MTD ACPI ENGINEERING BERHAD MTD MTD MTD ACPI ENGINEERING BERHAD(258836-V) MTD ACPIRegistration ENGINEERING No. 199301004099 BERHAD (258836-V) Registration No. 199301004099 (258836-V) www.mtdacpi.com MTD ACPI ENGINEERING BERHAD Registration No. 199301004099 (258836-V) Menara MTD, 1, Jalan Batu Caves 68100 Batu Caves, ANNUAL REPORT Selangor Darul Ehsan, Malaysia 20 Tel : 603-6195 1111 Fax : 603-6188 0101 20 ANNUAL REPORT REPORT ANNUAL 2020 A Member of MTD Group A member of the MTD Group, MTD ACPI Engineering Berhad (“MTD ACPI” or “the Group”) is one of Malaysia’s Corporate Profile foremost infrastructure companies Manufacturing Among the IBS precast products supplied involved in privatised infrastructure by the Group included: development, construction and The Group’s Manufacturing arm has Universiti Sultan Zainal Abidin Hospital engineering, property development the capability to produce a full range (UniSZA) in Kuala Terengganu and manufacturing activities. MTD of precast concrete products for Multi-storey car park project for ACPI is listed on the Main Market infrastructure such as bridge crossings, UKM Medical Center Cheras in Kuala segmental box girders, tunnel segments Lumpur of Bursa Malaysia Securities Berhad across the ASEAN region and buildings Mass Rapid Transit (MRT) 2 Station since 3 January 1995. including Industrialised Building System for Mass Rapid Transit Corporation (IBS). Sdn Bhd Civil Engineering & Construction i-City Shopping Mall in Shah Alam, The Group’s accomplishments amongst Selangor The Group’s Civil Engineering & others included: Construction arm has extensive experience Malaysia-Singapore Second Crossing In Singapore, the group supplied IBS in the development of mountain Kuala Lumpur SMART Tunnel products for the Sengkang and River Front roads, highways, and bridges, building Penang 2nd Bridge Crossing Residential Apartment. It also provided geotechnical works, erosion control and Kuantan-Kerteh Railway Project precast tunnel segments for Singapore’s highway maintenance. (Package 1) MRT and Deep Tunnel Sewerage systems Sprint Highway – Kerinchi & Duta and precast sleepers to the Singapore The Group had successfully completed interchanges and One Utama MRT Circle Line. It is currently supplying the construction of the following projects: Extension Phase II. the precast walkway components and Kuala Lumpur-Karak Highway level crossings to the MRT Thompson East Coast Expressway On- going projects include: Line. (Phases 1 and 2) Sungai Besi-Ulu Kelang Elevated Fourth Lane Widening project for the Expressway Beyond the ASEAN Region, the Group Sg. Buloh to Rawang stretch of the Damansara-Shah Alam Expressway had supplied tunnel linings to the North South Expressway; and Petronas Marine Jetty, Pengerang. Dubai Metro Rail Project and Abu Klang Valley Mass Rapid Transit Dhabi Sewerage Tunnel System Project (KVMRT) System Package V7 of Sg. (STEP T-01) and pre-cast segmental box Buloh-Kajang Line girder for the Delhi Metro Rail Project. Meanwhile, the KVMRT Package V208 Sg. Buloh-Serdang-Putrajaya Line is currently undergoing construction. The Group also recently secured a contract • A high performance company delivering and achieving sustainable values for the construction and completion of VISION earthworks and infrastructure works for the Chuping Valley Industrial Area Phase 1 in Chuping, Perlis, worth a total of RM184.2 million. The contract is for two • To become a sustainable-driven business operations years from 1 June 2020 to 31 May 2022. • To strengthen branding within industries / business activities Its overseas accomplishments include the MISSION construction of the 36-km South Luzon Expressway in the Philippines; and the • Respect - Embrace and acknowledge diverse workforce improvements to the six-storey Jamarat and ideas irrespective of gender, race and religion Bridge and its surrounding areas in Mina, • Integrity - Conduct honest and ethical day-to-day Saudi Arabia. SHARED business and operations VALUES • Trust - Create a reliable environment which in turn R.I.T.E provides confidence and leads to business growth • Excellence - Embrace innovation and constantly providing platforms for knowledge and talent enhancements What’s Inside 02 32 – 34 148 – 149 Corporate Information IRF and GRI Content Index List of Properties 03 35 – 44 150 – 155 Corporate Structure Corporate Governance Notice of Annual General Overview Statement Meeting 04 – 07 Board of Directors’ Profile 45 155 Additional Compliance Statement Accompanying 08 – 09 Statement Notice of Annual General Key Senior Management’s Meeting Profile 46 Directors’ Responsibility Statement • Proxy Form 10 Group 5-Year Financial 47 – 52 Highlights Report of the Audit Committee 11 – 21 53 – 55 FOR MORE INFORMATION Management Discussion Statement on Risk Management VISIT OUR WEBSITE & Analysis and Internal Control 22 – 31 56 – 58 Sustainability Report Analysis of Shareholdings 59 – 147 Financial Statements www.mtdacpi.com A Message to Our Frontliners WE SALUTE YOU We at MTD Group of Companies would like to dedicate this message of gratitude to our frontliners who work tirelessly in battling against the COVID-19 pandemic, both in Malaysia and across the globe. The COVID-19 pandemic is unprecedented, changing our lives drastically and affecting us in ways that many could not have imagined. You heeded the call to fight this pandemic, courageously dedicating your blood, sweat and tears while making sacrifices so that the rest of us can stay home and flatten the curve. Thank you for giving us the strength and inspiration to rise above this challenging times. Your courage and altruism affirm our belief that Malaysia will emerge from this soon. You are our true heroes and we stand by you! You will always be in our thoughts and prayers. Corporate Information BOARD OF DIRECTORS Dato’ Ir. Kalid bin Alias Keith George Cowling Chairman / Independent Non-Executive Director Non-Independent Executive Director Dato’ Ir. Wan Razali bin Wan Muda Nik Faeruz binti Tan Sri Nik Hussain Independent Non-Executive Director Non-Independent Non-Executive Director Nik Din bin Nik Sulaiman Senior Independent Non-Executive Director CHIEF EXECUTIVE OFFICER COMPANY SECRETARIES AUDITORS Tee Kim Siew Chan Bee Kuan (MAICSA 7003851) BDO PLT (LLP0018825-LCA & AF0206) SSM PC No. 202008001959 Chartered Accountants Cheong Wei Ling (MAICSA 7009208) Level 8, BDO @ Menara CenTARa AUDIT COMMITTEE SSM PC No. 202008001285 360, Jalan Tuanku Abdul Rahman 50100 Kuala Lumpur, Malaysia Nik Din bin Nik Sulaiman, Chairman COMPANY WEBSITE Dato’ Ir. Kalid bin Alias PRINCIPAL BANKERS Nik Faeruz binti Tan Sri Nik Hussain www.mtdacpi.com CIMB Bank Berhad Malayan Banking Berhad NOMINATION AND REGISTERED OFFICE AmBank (M) Berhad REMUNERATION COMMITTEE RHB Bank Berhad Menara MTD Nik Din bin Nik Sulaiman, 1, Jalan Batu Caves Chairman 68100 Batu Caves STOCK EXCHANGE LISTING Dato’ Ir. Kalid bin Alias Selangor Darul Ehsan, Malaysia Nik Faeruz binti Tan Sri Nik Hussain Tel : +603-6195 1111 Main Market of Bursa Malaysia Fax : +603-6188 0101 Securities Berhad Email : [email protected] Sector : Construction RISK MANAGEMENT COMMITTEE Stock Name : MTDACPI Stock Code : 5924 Dato’ Ir. Wan Razali bin Wan Muda, SHARE REGISTRAR Chairman Mega Corporate Services Sdn Bhd Dato’ Ir. Kalid bin Alias Level 15-2, Faber Imperial Court Nik Din bin Nik Sulaiman Jalan Sultan Ismail 50250 Kuala Lumpur, Malaysia Tel : +603-2692 4271 Fax : +603-2732 5388 Email : [email protected] 02 MTD ACPI ENGINEERING BERHAD ANNUAL REPORT 2020 Corporate Structure As at 30 July 2020 INVESTMENT/ CIVIL ENGINEERING MANUFACTURING PROPERTY & CONSTRUCTION DEVELOPMENT 100% 100% 100% MTD CONSTRUCTION SDN BHD ACP (TRACKS) SDN BHD MAKIN PERMATA SDN BHD 60% 100% 100% MTD CONSTRUCTION ASC TILES SDN BHD GANDAAN UNIK SDN BHD (PHILIPPINES), INC. 100% 49% 40% ASSOCIATED CONCRETE MODAL EHSAN SDN BHD INTRAXIS ENGINEERING PRODUCTS (MALAYSIA) SDN BHD SDN BHD 100% ACP MARKETING SDN BHD - Operating companies only - Shareholding percentage is based on ordinary share capital only MTD ACPI ENGINEERING BERHAD 03 ANNUAL REPORT 2020 Board of Directors’ Profile KEITH GEORGE DATO’ IR. KALID NIK DIN COWLING BIN ALIAS BIN NIK (Chairman) SULAIMAN DATO’ IR. WAN NIK FAERUZ RAZALI BIN BINTI TAN SRI NIK WAN MUDA HUSSAIN 04 MTD ACPI ENGINEERING BERHAD ANNUAL REPORT 2020 Board of Directors’ Profile DATO’ IR. KALID BIN ALIAS Past Experiences Dato’ Ir. Kalid joined the Public Works Department (PWD) in Chairman / Independent Non-Executive Director 1975 where he served for 29 years in various capacities including holding the position of Civil Engineer in the National Housing Malaysian 72 Male Department, Ministry of Housing (1976-1981), District Engineer, Petaling, Selangor (1983-1986) Assistant Director (Roads) PWD, Date of Appointment Length of Service Selangor (1986-1988), Deputy Director of PWD, Terengganu 15 August 2006 14 years (1988-1991), Director of PWD, Negeri Sembilan (1991-1993), Deputy Director, Jabatan Pembangunan Persekutuan Kelantan Academic / Professional Qualifications (1993-1996) and Director, PWD, Pahang (1996-2004), which • Bachelor in Civil Engineering from the University of was his last posting before retiring in November 2004. Glasgow, Scotland, United Kingdom • Master in Public Health Engineering from the University of Directorship Strathclyde, Glasgow, Scotland, United Kingdom Listed Issuer Public Company • Registered Professional Engineer with the Board of • MTD ACPI Engineering Berhad • None Engineers Malaysia • Fellow of The Institution of Engineers,