On 8 January 2020, the Company obtained the general mandate from its shareholders for the Company and its subsidiaries ("KESMI Group") to enter into Recurrent Related Party Transactions ("RRPTs") in the ordinary course of business of a revenue or trading nature which are necessary for the day-to-day operations based on commercial terms which are not more favourable to the related parties of KESMI than those generally available to the public.

The said general mandate for the RRPTs shall, in accordance with the Main Market Listing Requirements of Bursa Malaysia Securities Berhad, expire at the forthcoming Annual General Meeting ("AGM"), unless renewed via an Extraordinary General Meeting (“EGM”).

The Board of Directors of KESMI wishes to announce that the Company proposes to seek the approval of its shareholders for the Proposed Renewal of Shareholders’ Mandate at an EGM to be convened immediately following the conclusion of the Company's forthcoming AGM. The Proposed Renewal of Shareholders’ Mandate, if approved, will allow KESMI Group to continue entering into RRPTs for another year and will expire on the next AGM following the forthcoming EGM.

A Circular to the Shareholders of KESMI setting out details of the Proposed Renewal of Shareholders’ Mandate will be issued in due course.

This announcement is dated 22 September 2020.