Reference is made to the recent news articles published by The Edge Malaysia on 8 October 2025 titled “Former AT Systematization director slapped with 41 charges over fund transfers involving RM16.35m” and MSN on 12 November 2025 titled “Ex-CFO charged with causing RM7.8mil wrongful loss to company.”

The Board of Directors (the “Board”) wishes to clarify that the transactions in question were carried out under the instruction and influence of former executive director, Mak Siew Wei (“MSW”), who deceived the former managing director and former chief financial officer (collectively known as “former executives”) into co-authorising the payments. The Company is extremely perplexed why the former executives were charged, while they are the victims of MSW alongside the Company. In this regard, the Company fully supports their claims of innocence in the Court.

The Board further refers to the recent statement issued by the Securities Commission Malaysia (“SC”) regarding the charges preferred against two former executives. For clarity, both former executives have been in regular contact with the SC throughout the process and appeared in court voluntarily. The Company believes that the ⁠SC’s statements are extremely false and misleading, indicating the former executives had absconded or evaded.

In uncertain term, the Company suffered wrongful losses due to the misdeeds by MSW and not the former executives. Hence, the Company had filed claim against MSW on 21 March 2025 for RM46.47 million. The amounts reported in the news articles (RM16.35 million and RM7.8 million) are part of said RM46.47 million.

At this juncture, the Company does not anticipate any financial or operational impact to the Group. Erdasan continues to operate as usual under its current management and governance structure. The financial exposure associated with the said RM46.47 million has since been accounted for as prior year adjustments as disclosed in Note A17 of the unaudited interim financial report for the period ended 31 March 2025. Any further potential impacts will be assessed and disclosed as appropriate.

This announcement is dated 14 November 2025.