
Description
KEY ALLIANCE GROUP BERHAD 
- TREEMED SDN BHD, A KEY ALLIANCE GROUP BHD ASSOCIATE, SECURES RM32 MILLION CONTRACT FROM THE GOVERNMENT
Query Letter Contents

We refer to your Company’s announcement dated 8 October 2021, in respect of the aforesaid matter.

 

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

  1. The date of the Contract.
  2. The commencement and completion dates of the Contract.
  3. Whether the Contract is renewable.  If so, for how many years.
  4. The financial effects of the Contract on the KEYALLIANCE group.
  5. Whether the directors and/or major shareholders and/or persons connected with a director or major shareholder of KEYALLIANCE have any interest, direct or indirect, in the Contract, and the nature and extent of their interests.
  6. The risks in relation to the Contract.
  7. The number of hospitals to which TREEMED will supply reagents instrument placement for centralised chemical pathology test pursuant to the Contract.
  8. The equity interest held by KEYALLIANCE in TREEMED.
  9. Whether TREEMED is a major associated company of KEYALLIANCE pursuant to Chapter 1 of the ACE Market Listing Requirements.

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)

Reference is made to the Company’s announcement made on 8 October 2021. 

 

The Board of Directors of Key Alliance Group Berhad (“KAG” or “the Company”) wishes to further announce on the following : 

 

1. The letter of award was dated 1 October 2021 (“Contract”) and accepted by Tree Med Sdn. Bhd. (“Tree Med”) on 8 October 2021.

 

2. The Contract period is 4 years, commencing from 10 January 2022 to 9 January 2026.

 

3. Upon the expiry of the Contract, it will be subject to retender. 

 

4. As the Contract was secured by Tree Med, a 30% owned associate company of KAG, the Group is not expected to have material effect on the earnings, net assets and gearing of KAG Group for the current financial year ending 31 March 2022. Nonetheless, KAG Group expects positive contribution on its earnings in the future arising from the share of profit for associate.

 

5. None of the directors and/or major shareholders and/or persons connected with a director or major shareholder of KAG have any interest, direct or indirect, in the Contract, and the nature and extent of their interests. 

 

6. As the Contract was secured by Tree Med, a 30% owned associate company of KAG, the Company does not foresee any exceptional risk to KAG Group. Nonetheless, the Contract accepted by Tree Med will be subject to the normal operational risk associated with the Contract during the contract period.

 

7. Pursuant to the Contract, Tree Med will supply reagents instrument placement for centralised chemical pathology test to 9 hospitals in Malaysia. 

 

8. Tree Med is a 30% owned associate company of KAG. 

 

9. As of the date of this announcement, Tree Med is not a major associated company of KAG as defined under Chapter 1 of the ACE Market Listing Requirements. 

 

This announcement is dated 13 October 2021.





Announcement Info

Company Name KEY ALLIANCE GROUP BERHAD
Stock Name KGROUP
Date Announced 13 Oct 2021
Category General Announcement for PLC
Reference Number GA1-13102021-00018