Bursa Announcements

The Board of Directors of Tan Chong Motor Holdings Berhad (“TCMH”) wishes to announce that TC Services Vietnam Co., Ltd. (“TCSV”), a wholly-owned indirect subsidiary of the TCMH, had received from SAIC Motor International Co., Ltd. (“SMIL”), wholly-owned subsidiary of SAIC Motor Corporation Limited (“SAIC”), a notice of termination of the Overseas Distribution Agreement dated 18 May 2020 supplemented by Supplementary Agreements dated 30 June 2020, 18 December 2020 and 23 June 2021 (collectively, “ODA”) executed between TCSV and SMIL due to SAIC’s overall global strategic adjustments. The ODA is to regulate the appointment of TCSV as the sole and exclusive importer and distributor for the sale of Completely-Built-Up (“CBU”) MG brand vehicles and after-sales spare parts, and provider of after-sales services for the CBU MG brand vehicles, including the appointment of dealers to perform these obligations and activities in Vietnam. The ODA will terminate on 30 June 2023.  

The termination of the ODA has no material financial and operational impact on the Group for the current financial year.

Notwithstanding the above, TCSV remains open to further discussion with SMIL to explore alternative business opportunities for mutual benefits in Vietnam.

This announcement is dated 7 April 2023.