Pursuant to Paragraph 9.19(15) of the Main Market Listing Requirements of Bursa Malaysia Securities Berhad, the Board of Directors (“the Board”) of South Malaysia Industries Berhad (“the Company” and together with its subsidiaries, “the Group”) wishes to announce that the Company has on even date received and accepted the notice in writing pursuant to Section 281 of the Companies Act 2016 (“the Act”) from Messrs UHY Malaysia PLT (“UHY”) on their resignation as external auditors (“Auditors”) of the Group. Pursuant to Section 281(2) of the Act, UHY’s term of office as Auditors of the Group shall end after twenty-one (21) days which falls on 26 August 2025.

The re-appointment of UHY as auditors of the Company during the 53rd Annual General Meeting (“AGM”) held on 25 June 2025 was rejected and voted down by the proxies holding an absolute majority and since the AGM was adjourned and not concluded, the Auditors are still holding office pursuant to Section 273 of the Act. However, in view of governance consideration, UHY do not wish to continue as Auditors of the Group.

Save for the above, the Board is not aware of any matters that need to be brought to the attention of the shareholders of the Company.

The Group is in the midst of appointing new Auditors pursuant to Section 271(2)(b) of the Act. Further announcement will be made by the Company once the letter of consent from the new Auditors is received.

This announcement is dated 5 August 2025.