1. Introduction
The Board of Directors of the Company wishes to announce that its wholly-owned subsidiary, Ambang Wira Sdn. Bhd.(“AWSB”), has received a letter dated 4 November 2025 from the Ministry of Works (“KKR”) informing that the Government of Malaysia has agreed to extend the current ten-year Concession Agreement, which will expire on 31 December 2025, for a further period of one (1) year commencing from 1 January 2026 to 31 December 2026.
The Ministry has also enclosed a fair copy of the Interim Agreement in respect of the existing Privatisation Agreement for Building Support Services for Government Buildings located in the Southern Zone and Sarawak Zone (“Principal Agreement”) for execution by both AWSB and the Government of Malaysia, represented by KKR (“Interim Agreement”). The Interim Agreement formalises the extension and will take effect upon execution by both parties.
2. Salient Terms of the Interim Agreement
Effective Date
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1 January 2026
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Interim Period
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1 January 2026 – 31 December 2026
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Nature
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The Interim Agreement shall form an integral part of the existing Principal Agreement and other related supplementary agreements executed during the concession period.
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Scope of Services
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Remains unchanged from the Principal Agreement, covering building support and facilities management services for Federal Government buildings in the Southern and Sarawak Zones.
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3. Contract Value
While the Interim Agreement does not stipulate a specific contract sum, the estimated value of works under the one-year extension is approximately RM63.7 million, based on the prevailing rates and scope of services under the existing concession.
4. Duration and Effect
The Interim Agreement shall take effect upon execution by both parties and shall remain valid for the Interim Period from 1 January 2026 to 31 December 2026.
5. Risk Factors
The Interim Agreement relates to the provision of building support and facility management services in the ordinary course of business for AWSB. The potential risks involved are similar to those of other projects undertaken of a similar nature and are considered normal operational risks.
6. Financial Effects
The Interim Agreement is expected to contribute positively to the earnings and net assets of AWC Group for the financial year ending 30 June 2026.
7. Interests of Directors and Major Shareholders
None of the directors, major shareholders and/or persons connected with them have any interest, direct or indirect, in the Interim Agreement.
8. Directors’ Statement
The Board of Directors of AWC is of the opinion that the execution of the Interim Agreement is in the ordinary course of business and in the best interest of the Company.
This announcement is dated 13 November 2025.