1. COMMENTARY ON CURRENT FINANCIAL PERFORMANCE AND FINANCIAL POSITION OF TIGER GROUP

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1 (Unless stated otherwise, abbreviations and definitions used throughout this announcement shall be the same as the announcement in relation to the on 19 April 2017 ( )) We refer to the announcements by us, on behalf of Tiger, in relation to the on 19 April 2017 and 27 April We wish to provide additional information as set out in the sections below. 1. COMMENTARY ON CURRENT FINANCIAL PERFORMANCE AND FINANCIAL POSITION OF TIGER GROUP The financial performance of Tiger Group based on its unaudited quarterly results for the six-month financial period ended ( FPE ) 31 December 2015 and six-month FPE 31 December 2016 are as set out below.

2 The financial position of Tiger Group based on its audited consolidated financial statements for FYE 30 June 2016 and the unaudited quarterly results for FPE 31 December 2016 are as set out below. 2

3 1.1 Commentaries on the financial performance of Tiger Group:- Six-month FPE 31 December 2016 compared with six-month FPE 31 December 2015 Tiger Group recorded a decline in revenue by 30.45% or RM2.01 million from RM6.60 million in the six-month FPE 31 December 2015 to RM4.59 million in the six-month FPE 31 December The said decline in revenue was due mainly to lower contribution from the construction division arising from a slowdown in construction works at a timber logging site in Pahang which involves site clearing and building of access roads as a result of the monsoon season. Despite the said decline in revenue, Tiger Group recorded a lower LAT of RM0.47 million in the sixmonth FPE 31 December 2016 compared with RM0.51 million in the six-month FPE 31 December 2015 due mainly to the increase in gross profit margins by 4.11% from 35.02% in the six-month FPE 31 December 2015 to 39.13% in the six-month FPE 31 December 2016 arising from:- (i) higher gross profit margins for projects secured during the six-month FPE 31 December 2016 as compared with the six-month FPE 31 December 2015; and (ii) higher administrative expenses incurred in the six-month FPE 31 December 2015 as compared with the six-month FPE 31 December 2016 arising mainly from expenses in relation to the rights issue exercise which was completed on 18 February Commentaries on the financial position of Tiger Group:- Six-month FPE 31 December 2016 compared with FYE 30 June 2016 Tiger Group recorded a decline in cash and bank balances by 94.45% or RM8.17 million from RM8.65 million in FYE 30 June 2016 to RM0.48 million in the six-month FPE 31 December 2016 due mainly to increase in property development costs attributable to the property development project in Alam Impian as detailed in Section 4(i) of this announcement whereas sales for the said project had not commenced during the six-month FPE 31 December Tiger Group recorded a marginal decline in NA by 0.22% or RM0.46 million from RM million as at 30 June 2016 to RM million as at 31 December 2016 due to the further losses incurred by the Tiger Group of RM0.47 million in the six-month FPE 31 December NA per share decreased by 0.26% or 0.04 sen from sen per Tiger Share as at 30 June 2016 to sen per Tiger Share as at 31 December Total borrowings decreased marginally by 3.94% or RM0.41 million from RM10.40 million in the sixmonth FPE 31 December 2015 to RM9.99 million in the six-month FPE 31 December The marginal decrease was due mainly to further net repayment of hire purchase and lease payables amounting to RM0.25 million in the six-month FPE 31 December

4 2. VALUE CREATION FOR THE COMPANY AND ITS SECURITY HOLDERS ARISING FROM THE PROPOSED PRIVATE PLACEMENT The Company had explored various financing options including, but not limited to, debt financing. However, due to the current capital markets (including borrowings) climate, the Company had decided to explore the. Additionally, other options of fund raising such as debt financing would increase the gearing of Tiger Group and simultaneously result in interest expenses being incurred. The Proposed Private Placement would enable Tiger Group to raise immediate funds without incurring interest cost as compared with conventional means of debt financing. Based on the Illustrative Issue Price, the is expected to raise up to approximately RM6.26 million gross proceeds of which approximately RM3.96 million shall be utilised to immediately address the short term working capital requirements of Tiger Group and approximately RM2.20 million shall be utilised towards the repayment of bank borrowings which will also be able to reduce the gearing of the Tiger Group. For illustration purposes only, based on the estimated gross proceeds amount of up to approximately RM6.26 million to be raised from the and assuming the simple average interest rate of Tiger Group of approximately 5.42% per annum based on the annual report of Tiger for FYE 30 June 2016, the would allow Tiger Group to achieve interest savings of up to approximately RM0.34 million per annum. The Group will also have better control and flexibility over its cash flows as compared with debt financing where Tiger Group is obliged to service interest and principal repayments on a fixed schedule. The will enable Tiger Group to increase the size and strength of its statement of financial position as its shareholders funds will increase by 2.95% or RM6.25 million from RM million to RM million. In addition, the will also potentially increase the market capitalisation of Tiger, which will strengthen the capital structure of Tiger Group and provide an opportunity for the introduction of new investors to participate in the equity of the Company and the future prospects and growth of the Company. 3. IMPACT OF THE PROPOSED PRIVATE PLACEMENT TO THE COMPANY AND ITS SECURITY HOLDERS The effects of the on the share capital, NA, NA per share, gearing, shareholdings of substantial shareholders and earnings and EPS of Tiger Group are as stated in Section 4.1 to Section 4.4 of the. As stated in Section 4.5 of the, the will not give rise to any adjustment to the exercise price and/or the number of Warrants B and Warrants C pursuant to the provisions of the Warrants B Deed Poll dated 18 November 2013 and Warrants C Deed Poll dated 31 December 2015, respectively. 4

5 As at 31 December 2016, the cash and bank balances of Tiger Group stood at about RM0.48 million and deposit with financial institutions stood at about RM1.02 million. The Proposed Private Placement, which is expected to raise gross proceeds of up to about RM6.26 million based on the Illustrative Issue Price, is expected to enhance the financial position of Tiger Group via the injection of fresh funds. This is expected to allow Tiger Group to improve its net current assets position without incurring additional interest costs as compared with debt financing. The pro forma effect of the on the net current assets of Tiger Group is as stated in the table below. Audited as at 30 June 2016 RM After the Proposed Private Placement RM Current Assets Amount due from customers for contract work 290, ,000 Property development costs 144,355, ,355,000 Trade Receivables 6,010,000 6,010,000 Other Receivables, Deposits and Prepayments 453, ,000 Deposit with Financial institutions 1,250,000 1,250,000 Cash and Bank Balances 8,654,000 (1) 14,816, ,012, ,174,000 Current Liabilities Trade Payables 1,918,000 1,918,000 Other Payables and Accruals 2,432,000 2,432,000 Amount due to customers for contract work 1,156,000 1,156,000 Borrowings 3,740,000 3,740,000 Provision for Taxation 1,477,000 1,477,000 10,723,000 10,723,000 Net current assets 150,289, ,451,000 Note:- (1) After incorporating the expected cash proceeds from the of approximately RM6.26 million based on the Illustrative Issue Price and after netting off the estimated expenses for the of RM96,000. Notwithstanding that the issuance of the Placement Shares will dilute the shareholdings of the existing shareholders in the Company, the is expected to improve the net current assets of Tiger Group, which in turn will enhance the liquidity position of Tiger Group. 5

6 4. ADEQUACY OF FUNDS TO BE RAISED FROM THE PROPOSED PRIVATE PLACEMENT The is an interim measure for the Tiger Group to address its short term working capital requirements which is expected to contribute to its cash flows and improve its existing financial position. The Company will continually assess and evaluate all suitable proposals to improve the value of the Tiger Group, which may include, but not limited to, further fund raising to launch any of the following projects of Tiger Group:- (i) A residential property development project in Alam Impian, Shah Alam, Selangor consists 132 units of 3-storey semi-detached houses. The Alam Impian area sits on a thriving commercial hub and is set to benefit from the surrounding established residential and commercial establishments as well as its close proximity to TTDI development in Alam Impian and easy access to major highways to strategic locations including the Kuala Lumpur city centre. The upcoming Mass Rapid Transit station is also located in the vicinity of this project; and (ii) (iii) (iv) (v) A proposed property development project consisting one block of condominium building comprising 120 condominium units situated in a parcel of land in Cheras; and A proposed property development project consisting one block of condominium building comprising 172 units of condominium units and 8 units of shop houses in Gombak, Selangor. This project is in the vicinity of established residential and commercial projects; and A residential property development project in Seri Kembangan. This proposed site is in the surrounding areas where amenities such as schools, university colleges, several bus stations, a KTM komuter train station, supermarkets and a shopping mall apart from the already influx of other property development projects; and A residential property development project in Bukit Serdang consisting a condominium building with a full range of security features and common residential and recreational facilities to serve the needs of the residents from the viewpoint of safety, comfort and recreational wellbeing. This announcement is dated. 6