Pursuant to paragraph 10.05(2) of the Main Market Listing Requirements of the Bursa Malaysia Securities Berhad, the Board of Directors of BHS Industries Berhad wishes to announce that Ultimate Ivory Sdn. Bhd., its wholly-owned subsidiary has on 27 February 2017 entered into a Sale and Purchase Agreement with Dengkil Paper Mill Sdn. Bhd. to dispose of 12.09 acres of undivided leasehold land within 375 acres of land in the Green Technology Park Pekan in Kg Paloh Hinai, Mukim Lepar, Derah Pekan, Pahang Darul Makmur for a sale consideration Ringgit Malaysia Five Million Two Hundred and Sixty Six Thousand Four Hundred and Four (RM5,266,404.00) only.

The details of the dsposal is set out in the attachment.