The Board of Directors of Kelington Group Berhad ("KGB" or the "Company") wishes to announce that its wholly-owned subsidiary, Kelington Technologies Sdn. Bhd. ("KTSB"), has on 25 September 2026, accepted a contract awarded by a manufacturing company at Sama Jaya Free Industrial Zone in Kuching, Sarawak ("Customer") for the provision of engineering and early-stage infrastructure development for an advanced data storage manufacturing facility, encompassing site development, foundation systems and critical high-voltage power infrastructure, for a total value of approximately RM172 million ("new Contract").

The new Contract is expected to be commencing immediately and expected to be completed by August 2027 ("Completion").

The new Contract forms part of the overall Customer's expansion project in Sarawak, comprising the design and construction of a facility in Kuching, Sarawak ("Project"). In connection with the Project, KTSB has secured a contract and various purchase orders from the Customer between June and September 2026, principally relating to the design and build of advanced data storage manufacturing and associated infrastructure facilities, with an aggregate value of approximately RM111 million. These contract and purchase orders, whether individually or collectively, did not trigger the requirements for an immediate announcement of material disclosure under the Listing Requirements of Bursa Malaysia Securities Berhad.

With the award of the new Contract, the aggregate value of contract and purchase orders awarded by the Customer to KTSB for the Project now stands at approximately RM283 million.

KTSB expects to secure more contracts from the Customer covering various scopes of work in the coming weeks in relation to the Project in Kuching, Sarawak. Any material development arising therefrom, including the cumulative contract value, will be announced by the Company, as and when required. 

The new Contract is expected to contribute positively to the earnings and net assets of the KGB Group for the financial years ending 31 December 2026 and thereafter until Completion. The new Contract is not expected to have any material effect on the share capital and substantial shareholders' shareholdings of KGB.

The Company does not foresee any exceptional risks other than the normal operational risks associated with the new Contract.

None of the Directors, major shareholders of KGB and/or persons connected with them has any interest, direct or indirect, in the new Contract.

The Board of Directors of KGB is of the opinion that the acceptance of the new Contract is in the best interests of the KGB Group.

This announcement is dated 29 September 2026.