Power Root Berhad ("Power Root" or "the Company") wishes to announce that it has received notification on 18 August 2019 that its 97% owned subsidiary, Power Root ME FZCO ("PRME") has completed de-registration of its 49% owned subsidiary, P.R. Manufacturing ME LLC ("PR Manufacturing ME") in United Arab Emirates ("U.A.E.") ("De-registration").

PR Manufacturing ME was incorporated on 19 May 2013 as a limited liability company in Al Jazeera Al Hamra Industrial Zone under the laws of Ras Al Khaimah and the U.A.E.. PR Manufacturing ME has a paid-up capital of United Arab Emirates, Dirham ("UAE Dhs.") 1,000,000 (equivalent to RM1,137,000) divided into 1,000 shares of UAE Dhs. 1,000 each ("Shares"). PRME holds 49% or 490 Shares of PR Manufacturing ME and the remaining 51% or 510 Shares is held by WSY Investment LLC (formerly known as RAKIA Investment LLC). PR Manufacturing ME was dormant since its incorporation.

The De-registration is not expected to have a material effect on the net assets, earnings, share capital, dividend and gearing of the Power Root for the financial year ending 31 March 2020.

None of the Directors and/or major shareholders of Power Root and/or persons connected to them have any interest, direct or indirect, in the De-registration.

This announcement is dated 19 August 2019.