We refer to the KPPROP's announcement dated 18 June 2021 in relation to the proposed acquisition of land by Pixel Valley Sdn. Bhd. (Registration No. 202101006099 (1406398-P)) (“Pixel Valley” or the “Purchaser”), a wholly-owned Subsidiary of KPPROP. Pixel Valley has on 18 June 2021, entered into a Sale and Purchase Agreement (“SPA”) to purchase all that piece of leasehold land held under PN 3664, Lot 19, Seksyen 13, Bandar Petaling Jaya, District of Petaling, State of Selangor bearing a postal address at No.1, Jalan 13/2, Seksyen 13, 46200 Petaling Jaya, Selangor Darul Ehsan (“Land” or “Property”) with Roset-BLG Sdn. Bhd. (Registration No. 198901008261 (185563-U)) (“Roset-BLG” or the “Vendor”) for a purchase price of RM82,000,000.00 (“Purchase Price”), (hereinafter referred to as a “Proposed Acquisition”).

The Company wishes to inform on the following additional information in regards to the Proposed Acquisition:-

1. The net book value of the Land was RM9,434,509 based on the latest audited financial statement of Ipmuda Berhad (“Ipmuda”) as at 30 June 2020.
    
2. Ipmuda had engaged Knight Frank Malaysia Sdn Bhd (the “Valuer”) to perform valuation on the Land and has determined the market value of RM80,000,000.00 as at 26 April 2021 in its valuation certificate dated 25 May 2021 by using the Comparison Approach method. The Purchaser has not placed any reliance on the valuation undertaken by the Valuer in agreeing on the Purchase Consideration of RM82,000,000.00.
    
3. Part of the Purchase Price is to be satisfied by way of transfer of 2 properties developed by Kerjaya Property Sdn Bhd, a wholly-owned subsidiary of KPPROP (“Disposal of Properties”). The highest percentage ratio applicable to the Disposal of Properties pursuant to Paragraph 10.02(g) of the Main Market Listing Requirements of Bursa Securities is 0.4%. In this regard, the Disposal of Properties is not subject to the approval of the shareholders of KPPROP. The highest percentage ratio applicable to the Disposal of Properties was computed based on interim financial statements as at 31 March 2021 pursuant to Paragraph 10.03(4)(c) of the Main Market Listing Requirements. The total consideration for the 2 properties of RM2,047,156.40 was arrived based on developer’s selling price less discount.
    
4. The highest percentage ratio applicable to the Proposed Acquisition was computed based on interim financial statements as at 31 March 2021 pursuant to Paragraph 10.03(4)(c) of the Main Market Listing Requirements.

This announcement is dated 22 June 2021