PROPOSED DEBT SETTLEMENT OF AMOUNT OWING TO SOUTHBORN CAPITAL SDN BHD ("SOUTHBORN") VIA ISSUANCE OF SHARES OF SMTRACK BERHAD ("SMTRACK") ("PROPOSED DEBT SETTLEMENT")

We refer to CNASIA’s announcement dated 26 June 2024 in respect of the aforesaid matter.

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

1. The salient terms and conditions of the Settlement Agreement.

2. The percentage of shareholdings of CNASIA in SMTRACK upon completion of the Proposed Debt Settlement.

3. The net assets /net liability and net profit / net loss of SMTRACK based on the latest audited financial statements.

4. Clarification on how the “investment direction” of CNASIA forms the basis and justification for the Settlement Sum and the Issue Price.

5. The prospects of SMTRACK.

6. The rationale for the debt settlement via the SMTRACK shares taking into consideration of the financial position of SMTRACK that has been loss making based on the latest audited financial statements and latest quarterly reports as well as the different principal activities of SMTRACK as compared to CNASIA Group.

7. The Group’s plans with regards to the shareholdings in SMTRACK.

8. Clarification on how the Proposed Debt Settlement will reduce the intercompany borrowings between Southborn and CNASIA.

9. The financial effects of the Proposed Debt Settlement for the financial year ending 31 March 2025.

10. The time and place where the Settlement Agreement is available as a document for inspection.

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)