Reference is made to the Company’s announcement dated 28 March 2019, 16 June 2020 and 19 July 2021 in relation to the acceptance of a Letter of Acceptances (LOA) from the Ministry of Defence Malaysia (MINDEF), awarding Boustead DCNS Naval Corporation Sdn. Bhd. (BDNC) a contract for provision of the In-Service Support for Prime Minister’s Class Submarines for the Royal Malaysian Navy (“Contract”).

BDNC is a joint venture company between BHIC Defence Technologies Sdn. Bhd. (60%), a wholly owned subsidiary of BHIC, and Naval Group (40%). The Company wishes to announce that BDNC has on 14 July 2022 accepted Additional Letter of Acceptance from MINDEF for another extension of the Contract period for nine (9) months, starting 1 January 2022 to 30 September 2022 (“the Additional LOA”) for an extended Contract value of RM79,316,254.00 (“Extended Contract Value”). Apart from the extension of the Contract period and revision of the Contract value, there are no significant differences between the substance of the Contract and this Additional LOA.

The Additional LOA will contribute positively to the earnings of BHIC Group for the financial year ending 31 December 2022. None of the directors or substantial shareholders of the Company, or persons connected with them have any interest, direct or indirect, in the Contract and the Additional LOA.

This announcement is dated 14 July 2022.