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(For consistency, the abbreviations used throughout this announcement shall have the same meanings as defined in the announcement dated 29 September 2021 in relation to the Establishment of a Multi-Currency Islamic Medium Term Notes Programme of up to RM500.0 million in nominal value based on the Shariah Principle of Murabahah (via Tawarruq Arrangement), where applicable, unless stated otherwise or defined herein.)

Further to the Company’s announcement dated 29 September 2021 in relation to the Multi-Currency Sukuk Programme,the Board of Directors of KAB wishes to announce that KAB Energy Power Sdn. Bhd. (“KABEP”), a wholly-owned subsidiary company of KAB, has made the first issuance of Sukuk Murabahah (“Sukuk Murabahah”) of RM19.95 million in nominal value (“Tranche 1 Sukuk Murabahah”) on 31 January 2022 pursuant to its Multi-Currency Sukuk Programme of up to RM500.0 million in nominal value (“Multi-Currency Programme”).

The series 1 of Tranche 1 Sukuk Murabahah is secured against various assets of KAB, KABEP and its identified subsidiaries whereas the series 2 of Tranche 1 Sukuk Murabahah is guaranteed by Danajamin Nasional Berhad. The proceeds from the Tranche 1 Sukuk Murabahah shall be utilised to advance to KABEP’s wholly-owned subsidiary, Dynagen Power (M) Sdn. Bhd. (formerly known as Konpro Industries Sdn. Bhd.) to redeem its existing conventional financing facility and the balance thereafter, to fund the minimum balance and build-up requirement in the Tranche 1 Designated Accounts.

Public Investment Bank Berhad is the appointed Principal Adviser, Lead Arranger and Lead Manager for the Multi-Currency Sukuk Programme.

This announcement is dated 31 January 2022.