The Board of Directors of Pecca Group Berhad ("PECCA" or "the Company") wishes to announce that Pecca Leather Sdn Bhd [Registration No. 200001015763 (518370-H)] (“PLSB”), a wholly-owned subsidiary of Pecca had, on 31 October 2022 entered into a Memorandum of Understanding (“MOU”) with the following parties, for the acquisition of 80.0% shareholdings in PT Gemilang Maju Kencana (“GMK”) (“Proposed Acquisition”) and injection of additional capital by the shareholders upon completion of the Proposed Acquisition (“Capital Injection”):-

1. PT Multi Berjaya Asindo
2. CSC Automotive Sdn Bhd
3. Tan Kim Cheang
4. Neo Hwee Leong
5. Herny Pramana

The MOU is intended to enable Pecca and it's subsidiaries to enlarge its foreign presence in the automotive industry by entering into the Indonesia market, which is one of the biggest automotive markets in Southeast Asia.

Please refer to the attachment for further details.

This announcement is dated 31 October 2022.