Lotus and its subsidiaries (“Group”) had since early 2022 diversified into plantation businesses to include the planting, harvesting and processing of fast-growing plants, including but not limited to Acacia species, Gmelina species, Albizia species, Eucalyptus species and bamboo, into wood chips and bamboo chips. As at the date of this announcement, the Group had acquired the rights-of-use/lease rights over 3,700 hectars (“ha”) of forest reserve lands/state lands situated in Negeri Kelantan and Negeri Perak (“Lotus’ Lands”). The Proposed Joint Venture serves to expedite the subsisting plantation business of the Group, particularly on harvesting, processing and sale, through leveraging on the readily harvestable lands of the JV Partners.