We refer to the Company's announcements dated 4 October 2024 and 29 May 2025 in relation to the variation to the utilisation of proceeds previously raised from the Rights Issue with Warrants exercise undertaken by the Company that was completed on 28 May 2021 and extension of timeframe for the utilisation of balance proceeds for twelve (12) months expiring on 28 May 2026, respectively.   Unless otherwise defined, the definitions set out in the Announcement shall apply herein.

The Board of Directors of Sanichi ("Board") wishes to announce that as at the expiry date of the timeframe on 28 May 2026 to utilise the balance proceeds from the Rights Issue with Warrants, the Company has yet to fully utilise the balance proceeds amounting to RM26.466 million allocated for its property development and plastic moulding business as well as repayment of bank borrowings.

The Board of Directors of Sanichi ("Board") wishes to announce that as at the expiry date of the timeframe (within 6 months from approval of the shareholders) to utilise the balance proceeds from the Rights Issue with Warrants, the Company has yet to fully utilise the balance proceeds amounting to RM56.49 million allocated for its property development and plastic moulding businesses as well as repayment of bank borrowings.

The Board after having deliberated, resolved to extend the timeframe for utilisation of the said balance proceeds for another twelve (12) months period from 29 May 2026 to 28 May 2027 ("Revised Timeframe") to provide additional time for the Group to utilise the balance proceeds.

Please refer to the attachment for further details.