You are working in a secretarial firm

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You are working in a secretarial firm. One of your clients, Jessica intends to set up a private
limited company under Companies Act 2016. Jessica would like to seek your advice whether or not the
company shall adopt a company’s constitution.
Jessica has provided you with the following information:
• The company is a joint venture company with two shareholders, Ali Sdn. Bhd. and
Grow Sdn. Bhd.
• Ali Sdn. Bhd. will hold 49% shares whereas Grow Sdn. Bhd. will hold 51% shares in
the company.
Advise Jessica accordingly.

The company should adopt a company constitution

Three (3) reasons based on section(s) in the Companies Act 2016 to support your advice.