We refer to the Company’s announcement dated 22 August 2019 and wish to inform that the Board of Directors of Bonia Corporation Berhad (“Bonia” or “Company”) had today resolved to withdraw the proposal in relation to the Proposed renewal of existing shareholders' mandate and new shareholders' mandate for recurrent related party transactions of a revenue or trading nature from being tabled for the shareholders’ approval at the forthcoming 28th AGM.

The decision on the withdrawal of the above proposal was made after taking into consideration the immaterial effect of the estimated aggregate value of the potential recurrent related party transactions (“RRPT”) of  Bonia Group to be transacted from the forthcoming 28th AGM until the next AGM of the Company in year 2020 of RM3.0 million as compared to the net assets as reported in the unaudited quarterly report on consolidated results for the financial period ended 30 Jun 2019 of the Group of RM392.50 million (approximately 0.76% only).

The Company has established appropriate methods and procedures to govern the requirements of RRPT of the Group. Assisted by the Audit & Risk Management Committee, the Board will continue monitor, track, identify, and report RRPT of the Group pursuant to Paragraph 10.09 of the Main Market Listing Requirements where the consideration, value of assets, capital outlay or costs of the RRPT is RM1 million or more; or the percentage ratio of such RRPT is 1% or more, whichever is the higher.

The Board will also ensure that all RRPT to be transacted are on arm’s length basis, under normal commercial terms consistent with the Group’s business practice, on terms not more favourable to the related parties than those generally available to the public, and are not to the detriment of the minority shareholders of the Company.

This announcement is dated 01 October 2019.