KJTS Group Berhad (“KJTS” or the “Company”) announced that the sale and purchase agreement between its wholly-owned subsidiary, KJ Technical Services Sdn Bhd(“KJTS SB”), and Malakoff Corporation Berhad (“Malakoff”), in relation to the proposed acquisition of the entire equity interest in Malakoff Utilities Sdn Bhd (“MUSB”), has lapsed. The proposed acquisition formed part of the Company’s earlier announcement involving the acquisition by KJTS SB of 10,000,000 ordinary shares in MUSB for a total cash consideration of RM65.5 million, together with a proposed variation of the use of proceeds raised from the Company’s initial public offering.
Reference is made to the Company’s announcements dated 3 February 2025, 3 June 2025, 1 August 2025, 27 October 2025 and 5 February 2026, as well as the circular to shareholders dated 9 May 2025.
The two (2) conditions precedent under the sale and purchase agreement dated 3 February 2025 were neither fulfilled nor waived by the expiry of the extended long stop date of 3 February 2026. Following the receipt of a notice from Malakoff on 4 February 2026, the agreement has lapsed on even date.
In accordance with the terms of the agreement, Malakoff will refund the full deposit to KJTS SB within five (5) business days from the date of lapsing of the agreement. Upon the refund, each party will have no further claim against the other, save for any antecedent breach under the agreement.
In relation to the proceeds of approximately RM44.4 million that were allocated for the proposed acquisition, the revised use of such proceeds has not been determined at this stage. Once the variation of the use of proceeds is determined, the Company will make the relevant announcements and will seek shareholders’ approval at a general meeting if required, in accordance with the ACE Market Listing Requirements.
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