The Board of Directors of Paragon Union ("Board") wishes to announce that the Company has, on 22 January 2021, received a notice of unconditional mandatory take-over offer ("Notice") from Hong Leong Investment Bank Berhad, on behalf of the Offeror, to acquire all the remaining ordinary shares in Paragon Union (excluding treasury shares) not already held by the Offeror and the Ultimate Offeror (as defined in the Notice) ("Offer Shares") for a cash consideration of RM0.55 for each Offer Share.

Pursuant to Paragraph 3.06 of the Rules on Take-overs, Mergers and Compulsory Acquisitions issued by the Securities Commission Malaysia, an independent adviser will be appointed by the Board in due course to provide comments, opinions, information and recommendation to the holders of the Offer Shares.

A copy of the Notice is attached and will be posted to the shareholders of Paragon Union within 7 days from the date of this announcement.

This announcement is dated 22 January 2021.