Reference is made to the proposed utilisation of proceeds raised from the proposed private placement of new ordinary shares of up to 20% of the total number of issued shares of the Company ("20% Private Placement") and completed the issuance and allotment of 71,156,000 new ordinary shares ("Shares") at an issue price of RM0.2208 per Share on 5 March 2021. The Company had raised total proceeds of RM15.711 million from the 20% Private Placement ("Private Placement Proceeds").

To-date, the Company has yet to fully utilise the Private Placement Proceeds due to the slowdown in customers demand caused by the global market conditions. The Company had in the Extraordinary General Meeting held on 30 December 2024 obtained its shareholders’ approval in relation to the disposal of the Johor Bahru factory. Hence, the Company wishes to announce that the Board of Directors of PNE has resolved to extend the timeframe for the utilisation of proceeds for the upgrading of the existing printed circuit boards (“PCB”) production lines for another 12 months period until 5 March 2026 ("Extension of Time"). This extension will provide the Company with the necessary time to strategically explore and identify potential activities that will contribute to the Company's growth and future expansion. Through this focused approach, the Company aims to position itself for long-term success in line with evolving market demands and emerging opportunities.

A summary of the revised utilisation of Proceeds is set out below:

The Board is of the opinion that the Extension of Time is in the best interest of the Company. The Extension of Time is not subject to any regularly authorities or shareholders' approval.

Nonetheless, the Company shall continue to be vigilant and prudent in managing the Private Placement Proceeds and will continue to disclose the status of the utilisation in the Company's quarterly results and annual report until it is fully utilised.

This announcement is dated 4 March 2025.