Announcement – Favelle Favco Berhad (“Ffb” or “Company”) Proposed Acquisition by Ffb of a Crane Fabrication Yard Comprising Freehold Industrial Land, Buildings and Improvements, Located at No. 28 Yarrunga Street, Prestons, New South Wales, 2170 Australia With a Total Land Area Measuring Approximately 11.6 Acres From Muhibbah Engineering (M) Bhd for a Total Purchase Consideration of Aud15,000,000 (Equivalent to Rm48,091,500), to Be Satisfied via the Issuance of 31,678,743 New Ordinary Shares of Rm0.50 Each in Ffb (“Proposed Acquisition”)

FAVELLE FAVCO BERHAD

16/10/2012 05:32:15 PM

We refer to the announcements dated 25 June 2012 (“Announcement”) and 14 September 2012 in relation to the Proposed Acquisition. Unless otherwise stated, the definitions used herein shall have the same meanings as defined in the Announcement.

On behalf of the Board, Maybank IB wishes to announce that, as the extraordinary general meeting (“EGM”) of FFB for the Proposed Acquisition will be held on 5 November 2012, the Company and MEB had, on 16 October 2012, mutually agreed in writing for an extension of one (1) month from 31 October 2012 to 30 November 2012 for FFB and MEB to fulfill the conditions precedent pursuant to the SPA. The circular in relation to the Proposed Acquisition enclosing the notice of EGM together with the form of proxy will be despatched to the shareholders of FFB in due course.

This announcement is dated 16 October 2012.