Change - S P Setia Berhad

138
Annual report 2008
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 OCTOBER 2008
46. RELATED PARTY DISCLOSURES (cont’d)
(b)
Key management personnel compensation (cont’d)
2008 2007
Other key management personnel
At beginning of the year – 412,750
Granted – –
Exercised – (412,544)
Lapsed – (206)
At end of the year – –
47. COMMITMENTS – JOINT VENTURE WITH PUTRAJAYA HOLDINGS SDN BHD (“Putrajaya Holdings”)
On 15 May 1997, the Company entered into a joint venture agreement with Putrajaya Holdings to jointly develop certain residential
and commercial properties and construct certain public infrastructure within the Federal Administrative Centre at Putrajaya.
In accordance with the joint venture agreement, the joint development has been carried out by Setia Putrajaya Sdn Bhd (“SPJ”),
in which the Company has a 50% equity interest.
Under the joint venture agreement, as varied by the supplemental agreement dated 18 December 2002, the Company shall procure
the approval of the Securities Commission for a reverse take over by SPJ of a public company listed on the Bursa Malaysia
by 31 March 2004, save and except where such reverse take over effort is affected by changes in listing rules imposed by the
Securities Commission or other relevant regulatory authorities, or changes in legislation or policies imposed by the Government
or by Putrajaya Holdings affecting the status of SPJ.
On 16 January 2004, Putrajaya Holdings agreed to extend the deadline for the procurement of the Securities Commission’s
approval for the reverse take over from 31 March 2004 to 31 March 2005. On 15 March 2005, Putrajaya Holdings agreed to
further extend the deadline from 31 March 2005 to 31 March 2006.
For the purpose of discharging its obligations under the joint venture agreement with Putrajaya Holdings, the Company entered
into a Restructuring Agreement on 24 April 2004 with Kramat Tin Dredging Berhad (“Kramat”), a company listed on the Main
Board of Bursa Malaysia, Prudent Location Sdn Bhd [now known as SPJ Corporation Bhd (“SPJ Corp”)], Putrajaya Holdings,
Abad Kilat Sdn Bhd and Kelana Ventures Sdn Bhd for, inter-alia, the proposed acquisition by SPJ Corp of the entire issued and
paid up share capital of SPJ and the proposed transfer of Kramat’s listing status to SPJ Corp.
The proposals under the Restructuring Agreement were approved by the Securities Commission on 9 June 2005 subject to certain
terms and conditions. The proposals under the Restructuring Agreement, as approved by the Securities Commission, are currently
being implemented by the parties.
On 5 November 2007, the Securities Commission has approved an extension of the date of implementation to 30 April 2008. On
5 May 2008, the Securities Commission has granted a further extension of time of up to 31 August 2008. On 4 September 2008,
the Securities Commission has granted a further extension of time of up to 28 February 2009 for all the parties to implement
the Proposals.