Type Announcement
Subject TRANSACTIONS (CHAPTER 10 OF LISTING REQUIREMENTS)
NON RELATED PARTY TRANSACTIONS
Description FURNIWEB INDUSTRIAL PRODUCTS BERHAD ("FIPB" OR "COMPANY")

(I) PROPOSED JOINT VENTURE WITH ALMAHARTA SDN BHD ("ASB") IN CONNECTION WITH THE DEVELOPMENT OF A PARCEL OF LEASEHOLD LAND HELD UNDER PN 45266, LOT 141, SECTION 88, TOWN AND DISTRICT OF KUALA LUMPUR AND STATE OF WILAYAH PERSEKUTUAN KUALA LUMPUR, MEASURING APPROXIMATELY 15,924 SQUARE METRES ("DEVELOPMENT LAND") INTO A RESIDENTIAL DEVELOPMENT; AND (II) PROPOSED DIVERSIFICATION OF THE PRINCIPAL ACTIVITIES OF FIPB AND ITS SUBSIDIARIES TO INCLUDE PROPERTY DEVELOPMENT

On behalf of the Board of Directors of FIPB ("Board"), Kenanga Investment Bank Berhad is pleased to announce the following:
(i) Premier Gesture Sdn Bhd, a wholly-owned subsidiary of FIPB had on 31 December 2013 entered into a shareholders' agreement with ASB to set out the terms governing their relationship as shareholders in a joint venture company, namely Premier De Muara Sdn Bhd ("PDMSB") in connection with the proposed development of the Development Land; and

(ii) PDMSB, as developer, had also on even date entered into a joint venture agreement with ASB, as registered and beneficial owner of the Development Land, in relation to the proposed development of the Development Land, including the commencement, management and implementation of the proposed development,

(collectively referred to as the "Proposed JV").

In conjunction with the Proposed JV, the Board proposes to diversify the existing core business of FIPB to include property development ("Proposed Diversification").

The Proposed JV and the Proposed Diversification are collectively referred to as the "Proposals".

Further information on the Proposals is set out in the attachment.

This announcement is dated 31 December 2013.

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