Reference is made to our earlier announcements dated 9 November 2015, 25 November 2015, 29 December 2015, 3 May 2016, 8 June 2016, 13 June 2016 and 14 June 2016.

We refer to the proposed utilisation of proceeds raised from the Rights Issue as disclosed in the abridged prospectus of Mulpha dated 17 May 2016 ("Abridged Prospectus") that was issued in relation to the Rights Issue of Mulpha, which was completed on 14 June 2016. 

The Board of Directors of Mulpha ("Board") wishes to announce that it has on 30 March 2017 resolved to vary the utilisation of the balance of proceeds of RM18.053 million earmarked for upgrading and construction of access roads and interchanges in and around the Leisure Farm’s development project in Johor, Malaysia to development expenditure and construction cost for Leisure Farm’s current development projects in Johor, Malaysia, both of which fall under the working capital utilisation of the Group, as follows:-

The abovementioned variation is undertaken mainly as the Group had used its internally generated funds to partly fund the upgrading and construction of access roads and interchanges (as the upgrading and construction works had taken place during the implementation of the Rights Issue) pending the completion of the Rights Issue. As such, a lesser amount of the Rights Issue proceeds was used to upgrade and construct access roads and interchanges, and accordingly the excess amount shall be channeled to fund the development expenditure and construction cost for the Group's Leisure Farm development projects.

The Board is of the opinion that the variation for the utilisation of the proceeds is in the best interest of the Company.

This announcement is dated 30 March 2017.