We refer to our announcements dated 15 July 2015 and 24 March 2016 in relation to the Master Framework Agreement and the Supplemental Master Framework Agreement (“Agreements”) between PHB, Perwaja Steel Sdn Bhd (“PSSB”) and Zhiyuan International Investment & Holding Group (Hong Kong) Co., Limited (“Zhiyuan”).

On behalf of PHB, M&A Securities Sdn Bhd wishes to announce that the parties were not able to fulfil the conditions precedent within the timeline stipulated under the Agreements. Given the lapse of time to fulfil the conditions precedent, PHB and PSSB had on 8 February 2017 notified Zhiyuan that the Agreements have lapsed and expired and neither party shall have any obligation to the other.

As such, the proposed regularisation scheme detailed in the requisite announcement on 15 July 2015 and 24 March 2016 have been aborted.

The Board will decide on the next course of action, and will make a further announcement in due course.

This announcement is dated 8 February 2017.