JES International : Application for Waiver and Extension of Time

(Incorporated in the Republic of Singapore on 4 April 2006) (Company Registration Number 200604831K)

The Board of Directors ("Board") of JES International Holdings Limited (the "Company") wishes to announce that the Company will on 14 November 2017, today, be applying to the Singapore Exchange Securities Trading Limited (the "SGX-ST") for a waiver from the strict requirements of Rule 705(2) of the Listing Manual to announce the Company's unaudited financial statements for the quarter ended 30 September 2017 ("3Q2017 Results") and an extension of one (1) month to announce the 3Q2017 Results by 14 December 2017. The Company would like to refer to its announcement dated 8 September 2017 (ref: SG170908OTHRWNSZ) (the "Termination Announcement"). Unless otherwise defined herein, all capitalised terms used in this announcement shall have the same meanings as defined in the Termination Announcement.

The Company will be applying to the SGX-ST for the aforementioned waiver for the following reasons:

1. Termination of the Proposed Acquisition and the Accounting Treatment

   As stated in the Termination Announcement, the Company would have to take steps to derecognise the assets (including any goodwill that was capitalised as a result of the business combination) and liabilities of the Target Company at their carrying amounts at the date when control is lost and recognise the fair value of consideration received from the transaction that led to the loss of control to realise the financial impacts of the Termination.

   The Company further understands from FRS 110 that a loss of control by the Company of the Target Company would result in the Company having to:

2. derecognise the assets and liabilities of the Target Company from the consolidated statement of financial position;

3. recognise any investment retained in the Target Company at its fair value when control is lost and subsequently accounts for it and for any amounts owed by or to the Target Company in accordance with relevant FRSs; and

4. recognise the gain or loss associated with the loss of control attributable to the former controlling interest.

5. Effective Date when the Company lost control of the Target Company

   In addition to the above, the Company understands that as the date on which the Company lost control of the Target Company was 31 August 2017 being the resignation date of the directors nominated by the Company to the board of directors of the Target Company. According to FRS 110 and for the purposes of the 3Q2017 Results, the Company is required to consolidate the financial statements of the Target Company with that of the Company from 1 July 2017 to 31 August 2017, and to present non-consolidated financial statements of the Company only from 1 September 2017 to 30 September 2017.

   As a result, the Company understands that it requires the financial figures of the Target Company as at 31 August 2017 in order to effect the de-consolidation process in compliance with FRS 110, which would only be available after 31 August 2017. At this point, the Company wishes to

   highlight that the Company had since early September been in negotiations with the Vendors on the terms of the Termination.

6. Resignation of the Group Financial Controller

   As announced by the Company on 20 October 2017, the Company's financial controller, Mr Siow Chin How, has resigned with effect from the date thereof. Mr Siow was responsible and in charge of both the accounting and finance departments of the Company and also that of the Target Company. He had been instructed by the Company to consolidate the financial statements of the Target Company with that of the Company when First Completion was effected, and his and his team's resignation means that the Company would not have a dedicated finance team. The Company would now have to look to other sources to prepare the financial statements to take into account the factors above.

7. Professional Advice and 3Q2017 Results

   In light of the situation above, the Company is in the midst of engaging the assistance of Foo Kon Tan LLP ("FKT") to guide the Company in its preparation of the 3Q2017 Results, so as to ensure it is in compliance with FRS 110. This would mean that the Company requires more time to finalise its 3Q2017 Results.

8. Extension of time to release 3Q2017 Results

In light of the aforementioned reasons, the Company considers it more prudent and informative to shareholders of the Company to release its 3Q2017 Results when the Company has obtained and reviewed the complete set of financial statements of the Target Company as at 31 August 2017 for an accurate presentation of the consolidated and de-consolidated financial statements.

Accordingly, the Company is seeking an extension of one (1) month to release its 3Q2017 Results, i.e. by 14 December 2017.

The Company will announce the outcome of this application in due course once a reply has been received.

The Board stresses that the Company will, in compliance with the Corporate Disclosure Policy of the Listing Manual, make the relevant disclosures in the event of any material developments.

BY ORDER OF THE BOARD JES INTERNATIONAL HOLDINGS LIMITED

JIN YU

Chief Executive Officer 14 November 2017