The Board of Directors of Ta Win wishes to announce that its wholly-owned subsidiary, Ta Win Industries (M) Sdn. Bhd. ("TWI" or "the Defendant"), had on 26 June 2026 been served with a Writ of Summons and Statement of Claim bearing Civil Suit No. WA-22NCC-550-06/2026 ("the Suit") filed by Air Products Malaysia Sdn. Bhd. ("the Plaintiff") in the High Court of Malaya at Kuala Lumpur.

(1)    CIRCUMSTANCES LEADING TO THE LITIGATION

          The Plaintiff alleges that TWI had entered into a Gas Sales Agreement with the Plaintiff for the supply of industrial gases for a fixed initial term ending on 31 March 2028.

          According to the Statement of Claim, the Plaintiff alleges that TWI issued a letter dated 1 November 2024 purporting to Terminate of Gas Sales Agreement before the expiry of the agreed initial term and that such termination was not made in accordance with the contractual provisions governing termination. The Plaintiff further alleges that TWI remains liable under the Agreement for, among others:-

(i)      the outstanding minimum take-or-pay obligations (MTOP);

(ii)     the outstanding Monthly Facility Charges (MFC) for the remaining contractual period; and

(iii)     contractual dismantling and removal charges for the equipment installed at the designated premises.

The Plaintiff also alleges that TWI has failed to settle the amount claimed despite a Letter of Demand dated 7 April 2026.

(2)    PARTICULARS OF THE CLAIM

The Plaintiff is seeking, among others, the following claims against the Defendant:-

(a)     the sum of RM3,567,430.25;

(b)     the interest on the above sum at the rate of 5% per annum from the date of the Writ until the date of judgment;

(c)     further interest at the rate of 5% per annum from the date of judgment until full settlement;

(d)     general damages;

(e)     costs; and

(f)      such further or other relief as the Court deems fit.

(3)    FINANCIAL AND OPERATIONAL EFFECTS

          The Company is presently unable to determine the full financial impact arising from the Suit as the matter is still at a preliminary stage and is subject to the outcome of the court proceedings. Should the Plaintiff succeed in its claim, the Ta Win and its subsidiaries ("Group") may be liable for the amount claimed together with interest, legal costs and such other sums as may be awarded by the Court.

          The Suit is not expected to have any immediate material impact on the day-to-day operations of the Ta Win Group.

(4)    STEPS TAKEN AND PROPOSED TO BE TAKEN

          The Company is currently seeking legal advice from its solicitors and intends to vigorously defend the Suit.

(5)    TIMING OF ANNOUNCEMENT

          The Company wishes to clarify that the Writ of Summons and Statement of Claim were received on 26 June 2026.

          At the time of received, the Company did not consider the litigation to have triggered the prescribed disclosure threshold under the Main Market Listing Requirements ("MMLR") of Bursa Malaysia Securities Berhad ("Bursa Malaysia").

          Following a recent internal reassessment undertaken in the course of an ongoing due diligence exercise and seeking for legal advise, the Company has determined that the amount in dispute meets the applicable threshold for material litigation.

          Accordingly, this announcement is made promptly upon such determination.

(6)    FURTHER ANNOUNCEMENT

          The Company will make the necessary announcement on any material development relating to the Suit in accordance with the MMLR of Bursa Malaysia.

          The Company remains committed to ensuring compliance with its disclosure obligations.

This announcement is dated 3 July 2026.