Registration No.
: 202301019041 (1512963-A)
9. RISK FACTORS
YOU SHOULD CAREFULLY CONSIDER THE FOLLOWING KEY RISK FACTORS WHICH MAY
HAVE A MATERIAL ADVERSE IMPACT ON OUR BUSINESS OPERATIONS, FINANCIAL
POSITION AND THE FUTURE PERFORMANCE OF OUR GROUP, IN ADDITION TO OTHER
INFORMATION CONTAINED ELSEWHERE IN THIS PROSPECTUS, BEFORE INVESTING IN OUR
COMPANY.
9.1 RISKS RELATING TO OUR BUSINESS AND OPERATIONS
9.1.1 Any material issue with our product safety and quality may harm our business and reputation, or
subject us to product liability claims and regulatory actions
The processing, storage, handling and delivery of our frozen seafood products are subject to inherent risk
of product deterioration or contamination or damage. Product safety and quality is thus important to our
business and we rely on our QA/QC procedures to ensure our product safety and quality. These QA/QC
procedures are detailed in Section 7.5 of this Prospectus. Despite this, there can be no assurance that any
failures in our QA/QC procedures such as negligence or misconduct by our employees during our
processing operations; unsuitable water or ice quality; as well as technical malfunctions, such as
breakdown of machineries and temperature control at our Processing Facility and refrigerated vehicles,
may not occur.
Should the frozen seafood products that we process and sell deteriorate, contaminate, damage or contain
other unintended materials that could be harmful or otherwise non-compliant with applicable regulatory
standards, we may be subject to product liability claims, regulatory enforcement actions, penalties
imposed by relevant government agencies and/or loss in customers’ and consumers’ confidence. This
could result in negative publicity and harm our reputation and/or our “Sea Planet” brand, which would
consequently cause our customers to avoid purchasing frozen seafood products from us and seek
alternative sources of supply for their needs, even if the basis for the concern is not valid or is outside
our control. Adverse publicity about these types of concerns, whether or not valid, could discourage
customers from purchasing our frozen seafood products and any loss of customer confidence would be
difficult and costly to re-establish. Further, any product contamination and quality-related issues
involving our competitors could also impact the regulation of the seafood industry as a whole and may
result in a negative effect on our frozen seafood business.
Nevertheless, since the commencement of our operations, we have not received any material product
liability claims resulting from any failures in our QA/QC procedures.
9.1.2 Our operations are subject to interruptions and delays caused by unforeseen event such as
equipment/facility failures, accidents, fires or floods
Our business operations require the use of equipment and facility such as semi-contact blast freezers and
cold rooms. Although we undertake periodic maintenance services on our semi-contact blast freezers and
cold rooms, these equipment and facility may, on occasion, be out of service due to unanticipated failures
or damages sustained during operations.
Our business is also subject to loss due to natural disasters such as fires and floods, that are beyond our
control, which may cause damage or destruction to all or part of our Processing Facility, equipment and
cold room. This would result in interruptions to, or prolonged suspension of, our operations.
In 2010, there was a fire outbreak at Factory B which caused detrimental damage to Factory B and its
equipment. Nevertheless, at the time, the activities carried out at Factory B were for otoshimi and surimi
products processing and trading where we are no longer involved in the processing of these products. As
our business activities were carried out at Factory A and Factory A was not affected by the fire outbreak,
and thus, our business did not face any operational disruptions. We have since reconstructed Factory B
and implemented fire preventive systems such as water sprinklers and fire alarm system as well as
engaged professionals to provide monthly fire inspections for both Factory A and Factory B.
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9. RISK FACTORS (CONT’D)
In addition, our Processing Facility requires sufficient and consistent supply of electricity and water to
operate, any failures in supply of electricity and water would temporarily halt our operations. As at the
LPD, we have a back-up generator on standby to power the cold rooms in our Processing Facility in the
event of unforeseen power failure to ensure that our frozen seafood products’ quality is not affected.
Any prolonged interruptions due to any of the above events may also have an adverse material effect on
our sales and financial performance. Since the commencement of our operations, we have not
experienced any other incidents of unanticipated machinery failures, natural unforeseen damages or
power failures, which led to major interruptions in our operations, save and except as highlighted above.
9.1.3 Our business is subject to risks of revocation or non-renewal of certifications
Our business is subject to risks of revocation or non-renewal of certifications.
Some of our customers, be it local or international customers, require our Processing Facility to have
certain certifications or registrations, such as HACCP, GMP, MeSTI Secure Food Certification Scheme
and/or HALAL certifications. In addition, we are also required to obtain the necessary international
approvals such as EU Number 75 Certificate, DAH, GACC and FDA’s approval to export our frozen
seafood products for certain countries, as required by their local authorities.
In the event that we fail to comply with any such requirements or conditions, our certifications may be
revoked or not renewed upon expiry. The loss of any of these certifications may have an adverse impact
on our business operations and financial performance as we may not be able to sell our frozen seafood
products to those customers that require such certifications.
Further details of our certifications are set out in Section 7.5 of this Prospectus.
9.1.4 We are dependent on our Executive Directors and key senior management for the continuing
success of our Group
The continuing success of our Group’s business is dependent on the efforts, commitment and abilities of
our Executive Directors and key senior management who play significant roles in our daily business
operations as well as the development and implementation of our business strategies. Our Executive
Directors and key senior management possess the relevant experience, from our processing operations,
procurement of raw materials to storage and delivery of our frozen seafood products, as well as sales and
marketing, and financial activities.
Siang Hai Yong and Kee Wan Chum have vast experience in the fishery and frozen seafood processing
industry, and have been working with our Group for 21 years and 14 years, respectively. Their knowledge
and experience of the industry and understanding of our business operations have been vital in building
our business, and maintaining our relationships with our network of customers and suppliers. As such,
they have been vital to the growth and success of our Group.
Together with Teo Chee Han, our Group’s Executive Director, they are assisted by our key senior
management, who have knowledge and experience in their respective fields and industries which are
relevant to the management of our business operations, namely our General Manager for Administration
and Human Resource, Kan Swee Koh; our General Manager, Production, Lain Wui Hiung; and our
Group’s Accountant, Chong Der Woei. Please refer to Sections 5.1.3, 5.2.2 and 5.5.2 of this Prospectus
for further details of our Executive Directors and key senior management.
As such, the loss of services of any of our Executive Directors and/or key senior management within a
short period of time without any suitable and timely replacement may adversely affect our business and
financial performance. Please refer to Sections 7.22 of this Prospectus for further details of our
management succession plan.
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9. RISK FACTORS (CONT’D)
9.1.5 We are dependent on the availability of foreign workers in our processing operations
A variety of our processing activities, such as the defrosting, cleaning, cutting and arranging, glazing and
packaging processes, are still being handled manually. We are thus dependent on labour to perform these
processes. As such, we employ foreign workers, comprising 61.54% of our total production workers at
our Processing Facility as at the LPD. We have obtained valid work permits for all of our foreign workers.
Should there be any changes to foreign worker visa policies in Malaysia or in the countries which our
foreign workers are from, our Group may face difficulties in maintaining a sufficient labour workforce.
In addition, any increase in the costs and levy rate of the foreign workers will increase our direct labour
costs. These may adversely impact our business operations and financial performance.
For example, the Government implemented a hiring freeze on foreign workers on 22 June 2020 with the
aim to create more job opportunities for the local workforce, in view of the adverse impact from the
COVID-19 pandemic which has caused a higher unemployment rate in Malaysia. The Government later
announced easing of the hiring freeze on foreign workers on 13 August 2020, by allowing employers to
hire foreign workers who are still in Malaysia but are unemployed, provided that they have a valid
working permit and were employed in the same sector previously.
Effective from 1 January 2021, employers who intend to hire foreign workers are obligated to advertise
the job openings on MYFutureJobs. This is a national online job portal that allows the Ministry of Human
Resource to facilitate job matching to locals to ensure that employment opportunities for Malaysians are
given priority. The job applications will be opened to foreigners only when Malaysians are not interested
to apply.
Our Group’s operations have not been materially impacted by the availability of foreign workers as we
also engage local part-time workers to supplement our existing workforce to assist in our processing
activities.
However, should there be future implementations of hiring freeze on foreign workers, this may
temporarily affect our Group’s anticipated business growth as the said hiring freeze and process could
increase the cost and time required to hire new workers as well as impede or delay any expansion plans
that we have.
9.1.6 We are exposed to foreign exchange rate fluctuations
Some of our overseas revenue and/or purchases are denominated in USD and RMB. In this regard, we
are exposed to the foreign currency exchange risk arising from the fluctuations in the exchange rate of
USD and RMB against RM. Such impact on our Group’s revenue and purchases during the Financial
Years/Period Under Review are summarised as follows:-
Audited Unaudited Audited
FYE 2020 FYE 2021 FYE 2022 FPE 2022 FPE 2023
RM’000 RM’000 RM’000 RM’000 RM’000
Total revenue in RMB 4,774 5,915 5,461 2,824 3,528
% of total revenue 5.08 3.73 3.49 4.41 4.39
Total revenue in USD 60,114 89,502 112,720 40,668 62,013
% of total revenue 63.91 56.48 72.10 63.44 77.11
Total purchases in USD 16,741 42,294 75,232 26,102 45,586
% of total purchases 21.14 31.00 61.08 55.01 59.91
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9. RISK FACTORS (CONT’D)
The impacts of foreign currency exchange on our earnings during the Financial Years/Period Under
Review are summarised as follows:-
Audited Unaudited Audited
FYE 2020 FYE 2021 FYE 2022 FPE 2022 FPE 2023
RM’000 RM’000 RM’000 RM’000 RM’000
Net unrealised (loss)/gain on
- 10 (5) - 624
foreign exchange
Net realised gain on foreign
596 616 812 82 282
exchange
Net gain on foreign exchange 596 626 807 82 906
We maintain foreign currency accounts, namely USD and RMB for payments of our foreign sales and
purchases. We also entered into foreign currency forward contracts to hedge our exposure to the USD
exchange fluctuations. In this regard, our Group’s exposure to foreign currency risk is mainly on the
revenue denominated in RMB.
While we practice hedging using foreign exchange forward contracts and maintaining foreign currency
bank accounts, there can be no assurance that we will be able to completely eliminate our exposure to
adverse foreign currency fluctuations in the future.
As we are unable to estimate the movement of foreign exchange rate and its impact on the revenue, cost
of sales and earnings of our Group, any significant fluctuation in the exchange rate of USD and RMB
into RM or vice versa may have a significant impact, whether positively or negatively, on our financial
condition and results of operations. Hence, there is no assurance that any significant fluctuation in foreign
currency exchange rate will not have a material adverse impact on the revenue and earnings of our Group.
We have not incurred any material losses arising from foreign currency translation for the Financial
Years/Period Under Review.
9.1.7 We may not have adequate insurance to cover all losses or liabilities
We are subject to risks such as fire and accidents that may adversely affect our business operations such
as damages to our inventories, building and machineries. As such, our Group has secured insurance for
a number of risks for our business operations such as, fire and fire consequential loss, public liability and
goods in transit.
Notwithstanding the insurance taken up by our Group for our inventories, building and machineries, our
insurance may not cover certain types of losses that are not insurable or not economically insurable such
as wars, acts of terrorism and outbreak of diseases. Further, any losses or damages in excess of our insured
limits could have an adverse effect on our business operations and financial results. In addition, any
insurance claims may affect subsequent insurance premiums charged to us by the respective insurance
companies.
Since incorporation till the LPD, we have not experienced any material losses or damages in excess of
our insured limits or not insurable or economically insurable. We were able to make an insurance claim
following the fire outbreak at Factory B that occurred in 2010 (as elaborated in Section 6.1.2 of the
Prospectus).
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9. RISK FACTORS (CONT’D)
9.1.8 We are vulnerable to the limited duration of a use permit for the land in which a small part of our
Processing Facility is located
OFS Products had procured a use permit up to 31 December 2023 from PSFD for the purposes of carrying
out seafood processing activity at PSFD Land 2. Approximately 1,477.23m2 or 43.42% of Factory B was
constructed on part of the PSFD Land 2 (including roof awning which covers an area of 446.62m 2). On
8 August 2023, PSFD conditionally approved the extension of the payment period for the use permit
subject, amongst others, to the following conditions:-
(i) the extension of the payment period of the use permit shall be reviewed after a period of 10
years;
(ii) the payment period for the use permit is for 20 years and can be further extended and renewed
every year provided that the permit holder does not violate any of the conditions and regulations;
(iii) permit holders approved for a lease period of 6 years and above shall enter into a formal
agreement with PSFD to signify its long-term commitment to the state government. No
agreement is required if payments are made on an annual basis;
(iv) payment is required if the use permit is being used for other purposes, including cold room and
such use permit must be renewed annually based on the prevailing rates; and
(v) approval is for the approved area.
Notwithstanding the above, PSFD has on 21 November 2023 issued a letter to OFS Products confirming
the following:
(a) that no lease agreement is required to be entered between PSFD and OFS Products, despite
being listed as one of the conditions in their letter dated 8 August 2023; and
(b) that the use permit has been approved for a period of 20 years, effective from 1 January 2024
to 31 December 2044.
Please refer to Section 7.15 of this Prospectus for further details of the use permit. While we have been
able to occupy the land without any interference from PSFD and have successfully renewed our use
permit each time we applied, it is important to note that there is no assurance of perpetual renewal for
the use permit.
The limited duration of the use permit for the relevant part of our Processing Facility could potentially
impact our long-term operational stability and future expansion plans. Upon expiry of the use permit,
there is a possibility of renegotiating terms with the landowners, relocation, or securing a renewal of the
use permit. The outcome of such negotiations is potentially volatile and may result in an increase in costs,
restricted access to prime locations or disruptions to our business operations, thus affecting our financial
performance and growth prospects.
In addition, any changes in local regulations or government policies regarding land usage and use permit
renewal processes could potentially lead to further uncertainties. Changes to land usage and use permit
renewal processes may impact the feasibility of renewing existing use permit with favourable terms. This
may lead to increased costs or operational delays which may lead to potential adverse effects on our
business operations and/or financial performance.
Furthermore, in the event that we are unable to secure renewals to our use permit or find suitable
alternative locations in a timely manner, our business operations may face significant disruptions.
Therefore, affecting our ability to meet our customers’ demands and thus, negatively impacting our
business.
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9. RISK FACTORS (CONT’D)
Notwithstanding the aforesaid, this risk can be mitigated as the part of our Processing Facility which was
erected on the PSFD Land 2 does not serve as the critical operational site of our Factory B. In the event
the use permit is not renewed by PSFD, we are able to shift that particular part of the operation to other
side of the Factory B, which is within our own land. We are committed to actively managing these risks
relating to use permit by seeking strategic solutions to secure renewals and/or alternative land options.
However, there can be no guarantee that such efforts will be successful. As such, failure to address these
risks adequately may lead to adverse effects on our financial performance and overall business
operations.
9.2 RISKS RELATING TO OUR INDUSTRY
9.2.1 We are subject to competition from other industry players involved in the processing and trading
of frozen seafood products
We operate in a competitive industry and we face competition from other industry players involved in
the processing and trading of frozen seafood products in Malaysia. Key factors that affect our
competitiveness are product quality and variety, price, customer service, ability to meet local and
international standards for food quality and safety as well as timely delivery.
In order to compete in our industry, we have implemented measures such as retaining a network of
reliable local and international suppliers, maintaining a consistent supply of seafood supplies throughout
the year and being compliant with relevant local and international regulations and certifications. However,
we cannot guarantee that the measures implemented will continue to allow us to remain competitive or
appeal to our existing or prospective customers, who may be attracted by our competitors who are able
to offer similar products at more competitive pricing.
If we fail to respond effectively to competitive pressures and market changes for our frozen seafood
products, our business and financial performance could be adversely affected. We must establish and
maintain a good relationship with our customers in order to compete more effectively and we must
regularly assess and keep up with the requirements of our customers in an effort to keep abreast with the
latest trends. If we are unable to maintain our competitiveness, we could experience lower demand for
our frozen seafood products and downward pressure on pricing, which will have a material adverse
impact on our business, financial performance and prospects.
9.2.2 We are subject to disruptions in the supply of raw materials
Our daily business activities are dependent on sufficient seafood supplies that meet our specifications in
terms of quality and freshness. Our seafood supplies could be materially disrupted due to the occurrence
of prolonged adverse weather conditions, natural disasters, diseases or overfishing which may reduce the
quantity of supplies available in the market.
Such disruptions in our supply chain may reduce our production output and thereby affect our revenue.
In addition, shortage of supplies available in the market may result in higher prices of seafood supplies
and the increase in cost of seafood supplies may not be able to be passed on to our customers. Thus, this
may have an adverse impact on our business operations and financial performance.
9.2.3 We are subject to risks related to political, social, economic and regulatory conditions in Malaysia
and international markets we serve
Any changes in the political, social, economic and regulatory conditions in Malaysia and in international
markets, particularly Turkey, China, Thailand, Vietnam, Japan, Indonesia, Philippines, Singapore, Korea,
Italy, Portugal, the US and Australia, could adversely affect our business operations and financial
performance. Changes in the political, social, economic and regulatory conditions could arise from,
amongst others, changes in political leadership, occurrence of civil war or disorder, changes in import
tariffs and related duties, regulatory structures and outbreak of diseases such as the COVID-19 pandemic.
Please refer to Section 7.14 of this Prospectus for further details on the implications and impact of the
COVID-19 pandemic on our Group’s business.
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9. RISK FACTORS (CONT’D)
Similarly, any global or regional economic downturn would also affect overall business and consumer
confidence, sentiments as well as investments, which would subsequently affect the demand for our
products. As such, there can be no assurance that any adverse political, social, regulatory or economic
developments which are beyond our control, will not materially affect our business and financial
performance.
9.3 RISKS RELATING TO INVESTMENT IN OUR SHARES
9.3.1 No prior market for our Shares and it is uncertain whether a sustainable market will ever develop
Prior to our IPO, there has been no public market for our Shares. Hence, there is no assurance that upon
our Listing, an active market for our Shares will develop or if developed, that such a market will be
sustainable. There is also no assurance as to the liquidity of any market that may develop for our Shares,
the ability of holders to sell our Shares or the prices at which holders would be able to sell our Shares.
We and our Promoters have no obligation to cause our Shares to be marketable. The IPO Price was
determined after taking into consideration various factors and these factors could cause our Share price
to fluctuate which may adversely affect the market price of our Shares.
There can be no assurance that the IPO Price will correspond to the price at which our Shares will trade
on the ACE Market upon our Listing and that the market price of our Shares will not decline below the
IPO Price.
9.3.2 Capital market risks and share price volatility
The performance of capital market is very much dependent on external factors such as the performance
of the regional and global stock market and the inflow or outflow of foreign funds. Sentiment is also
largely driven by internal factors such as economic and political conditions of the country as well as the
growth potential of the various sectors of the economy. These factors invariably contribute to the
volatility of trading volumes in capital market, thus adding risks to the market price of our listed Shares.
Nevertheless, the profitability of our Group is not dependent on the performance of the capital market as
the business activities of our Group have no direct correlation with the performance of securities listed
in the capital market.
Our Shares could trade at prices lower than the IPO Price depending on various factors, including current
economic, financial and fiscal condition in Malaysia, our operations and financial results and the price
volatility in the markets for securities in similar or related industry in Malaysia or emerging markets.
There is no assurance that any market for our Shares will not be disrupted by price volatility or other
factors, which may have a material adverse effect on the market price of our Shares.
In addition, the market price of our Shares may be highly volatile and could fluctuate significantly and
rapidly in response to, amongst others, the following factors, some of which are beyond our control:-
(i) variation in our results and operations;
(ii) success or failure in our key senior management team in implementing business and growth
strategies;
(iii) changes in securities analysts’ recommendations, perceptions or estimates of our financial
performance;
(iv) changes in conditions affecting the industry, the general economic conditions or stock market
sentiments or other events and factors;
(v) fluctuations in stock market prices and volumes; or
(vi) involvement in litigation.
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In addition, many of the risks described herein could materially and adversely affect the market price of
our Shares. Furthermore, if the trading volume of our Shares is low, price fluctuation may be exacerbated.
Accordingly, there can be no assurance that our Shares will not trade lower than the IPO Price.
9.3.3 Our Specified Shareholders will be able to exert significant influence over our Company as they
will continue to hold majority of our Shares after our IPO
Our Specified Shareholders will collectively hold in aggregate 64.68% of our enlarged issued share
capital after our IPO. As a result, they will be able to, in the foreseeable future, effectively control the
business direction and management of our Group as well as having voting control over our Group and as
such, will likely influence the outcome of certain matters requiring the vote of our shareholders, unless
they are required to abstain from voting either by law and/or by the relevant guidelines or regulations.
There can be no assurance that the interests of our Specified Shareholders will be aligned with those of
our other shareholders.
9.3.4 The sale or the possible sale of a substantial number of Shares in the public market following our
IPO and Listing could adversely affect the price of our Shares
Following the completion of our IPO and Listing, 64.68% of our enlarged issued share capital, will be
collectively held by our Specified Shareholders. It is possible that they may dispose of some or all of
their Shares after the Moratorium Period, pursuant to their own investment objectives. If they sell or are
perceived as intending to sell, a substantial amount of our Shares, the market price of our Shares could
be adversely affected.
9.3.5 Delay in or cancellation of our Listing
The occurrence of certain events, including the following, may cause a delay in or termination of our
Listing:-
(i) our Underwriter exercising its rights pursuant to the Underwriting Agreement to discharge itself
from its obligations under such agreement;
(ii) our inability to meet the minimum public spread requirement under the Listing Requirements
of having at least 25.00% of the total number of our Shares for which our Listing is sought being
in the hands of at least 200 public shareholders holding at least 100 Shares each at the point of
our Listing; or
(iii) the revocation of the approvals from the relevant authorities for our Listing for whatever reason.
Where prior to the issuance and allotment of our IPO Shares:-
(a) the SC issues a stop order pursuant to section 245(1) of the CMSA, the applications shall be
deemed to be withdrawn and cancelled and our Company shall repay all monies paid in respect
of the applications for our IPO Shares within 14 days of the stop order, failing which we shall
be liable to return such monies with interest at the rate of 10.00% per annum or at such other
rate as may be specified by the SC pursuant to section 245(7)(a) of the CMSA; or
(b) our Listing is aborted, investors will not receive any of our IPO Shares, all monies paid in
respect of all applications for our IPO Shares will be refunded free of interest within 14 days.
Where subsequent to the issuance and allotment of our IPO Shares:-
(aa) the SC issues a stop order pursuant to section 245(1) of the CMSA, any issue of our IPO Shares
shall be redeemed to be void and all monies received from the applicants shall be forthwith repaid
and if any such money is not repaid within 14 days of the date of service of the stop order, we
shall be liable to return such monies with interest at the rate of 10.00% per annum or at such other
rate as may be specified by the SC pursuant to section 245(7)(b) of the CMSA; or
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(bb) our Listing is aborted other than pursuant to a stop order by the SC under section 245(1) of the
CMSA, a return of monies to our shareholders could only be achieved by way of a cancellation
of share capital as provided under the Act and its related rules to the extent that our IPO Shares
form part of our share capital. Such cancellation can be implemented by the sanction of our
shareholders by special resolution in a general meeting and supported by either (a) consent by our
creditors (unless dispensation with such consent has been granted by the High Court of Malaya)
and the confirmation of the High Court of Malaya, in which case there can be no assurance that
such monies can be returned within a short period of time or at all under such circumstances or
(b) a solvency statement from the directors.
9.3.6 Payment of dividends
Our ability to declare dividends to our shareholders will depend on, amongst others, our distributable
reserves, future financial performance and cash flows requirements for operation and capital expenditures.
This, in turn, is dependent on our operating results, capital requirements and on our ability to implement
our future plans, demand for and selling prices of our products, general economic conditions and other
factors specific to our industry, many of which are beyond our control. As such, there is no assurance
that we will be able to pay dividends to our shareholders.
We are an investment holding company and conduct substantially all of our operations through our
subsidiaries. Accordingly, dividends and other distributions received from our subsidiaries are our
principal source of income. The receipt of dividends from our subsidiaries may also be affected by the
passage of new laws, adoption of new regulations and other events outside our control as well as our
subsidiaries may not continue to meet the applicable legal and regulatory requirements for the payment
of dividends in the future. In addition, changes in accounting standards may also affect the ability of our
subsidiaries and consequently, our ability to pay dividends.
Further, our payment of dividends may adversely affect our ability to fund unexpected capital expenditure
as well as our ability to make interest and principal repayments on any borrowings that we may have
outstanding at the time. As a result, we may be required to borrow additional money or raise capital by
issuing equity securities, which may not be on favourable terms. Further, if we incur new borrowings
subsequent to our Listing, we may be subject to additional covenants restricting our ability to pay
dividends.
Dividend payments are not guaranteed and our Board may decide, at its sole and absolute discretion, at
any time and for any reason, not to pay dividends. If we do not pay dividends or pay dividends at levels
lower than that anticipated by investors, the market price of our Shares may be negatively affected and
the value of any investment in our Shares may be reduced.
Further details of our dividend policy are set out in Section 11.7 of this Prospectus.
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