The Board of Directors of Freight Management Holdings Bhd ["FMHB" or "the Company"] wishes to announce that Icon Line (Malaysia) Sdn Bhd [“ILM”], a wholly-owned subsidiary of FMHB has on 26 February 2014 subscribed for 3,618,820 shares of Sri Lankan Rupee (LKR) 1.00 each in FM Global Logistics Lanka (Private) Limited ["FMGLL"], a company incorporated under the laws of Sri Lanka at a total cash consideration of LKR3,618,820 (equivalent to approximately RM93,700.00).

FMGLL business activity is providing integrated logistics services. 

Upon the completion of the allotment of shares, ILM will hold 40% equity interest in FMGLL. The acquisition is funded through internally generated funds.   

The above transaction is not subject to the approval of the shareholders of the Company or the approval of any relevant authorities in Malaysia.  

None of the Directors or major shareholders of the Company and/or persons connected to them have any interest, direct or indirect, in the above transaction.  

The above transaction is not expected to have any material impact on the earnings and net tangible assets, gearing, share capital, substantial shareholders’ shareholdings of the Group for the financial year ending 30 June 2014 but is expected to contribute positively in the future.  

This announcement is dated 27 February 2014.