On behalf of the Board of Directors of PHB, M&A Securities Sdn Bhd wishes to announce that its wholly-owned subsidiary, Perwaja Steel Sdn Bhd (“PSSB”), has been granted an order pursuant to Section 366(1) and 368(1) of the Companies Act 2016 (the “Act”), by the High Court of Malaya in Kuala Lumpur (“High Court”) on 7 February 2017 to restrain all proceedings and actions brought by any party including its creditors for a period of ninety (90) days effective from 7 February 2017 (“the Order”).

The abovementioned Order was applied by Kinsteel Berhad, the major shareholder of PSSB (held through PHB) and an unsecured creditor of PSSB, to facilitate PSSB to convene a meeting with its creditors pursuant to Section 366(1) of the Act for the purpose of considering and if thought fit, to approve with or without any alteration or modification, a proposed scheme of arrangement and compromise for PSSB. Full details of the proposed scheme of arrangement will be contained in an Explanatory Statement which will be issued to the scheme creditors in due course.

The Order is not expected to have any material impact on the financial and operational matters of the Company, as PSSB has ceased operations since August 2013. Furthermore, the Order is to facilitate and finalise the Company’s scheme of arrangement with its creditors.

This announcement is dated 8 February 2017.