1. Introduction

The Board of Directors of the Company wishes to announce that in July 2020, the Company had appointed PwC Consulting Associates (M) Sdn Bhd to conduct a forensic investigation at Deleum Primera Sdn Bhd (“Deleum Primera”), a 60% owned subsidiary of the Company. The investigation involved some of Deleum Primera’s employees, suppliers, contractors and employees of a client.

Subsequently, the Board of Directors of Deleum Primera decided to instruct its solicitors, Messrs. Lim Chee Wee Partnership, to file a Writ of Summons together with Statement of Claim dated 5 November 2020 and Notices of Application dated 5 November 2020 for Forthwith Delivery Up Order and Mareva (Freezing) Order against the defendants. The defendants comprise employees, suppliers, contractors as well as employees of the client.

Deleum Primera successfully obtained ex parte Orders which were executed on 10 November 2020 and is still ongoing. The return date for the ex parte Orders is 20 November 2020.

The employees of Deleum Primera who are involved have been suspended, pending the conclusion of the investigation.

2. Financial and Operational Impact

Deleum Primera will continue its business as usual. The financial impact cannot be ascertained as yet and is still being assessed.

3. Proposed steps to be taken

The Company will be relying on legal advice in the pursuit of this litigation.

Further announcements on the development of the above matter will be made to Bursa Malaysia Securities Berhad from time to time.

This announcement is dated 11 November 2020.