We refer to the Company’s announcement dated 10 March 2022 (the “Previous Announcement”) in respect of the Orders granted by the High Court of Malaya at Kuala Lumpur (the “Court”) under Sections 366 and 368 of the Companies Act 2016 (the “Act”) to the Company and twenty-two of its wholly-owned subsidiaries (the “Applicants”) on 10 March 2022. Unless a contrary indication appears, terms defined in the Previous Announcement have the same meaning and construction in this announcement.

As stated in the Previous Announcement, the Applicants had on 10 March 2022 obtained Restraining Orders from the Court pursuant to Section 368(1) of the Companies Act 2016 for a period of 3 months expiring on 10 June 2022.

The Board of Directors of the Company wishes to announce that the Applicants applied for and on 8 June 2022 were granted an Order of the Court under Section 368(2) of the Act that the Restraining Orders be extended for a period of 9 months from 10 June 2022 (i.e. the date that such Restraining Orders would otherwise have expired), to 10 March 2023 (the “Extended Restraining Orders”). The Applicants will be required to attend at Court on 28 September 2022 to update the Court on the progress of the Proposed Schemes of Arrangement.

The MCF Financiers will, in the meantime, continue to be excluded from the application of the Extended Restraining Orders, on the basis that those Applicants who are obligors in relation to the MCF Facilities, have entered into an agreement with a significant majority of the MCF Financiers for inter alia, a standstill on claims under the MCF Facilities for a further period of 6 months up to 10 December 2022. The Company is continuing to engage with the remaining minority MCF Financiers with a view to agreeing a standstill with such MCF Financiers in short order.

Financial and operational impact of the Restraining Order

It is not envisaged that the Extended Restraining Orders will have any material adverse financial and operational impact on the Group, for the reasons set out in the Previous Announcement.

Details of the Proposed Schemes of Arrangement

Since the Previous Announcement, the Applicants have updated the Proposed Schemes of Arrangement based on new cash flow projections. An updated outline of the Proposed Schemes of Arrangement is enclosed in Appendix 1. The terms of the Proposed Scheme of Arrangement as summarised in the draft outline are subject to change, including as a result of any further discussions or negotiations between the Applicants and their Creditors.

Appointment of Adjudicator for Proof of Debt Exercise

The Court also granted an order on 8 June 2022 approving the Terms of Reference for Adjudicator (“Terms of Reference”) as enclosed in Appendix 2. Under the Terms of Reference, Tan Sri Dato' Mohamad Ariff bin Md Yusof has been designated as an independent adjudicator (“Adjudicator”) to resolve any dispute arising out of the adjudication of proof of debts involving the Applicants in the scheme of arrangement.

Deadline to Submit Proofs of Debt

The Court further granted an order on 8 June 2022 by which the Creditors of each Applicant are required to submit their respective proofs of debt (in the form prescribed in the respective notice issued by such Applicant to its Creditors) on or before 30 June 2022. Pursuant to such order, the Chairman of the court-convened meetings of the Creditors of the Applicants, or the Adjudicator (as the case may be), will be at liberty to rely on the internal records of the Applicants when adjudicating any proof of debt, and to reject or accept any proof of debt submitted after 30 June 2022.

Additional information

The Company will make additional announcements when there are further developments in relation to the Orders, the proposed restructuring and/or other matters contemplated by this announcement.

This announcement is dated 9 June 2022.