Offer Update: Tax Witholding
29 October 2014
Asian Plantations Limited
("Asian Plantations" or the "Company")
Offer Update: Tax Witholding
On 13 October 2014, Felda Global Ventures Holdings Berhad ("FELDA") declared the offer for APL wholly unconditional. In its announcement published on 13 October 2014, FELDA confirmed that it would be retaining a sum of 2 per cent. of the Offer Price in discharge of its obligations under the Real Property Gains Tax Act 1976 of Malaysia (the "RPGT Act"), as more particularly described in Section 2.7 of the Offer Document.
As disclosed in the circular to shareholders published by the Company on 26 September 2014 (the "Circular"), Section 2.7 of the Offer Document provided that, as the Company may be deemed to be a real property company, FELDA had reserved the right to retain a sum not exceeding 2 per cent. of the Offer Price to discharge its obligation to pay over a sum of 2 per cent. of the offer price to the Inland Revenue Board ("IRB") of Malaysia under the RPGT Act.
Section 2.7(D) of the Circular explains the consequences to shareholders of FELDA retaining such sum and paying it to the IRB, pending any claim for exemption by affected shareholders.
The directors of APL believe that certain shareholders of the Company may be exempt from the requirement to pay Real Property Gains Tax and accordingly may be entitled to have this withholding refunded.
Whilst not formal tax advice, the directors of APL believe that shareholders who may qualify for an exemption from the requirement to pay any tax under the RPGT Act on the disposal of their shares may include shareholders who acquired shares at the time of, or at any time following, the Company's admission to trading on AIM. The application of any exemption will however depend on the individual circumstances of a shareholder.
The process by which a shareholder, who may qualify for an exemption from the requirement to pay tax under the RPGT Act, may obtain a refund of the sum of 2 per cent. retained by FELDA requires the filing of a property gains tax form (CKHT 1B) with the IRB within 60 days of the date of sale of the Company. The date of sale is deemed to be the date on which the offer for the Company was declared unconditional, being 13 October 2014.
As CKHT forms are only available in Malay language with no English translations, realising that shareholders may have difficulties completing such forms, the Company has appointed a local firm of solicitors, Tang Legal Practice, to (i) assist shareholders with completing the necessary CKHT form; and (ii) submit the same to the IRB on shareholders' behalf, in each case at no cost to shareholders.
M/s. Tang Legal Practice can be contacted at:
1st Floor, Sublot 9, Lot 9099, Jalan Tun Razak, 93450 Kuching, Sarawak, Malaysia
Email: derbe@tanglp.com,
Shareholders wishing to submit the form on their own behalf can download CKHT 1B form from the website of the IRB (www.hasil.gov.my) and submit it to the IRB once completed.
All definitions used in this announcement have the same meaning as in the Offer Document dated 12 September 2014, unless otherwise defined herein.
-Ends-
For further information, please contact:
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Asian Plantations Limited Graeme Brown, Joint Chief Executive Officer Dennis Melka, Joint Chief Executive Officer
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Tel: +65 6325 0970
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Strand Hanson Limited James Harris James Spinney James Bellman Mark Greaves (Singapore)
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Tel: +44 (0) 20 7409 3494
Tel: +65 9670 7921 |
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Macquarie Capital (Europe) Limited Steve Baldwin
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Tel: +44 (0) 203 037 2000
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Panmure Gordon (UK) Limited Charles Leigh-Pemberton Tom Nicholson
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Tel: +44 (0) 20 7886 2500 Tel: +65 6824 8204
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This information is provided by RNS
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