On behalf of the Board of Directors of Rubberex (“Board”), M&A Securities Sdn Bhd (“M&A Securities”) wishes to announce that Rubberex proposes to undertake a joint collaboration with Alliance Premier Sdn Bhd (“Alliance Premier”), Exsim Holdings Sdn Bhd (“Exsim”) and JT Momentum Sdn Bhd (“JT Momentum”) (collectively Exsim and JT Momentum are known as “EXDJ Shareholders”) in respect of the development and operation of a shopping mall known as the “Empire City Mall” that is currently being constructed as part of the overall development of Empire City on the land held under master title PN116964, Lot 90573 in Mukim Sungai Buloh, Daerah Petaling, Negeri Selangor measuring approximately 9.536 hectares through a joint venture company, namely Alliance Empire Sdn Bhd (“Alliance Empire”) (“Collaboration”).

In conjunction with the Collaboration, Rubberex has entered into the following agreements:

1. conditional subscription agreement with Alliance Empire (“Subscription Agreement”) for the subscription of 200,000 new ordinary shares in Alliance Empire, representing 20% of the enlarged equity interest in Alliance Empire by Rubberex for a subscription price of RM180.0 million to be fully satisfied by cash (“Proposed Subscription”); and

2. shareholders agreement with Alliance Empire, EXDJ Shareholders and Alliance Premier (“Shareholders Agreement”) to regulate their relationship as shareholders of Alliance Empire.

In conjunction with Proposed Subscription, the Company intends to undertake diversification of the business activities of Rubberex and its subsidiaries (“Rubberex Group” or “Group”) into the property investment including shopping malls (“Proposed Diversification”).

The Proposed Subscription and Proposed Diversification are collectively known as the “Proposals”

Kindly refer to the attachement on further details of the Proposals.

This announcememnt is dated 4 October 2021.