Reference is made to the Company’s announcement dated 21 April 2025.

MHB Board of Directors wishes to announce an update in relation to the Notice of Arbitration served by Haumea Offshore Sdn Bhd (formerly known as Trans Fame Offshore Sdn Bhd) (“TFO”) against Malaysia Marine and Heavy Engineering Sdn Bhd (“MMHE”), a wholly-owned and major subsidiary of MHB.

BACKGROUND

MMHE had on 15 April 2025 received a Notice of Arbitration dated 11 April 2025 from the solicitors for Haumea Offshore Sdn Bhd (previously known as Trans Fame Offshore Sdn Bhd) (“TFO”) in relation to claims arising from Subcontract No. 3900007170 titled “Hook-up And Commissioning Works And Marine Vessels For Bokor Phase 3 Redevelopment Project (Package A)” (hereinafter referred to as “the Subcontract”).

Under the Subcontract, TFO was appointed by MMHE as its subcontractor to provide Hook-up and Commissioning (“HUC”) works, including marine vessels, for the Bokor Phase 3 Redevelopment Project (“the Works”).

In its Notice of Arbitration, TFO claims that there were disputes between it and MMHE under the Subcontract in relation to its performance of the Works (“the Dispute”).

TFO has included an indicative amount of its alleged loss as part of the Notice of Arbitration, at approximately RM57.3 million, including interest, costs  and/or other reliefs as deemed fit by the Tribunal.

UPDATE

GRANT OF EX-PARTE INJUNCTION

MMHE had filed an application for an injunction against the Notice of Arbitration issued by TFO in connection with the ongoing Dispute under the Subcontract.

On 20 May 2025, the High Court of Johor Bahru granted an ex-parte injunction in favour of MMHE, restraining TFO from registering the said Notice of Arbitration, commencing or proceeding with arbitration in connection with the said Notice of Arbitration.

EFFECT OF THE EX-PARTE INJUNCTION

The ex-parte injunction serves to preserve the status quo and protect MMHE’s position pending the determination by the High Court of the validity of the Notice of Arbitration. The present decision reflects the High Court's recognition of the potential prejudice to MMHE if the ex-parte injunction was not granted.

OPERATIONAL AND FINANCIAL IMPACT ON THE GROUP

At this stage, there is no additional financial or operational impact on the Group arising from the ex-parte injunction. MMHE will continue to pursue all available legal avenues, including disputing the validity of the Notice of Arbitration, preparing the defence and counterclaim in the arbitration, and any other proceedings deemed necessary to protect its interests.

DIRECTORS’ AND SUBSTANTIAL SHAREHOLDERS’ INTEREST

None of the directors, major shareholders of MHB, or persons connected with them has any interest, direct or indirect, in the matter.

FURTHER ANNOUNCEMENTS

The Company will make the necessary announcements as and when there are further material updates.

This announcement is dated 21 May 2025.