UMS' Penang factory to resume operations, but group's California plant closes

Published Fri, Mar 20, 2020 · 10:48 AM

PRECISION engineering firm UMS Holdings on Friday said its facilities in Penang can continue its operations amid Malaysia's ongoing movement control order.

This comes as semiconductors are included in the Malaysian government's list of essential services that can continue to function till March 31, said UMS in a statement.

The group has submitted an application to the Ministry of Trade and Industry for approval to continue operating during the restriction period. Its Penang facilities - currently shut to comply with the order - wil reopen when approval has been obtained.

In the US, the group's factory in California will be closed to comply with the California state's stay-at-home order issued on March 19. The resumption of operations will be subject to further government directives, said UMS, noting that the temporary halt is not expected to have any "significant" material financial impact on the group.

Its production facilities in Singapore remain operational.

UMS shares closed up S$0.05 - or 7.8 per cent - to S$0.63 on Friday.