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apple developer account(buyappleacc.com):HeiTech Padu gets RM350mil data centre deal

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,The signing of this contract or term sheet agreement (TSA) was not deemed a related party transaction (RPT) when it was signed, HeiTech Padu said in its announcement to Bursa Malaysi

PETALING JAYA: Heitech Padu Bhd has secured a RM350mil contract from Regal Orion Sdn Bhd (RO) for the design, engineering, procurement, construction, installation and commissioning (DEPCIC) of a data centre in Seremban, Negri Sembilan.

The signing of this contract or term sheet agreement (TSA) was not deemed a related party transaction (RPT) when it was signed, the company said in its announcement to Bursa Malaysia.

However, it noted that this would deem to be a RPT following a proposed placement of 10 million new shares in HeiTech to RO at the issue price which will be determined later.

“Upon completion of the proposed placement and subsequent execution of the TSA, the DEPCIC agreement shall be deemed as a RPT pursuant to Paragraph 10.08 of the Bursa Securities Listing Requirements and will require all the necessary approvals,” it said.

RO is involved in the engineering, construction and project management specifically in the data centre development sector.

The announcement said that RO had earlier bought over a data centre project located at Techpark @ Enstek in Labu, Seremban from KPMG who was acting as the receiver & manager for Affin Bank Bhd in Mar 2018.

After the acquisition, RO had the intention of re-designing and upgrading the facility, it said. It also noted that it is aiming to turn the facility into a world premium Tier IV next generation green mega data centre facility which will have a total of 120,000 square feet of Net Hosting Space area.It would have a total of 4,064 racks available for rent once it is completed, it said.

“This TSA is not expected to have any material effect on the earnings per share, net assets per share, share capital and substantial shareholders’ shareholding of the company for the financial year ending Dec 31, 2021,” the company said.

HeiTech added that it will contribute positively to the future revenue and earnings of the group in subsequent financial years upon the execution and successful completion of the DEPCIC agreement.


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