(Unless stated otherwise, definitions used in this announcement shall carry the same meanings as defined in the announcements dated 27 October 2023, 29 July 2020 and 25 March 2019).
Further to the announcement dated 27 October 2023 in relation to the extension of the Agreement for a further period of one (1) year, the Board of Directors of Rexit wishes to announce the following additional information:
| Scope of Services |
The scope of services includes the development, operation, management and maintenance of the mySalam portal for eligible members to access for enquiries and claim submission. |
| Value of the Agreement for the extended period |
The value of the Agreement for the extended period is calculated as follows:
- RM1.12 per annum per active member for the first 4,000,000 active members;
- RM0.56 per active member for the 4,000,001 to 5,000,000 active members; and
- No charge for 5,000,001 active members and above.
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| Financial effects of the Agreement for the extended period |
The Agreement will not have any effect on the share capital and shareholding structure of the Rexit but is expected to contribute positively to the earnings of the Rexit and enhance net assets per share of the Group for the financial year ending 30 June 2024 and onwards until expiry of the Agreement. |
| Risk factor |
Rexit does not foresee any exceptional risk other than the normal operational risks associated with the Agreement. Rexit will take the necessary steps to mitigate the risks as and when it occurs. |
| Statement by Directors |
The Board of Directors of the Company is of the opinion that the acceptance of the extension of the Agreement is in the best interest of the Company.
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This announcement is dated 30 October 2023.