MKH Annual Report 2020

81 MKH BERHAD STATUTORY INFORMATION ON THE FINANCIAL STATEMENTS (CONT’D) At the date of this report, the directors are not aware of any circumstances: (i) which would render the amount written off for bad debts or the amount of the allowance for doubtful debts in the financial statements of the Group and of the Company inadequate to any substantial extent; or (ii) which would render the values attributed to current assets in the financial statements of the Group and of the Company misleading; or (iii) which have arisen which would render adherence to the existing method of valuation of assets or liabilities of the Group and of the Company misleading or inappropriate; or (iv) not otherwise dealt with in this report or the financial statements which would render any amount stated in the financial statements misleading. At the date of this report, there does not exist: (i) any charge on the assets of the Group or of the Company which has arisen since the end of the financial year which secures the liability of any other person; or (ii) any contingent liability of the Group or of the Company which has arisen since the end of the financial year. No contingent or other liability has become enforceable or is likely to become enforceable within the period of twelve months after the end of the financial year which, in the opinion of the directors, will or may affect the ability of the Group and of the Company to meet their obligations when they fall due. In the opinion of the directors: (i) the results of the operations of the Group and of the Company during the financial year were not substantially affected by any item, transaction or event of a material and unusual nature; and (ii) there has not arisen in the interval between the end of the financial year and the date of this report any item, transaction or event of a material and unusual nature likely to affect substantially the results of the operations of the Group and of the Company for the financial year in which this report is made. TREASURY SHARES Treasury shares relate to ordinary shares of the Company that are repurchased and held by the Company in accordance with the requirements of Section 127(4)(b) of the Companies Act, 2016 in Malaysia. During the financial year, the Company repurchased 1,618,700 of its issued ordinary shares from the open market at an average price of RM0.91 per share. The total consideration paid for the repurchase including transaction costs was RM1,475,201. As at 30 September 2020, the Company held 9,132,300 treasury shares out of its 586,548,168 issued and paid-up ordinary shares. Such treasury shares are held at a carrying amount of RM11,112,278. Further details are disclosed in Note 27 to the financial statements. Directors’ Report