The  Board of Directors of PESTECH wishes to announce that the Company had on 19 October 2021 entered into a Memorandum of Understanding (“MOU”) with Gartena Holdings Limited (“Gartena”) to explore the opportunity to cooperate in proposing and developing Waste-2-Energy solutions in the ASEAN region.

Information on PESTECH

PESTECH is a Malaysian integrated electrical power technology company operating in the ASEAN region. PESTECH provides solutions in project management, engineering, digitalization, manufacturing, installation, testing and commissioning of electrical power infrastructure for sustainable power generation plants, power grid and rail network.

Information on Gartena

Gartena is a company operating in United Kingdom and Sweden which has developed, and holds the worldwide patent for the world technically advanced, efficient and environmentally friendly Waste-2-Energy process. 

Rationale of the MOU

Under the MOU, the parties wish to cooperate in proposing and developing Waste-2-Energy solutions in the ASEAN region.

PESTECH will have the primary responsibility for new client selection, including identifying potential projects, arranging meetings and preparing potential bidding documents. PESTECH will also be responsible for project management and overall construction of the plant with any possible technology localisation.

Gartena will be responsible for providing PESTECH with technical and marketing materials, applicable cost estimates and appropriate content for agreements and other project documentation.   

Gartena will provide all necessary technical drawings, engineering services, localization of the operational processes of the Waste-2-Energy plant, and all relevant technical know-how of the Waste-2-Energy solution for the Gartena process.

PESTECH and Gartena are collaborating to recycle the energy contents from wastes (either general waste, scheduled waste or medical waste) to generate electricity instead of dumping it to the landfill that will bring hazardous effect to the environment.  If granted, it will bring positive sustainable development effect to the society.

Effects of the MOU

The MOU will have no material effect on earnings, revenue and net assets per share of the Group for the financial year ending 30 June 2022.  

Directors’ and Major Shareholders’ interests

None of the Directors and/or Major Shareholders and/or persons connected to them, has any interest, direct or indirect in the MOU.

The Board of Directors of PESTECH is of the opinion that the MOU is in the best interest of the Company.

Approval required

The MOU is not subject to the approval of the shareholders of the Company or any regulatory authorities.

This announcement is dated 20 October 2021.