Reference is made to the Company’s announcement dated 11 March 2019 and 23 June 2020.

As previously announced on 11 March 2019, a wholly owned subsidiary of the Company, HCM Engineering Sdn Bhd (“HCM”) has filed a legal suit at the Kuala Lumpur High Court against Kuasatek (M) Sdn Bhd (“Kuasatek”) (“Legal Proceeding”).

HCM’s claim against Kuasatek is premised on breach of contract by Kuasatek pursuant to a Letter of Appointment for Mechanical and Electrical Works Packages (Contract No: HCM/P48-AFC/LA/C/16/V1(07) dated 15 March 2016, a work package under a project previously awarded to HCM known as “The Design And Built Contract For The Proposed Additional Of A 4 Storey Office Building With Basement Car Parking To The Existing Facilities On Lot No. 38627, Bukit Jalil, Mukim Petaling, Daerah Kuala Lumpur, Malaysia For Asian Football Confederation.” Kuasatek was the mechanical and electrical works sub-contractor for HCM.

The trial for the Legal Proceeding has been partly completed on the 5th, 6th and 7th October 2020.

The Legal Proceeding is fixed for continued trial on 13 January 2021.