The Directors of the Company wish to announce that its wholly owned subsidiary, Eversendai Engineering Sdn. Bhd., (“EESB”), a major subsidiary, received a winding-up petition vide email/letter dated 13 February 2024 from Lembaga Hasil Dalam Negeri, Government of Malaysia (“LHDN”) on 21 February 2024.  LHDN is claiming a sum of RM1,969,918.23 being outstanding tax liabilities plus interest of 5% and cost.  LHDN claim that EESB had purportedly failed to pay the outstanding tax liabilities.  The cost of investment in EESB has been fully impaired previously.  Save for the amount claimed, the winding-up petition is not expected to have other financial and operational impact/losses to the Group.  The outstanding tax liabilities has been fully satisfied on 12 March 2024 and EESB is now following up with LHDN to withdraw the winding-up petition.

The delay in announcement is due to miscommunication between the personnel in the subsidiary company and the holding company.  The senior Management of ECB is now working to improve the communication channels.

This announcement is dated 12 March 2024.