The Resolution 10 had been initially proposed mainly to seek mandate from the shareholders for the following reasons:-

1) To allow the Company to complete the Proposed Private Placement which was announced on 23 December 2013. Bursa Malaysia Securities Berhad had vide its letter dated 5 February 2014 approved the application for the listing of the Placement Shares pursuant to the Proposed Private Placement. Hence, in the event that the market condition had been unfavourable, Resolution 10 would have provided flexibility for the Proposed Private Placement to be completed after the expiry of the mandate which was previously approved during the 14th AGM last year on 28 March 2013; and

2) In the event that the Company had decided not to proceed with the Proposed Private Placement above, this resolution would have given the Company the flexibility to undertake future possible fund raising pursuant to Section 132D of the Companies Act, 1965.

However, as the Proposed Private Placement was successfully completed on 12 March 2014 (well before the expiry date of the mandate on 20 March 2014), there is no longer a requirement at this stage to obtain shareholders’ approval on the authority to issue and allot shares pursuant to Section 132D of the Companies Act, 1965.