Bursa Announcements

1.     Introduction

The Board of Directors of Tan Chong Motor Holdings Berhad (“TCMH” or “the Company”) is pleased to announce pursuant to Paragraphs 9.03(2) and 9.04 of the Main Market Listing Requirements of Bursa Malaysia Securities Berhad that Tan Chong Motor Assemblies Sdn. Bhd. (“TCMA”), a 70% owned subsidiary of Tan Chong & Sons Motor Company Sdn. Bhd. (“TCM”), a wholly-owned subsidiary of the Company, had on 13 November 2025, entered into a  Letter of Intent (“LOI”) dated 11 November 2025 with Perodua Sales Sdn. Bhd. (“PSSB”) as more particularly detailed below.

2.     Information on TCMA

TCMA is a 70% owned subsidiary of TCM (which in turn is a wholly-owned subsidiary of TCMH) incorporated in Malaysia and is principally engaged in the assembly of motor vehicles.

3.     Information on PSSB

PSSB is a company incorporated in Malaysia and having its registered office at Perodua Corporate Building, Sungai Choh, Mukim Serendah, 48009 Rawang, Selangor Darul Ehsan.

PSSB is a wholly-owned subsidiary of Perusahaan Otomobil Kedua Sdn. Bhd. and is engaged in manufacturing, marketing and distribution of motor vehicles, related spare parts and other related activities.

4.     Scope of the LOI

The LOI sets out the key agreed principles that both TCMA and PSSB (“Parties”) have reached agreement thus far in moving towards the relevant definitive agreements between both Parties (“Definitive Agreements”) in relation to the appointment of TCMA to provide particular services to PSSB for Perodua Battery Electric Vehicle project (“Project”).

5.     Salient Terms of the LOI

(i)    The LOI shall come into force on 13 November 2025;

(ii)   TCMA will provide ED coating & painting line services as well as rental and use of certain designated assembly lines to PSSB (“Services”);

(iii)  TCMA and PSSB shall each, at all times, keep confidential all information acquired from the other party under the LOI, except for information which either TCMA or PSSB is obliged  to disclose under the law. Such confidentiality obligation shall be binding on the Parties and shall survive termination of this arrangement;

(iv)  TCMA and PSSB shall immediately return to the other party all information, documents or materials received upon the completion of the Services or arrangement or at such time as  the other party requests; and

(v)   This LOI shall lapse upon the signing of the Definitive Agreements at such dates as the Parties mutually agreed upon.

6.     Rationale

The rationale for the execution of the LOI and/or the Project is as follows:

 (i)   Optimising the existing assembly plant capacity to enhance operational efficiency and maximise asset utilisation; and

 (ii)  Opportunity to expand TCMH’s participation in the electric vehicle segment of Malaysia’s automotive industry.

7.     Financial Effects

The LOI is not expected to have any effects on the earnings per share, net assets and gearing of TCMH Group for the financial year ending 31 December 2025, and has no effect on the share capital of TCMH and the shareholdings of its substantial shareholders.

8.     Risk Factors

The risk factors involved in the LOI is expected to be minimal. The Board of Directors and the Management will exercise due care in considering the associated risks and benefits when negotiating on the Definitive Agreements.

9.     Interests of Directors, Major Shareholders and/or Persons Connected with Them

None of the Directors and/or major shareholders of the Company and/or persons connected with them have any interests, direct or indirect, in the LOI.

10.   Statement by Directors

Having considered all aspects of the LOI and/or the Project, the Board of Directors of the Company is of the view that the LOI and/or the Project is in the ordinary course of business and in the best interest of the Group.

11.   Approvals Required

The execution of the LOI does not require the approval of shareholders of the Company or any relevant authority.

The Company will make the necessary announcement(s) upon execution of the Definitive Agreements in compliance with the Main Market Listing Requirements of Bursa Malaysia Securities Berhad.

This announcement is dated 14 November 2025.