We refer to the Company’s announcement dated 6 April 2021 in relation to the DMA entered into between Parkwood Developments Sdn Bhd ("Parkwood Developments"), a wholly-owned subsidiary of PHB, with Triangle Asia Sdn Bhd ("Triangle Asia" or "the Developer") for the appointment of Parkwood Developments as the Development Manager of the Developer to provide property development and project management services in relation to its project.

The Board of Directors ("Board") of PHB wishes to announce that PHB had on 28 December 2021 entered into a Deed of Novation with Parkwood Developments and Triangle Asia, to novate the right and obligations of Parkwood Developments as the Development Manager of the Developer under the DMA to PHB.

Pursuant to the Deed of Novation, the parties agreed that Parkwood Developments shall be released and discharged from all future claims and demands whatsoever in respect of the DMA and PHB shall be responsible as the Development Manager of the Developer to provide property development and project management services in relation to its project.

The Deed of Novation is not expected to have any material effect on PHB Group and is not subject to the approval of the shareholders of PHB.

None of the Directors, substantial shareholders of PHB and/ or persons connected to them have any interest, direct or indirect, in the Deed of Novation.

The Directors of PHB is of the opinion that the novation of the right and obligations under the DMA from Parkwood Developments to PHB is in the best interest of the Group.

This announcement is dated 26 January 2022.