“The assets damaged include a finishing line, part of the factory roof, some spray guns, fire extinguishers and sprinklers. While further work needs to be carried out to ascertain the exact value of damages sustained, we roughly estimate that the total value of damage to these assets is in the region of RM500,000 to RM900,000,” it told the stock exchange.
In addition, Jaycorp said some work in progress (WIP) was also damaged.
“We roughly estimate that the damage caused to WIP is below RM100,000. In total, we do not expect the combined value of damages sustained by the fire incident to exceed RM1 million. All assets and WIP are adequately insured.”
The affected factory, owned by Jaycorp Trading Sdn Bhd, is located in Sungai Rambai and. It is currently being rented out to Yeo Aik Wood Sdn Bhd.
Both Jaycorp Trading and Yeo Aik Wood are wholly owned subsidiaries of Jaycorp group.
The area damaged by the fire was restricted to a single finishing line within the factory with minimal impact to other areas of the factory.
The fire started at around 8.40 am on December 23 and was extinguished within 30 minutes.
“No major injuries were sustained. We have not yet determined the exact cause of the fire but we are in the process of carrying out the necessary investigations. A police report was made on the same day.”
Jaycorp said it does not expect any major impact to its operations as it has another finishing line facility.
“As such, although there may be some minor production delays in the immediate short term due to the damage caused by the fire incident, we expect to fully recover from this within two weeks.”
Source: The Sun Daily