JAG aborts medical waste management plan

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KUALA LUMPUR (Jan 21): JAG Bhd’s wholly-owned unit Infortech Software Sdn Bhd (ISSB) has terminated a joint venture agreement (JVA) with SWT International Sdn Bhd (SWTSB) to undertake the development, management, operation and implementation of medical waste treatment in Malaysia.

In a filing to the local bourse today, JAG (fundamental: 1.55; valuation: 0.3) said ISSB and SWTSB had on Tuesday (Jan 20), mutually agreed to terminate the JVA.

The rationale for the termination was due to the considerable delay in the fulfilment of the conditions precedent of the JVA.
 
JAG said the termination is not expected to have any material effect on the earnings per share, net assets per share and gearing of the group as well as the share capital and substantial shareholders’ shareholding of JAG for the financial year ending Dec 31, 2015.

JAG closed 2.94% lower at 16.5 sen, giving it a market capitalisation of RM178.41 million.

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