We wish to announce that HENGYUAN-CD had expired at 9.00 a.m. on 19 March 2018 ("Expiry Date") and the Cash Settlement Amount shall be calculated as set out below:

Cash Settlement Amount

= Number of HENGYUAN-CD exercised x (1/Exercise Ratio) x (Closing Price – Exercise Price) – 0.30%*

= Number of HENGYUAN-CD exercised x (1/8) x (RM9.0326 - RM7.0000) – 0.30%*  

= Number of HENGYUAN-CD exercised x RM0.2541 – 0.30%*

*The Exercise Expenses are subject to 6% GST.

The Closing Price of RM9.0326 is the average daily volume weighted average price (VWAP) of the ordinary shares of HENGYUAN for the five (5) market days prior to and including the market day immediately before the Expiry Date. The HENGYUAN-CD is deemed to have been automatically exercised on the Expiry Date.

The Cash Settlement Amount will be delivered to the warrantholders by ordinary post within seven (7) market days from the Expiry Date.

This announcement is dated 19 March 2018.