1. INTRODUCTION

The Board of Directors of JS Solar wishes to announce that Gadang-JS Solar Consortium (“Consortium”), an unincorporated joint venture formed between JS Solar Sdn. Bhd. (“JSSB”), a wholly-owned subsidiary of the Company, and Gadang Engineering (M) Sdn. Bhd. (“GESB”), a wholly-owned subsidiary of Gadang Holdings Berhad, had on 1 October 2025 accepted a letter of acceptance (“Letter of Acceptance”) from Tenaga Aspirasi Sdn. Bhd. (“TASB”), notifying the Consortium of its successful tender for the development of a 15MWac Large Scale Solar (“LSS”) photovoltaic (“PV”) power plant project in Tawau, Sabah (“Project”) for the provision of engineering, procurement, construction, testing and commissioning (“EPCC”) services.

2. INFORMATION ON THE CONSORTIUM

The Consortium was formed pursuant to a joint venture agreement dated 27 May 2025 between JSSB and GESB to secure and undertake the Project as the main contractor. The Consortium does not contain any profit-sharing structure, and any liabilities incurred (excluding capital, operating cost and funding of the operations, execution and completion of the parties’ respective scope of work) in relation to the Project shall be borne by JSSB and GESB in the proportion of 49:51, respectively.

3. INFORMATION ON TASB

TASB is an indirect 60%-owned subsidiary of Gadang Holdings Berhad through Regional Utilities Sdn. Bhd., which is a wholly-owned subsidiary of Gadang Holdings Berhad.

4. SALIENT TERMS OF THE LETTER OF ACCEPTANCE

(a) The Consortium shall undertake the EPCC services for the Project on the 15MWac LSS PV plant.

(b) The Letter of Acceptance is subject to the execution of a formal EPCC contract (“EPCC Contract”) to be entered into between the Consortium and TASB within 45 days from the date of acceptance of the Letter of Acceptance.

(c) The Consortium shall execute and implement the works under the Project in accordance with the terms and conditions of the EPCC Contract to be entered into with TASB.

(d) The total contract price for the Project shall be approximately RM51.95 million.

(e) The contract period shall commence from the date of the acceptance and signing of the Letter of Acceptance by the Consortium (“Commencement Date”), with the scheduled commercial operation date of the Project no later than 30 November 2026.

(f) TASB shall notify the Consortium in writing by issuing a notice to proceed on the Commencement Date.

(g) The Consortium shall provide a performance bond in the format acceptable to TASB for the value equivalent to 10% of the contract price amounting to RM5.19 million, within 21 days from the date of acceptance of the Letter of Acceptance.

5. FINANCIAL EFFECTS

The Letter of Acceptance and the Project will not have any effect on the issued share capital or substantial shareholders’ shareholdings of the Company. Barring any unforeseen circumstances, the Project is expected to contribute positively to the earnings and net assets of the Company for the financial year ending 31 March 2026 and onwards until the completion of the Project.

6. RISK FACTORS

The risks associated with the Project include, but are not limited to, execution risks such as the availability of skilled manpower and equipment, as well as potential changes in political, economic and regulatory conditions. The Board will endeavour to ensure that the terms and conditions of the Letter of Acceptance which are within the control of the Company are fulfilled in a timely manner and will implement appropriate measures to mitigate risks as and when they arise.

Nevertheless, the Board believes that the experience and expertise of the Company’s management team, together with the Consortium partner, will support the effective management and mitigation of the identified risks.

7. APPROVAL REQUIRED

The acceptance of the Letter of Acceptance is not subject to the approval of shareholders of the Company or any regulatory authorities.

8. INTEREST OF DIRECTORS, MAJOR SHAREHOLDERS AND/OR PERSONS CONNECTED TO THEM

None of the Directors, major shareholders of the Company and/or persons connected with them have any interest, whether direct or indirect, in the Letter of Acceptance or the Project.

9. STATEMENT BY THE BOARD OF DIRECTORS

The Board of Directors is of the opinion that the acceptance of the Letter of Acceptance to undertake the Project is in the best interest of the Company.

This announcement is dated 1 October 2025.