Power Root shuts two facilities for a week after employee tests positive for Covid-19

TheEdge Wed, Jan 27, 2021 07:16pm - 3 months ago

KUALA LUMPUR (Jan 27): Power Root Bhd said two of its subsidiaries have voluntarily shut operations of its instant powder (IP) production facility in Johor for a week in order to carry out sanitisation after an employee tested positive for Covid-19 on Jan 24.

The two subsidiaries — Power Root (M) Sdn Bhd and Power Root Manufacturing Sdn Bhd — have halted operations from Jan 25 to Feb 1, the group said in a filing today.

After learning about its employee’s case, Power Root said it had conducted immediate RTK-Antigen testing on Jan 25 to 27 for its 520 workers including foreign and contract workers who had been in close contact with the employee.

It also conducted sanitization of all production areas, warehouse and worker hostels on Jan 26.

“The costs for Covid-19 tests, quarantine measures and disinfection processes will not have a material impact on the group’s financial performance. However the impact of the one-week IP production halt is expected to result in the deferment of shipment to the group's export customers.

"In the meantime, as the group would utilize outstanding stocks to fulfil sales orders, the group does not foresee any major disruption in the supply to the market,” it said.

Shares of Power Root closed five sen or 2.82% lower at RM1.72, for a market capitalisation of RM729.33 million.

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