XiDeLang Holdings Ltd ("XDL" or "the Company") Exclusive Distribution Agreement between XDL and Seacera Polymer Sdn Bhd

We refer to your Company’s announcement dated 3 June 2020, in respect of the aforesaid matter.

In this connection, kindly furnish Bursa Securities with the following additional information for public release:-

1) Notwithstanding that the business operation of XDL is principally involved in the design, manufacturing and marketing of sports shoes as well as design and marketing of sports apparel, accessories and equipment, it is noted that XDL intends to manufacture the protective clothing products by using its existing production facilities.

In this regard, please provide the following additional information:-

(i) location and size of the production facilities that will be used to produce protective clothing products; and

(ii) total cost/capital expenditure required, expected timelines (commencement and completion date) to modify the existing production facilities and to commercialise the production.

2) Note that the protective clothing products is for non-medical purposes, please provide greater details on the types  and usage of protective clothing and specify the target market segment.

3) Given that Seacera Group Berhad ("Seacera") is principally engaged in tiles, construction and property business segments and have no prior experience in dealing with the protective clothing products, please provide further justification for XDL to appoint Seacera as the exclusive distributor with the exclusive right to resell and distribute XDL’s protective clothing products (non-medical purpose) in all states of Malaysia.

4) Further clarification on whether the distribution of  protective clothing products requires Malaysia’s  regulatory approval prior to it being sold to the public.

5) Investment risks for venturing into production of  protective clothing products upon taking into consideration the business prospects in Malaysia.

Please furnish Bursa Securities with your reply within one (1) market day from the date hereof.

Yours faithfully,
Listing

Regulation