Reference is made to the proposed utilisation of proceeds raised from the private placement of 129,357,000 new ordinary shares of PNE ("Private Placement") allocated for the capital expenditure for the Glove Business. The Company had raised a total gross proceeds of RM10.93 million from the Private Placement ("Private Placement Proceeds").

To-date, the Company has yet to fully utilise the Private Placement Proceeds. The Company wishes to announce that the Board of Directors of PNE has resolved to extend the timeframe for the utilisation of proceeds for the upgrading of existing PNE production lines ("Extenstion of Time").

A summary of the revised utilisation of Proceeds is set out below:

The Board is of the opinion that the Extension of Time is in the best interest of the Company. The Extension of Time is not subject to any regularly authorities or shareholders' approval.

Nonetheless, the Company shall continue to be vigilant and prudent in managing the Private Placement Proceeds and will continue to disclose the status of the utilisation in the Company's quarterly results and annual report until it is fully utilised.

This announcement is dated 1 November 2022.