The Board of Directors of SRB wishes to announce that Sapura Technics Sdn Bhd (“STSB”), an indirect 95%-owned subsidiary of the Company via Mercu Sapura Sdn Bhd. had on 12 July 2021 entered into a Heads of Agreement (“HOA”) with Turkish Airlines Technic Inc (“TT”) to set out the preliminary terms which will form the basis for the Subscription Agreement (as hereinafter defined) and Shareholders Agreement (as hereinafter defined).

(STSB and TT shall collectively be referred to as ‘Parties’ and individually as a ‘Party’ where the context so requires).

Each Party agrees and acknowledges that this HOA is subject to the definitive final Agreements and approval of Board of Director’s decision of TT and the Company.

TT is willing, in principle, to subscribe to new ordinary shares equivalent to 51% of the enlarged share capital of STSB, subject to the execution of a formal and legally binding Subscription Agreement and Shareholders Agreement between STSB and TT.

Please refer to the attachment for further details of the announcement.

This announcement is dated 14 July 2021.