Greenyield reports fire at Papua New Guinea unit’s factory

KUALA LUMPUR (June 30): Greenyield Bhd (KL:GREENYB) said a fire broke out at a section of the factory of its 65%-owned Papua New Guinea subsidiary, Galley Reach Holdings Ltd (GRH), but does not expect the incident to have a material impact on the group’s financial position or operations.

In a Bursa Malaysia filing on Tuesday, the agricultural products manufacturer said the fire occurred on June 28 at GRH’s factory premises in Papua New Guinea.

The company said there were no casualties or injuries resulting from the incident.

Operations at the affected factory have been temporarily suspended while the relevant authorities conduct investigations into the cause of the fire.

Greenyield said the factory’s assets are adequately insured under an industrial special risks insurance policy with a total liability limit of PGK7.77 million (about RM9.2 million).

The group is assessing the extent of the damage as well as the financial and operational impact of the incident.

“Based on the preliminary assessment to date, the board does not expect the incident to have a material impact on the Group’s overall financial position or operations,” the company said.

Greenyield added that it will make further announcements should there be any material development.

Shares in Greenyield closed down 1.5 sen or 7.5% at 18.5 sen on Tuesday, valuing the group at RM102.53 million. Over the past one year, the stock has declined 19.6%.