With reference to the Article published in The New Straits Times, Business News, page 14 on Friday, 24 June 2022, entitled "Sunzen expects to post profit on improved earnings" (the "Article") and in particular to the following statements mentioned in the Article:

1) “Sunzen Biotech expects to post a profit in financial year 2022 on the strength of improved earnings from its loan financing and traditional Chinese medicine (TCM) sectors.”

2) “Sunzen made a profit in the first half of its current financial year ending Dec 31, 2022.”

The Board of Directors of Sunzen wishes to clarify the following:

In relation to Statement 1, management of Sunzen has set internal key performance index and targets to achieve the Group’s profitability for the financial year ending 31 December 2022 based on the current orders received in the traditional Chinese medicine segment and loan book size in the money lending segment, as well as the quarterly results for the quarter ended 31 December 2021 and 31 March 2022, that were previously announced.

The statement was made based on the Group’s internal key performance index that was set, and do not constitute a financial estimate, forecast or projection. The key performance index has not been reviewed by any external parties.

In relation to Statement 2, the Group had made a profit in the first financial quarter ended 31 March 2022 which was announced on 26 May 2022. The first half-year results of the Group for the financial year ending 31 December 2022 will be announced in August 2022.

The statements were made based on management's aspirations and internal targets for the first half-year ending 30 June 2022 and financial year ending 31 December 2022.

This announcement is dated 24 June 2022.