Reference is made to Privasia announcements dated 13 March 2024 and 2 July 2024 in relation to the acquisition of the 51% equity interest in DJava Factory Sdn Bhd (“DJF”).

Unless otherwise defined, all capitalised terms used herein shall have the same meanings ascribed to them in the announcements dated 13 March 2024 and 2 July 2024.

Pursuant to the Transfer and Shareholders’ Agreement dated 13 March 2024 and Addendum to Transfer and Shareholders’ Agreement dated 30 June 2024 (collectively referred to as “TSA”), Privasia shall pay the balance purchase consideration of RM330,000.00 in two instalments of 15% each, subject to the delivery of the projected profit by DJF as stipulated in the TSA which shall be achieved by 30 June 2026 for the cumulative period of 24 months from 1 July 2024. The cumulative profit to be achieved by DJF as stipulated in the TSA is RM2,500,000.00.

The Board of Directors of Privasia wishes to announce that DJF was unable to meet the said profit guarantee for the profit period 30 June 2025, and foresee not being able to meet the cumulative guarantee in the next 3 months, being the final year of the guaranteed period, 30 June 2026.

The non-fulfilment of the profit guarantee was primarily due to certain anticipated contracts and business opportunities not materialising within the expected timeframe, operational challenges arising from manpower constraints during the period under review, as well as lower than expected revenue contribution from project and insourcing activities.

Nevertheless, the Board will continue to monitor the performance and prospects of DJF and will undertake the necessary measures to strengthen its operational capabilities and improve its business performance going forward.

The non fulfilment of the profit guarantee is not expected to have a material impact on the earnings, net assets and gearing of the Group for the financial year ending 31 December 2026.

This announcement is dated 11 March 2026.