We refer to our earlier announcement made on 2 May 2023 (Ref No. GA1-02052023-00074) and 3 May 2023 (Ref No. GA1-03052023-00046) in relation to a Writ of Summons and Statement of Claim dated 20 April 2023 filed at the High Court of Malaya at Kuala Lumpur (WA-22NCvC-202-04/2023) (“Suit”). The Suit was commenced by K.S. LEE ENERGY LLP (“Plaintiff”) through its solicitors in relation to a Project Success Agreement (“Agreement”) dated 28 January 2018 between the Company’s wholly owned subsidiary, Toyo Ink Group Berhad (“TIGB”) and the Plaintiff. Unless otherwise stated, the definitions and terms used herein shall have the same meaning as defined in the announcement.

The Plaintiff’s claim against TIGB is for the sum of:-

(a)      USD10,363,516.00 for the “Equity Success Fee” and “Debt Success Fee” (“Success Fee Claim”); or

(b)      in the alternative, USD8,839,947.60 for professional fees and loss of business opportunity (“Alternative Claim”); or

(c)      in the further alternative, damages on a quantum meruit basis and/or pursuant to Section 71 of the Contracts Act 1950 to be assessed.

The Board of Directors of TVHB wishes to announce that TIGB through its solicitors had filed an Application to refer certain preliminary issues for the determination of the Court, the determination of which will result in a summary disposal of the Suit without having to go to full trial. TIGB’s Application was heard by the Judge on 15 and 21 September 2023. After hearing submissions from Counsel, the Judge reserved his decision to be delivered on 4 October 2023.

The Board is advised by TIGB’s solicitors that there is good prospect of success in TIGB’s Application for summary disposal of the Suit without the need to have the matter going to full trial. The Board will make further announcements after the decision is delivered on 4 October 2023.

This announcement is dated 21 September 2023.