25 February 2022
| Type | Announcement |
| Subject | TRANSACTIONS (CHAPTER 10 OF LISTING REQUIREMENTS) RECURRENT RELATED PARTY TRANSACTIONS |
| Description | TELEKOM MALAYSIA BERHAD ("TM" OR "COMPANY") RECURRENT RELATED PARTY TRANSACTIONS OF A REVENUE OR TRADING NATURE (RRPT) |
1. INTRODUCTION
Pursuant to Paragraph 10.09(1)(a) of the Main Market Listing Requirements (Main LR) of Bursa Malaysia Securities Berhad (Bursa Securities), TM wishes to announce that the Company and its subsidiaries (collectively known as “TM Group”), had in the ordinary course of business entered into RRPTas disclosed below and the aggregate consideration of the RRPT has exceeded the percentage ratio of 1% for the period 1 January to 31 December 2021.
2.DETAILS OF THE RRPT
|
Transacting Party |
Related Party |
Name of Interested Director/Major Shareholders/ Persons Connected to Interested Director or Major Shareholder |
Nature of Transaction |
Transacted Value (RM) |
|
TM and its subsidiaries |
Petroliam Nasional Berhad and its subsidiaries (Petronas Group) |
MoF Inc., a major shareholder of Petronas is also a Person Connected to the Major Shareholder of TM, Khazanah Nasional Berhad (Khazanah). Tan Sri Mohammed Azlan Hashim, Shazril Imri Mokhtar, Anis Rizana Mohd Zainudin @ Mohd Zainuddin and his Alternate, Iszad Jeffri Ismail are representatives of MoF Inc. on our Board (Interested Directors) |
Revenue Provision of connectivity, customer and smart services to Petronas Group |
57,776,989 |
|
Cost Purchase of fuel from Petronas Group |
3,036,458 |
|||
|
Fiberail Sdn. Bhd. (FSB), a subsidiary of TM |
Petronas Group |
MoF Inc., a major shareholder of Petronas is also a Person Connected to the Major Shareholder of TM, Khazanah. Tan Sri Mohammed Azlan Hashim, Shazril Imri Mokhtar, Anis Rizana Mohd Zainudin @ Mohd Zainuddin and his Alternate, Iszad Jeffri Ismail are representatives of MoF Inc. on our Board (Interested Directors). |
Revenue Sales of fibre optic cables, bandwidth and ethernet services to Petronas Group |
22,024,485 |
|
Cost Right of Way, cabin and reimbursement fees of FSB facilities charges by Petronas Group |
3,613,978 |
|||
|
TOTAL |
86,451,910 |
|||
3.RATIONALE OF THE RRPTS
The RRPT have been entered into by our Group in line with our corporate objectives and to meet our business needs at the best possible terms. The RRPT are made in the ordinary course of business, on an arm’s length basis and on normal commercial terms, which are not more favourable to the related parties thanthose generally available to public and are not to the detriment of the minority shareholders.
4. FINANCIAL EFFECT
4.1 Share capital and substantial shareholders' shareholdings
The RRPT will not have any effect on the issued and paid-up share capital as well as the substantial shareholders’ shareholdings of TM.
4.2 Earnings and Net Assets
The RRPT will not have any material effect to the earnings and net assets of TM Group for thefinancial year ending 31 December 2022.
5. DIRECTORS’ AND MAJOR SHAREHOLDERS’ INTEREST
Save as disclosed in item 2 above, none of the Directors and other major shareholders of TM and/or persons connected to them has any interest, whether direct or indirect, in the RRPT.
6. STATEMENT BY BOARD AUDIT COMMITTEE
The Board Audit Committee, having taken into consideration of the rationale of the RRPTs, is of the viewthat the RRPT are:
(i) in the best interest of TM Group;
(ii) fair, reasonable and on normal commercial terms; and
(iii) not detrimental to the interests of the minority shareholders of the Company.
7. STATEMENT BY BOARD OF DIRECTORS
The Board of Directors of TM, save for the Interested Directors, having considered the recommendation of the Board Audit Committee is of the opinion that the RRPT are in the best interest of TM.
8. APPROVALS REQUIRED
The RRPT are not subject to the approval of the shareholders of the Company or any relevant government authorities. TM will be seeking shareholders’ mandate in respect of the RRPT in the forthcoming annual general meeting of the Company.
This announcement is dated 25 February 2022.
| Company Name | TELEKOM MALAYSIA BERHAD |
| Stock Name | TM |
| Date Announced | 25 Feb 2022 |
| Category | General Announcement for PLC |
| Reference Number | GA1-23022022-00024 |